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Contenu archivé le 2022-12-27

Contract Energy Management for European Utilities

Objectif

The purpose of the study is to investigate how a European utility could implement Contract Energy Management and to develop a framework for a business plan for this activity.
The expected results are:
(i) an assessment of the critical factors which influence a utility's decision to engage in C.E.M.
(ii) a draft business plan which can be adopted as a model for any utility proposing to engage in contract energy management.
This study relates to the area of Third Party Financing, which has been identified as a priority area for attention under the SAVE Programme.
The purpose of the study is to investigate how a European utility could implement contract energy management and to develop a framework for a business plan for this activity.
In the late 1980's, with electricity demand growing at 5-6^ in Ireland, ESB faced not only the huge cost of investing in new generating plant but also the growing international pressure to minimise the environmental impact of increased generation. In 1991, ESB adopted a Demand Side Mangement (DSM) strategy to reduce annual growth in demand to 3% by promoting more efficient electricity use.
ESB also undertook an exploration of the contribution which Contract Energy Management (CEM) could make to DSm, having had no prior experience of, or involvement in, CEM activities.
As a utility, ESB would enjoy several advantages in introducing CEM:
- ESB's size would allow it to cope with the relatively small risks associated with CEM projects.
- It has developed good long-term relationships with all major customers.
- It knows the electricity demand profile of each company.
- It has a substantial team of marketing staff already working with customers.
- Implementing major CEM projects would reinforce ESB's DSM policy.
There were also potential disadvantages to be addressed:
- CEM requires a flexible organisation which can adapt quickly - it must be able to hire staff and purchase materials and services to suit requirements and enter into financial legal agreements with customers, suppliers, consultants and others without time-consuming supervision from the utility.
- Concentrating on implementing CEM projects would probably result in many simple good housekeeping DSM projects being overlooked.
- Staff needed adequate experience with DSM technologies, particularly those of a mechanical nature, before they could operate in a CEM environment.
- ESB itself was entering a period of major organisational chage.
The study looks at the various issues which utilities have to face when considering the adoption of CEM and sets forth a model for a CEM company and initial strategy which could be adopted. Dissemination of the findings throughout Europe will serve to publicise and promote utility interest in developing Contract Energy Management in support of DSM and IRP programmes, thereby furthering the aims of the SAVE Programme.

Appel à propositions

Data not available

Régime de financement

CSC - Cost-sharing contracts

Coordinateur

ELECTRICITY SUPPLY BOARD, IRELAND
Contribution de l’UE
Aucune donnée
Adresse
LR FITZWILLIAM STR.
2 DUBLIN
Irlande

Voir sur la carte

Coût total
Aucune donnée