EU Commission & EIB Clarify Energy Performance Contracts
EUROSTAT, the Statistical Office of the European Commission, and the European Investment Bank (EIB) are launching a new Practitioner's Guide on the Statistical Treatment of Energy Performance Contracts.
The Guide explains the practical application of the “Eurostat Guidance note on the revised treatment of Energy Performance Contracts in government accounts”, issued last September, and also how to make use of technical assistance resources from the European Investment Advisory Hub (EIAH).
EIB Vice-President with oversight for Energy, Andrew McDowell, said: “Managers of public buildings – such as schools, hospitals and other public agencies – often lack the budget and technical expertise to design and secure finance for energy savings projects that reduce carbon emissions, save taxpayers’ money and make buildings more comfortable for staff and public service users. This new Guide aims to help public authorities to prepare and finance projects, by mobilising private capital and expertise for the benefit of the public sector under Energy Performance Contracts. This is one of many steps the EIB is taking through our joint “Smart Finance for Smart Buildings” initiative with the European Commission to unlock more energy efficiency investments in public and private buildings.”
Commissioner responsible for Eurostat, Marianne Thyssen, added: "I am very pleased to launch a new guide today that clarifies how investments in energy efficient infrastructure should be statistically treated. This will help all stakeholders involved in commissioning, financing and undertaking energy performance contracts. This is a win-win for public authorities and private stakeholders, with a clear understanding of the impact on the national budget. I am confident this new guide will encourage both private and public project promotors to step up investments in energy efficiency projects.”
Commissioner for Energy and Climate Action, Miguel Arias Cañete, added: "Thanks to this guide, it will be easier for schools, hospitals, and other public buildings - which make up more than 10% of the overall EU building stock – to invest for the purpose of improving energy efficiency. Energy efficiency measures are also an important means to combat energy poverty, which this Commission aims at tackling at the roots.”
The Guide explains in detail how Energy Performance Contracts work and gives a clear overview of the potential impact on government finances. This will help the Member States and other stakeholders to better understand the impact that the different features of these contracts have on the classification of the investment undertaken, on or off government balance sheet, and will assist public authorities in making better-informed decisions when preparing and procuring their EPCs. This Guide is also a helpful tool to provide clarity to public and private promoters in the context of the Investment Plan and remove perceived barriers to investment.
The guide is available here.
Source and picture of Andrew McDowell, Vice-President of the EIB from eib.org.
Wednesday 9th May 2018