Energy Savings Certificates (ESC) scheme

Panel: Panel 3. Monitoring & evaluation: understanding change and how to deliver energy efficiency

Authors:
Luc Bodineau, ADEME, Energy Efficiency Markets and Services Dept., France
Aude Bodiguel, ADEME, Economic Trend Analysis Dept., France

Abstract

In 2006, the French government decided to implement a new and innovative policy instrument (called energy savings certificates system) for promoting energy savings, mainly in the existing buildings sector. It compels energy suppliers to reduce energy consumption via their customers over a three years period. Providers are free to decide what type of action to implement and they can also use the market and buy certificates to others (companies and public bodies). At the end of the period, suppliers that will have failed to meet their obligation will have to pay a penalty. The financial risk for the suppliers equal to 1 billion Euro (the amount they will have to pay if they do nothing). As this first period of implementation is about to close (July 2009), what results and initial information are derived from these measures? To what extend have energy suppliers responded to this obligation? First quantitative results of this mechanism are here exposed covering programmes that have been implemented, equipments concerned and market price Qualitative impacts are also tackled, e.g. advices development, suppliers' offers evolution and impact on the energy efficiency market.