Strategic Energy Technology (SET) Plan I_Part I...Strategic Energy Technology (SET) Plan ANNEX I:...

Strategic Energy Technology (SET) Plan

ANNEX I: Research and innovation actions

Part I - Energy Efficiency

JRC93058

Acknowledgements to Drafters and Contributors

in alphabetical order

Confederation of European Waste-to-Energy Plants (CEWEP)

Energy Efficiency in Industrial Processes (EEIP)

Energy Materials Industrial Research Initiative (EMIRI)

Euroheat & Power / DHC+ Technology Platform

European Association for Storage of Energy (EASE)

European Council for an Energy Efficient Economy (ECEEE)

European Energy Research Alliance (EERA)

European Federation of Intelligent Energy Efficiency Services (EFIEES)

European Geothermal Energy Council (EGEC)

European Industrial Bioenergy Initiative (EIBI)

European Industrial Initiative on the Electricity Grids (EEGI)

European Industry Association of Lighting Manufacturers(Lighting Europe)

European Investment Bank (EIB)

European Platform of Universities Engaged in Energy Research (EPUE)

European Renewable Energy Research Centres Agency (EUREC)

Joint Undertaking Fuel Cells and Hydrogens (JU FCH)

Knowledge & Innovation Community InnoEnergy (KIC InnoEnergy)

Società Elettrica Altoatesina (SEL AG)

Solar Europe Industry Initiative (SEII)

Sustainable Process Industry through Resource and Energy Efficiency (SPIRE)

The Association of the European Heating Industry (EHI)

The Energy-efficient Buildings Public–Private Partnership (PPP Energy efficient buildings)

The European Alliance of Companies for Energy Efficiency in Buildings (EuroACE)

The European Alliance to Save Energy (EU-ASE)

the European Association of Pump Manufacturers (Europump)

The European Engineering Industries Association (Orgalime)

The European Factories of the Future Research Association (EFFRA)

The European Innovation Partnership on Smart Cities and Communities (EIP-SCC)

The European Power Plant Suppliers Association (EPPSA)

The Union of the Electricity Industry (Eurelectric)

The European Building Automation and Controls Association (Eubac)

The European Technology Platform on Renewable Heating & Cooling (RHC-Platform)

Number

Investments

(M Euro)

(when available)

Headings 6 3 860.5

Challenges 18

Proposed R&I Actions/Programmes

ARP 27 501

IRDP 54 2 436

IMUP 50 924

TABLE OF CONTENTS

HEADING 1: Increasing Energy Efficiency in Buildings ............................................................................. 1

Challenge 1: Increase energy performance of existing buildings ......................................................... 1

Challenge 2: Building design, construction methods and best practices .......................................... 8

Challenge 3: Increase energy performance of new buildings .............................................................. 15

Challenge 4: Skills and training ............................................................................................................................. 20

HEADING 2: Increasing Energy Efficiency in Heating and Cooling (for Industrial and

Consumer Uses), in Combination with Renewables Energy Use ...................................23

Challenge 1: Identifying, optimizing and matching efficient and low carbon sources of heating and cooling supply with demand at local, regional and national levels ...................................................................................................................................................................... 23

Challenge 2: Increase efficiency at the production, distribution and consumption levels ... 33

Challenge 3: Integration of renewables and energy efficiency solutions ..................................... 42

HEADING 3: Increasing Energy Efficiency in Industry and SMEs ........................................................51

Challenge 1: Need to address industry’s resource and energy efficiency in a systematic way ............................................................................................................................................................. 51

Challenge 2: ICT related issues .............................................................................................................................. 54

Challenge 3: Value chain optimisation and factory design ................................................................... 57

Challenge 4: Market uptake of innovative energy efficient practices and solutions in Industry and SMEs ............................................................................................................................. 61

HEADING 4: Increasing Energy Efficiency of Energy-related Products and Systems .................65

Challenge 1: Develop innovative and highly efficient energy-related products and systems ...................................................................................................................................................................... 65

Challenge 2: Stimulating the market for highly energy efficient products and systems ..... 67

Challenge 3: Reforming business ......................................................................................................................... 72

HEADING 5: Innovative Financing for Energy Efficiency .......................................................................73

Challenge 1: Improving the financeability and risk profile of energy efficiency investments ...................................................................................................................................................................... 73

HEADING 6: Citizen Engagement, Capacity Building, Governance and Communication for

Energy Efficiency ...........................................................................................................................79

Challenge 1: Improve consumer engagement & changing behaviour ............................................ 79

Challenge 2: Expand capacity building, networking and practice sharing ..................................... 87

Challenge 3: Providing recommendations for energy policy development and implementation ................................................................................................................................... 89

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HEADING 1: Increasing Energy Efficiency in Buildings

Challenge 1: Increase energy performance of existing buildings

KEY ISSUES

Increase rate of buildings energy renovation to at least 2-3% (higher figures for the public sector) per year until 2020 and improve the depth of renovation with a minimum energy reduction of 50-60% compared to the pre-renovation levels.

To ensure the up-mentioned objectives are on track, there is a need to coherently monitor the energy performance of the EU building stock and its renovation rate including quality, real estate value, etc. There is also a need for socio-economic research on the barriers and drivers related to the market for energy efficiency renovation including barriers linked to the building ownership structure and behaviours of occupants in buildings.

The quality of renovation in terms of design, products used, compliance and workmanship and its effectiveness needs to improve as well as decreasing the time required for renovation to minimise disturbance for occupiers and associated costs; the cost benchmark to be defined as optimal from a societal perspective including the wider benefits from energy efficiency such as externalities, reduced generation and system costs, health etc.

All such effective solutions for energy renovation need to be widely demonstrated and replicated.

Quality of materials and components throughout their service life and flexible designs that facilitate adaptation to changing user needs and thus a more efficient use of the building stock. Issues about compliance checking, maintenance, energy management and services of equipment shall also be addressed.

Aim for deeper renovations to Nearly Zero Energy Buildings (NZEB) performance where technically feasible and economically viable. This will require the development of the next generation of technologies to deliver refurbishment solutions for better performance both in terms of quality and price. These should focus on the integration of packages of measures that deliver holistic solutions addressing the building fabric, fenestration, air infiltration and air quality, energy systems (heating, cooling, compact storage, ventilation) and lighting, automated/smart controls and integration of renewable technologies, both passive and active and based on interoperability among systems. They should enable building to building and building to grid interaction through smart metering and high quality sensors.

Increase high quality deep renovations by increasing capacity building, knowledge sharing, implementation support, strategic development and effective implementation of legislation, labelling, regulation, standards, renovation roadmaps (national, regional, local) accompanied by favourable market frameworks.

Increase the energy efficiency of historical and architectural buildings in Europe and develop solutions for energy efficient retrofits which maintain their esthetical value.

ADVANCED RESEARCH PROGRAMME

Action 1: New materials with focus on the integration of multi-functionality, energy

efficiency and life cycle sustainability addressing existing building renovation

Scope: Improve understanding of materials and component behaviour in the whole life cycle and, as a consequence, to focus production corresponding best available products. Sustainable materials are especially needed for properly addressing the characteristics and specifications of the energy renovation of the building sector.

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Deliverables:

New advanced materials and solutions (including on-site renewables) oriented to energy efficient building renovation including applications for advanced insulation, flexible and adaptable envelopes, indoor quality, multi-functionality and for facilitating the energy generation, storage and use in buildings enabling deep and staged deep renovation levels.

Expected impact: -

KPIs:

Up to 10 new products based on advanced and multifunctional materials able to increase significantly the energy performance of existing buildings and competitive ROI.

Costs: EUR 70 million.

Timeline: 2014-2020.

Modality of Implementation: For these actions the industrial companies specialized in material,

component and system development are a crucial partner working together intensively with research centres and testing laboratories.

INDUSTRIAL RESEARCH AND DEMONSTRATION PROGRAMME

Action 1: Develop and demonstrate the viability and cost-effectiveness of mass

manufactured, modular, “plug and play” components and systems for use in deep

energy renovation of EU buildings

Scope: Building components and systems should increasingly be prefabricated in factories to gain on construction time, improve quality, reduce costs, improve health and safety at work and to reduce the embodied energy of the energy renovation process. The prefabrication process should be fully integrated with advanced 3-D surveying techniques, Building Information Modelling (BIM) and automated manufacturing processes. Solutions should include flexible designs that facilitate adaptation to changing user needs and household-sizes and thus enable a more energy efficient use of the building stock. The research and demonstration activities should also cover European cultural heritage buildings and buildings located in historic urban areas by developing low intrusive techniques that preserve the characteristics of the EU cultural heritage while increasing the overall energy performance of the building.

Deliverables: -

A significant increase, by 2017, in the range and availability of pre-fabrication methods and techniques for use in the deep energy renovation of existing buildings.

Expected impact: -

KPIs:

Up to 7 plug & play systems and up to 5 new smart energy building management systems for an integrated energy efficient building renovation.

Reduction by 30% in real terms of the cost of using pre-fabrication in the deep energy renovation of buildings by 2020.

Reduction of 30% of the embedded energy in the pre-fabricated components by 2020.

A ten-fold increase in the use of pre-fabricated components in deep energy renovation projects by 2020.



Modality of Implementation: For this action a co-operation between building component manufacturers, system developers, engineering companies and project developers is the core. Financial companies and research centres as well as testing laboratories should be in support.

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Action 2: Develop and demonstrate innovative, quick and effective insulation solutions for

deep energy renovation projects

Scope: These solutions should address cold-bridging in the building envelope and be developed in conjunction with minimally intrusive methods of significantly increasing the air-tightness of the existing buildings, while ensuring that low-energy, whole building, ventilation systems with heat recovery are also incorporated in the works.

Deliverables:

The emergence, by 2020, of new insulation solutions for deep energy renovations.

Expected impact: -

KPIs:

Development and demonstration of up to 7 quick and effective insulation solutions for deep energy renovation projects.

Reducing “first cost” and increasing annual savings of advanced envelopes including insulation that result in a greater overall improved return on investment.



Modality of Implementation: For this action a co-operation between building component

manufacturers, system developers, engineering companies and project developers is the core. Financial companies and research centres as well as testing laboratories should be in support.

Action 3: Develop energy systems and control, automation and monitoring tools that evolve

and adapt to the changing operational environment, including the availability and

cost of energy

Scope: This action should incorporate the development of energy systems for an efficient heating, cooling while ensuring a high quality indoor environment adapted for the energy renovation of existing buildings maximising the use of local energy resources. Furthermore, the development of remote, secure energy and security monitoring and decision support methodologies that allow for on-going full optimisation of the building systems in the renovated building are required. Full interoperability between systems and products so that seamless integration of all needed components in building energy management systems become business as usual shall also be addressed.

Deliverables:

The development, by 2020, of cost-effective, robust, active building technology systems that facilitate a highly integrated operation of a renovated building.

Expected impact: -

KPIs:

Up to 5 new smart energy building management systems for an integrated energy efficient building renovation.

Reduction beyond 50% of final energy consumption (focussed on the energy use for heating & cooling and hot water) by implementing active building technology systems in energy retrofitted buildings (residential and non-residential).




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Action 4: Develop and demonstrate breakthrough solutions for energy retrofitting to

improve roof and façade functional characteristics

Scope: The solutions developed should enable the building envelope to adapt to a dynamic, mutable and complex environment throughout its lifetime, be adaptable to climatic conditions, different envelope configurations and building use, should lead to an optimisation of the use of daylight and ventilation in the building and overall lead to a better indoor climate quality. The seamless integration of ICT components for optimising the real time performance of the building envelope and the incorporation of automated, flexible and durable shading devices is also a valuable issue.

Deliverables:

The emergence, by 2020, of new envelope solutions for deep energy renovations that maintain architectural flexibility and response dynamically to environmental constraints (seismic, acoustic, air quality, etc.).

Expected impact: -

KPIs:

Reduction beyond 50% of final energy consumption (focussed on the energy use for heating & cooling and hot water) by implementing active building technology systems in energy retrofitted buildings (residential and non-residential).

Reducing “first cost” and increasing annual savings of advanced envelopes that result in a greater overall improved return on investment.



Modality of Implementation: For this action a cooperation between building component manufacturers, system developers, engineering companies and project developers is the core. Financial companies and research centres as well as testing laboratories should be in support.

Action 5: Development of new cost effective thermal energy storage materials and full

systems with energy demand side resources for use in individual buildings

Scope: The development of high density, highly efficient thermal energy storage for use in buildings is

an essential component in the successful roll-out of nearly zero energy buildings in the EU.

With the growing contribution of intermittent renewable energy sources, managing peak loads and using energy storage to optimise energy supply and help lower costs to all end users will grow in importance. The EU needs to exploit the emerging evidence that smarter controls with thermal storage/air conditioning/smarter appliances can be low-cost, quickly responsive in terms of availability and distribution. As these options can apply to all buildings and not just to that undergoing deep energy renovation, demonstrations in the EU of the smart controls and policy innovations are required to exploit them.

Deliverables:

Using many of today’s existing buildings as energy storage/demand side resources for integration with energy systems.

Expected impact: -

KPIs:

Development of cost effective, high density and high efficient thermal energy storage for use in buildings.

Demonstration of smart controls and policy innovations to optimise energy demand and energy supply in individual buildings.



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Action 6: Demonstration of integrated approaches for deep energy renovation in EU

buildings (Public and private, residential and non-residential, cultural heritage)

Scope: The objective of this action is the technical and economic validation of building energy

renovation strategies that go further beyond the existing regulation and target nearly zero energy building.

Across the EU continuous efforts are needed to support demonstration projects of successful integration of innovative technologies in energy renovation projects covering different building types, public and private, such as residential, commercial, and tertiary and others. Cultural Heritage buildings should be considered as they require the development of specific technologies to solve the specific and regulatory constraints of such projects. The demonstration projects should be located in different regions, climatic zones, and use different technology approaches. The technology performance assessment and validation process should be accompanied by economic and financial analyses. The social dimension of the projects should take into account along with the demonstration and evaluation of significant energy improvements the indoor comfort and air quality.

Holistic solutions addressing the building fabric, fenestration, air infiltration and air quality, energy systems (heating, cooling, compact storage, ventilation and lighting), automated/smart controls and integration of renewable technologies, both passive and active and based on interoperability among systems are needed.

Engagement of the whole value chain and involvement of stakeholders is required.

Common monitoring and evaluation, information and best practice exchanges should be promoted.

Deliverables:

Availability of demonstration buildings of deep energy renovation to be disseminated, covering different typologies of buildings, climatic zones and technology solutions.

A catalogue of solutions, ranked according to their contribution to energy savings and their cost-effectiveness.

Expected impact: -

KPIs:

50 buildings renovated in to high energy efficient, improved comfort and higher indoor quality through advanced and innovative technologies in demonstration projects.




INNOVATION AND MARKET-UPTAKE PROGRAMME

Action 1: Establish one-stop shops at local level to facilitate ambitious energy efficient

renovation of buildings that can mobilise investments

Scope: These entities should be able to independently and reliably inform and guide consumers that decide to start a building energy renovation. A one-stop shop should be able to provide independent advising about existing financial incentives for building retrofits, the rate of return of different options, technical information, product information and should be able to connect the home-owner with accredited professionals and contractors that will be able to carry out the works to a high level of quality (incorporating analysis for renovation or re-building). Air mapping of the buildings to stimulate

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and motivate house owners can be further extended. This information needs to be added with buildings specific information to come to specific measures to motivate inhabitants aligned with the urban plans (e.g. sustainable energy action plans from the covenant of mayors) and the retrofitting ambitions in this context. A Public – Private business model should be created by involving local public and private actors. For example, existing local energy agencies could play a relevant role. This action should launch a limited amount of pilots for evaluating the economic feasibility and impact of the action for a future EU wide spread.

Deliverables:

The availability of a set of pilots of one-stop shops on deep energy efficient renovation at local/ regional level.

Expected impact: -

KPIs:

A threefold increase in the market demand for renovation by 2020 that consider energy efficiency requirements that go beyond existing regulations.

All building renovations achieve deep energy renovation level by 2020.


Timeline: 2014-2020; policy revision milestone in 2016.

Modality of Implementation: In this action ESCO’s, building end-users, financial institutes,

municipalities/cities and project developers are key stakeholders, a specific role for “follow up of progress” function should be established.

Action 2: Develop data on the real performance of renovated buildings to benchmark with

promised improvements

Scope: Energy management systems using common indicators could be used to automatically monitor performance in use, sending data to collection and aggregation centres that contribute to the collective pool of knowledge.

Deliverables:

Comprehensive, harmonised, accessible datasets on the energy performance of the EU building stock that permits the preparation of renovation strategies at each level of governance and facilitates the EU-assessment of improvements in energy performance over time.

Accessible data collection systems to benchmark energy efficient retrofitting projects at EU level.

Expected impact: -

KPIs:

The adoption, by 2018, of harmonised methods of calculation of the real performance of buildings, of metrics for data collection and of availability of data to all stakeholders such as the gap between building performance by design and built performance at commissioning is narrowed down to a value consistent with achieving a long term reduction of energy demand in the building sector that is consistent with EU goals (i.e. an 80% reduction by 2050 as compared to 2005).



Modality of Implementation: In this action ESCO’s, building end-users, financial institutes, municipalities/cities and project developers are key stakeholders, a specific role for “follow up of progress” function should be established.

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Action 3: Research and define actions to overcome the socio-economic barriers and drivers

that restrict the up-take of deep energy renovation in existing buildings

Scope: Rent regulations such as the fair split of incentives between landlord and tenant should be the core of this work and should be supplemented by the development of new methods of valuation that fully account for the increased value that high quality, deep energy renovation of buildings brings to all the parties. This should include, at the very least, the value of increased comfort, safety and indoor climate, information availability, training schemes as well as the behaviours of occupants. In particular, the need for capacity building among all stakeholders including executives and knowledge sharing should be addressed.

Deliverables:

A comprehensive understanding of the socio-economic drivers and barriers of deep energy renovation of the EU building stock, including capacity building, leading to innovative, socially acceptable approaches to a significant increase in renovation rates and depths for all types of buildings across the EU.

The availability of a set of actions to overcome socio-economic barriers including defining better the wider socio-economic benefits of energy efficiency on an EU basis and its applicability to individual Member States.

Expected impact: -

KPIs:

A threefold increase in the market demand for renovation by 2020 that consider energy efficiency requirements that go beyond existing regulations.



Modality of Implementation: In this action ESCO’s, building end-users, financial institutes,

municipalities/cities and project developers are key stakeholders, a specific role for “follow up of progress” function should be established.

Action 4: Benchmarking, market uptake of best practices and research the real renovation

rate and real deepness of energy renovation that are actually carried out in the EU

Scope: The aim being to establish a reliable baseline on which strategies, at all levels of governance, (including the setting of targets) for future improvements in the energy demand of buildings can be established.

The coherence of local (urban) plans such as the ones submitted under the Covenant of Mayors initiative and national/ regional renovation roadmaps stemming from EED / EPBD should be analysed and benchmarked, supporting their proper implementation and enforcement.

Additionally, front-runner energy renovation towards NZEBs should be identified, analysed and widely disseminated to the market.

Deliverables:

Deep knowledge and monitoring of the real renovation rate and real depth of energy savings in the market.

Expected impact: -

KPIs:

All building renovations in 2020 achieve their deep including staged deep renovation level. This could vary starting from 50%-60% as a minimum.

Validation of the increase in the rate of renovation by 2020 that consider energy efficiency requirements that goes beyond existing regulations.

All Member States have, by 2020, introduced policies or legislation that require deep energy renovation of buildings at relevant points in the life of the building.

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Modality of Implementation: In this action ESCO’s, building end-users, financial institutes, municipalities/cities and project developers are key stakeholders, a specific role for “follow up of progress” function should be established.

Expected impacts of this innovation and market up-take programme:

Achieving through the identified actions above, a better understanding of the potential of addressing energy wastage in existing buildings in the EU.

Rolling out the identified energy potential will have the potential of creating up to millions of local, additional, non-exportable jobs in 2020.

In addition a clear economic stimulus and positive benefits to public finances, which have been captured in the report by Copenhagen Economics entitled “Multiple benefits of investing in energy efficient renovation of buildings (impact on public finances) 2012 will accrue.

Successful completion of the programmes of research set out above will also secure the competitive position of EU Industry in energy efficient technologies with potential for future expansions beyond Europe.

Challenge 2: Building design, construction methods and best practices

KEY ISSUES

Develop the right tools and methodologies for effective building design, life cycle (costs) assessment as well as quality control including optimisation of the operation and the maintenance of the building.

Accelerate the trend for more pre-fabricated elements to improve quality and speed of construction and reduce costs of new and energy renovated buildings.

Promote industrialisation of the building process to make the adoption of intelligent and adaptable envelopes for EE in buildings more cost-effective.

Promote best practice examples of the use of, information and communication technologies to engage with building occupants and make them more aware of their impact on the building’s energy use and efficiency.

Reduce of the gap between predicted and actual energy performance of buildings via integrated energy design processes and energy simulation tools. This could involve accelerating the deployment of new ICT applications such as the Building Information Modelling (BIM) to enable better cross disciplinary and collaborative design and the whole life building cycle management and control.

Performance monitoring tools to ensure energy efficiency throughout the service life, by monitoring the performance and long-lasting quality of durable components. Development of guarantee performance contract.

Develop technologies and solutions at building scale (e.g. compact storage, heating and cooling systems, etc.) that enable building to building and building to grid/networks interaction to help manage energy demand - also links with Challenge 3 and flexible designs that facilitate adaptation to changing user needs and household-sizes, and thus enable a more efficient use of the building stock.

Develop more effective inspection regimes across the EU to ensure compliance with Building Regulations.

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Disseminate best practice examples of innovative building designs and construction methods both on refurbishments and new constructions (NZEB).


Action 1: New design concepts assisted by tools for new construction and energy retrofit of

buildings

Scope: New design concepts need to be generated to address the transformation of the building sector and its value and supply chains. The new approaches concepts should consider Life Cycle Assessment and Cost. Promotion of prefabrication and advanced ICT systems should be taken into account considering societal needs and customer acceptance. Management tools are needed to support the integrated design and the collaborative work between actors, including sharing of technical information of the building over its whole lifecycle. Such management tools include techniques and tools related to bio-climatic design tools, Life Cycle Assessment (LCA) and Building Information Modelling (BIM). Deliverables:

New building design concepts and options assisted by design tools that make use of enhanced BIM models based on standardised energy efficient attributes and modelling of building energy profiles; including ontologies and technology interfaces.

Expected impact: -

KPIs:

A set of new design concepts for NZEB construction and renovation addressing different building typologies and climatic zones assisted by advanced IT tools.



Modality of Implementation: Urban planners, material specialists, project developers, energy system designers/architects/engineering companies, architects, IT companies, grid interface industry.

Action 2: New Energy Management Systems for energy efficient buildings

Scope: Integrating in a single system different energy efficient production/consumption sub-systems,

such as renewable energy sources, solid state lighting, heat transfer, daylight control systems, energy storage/demand side resources, energy harvesting facades or electric vehicles deployed in spaces of public use. Deliverables:

Techniques to measure the contribution of each critical component to thermal insulation, air tightness and building services equipment in energy efficient construction. Development of standardised self-testing sensors/meters and performance verification procedures.

ICT systems based on advanced control algorithms capable of learning from previous operations and situations, and load balancing in near-real time.

Expected impact: -

KPIs:

New integrated energy management systems ready for piloting. Intelligent energy management systems by 2020 to reduce the costs of energy supply by better

managing energy demand and supply.




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Action 3: New technologies and approaches needed to enable effective Building-to-Building

and Building-to-Grid interactions

Innovative solutions are needed for higher energy efficiency and improved connection between storage systems, smart grids, buildings and vehicles/mobility systems, as well as methodologies for interconnectivity between smart grids and other networks. Deliverables:

Methods of predicting well in advance the likely renewable energy production and use. Maximum renewable energy usage from decentralised production, by combination of storage and energy-conversion techniques at a district demand-supply scale.

Expected impact: -

KPIs:

New technologies for building to building – building to grid interaction ready for piloting.

Reduction of differences between peak power demand and minimum night time demand by 50%, thanks to increased decentralisation of production & storage, particularly in the residential sector.





Action 1: Demonstration and validation of improved collaborative building management

tools integrating the whole lifecycle information from sourcing to building

construction, refurbishing and end-of-life

Scope: Management tools include techniques and tools related to Life Cycle Assessment (LCA) and

Building Information Modelling (BIM). Life Cycle Assessment and Life Cycle Costing (LCC) methods and tools must allow transparent and reliable evaluations of building design and end-of-life options. Deliverables:

Enhanced BIM models based on standardised energy efficient attributes and modelling of building energy profiles. Ontologies, equipment and technology interfaces typical of building and district projects. Cost effective BIM tools, BIM control and certification methodologies, and approaches to enforce the long term legal and contractual validity of building information models.

Expected impact:

Accelerate the computer aided building methodologies, the BIM technologies for enabling better cross disciplinary and collaborative design over the whole life cycle of the building including management and control.

KPIs:

The gap between building performance by design and built performance at commissioning is narrowed down to a value consistent with energy performance contracts.



Modality of Implementation: Building designers, energy system integrators, building software developers, building construction and component developers, research institutes, building constructors.

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Action 2: Demonstration and validation of interoperable, safe and cost-effective solutions

and quality driven management approaches to help workers meeting more

stringent quality criteria

Scope: Worker-centric solutions make use of smart interfaces implemented in robust smart-phones or tablets, involving cloud computing and ubiquitous wireless web access. For instance, a broader adoption of robust RFID (Radio Frequency Identification) technologies could significantly improve quality control mechanisms. Deliverables:

A set of safe and cost-effective solutions and quality driven management approaches to help workers meeting more stringent quality criteria.

Expected impact:

Increase the quality of constructions and reduce the gap between predicted and actual energy performance of buildings.

KPIs:

Reduction by 80 % of the number of failing commissioning for new and renovated buildings.




Action 3: Demonstration and validation of advanced and automated processes that favour

the use of prefabricated modular solutions

Scope: Building components could be prefabricated in factories to save construction time, to improve construction quality and health and safety at work while reducing the ecological footprint of the products and to reduce the embodied energy of the overall building. Prefabricated parts can be monitored in combination with a Building Information Model. Deliverables:

Cost effective innovative automated/robotised construction tools for refurbishing applications and new constructions, and mobile factories. Tracking systems for material and product implementation.

Expected impact: -

KPIs:

Reduction of the average deep refurbishment works duration by at least 20 %.


Timeline: 2014-2020


Action 4: Demonstration and validation of user-centric, easy to use, multi-scale Building

Energy management Systems (BEMS) which allow improving the level of users’

awareness and optimising energy generation, storage, distribution and use at

building and district levels

Scope: Novel and interoperable dynamic BEMS ensure that building systems are coupled for maximum energy efficiency (energy optimal coordination algorithms) while limiting peak demand on the grid, which either reduces the energy costs or maximizes revenues in positive energy buildings. Individual homes and buildings optimisation should be considered at the district level in order to address the building-grid interactions and reduce the urban heat island effects.

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Deliverables:

Multi-parameter low cost sensors for BEMS integration. Standardised functionalities for sensors and actuators to allow ‘plug & play’ of new devices and self-reconfiguration of sensor networks. Robust, resilient and reconfigurable sensor networks. Building embedded sensors. Interoperable and adaptable BEMS. Interoperable smart meters. Standard transmission protocols to ensure reliability, security and privacy of data streams. User-centric interfaces measuring the use value. Smart consumption display to motivate users to reduce their energy needs.

Development and demonstration of multi-scale real time optimization tools. Holistic control strategies based on building simulation tools. Modelling district energy consumption and building interaction. Demonstration of systems and protocols to optimize energy storage and production at district level.

Expected impact:

Promote best practice examples of the use of entertainment and ICT to engage with building occupants to become more energy efficient.

Develop technologies and solutions at building scale (e.g. compact storage, heating and cooling systems, etc.) that enable building to building and building to grid/networks interaction to help manage energy demand.

KPIs:

Real time optimisation of energy demand and supply using intelligent energy management systems.





Action 1: European cross-disciplinary “design for affordable sustainability” framework

supporting new and refurbished construction projects

Scope: A holistic, all-inclusive, approach must be developed to optimise the GHG emissions, energy

reduction and building costs, within a quality system, such as ISO 9000, supporting a mind-set of continuous process improvement. A European collaborative framework should therefore aim to promote collaborative work and to establish principles for design, engineering (envelope, HVAC-systems, fittings, structure) and construction processes.

Deliverables:

For both existing and new buildings, shared engineering and economic databases to support the minimisation of building energy consumption, GHG emissions and their cost of ownership. Innovative design tools for refurbishment with improved design accuracy validated on large scale district refurbishment demonstration and involving all stakeholders. Libraries of reference design solutions with semantic research tools.

Expected impact:

Ensure energy efficiency throughout the buildings' lifecycle.

KPIs:

EU wide collaborative framework available for supporting the design processes and benchmarking of new and energy renovated buildings.



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Action 2: Energy performance standards, certification and labelling schemes

Scope: The provision of objective information on the performance (and guarantee of performance) of available technologies can boost customers’ acceptance and accelerate deployment. Reliable, tailor-made, "easy to understand" information for end-users is therefore important. Standardised national and international testing and evaluation procedures for specific technologies would also increase understanding among developers, architects and installers and accelerate the maturity of the industry more broadly.

Deliverables:

Development of novel methodologies to set up more stringent and ambitious standards with a continuous improvement approach for different regions/climate conditions across Europe and beyond. Benchmarking and calculation tools to deliver information to decision-makers on energy performance of different technologies. Harmonise test procedures and efficiency labelling schemes to facilitate trade and transparency about the performances of energy using products.

Expected impact:

Introduce innovation friendly standards and regulations

KPIs:

An EU wide common and easy to use standard, certification and labelling scheme available by 2017.


Timeline: 2014 - 2017

Modality of Implementation: Building designers, energy system integrators, building software

developers, building construction and component developers, research institutes, building constructors.

Action 3: A European framework on energy performance metering and analysis, going

beyond the IPMVP (International Performance Measurement and Verification

Protocol) standard favouring guaranteed performance contracts

Scope: Common methods across the EU of determining energy savings, metering technologies and data analysis methods need to be developed to measure and investigate building performance at commissioning and beyond.

Deliverables:

Development of a common EU framework on energy performance metering and analysis.

Expected impact: -

KPIs:

An EU level measuring and verification standard available by 2017.




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Action 4: Market uptake of advanced ICT and new self-inspection techniques to support the

commitment of each worker to meet intermediate performance targets for the

built environment

Scope: ICT systems and technologies will be crucial for the whole design, construction, operation and maintenance processes in energy efficient buildings. Specific actions need to be promoted for the market uptake of affordable next-generation sensors, control systems and communication technologies in order to be widely used in the sector. There is a need to better cover operation and management of buildings (re-commissioning, continuous commissioning). Each player of the construction value chain must ensure that its share of work fits into a quality framework defined collectively at the design level. Self-inspection and quality checks are implemented to guarantee the final thermal, acoustic and energy performance of the building which would be quantified during commissioning. Deliverables:

Monitoring of envelope and energy equipment performances in new or existing buildings through affordable advanced ICT and processes. Efficient and practical means of measuring and monitoring indoor environmental quality. Performance indicators at European level allowing comparisons among regulations, user/client requirements, design models and real-life data, including end user behaviour and end-user perception. Performance indicators at European level allowing comparisons among regulations, design models and real life data for district energy efficiency performance. Post Occupancy Evaluation to standardise final user surveys and collected data elaboration/presentation.

Expected impact: -

KPIs:

Advanced quality standards and technologies for construction processes and worker involvement available and disseminated to the market.




Action 5: Towards LC-ZEB Best Practices

Buildings and urban districts provide key metabolisms that have to be addressed within local and regional SD processes. There is also a formal ongoing effort on public policy integration, at an EU level. The impacts of buildings along their lifecycle and the efficiency of resources should be addressed more systematically, building upon the energy efficiency in buildings in the frame of EPBD-recast. One solution is to develop and promote references and practices in the frame of LC-ZEB: “…a building where primary energy used in operation plus the energy embodied within its constituent materials and systems (including energy generating ones, over the life of the building), is equal to or less than the energy produced by its renewable energy systems within the building over their life time” (in: Hernandez & Kenny, 2010. Energy & Buildings 42:815-821).

Scope: Sustainable construction and district planning and therein: a) Build a common approach on the LC assessment of buildings and urban districts in order to integrate the main dimensions of Sustainability; b) Build new knowledge on construction and planning, and a database of good practices; c) Propose a building code for LC-ZEBs that integrates energy related aspects part of the EPBD implementation; d) Integrate that approach in training and awareness initiatives such as Build up skills (www.buildupskills.eu).

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Deliverables:

Integrated assessment model.

Critical mass and database.

References for design and practice for the LC-ZEB implementation.

LC skills and training.

Expected impacts:

E.g. improve the systemic awareness on the environmental impacts in the whole system having a life cycle perspective.

Facilitate the best options for the EE building envelope and the more effective integration of the renewable energy technology.

Promote job creation.

KPIs: -

Costs: -


Modality of implementation: Member State level.

Challenge 3: Increase energy performance of new buildings

KEY ISSUES

By 2020, significantly reducing the cost of NZEB and broaden their applicability and market penetration while including non-price attributes which building owners' value. This should include the deliverance of holistic and cost effective solutions.

Support an effective market transition towards NZEB across the value chain of the supply side.

Support Research and Demonstration of “positive energy” buildings. Also support R&D in energy (demand side and storage) management solutions for both residential and non-residential buildings.

Deliver holistic solutions addressing the building envelope fabric, fenestration, air infiltration and air quality, energy systems (heating, cooling, compact storage, ventilation and lighting), automated/smart controls and integration of renewable technologies, both passive and active and based on interoperability among systems. These should enable building to building and building to grid interaction through smart meters and high quality sensors. These effective and resilient solutions should also ensure low operational and maintenance costs and result in improved indoor environment (e.g. air quality, day lighting, thermal comfort).

Develop geo-cluster solutions for new buildings solutions.

Increase NZEB roll-out by increasing capacity building, knowledge sharing, implementation support and strategic development of legislation, labelling, regulation, standards, planning (national, regional and local) and favourable market framework.


Action 1: New materials with focus on the integration on multi-functionality, energy

efficiency, on-site renewables and life cycle sustainability towards low energy new

buildings

Scope: Improve understanding of materials and component behaviour all along the whole life cycle and focus on the best available products. This could also include the development of building

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elements and coatings that generate electricity or otherwise harvest energy. Sustainable materials are needed that properly address the characteristics and specifications of new buildings construction. Deliverables:

New advanced materials that will significantly contribute to the development of low energy buildings in a cost effective manner including the benefits they can offer for variable renewable energy supply (such as Optical meta-materials and photonic crystals potentially enabling optical engineering to positively influence the solar gain and provide long term durability, Electrochromic, suspended particle and liquid crystal glasses responding to occupants and external conditions to actively control both light and solar gain ultra- tin-glass membranes for advanced glazing)1.

Expected impact: -

KPIs:

New envelope solutions that maintain architectural flexibility and respond to integration constraints (seismic, acoustic, air quality, …) while improving annual energy performance of buildings by at least 50% when compared against buildings of the same type and function (measured in kWh/m² floor area/year).



Modality of Implementation: This is a key activity for applied material research groups, building

material and component developers.

Action 2: Development of new cost effective thermal energy storage (TES) materials and

full systems with intelligent control aiming at a high energy storage density for

use in buildings

Scope: Identify/develop TES materials for sensible, latent and thermochemical technologies with increased energy storage density, among which: development of materials for thermochemical TES, high temperature underground thermal storage, micro and macro-encapsulated phase change materials (PCM’s), PCM’s integrated in building materials. This should include the study of potential environmental impacts of new storage technologies and their contribution in finding local solutions to increase EE in heating and cooling, especially in combination with coping with the variability of renewable energy production. In all cases the hoped improvement should be relative to the wider options available from the existing building stock in order to optimize cost effective solutions and attractiveness to building owners. Deliverables:

Improved materials and systems for TES with phase changes materials and thermochemical materials which offer medium term cost effective solutions compared to the wider potential from the existing building stock.

Advanced simulation tools for improvement of TES and their interactions with the grid and building energy systems.

Expected impacts:

About 50% of primary energy consumption in Europe is used for generating heating & cooling and hot water and is currently supplied extensively by fossil sources. In the future it is expected that heat in Europe will increasingly be supplied through electricity produced from the intermittent wind and solar sources. Successful development of TES technology and control systems for use in buildings could become an important player in smart grid applications and demand side management because of the ability to shift use of heat in time and making energy use more

1 Advanced building materials Business Innovation Observatory Contract No 190/PP/ENT/CIP/12/C/N03C01 Authors: Laurent

Probst, Erica Monfardini, Laurent Frideres, Safaâ Moujahid, and PwC Luxembourg. Coordination: Directorate-General for

Enterprise and Industry, Directorate B “Sustainable Growth and EU 2020”, Unit B3 “Innovation Policy for Growth”. European Union, February 2014

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efficient via utilization of (presently) waste heat from a series of conversion processes. TES is currently sparsely developed and the EU has a substantial chance to taking a leading position both in new design options, new technologies and exploiting potential existing options. This and greater deployment of existing and innovative insulation, efficient heat production and lighting solutions will create jobs for internal supply within the EU as well as some potential export opportunities.

KPIs:

Reduction, in the medium term (2016-2018), of specific investment cost of latent heat storage and improved thermal management below 100 €/kWh and to identify niche applications for thermo-chemical storage.

Reach, in the long term (2020), prospects for a specific investment cost for compact latent heat and thermochemical storage below 50 €/kWh.



Modality of Implementation: This is a key activity for applied material research groups, building material and component developers.


Action 1: Development, demonstration and validation of solutions to improve roof and

façade functional characteristics to enable the building envelope to adapt to a

dynamic, mutable and complex environment during its lifetime

Scope: The envelope functional characteristics enable the building envelope to adapt to a dynamic and complex environment during its lifetime. The development of off-site manufactured components including coatings is critical to increase the cost effectiveness of nearly zero energy buildings, increase the quality of construction projects and speed up the rate of NZEB concept deployment. This should be done with the aim to adapt to a dynamic, mutable and complex environment during its lifetime. Continues efforts are needed to reduce costs of envelope elements which are critical for energy efficiency of new buildings in the whole life cycle (including maintenance and operation).

Deliverables:

Demonstration and validation of new envelope solutions that maintain architectural flexibility responding to integration constraints (seismic, acoustic, air quality…) while improving annual energy performance of buildings.

Expected impact:

50% increase building efficiency for new buildings through new building design options and new envelope solutions compared to current regulation.

KPIs:

Building efficiency improvement by new envelope solutions by at least 50% when compared against building of similar type and function (measured in kWh/m² floor area/year).



Modality of Implementation: -

Action 2: Development, demonstration and validation of energy efficient, interoperable,

self-diagnostic and scalable storage, HVAC, lighting and energy solutions in line

with energy consumption standards

Scope: Energy equipment needs to be designed to an optimal energy efficient level depending on

demand and supply of energy with integrated energy storage systems. Depending on the equipment and application, the optimal efficiency would vary to maximise the operating time at peak load.

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Continues efforts are needed to reduce costs of building systems and technologies which are critical for energy efficiency of new buildings over the whole life cycle (including maintenance and operation).

Deliverables:

Proof of efficiency improvements through correct design modulation of energy systems or their parts (HVAC, lighting) in NZEB.

Expected impact: -

KPIs:

Development and demonstration of a set of optimised, cost effective, interoperable, self-diagnostic and scalable storage, HVAC, lighting and other energy related equipment to increase the energy efficiency of new buildings




Action 3: Bring NZEB together in efficiently managed and affordable energy hubs

Scope: Districts and buildings should be integrated in urban design including energy efficient, interoperable, self-diagnostic and scalable storage, HVAC, lighting and energy solutions in line with energy consumption standards.

NZEB should form the building blocks of a low energy district, in which the energy flows should be integrated in order to achieve an optimal balance between common and individual functionalities. Intelligent district control systems should be interoperable, taking into account the varying flows. They should function to optimize the energy district system as an integrated system. In this context the intelligent management should incorporate: district heating and cooling networks, combination of integrated electrical and thermal storage at building and district level, integration of space and hot water systems, integration of lighting systems and the overall interactions with the district environment.

Deliverables:

Efficient and effective control systems for low energy districts or energy hubs of NZEB.

Expected impact: -

KPIs:

CO2 neutral energy buildings (and districts) financially attractive in Europe when combining 2020 building standards and renewable energy use.





Action 1: Improve the effective and efficient use of advanced energy buildings through

active multilevel end-user interaction with appropriate monitoring and learning

systems including demand side response systems

Scope: The impact of energy efficient new buildings is largely dependent on the effective use by its

inhabitants. For instance, rebound effects, inappropriate use of modern systems, inefficient interaction with price signals can significantly increase energy consumption and costs. The intelligent home system should integrate this information and provide it in a comprehensive, comprehensible and easy to use way to the end-user together with general information on the living comfort and other tele-

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services. Such features could also improve the public perception of new low energy buildings and boosting their market uptake considerably.

Deliverables:

The realisation of an attractive, interactive and intelligent follow-up system of the buildings performances (both energy, environment, indoor air quality) for the users.

Expected impact:

.Increased satisfaction and efficient use of NZEB by inhabitants, thus leading to a larger market uptake.

KPIs:

Have by 2020 a 30% increase of new residential buildings equipped with highly interactive end-user interfaces.



Modality of Implementation: Close co-operation between ESCO’s, ICT companies and target end-user groups needs to be established.

Action 2: Geo-cluster solutions both for new buildings in combination with energy renovated

ones

Scope: The Geo-cluster concept addresses the need for a better understanding of the EU market for energy efficient buildings. At the same time, it would contribute to increase the knowledge of product manufacturers and contractors of EU market and customer needs. This requires support for the development and commercialisation of technologies and solutions for energy efficiency by identifying synergies among European regions due to construction typologies, climatic conditions, economic and financing schemes, investment return, GDP, standards… with the aim of increasing the market impact of innovative technologies. This approach can be used for new in combination with energy renovated ones.

The geo-clustered approach should incorporate:

A monitoring platform of the actual performance and quality of construction of front-runner new /early adopter NZEBs, and communicate this information broadly.

Incorporate societal issues and technology maturity levels.

Develop strategies to support the market and the transition towards NZEB across the supply-side value chain.

Consider capacity building for public authorities (as urban planners and procurers) and local SMEs (technology and solution suppliers) to ensure the uptake of NZEB.

Promote and reward the best examples of new nearly zero-energy buildings and/or plus-energy buildings.

Use Public Procurement of innovative solutions (PPI) to support local authorities to prepare tenders for new NZEBs, renovation of existing buildings to the performance level of NZEBs or to refurbish district heating networks.

Deliverables:

Geo-cluster approach for the development of technologies in the EU market.

Expected impact:

Increased performance of low energy districts by 50% by 2020.

KPIs:

Establish at least 5 well-organized geo-clusters between EU regions based on well-defined similarities and with a monitoring system showing the increase in penetration level of innovative technologies as result of the geo-cluster.

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Modality of Implementation: Broad network of building actors needs to be involved including respective regions. Some (independent) parties need to take up a co-ordinating role.

Challenge 4: Skills and training

KEY ISSUES

In conjunction with the entire supply chain from design to sales of energy efficient buildings, the existing qualification schemes, accreditation structures and training incentives need to move to a more sustainable built environment. Next steps should build upon the BUILD UP Skills initiative which has already identified the skills needs and gaps of the construction workforce to deliver renovations offering high energy performance as well as new, nearly zero-energy buildings using innovative design options and technologies.

Increase and ensure knowledge-based qualified workforce including engineers and architects to implement complex energy efficient buildings including the integration of on-site renewables.

Develop and implement coordinated construction and supervision methods to produce better quality and lower costs of buildings from design to completion. This might include combining ICT and on-site trainings for improving the skills of building workforce.

Increase high quality deep and staged deep renovations level by increasing capacity building, knowledge sharing, implementation support and strategic development as well as effective implementation of legislation, labelling, regulation, standards, renovation roadmaps (national, regional, local ) accompanied by the creation of favourable market frameworks

Increase NZEB roll-out by increasing capacity building, knowledge sharing, implementation support and strategic development of legislation, labelling, regulation, standards, planning (national, regional and local) and favourable market framework.


Action 1: Analysing the knowledge, skills and competences gap

Scope: The purpose of this action is to identify the knowledge, skills and competences needs and gaps to achieve the ambitious targets of energy efficiency in the building sector. A coordinated action involving universities, professional training entities and industry is necessary. This action will be built on the work of the Build Up skills programme. Deliverables:

Techniques to measure the contribution of each critical component to thermal insulation, air-tightness and building services equipment in energy efficient construction. Development of standardised self-testing sensors/meters and performance verification procedures.

Cost effective innovative ICT-based technologies to deliver building data in real time to the workers involved in the construction process. Innovative construction processes to provide workers with safer and healthier environments. Lean Construction Management of refurbishment works, to improve communication among involved stakeholders, reduce costs and improve quality.

Identification of knowledge, skills and competence gap.

Better collaboration between various building crafts.

Expected impact: -

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KPIs:

Increase worker satisfaction in the building sector.

Knowledge, skills and competence gaps identified, improved or removed as appropriate.



Modality of Implementation: Building construction workers, universities/research institutes, ICT companies, professional training centres, commissioners.


Action 1: Setting up of appropriate training schemes to continuously improve worker skills

including architects, engineers and executives in the construction sector

Scope: Plan and enable skill development and recognition and facilitating the dissemination of new knowledge, skills and tools. All parties of the construction process are continuously provided with certified education and training schemes: the qualified worker base is expanded in order to meet the demand for a workforce specialised in energy-efficient buildings. A special attention is paid to SMEs to ensure that, as companies, they meet the appropriate qualification expected by contractors. Training techniques are developed to promote collaborative work within the construction sector; Make people responsible for the quality level of their work (understanding the importance of air tightness, minimization of thermal bridges, etc…); train on the appropriate use of self-inspection techniques; and train on component integration and finishes to help with future building reuse or deconstruction. In conjunction with the entire supply chain from design to sales of energy efficient buildings, the existing qualification schemes, accreditation structures and training incentives should be reviewed in the light of the need to move to a more sustainable built environment. New initiatives oriented to maximising the knowledge dissemination could be deployed like:

Virtual Learning and Information Platform.

Knowledge, Skills and Competences Recognition and Transfer Programmes; with a special focus on local offers to SMEs.

Human Resources and Skills Observatories.

Combining ICT and on-site trainings for improving the skills of building workforce.

Deliverables:

Training and education platforms (using ICT-enabled tools) to provide certified construction training sanctioned by new skills evaluation processes.

Development and implementation of builder certification schemes, targeting construction SMEs.

New knowledge dissemination concepts and approaches.

Expected impact: -

KPIs:

Easier access and better performance of worker certification and qualification schemes.

Increase the dissemination of new knowledge, solutions and tools.



Modality of Implementation: Architects, engineers, building certification companies, SME’s in construction field, training centres.

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Action 1: Ensure that the supply chain obtains and requires the right skills in its workforce

to deliver renovations offering high energy performance as well as new, nearly

zero-energy buildings using innovative technologies

Scope: Fostering public and private sector involvement, access and up-take by the labour market is essential to ensure that building sector supply chain gets the required skills. It is critical to reinforce the education and training system’s link with the business and research environment. Some of the following actions could strongly contribute to increase this cooperation:

Mobility and Cooperation Partnerships among Academia, Research Institutes and Businesses.

European Collaborative Education Mobility Programmes for nearly zero energy buildings.

Mobility and Cooperation Programmes for Research and Technical Staff, Professors and Trainers.

Industrial Doctorate Programmes.

Infrastructure Support to Education and training.

Actions facilitating access for education and training purposes to large national research infrastructures, technology pilot and demonstration facilities, and research institutes' laboratories.

Deliverables:

Deployment of programmes, networks and infrastructures for workforce training and access to the market.

Expected impact (for all programmes):

Establishment and reinforcement of plans and strategies for increasing the competences of the workforce of the construction sector through identification of training and education needs. The new ways of engaging and promoting high quality standards in the construction process will contribute to increase the satisfaction of building workers and will have direct and indirect benefits such as safety. In terms of energy performance, the transformation of the construction process into a higher quality activity requires new skills and competences.

Innovative solutions will be taken up thanks to sharing knowledge about new ideas and technical solutions, what works on the ground and what doesn’t. A lot of good practice and established methods of knowledge sharing already exist; including staff exchanges between industry, research institutes and universities. However their application is too patchy, and too slow. These can be increased and further developed in different policy areas, governance levels, and sectors. This should help ensuring knowledge on innovations is rapidly fed through administrative and sector systems.

KPIs:

20% Growth in the Number of people trained and educated incorporated to the labour market.



Modality of Implementation: Architects, engineers, building certification companies, SME’s in

construction field, training centres.

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HEADING 2: Increasing Energy Efficiency in Heating and Cooling (for

Industrial and Consumer Uses), in Combination with

Renewables Energy Use

Challenge 1: Identifying, optimizing and matching efficient and low carbon

sources of heating and cooling supply with demand at local,

regional and national levels

KEY ISSUES

Analyse, forecast, map and match heating and cooling demand (all types, and all sectors e.g. housing, industry) with low-carbon and efficient supply sources. This challenge should be linked with the EED (2012/27/EU) requirements.

Analyse, develop and implement efficient and flexible solutions for district heating and cooling (i.e. development of low temperature networks and their integration with building, the integration of innovative thermal storage, the use of residual heat etc.

Identify the technical and economical potentials of new, low carbon and efficient supply sources for heating and cooling (e.g. biomass & recovered fuels and heat, heat pumps, geothermal, solar thermal, surplus heat from industries, combined heat and power also based on fuel cells, including the possible clustering and using the surplus electricity from intermittent renewables –wind and solar).

Increase capacity building and knowledge sharing for planning and integrating heating/cooling into the territorial context.

Develop solutions to integrate and optimise the various low-carbon, efficient supply sources into heating and cooling; to integrate intelligent measurement and control (e.g. in the context of distributed generation) and to make demand flexible.


Action 1: Heat demand mapping

Scope: There is a need to combine centralized and decentralized production methods for various technologies & heat mapping, as foreseen also in the Energy Efficiency Directive. Such an issue poses R&I challenge in relation to easy-to-deploy user friendly solutions that would make heat planning a mainstream practice for public authorities, and for economic actors.

Apart from the further fine-tuning of heat maps as such, innovative methods should be developed to integrate results of heat maps with other types of maps e.g. CO2 emission maps, maps of the underground, urban planning and renewable sources (for example an European wide Geothermal Resource Database of shallow and deep Geothermal Resources with a special attention on geographical harmonization of data). Such plans should also factor in the expected developments with regards to the overall energy demand of buildings.

Deliverables:

Maps on EU and national level and heating and cooling demand, going beyond the legal requirements set in Article 14(1) of the Energy Efficiency Directive These maps can in further be broken down to a regional and communal level.

Integration of heat mapping with in the national and regional planning.

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Expected impact:

Comprehensive assessment of EU/national heating and cooling potentials and technologies. This should build on the Comprehensive Assessment already due by end of 2015 according to the EED, so as to have added value until 2020-2030: e.g. emphasize the comprehensive elements going beyond CHP, DH/C.

Stimulation of sensibility and creation of possible “competition” with regard to head demand and heating efficiency.

A consolidated forecast for the next 10, 20 and 30 years, considering in particular the evolution of demand in the buildings sector and for different sectors of industry.

KPIs:

Number of Maps being available with relevant collected data in a database as background. This should build on the national maps to be developed under the EED.

Identify the potential and needed technologies for short-medium term horizon.



Modality of Implementation: EU - with following regional extension (deepening).

Action 2: Systems with heating/Cooling and DHW load forecast, and Control Systems with

fault detection

Scope: Systems able to forecast the heating/cooling demand should be based on the learning of system operation and occupants’ behaviour and on weather data received. New processing algorithms to supervise the complete system (adaptive control, learning process, etc.) while maintaining a high degree of comfort and a low consumption of auxiliary electricity are also to be deployed.

Monitoring and recording of energy production, cost of primary energy consumed, energy efficiency and amounts of GHG emitted and using intelligent analysis of the system behaviour should be included to detect possible malfunctioning before it occurs and to alert the end-user or service company.

Deliverables:

Advanced control systems going beyond current BATs including feedback mechanisms between suppliers and consumers with ability of informing users through web connection and adapting the own function mode with regard to relevant information from the web (e.g. weather forecast for the following day).

Expected impact:

Enhancement of energy efficiency, support to electrical and thermal grid management if applied in large scale.

KPIs:

Enhancement of energy efficiency by up to 10%.

Reduction of number of consumption peaks during peak electricity consumption by at least 10%.



Modality of Implementation: EU project - with strong industry contribution.

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Action 1: Demonstration of next generation of highly integrated, compact hybrid systems

Scope: Efforts should be put into developing compact / prefabricated hybrid systems with the following characteristics:

Optimized design to reduce investment cost.

Improved efficiency through:

- Well-designed systems (having smart hydraulic layouts, energy storage management, being energetically optimised).

- Control systems that optimise the energy consumption and take advantage of the availability of renewable energy (optimised integration of both energy systems giving priority to the utilisation of renewable / more cost efficient source).

- Embedded equipment for energy monitoring in order to have a clear picture of the energy production, cost of primary energy consumed and amounts of GHG emitted.

- Immediate failure detection signalled e.g. by excessive energy consumption and notification to the user and/or service company.

Inexpensive and simplified installation to reduce damage, high degree of prefabrication.

Adapted to the various configuration of heating systems (low/high temperature) and climates.

Inexpensive and simplified installation.

Activities must include the development of suited testing procedures allowing for comparability of performance data and as a reference for the technology development2.

Deliverables:

Development of prefabricated, fully integrated hybrid systems using at least one RES contributing over 50% to the final heating and cooling consumption.

These systems should be suitable for both new and existing building; including performance monitoring and a customer information system.

Expected impact:

Increased energy efficiency and security of supply.

Developing next generation of highly integrated, compact hybrid systems with high performance and low costs.

KPIs:

20% cost savings on system installation in comparison with customised hybrid systems dependent on the installer’s design.

Renewable fraction of the reference hybrid system should be 80% by 2020, 90% by 2030.

Complete capacity of the system to automatically detect failure and react by 2030.

Costs: EUR 25 million (PUBLIC: 33%, PRIVATE: 66%).


Modality of Implementation: European & national actions according to TRL 4-6 (55%) and 7 (45%).

Action 2: Improving efficiency of H&C systems

Scope: Improving efficiency of surface systems for heat uses in DHC (including CHP) and industrial

processes: The use of RES H&C for DHC, surplus (waste) heat or large buildings requires specific technologies to transfer the energy into useful heat inside a network, a building or an industrial plant. For example, the basic technologies to exchange heat between the geothermal source and the heat transfer fluid in the system in the network still offer a wide range of possible improvements, both in energy efficiency and resistance to corrosion, e.g. new materials or innovative geometries. Any further

2 Cfr. also priorities RHC.1 and RHC.2

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development in DHC technologies (including cascading and storage), also has the potential for improving the efficiency and performance of geothermal district heating. Standard heat exchange and heat/cold distribution systems for conventional heat and cold sources are applied; the characteristics of geothermal heat (steady supply, mostly limited temperature, mineralized waters) are addressed by design, but not with innovative solutions and components.

Deliverables:

Optimisation of district heating/cooling systems and their exploitation, with novel geothermal district heating/cooling concepts.

Upgrade of heat/cold recovery via lowering the building/grid supply and return temperatures, implementation of low temperature heating systems in existing buildings/dwellings.

Development and testing of suitable systems and components for optimisation of cascading structures using heat pumps.

Heat recovery from miscellaneous sources (mining waters, sewage water, tunnels, air, abandoned oil and gas exploration/development wells, residual heat etc.).

Investigation of behaviour and energy losses of high temperature heat storage in the reservoir.

Expected impact:

Cost reductions, optimizing the efficiency of the whole chain, risk limitation.

KPIs:

Increase heat exchange efficiency by 25 % and component longevity in the thermal water circuit by 40 %.

Increase the efficiency of the components (hot water driven absorption chillers) and reduce equipment cost.

Improve integration of the absorption heat pump / chiller into the system concepts.



Modality of Implementation: EU with local applications (demo activities).

Action 3: Automation, control and long term reliability assessment

Scope: Within the development of new generation hybrid systems, special attention should be paid to the automation and control of systems. The Scope: of this activity is to develop and demonstrate an integrated control platform, including the following functionalities:

Weather forecast, based on local observation and/or services available by Internet.

Heating/Cooling and DHW load forecast, based on the learning of system operation and occupants’ behaviour.

New processing algorithms to supervise the complete system (adaptive control, learning process, etc.) while maintaining a high degree of comfort and a low consumption of auxiliary electricity.

Intuitive user interfaces which are able to provide information on the system to the user in an understandable language, and which let users adjust the system simply (set point temperature, etc.)

Monitoring and recording of energy production, primary energy consumed, system energy efficiency and amounts of GHG emitted.

With more data on the behaviour of systems operating under particular conditions it should be possible to develop performance guarantees and least cost operation modes.

Fault detection: intelligent analysis of the system behaviour should be included to detect possible malfunctioning before it occurs and to alert the end-user and/or service company.

Development of an easy to install system with a plug&play function concept of the controller.

Integration of system functions into existing home energy management systems via standardized protocols (KNX, z-wave, modbus etc.).

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All of these technical developments on control, monitoring and automation should improve the quality and reliability of the systems. In addition to it, specific design and commissioning will allow a reduction in the total cost of the systems on their life duration (including operation cost and maintenance) and lead to a possible guarantee on the efficiency and energy production.

In this context innovative business cases are to be explored in which the services for comfort and energy management as currently known are not only improved with adaptive control and learning processes, but also with additional business services as energy cost management through demand side response or other market mechanisms. Business case should be more developed from the perspective of an integrated comfort offer. This is closely related to the actions under innovative and market uptake programme.

Deliverables:

Development, demonstration and testing integrated control platforms for the hybrid systems.

Demonstration of innovative business cases for integrated hybrid systems.

Expected impact:

Research and development into these two areas will deliver a 20% cost reduction and a 20% increase in thermal efficiency in the short term, thus leading to approximately a 40% decrease of the overall system cost.

Increasing market penetration for automation and control technologies.

KPIs:

Primary energy Ratio of a reference system: 0.7 in 2016, 0.65 in 2020.

Increase in the system efficiency as a result of the integration of smart controllers; 20% by 2020.

Market penetration (share of systems with integrated automation and control): 40% by 2020.


Timeline: Priority for 2016-2020.

Modality of Implementation: European actions (20% Research on low cost heat meters, sensors and monitoring concepts (TRL 4), 50% Development (TRL 5-6), 30% Demonstration (TRL 7).

Action 4: Development of next generation of cost efficient heat pumps for new and

renovated buildings and for DH/C systems (large scale heat pumps)

Scope: Efforts should be put into developing compact / prefabricated heat pump systems with the

following characteristics:

Design for a given efficiency at minimum cost.

Reduce cost through:

- Standardized systems (having smart hydraulic layouts and standardize connector pipes); - Increased integration level to reduce the number of connectors to the building (inclusion of

pumps, three way valves, pressure vessels), increase the use of standardized, pre-fabricated components.

- Standardized controls including energy monitoring. - Remote monitoring for failure detection and pre-emotive maintenance. - Compact design with a minimum footprint. - Modular design to include hot water storage tank in an inexpensive and simplified installation.

Deliverables:

Development of compact, fully integrated heat pump units. These systems should be suitable for both new and existing building; including performance monitoring and a customer information system.

Expected impact:

20% cost savings on system installation in comparison with today’s heat pumps.

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Focus is on cost reduction, not on further reduction of the units' efficiency - as cost is a major barrier for market uptake. This includes a simplified design and installation by the installer. A seasonal efficiency of 3,0 is suggested as a minimum efficiency requirement.

KPIs:

Primary energy Ratio of a reference system: 1.3 in 2020.

Reach a complete capacity of the system to automatically detect failure and react by 2030.



Modality of Implementation: European actions - according to TRL 4-6 (55%) and 7 (45%).

Action 5: Sorption cooling systems driven by hot water at moderate temperature

Scope: The development of new or improved sorption systems for production of chilled water for

cooling of buildings driven by low temperature heat sources, as for instance solar. The expected outcome also includes the development of optimised solutions for the heat rejection, fully reliable and automated operation, and easy integration with other systems.

Deliverables:

Development and demonstration of optimized solutions using sorption cooling systems, assuming that the system’s capacity is in the range of 20-100 kW and temperature of the hot source is in the range from 60 to 90 ºC, and considering the following conditions:

- The system should achieve at least a sCOP value of 0.7. - Payback period of the investment must be less than 8 years, also in comparison with an

electrical chiller. Expected impact:

Optimised solutions for sorption systems.

Reduction of technological costs.

KPIs:

Reach a Carnot Efficiency of 0.50 by 2020.

Reach and average payback time of less than 8 years by 2020.



Modality of Implementation: European actions - according to TRL 4- 6 (60%) and 7 (30%).

Action 6: Integration, automation and control of large scale hybrid systems for non-

residential buildings

Scope: Efforts should be put into developing large (>100kW) hybrid systems with the following characteristics:

Improved efficiency through:

- Well-designed systems (good hydraulic layout, exergetic optimization, etc.). - Control systems that optimise the energy consumption and take advantage of the availability

of renewable energy (optimise solar gain, decrease per, increase mean system efficiency, etc.). - Embedded equipment for energy monitoring to have a clear picture of the energy production,

cost of primary energy consumed and amounts of GHG emitted; - More rapid failure detection, signalled, for example, by excessive primary energy consumption

and notification to the user and/or to the service company.

Weather forecast, based on local observation and/or services available by internet.

Heating, cooling and DHW load forecast, based on the learning of system operation and occupants’ behaviour.

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New processing algorithms to supervise the complete system (adaptive control, learning process, etc.) while maintaining a high degree of comfort and a low consumption of auxiliary electricity.

Load shift potential to be used only with storages (buffer storages, building envelope used as thermal storage).

Smart grid integration.

Development of new business models and load shift tariffs.

Deliverables:

Development and demonstration of large hybrid systems with improved efficiency.

Development of new business models for large hybrid systems.

Expected impact:

Payback time of 5 to 7 years of the additional investment cost for the hybrid system compared to a stand-alone solution due to the optimum use of RES and the use of flexible energy tariffs.

KPIs:

Reach the next generation of hybrid systems by 2025.

Primary energy Ratio of a reference system: 0.6 in 2020, 0.5 in 2025.

Average increase to the payback time, compared with conventional alternatives: 1 year by 2025.



Modality of Implementation: European & national actions, according to TRL 5-6 (50%) to TRL 7 (50%).


Action 1: Elaborating standards, tests, and benchmarks for assessing system efficiency of

heating systems

Scope: In the residential sector, the need for standards in design and implementation is greatest. End users here do not have sufficient knowledge to judge design and implementation quality. Standards and standardised test procedures need to be developed to ensure renewable heating and cooling systems are satisfactory in all aspects. Ideally, such procedures should be implemented in accordance with technical standards and for the certification of overall systems. Learning from driving cycle tests in the car industry, RHC system should also test by cycle, rather than by steady-state tests.

Benchmarks have to be created to give end users and designers a judging system by which they can value its performance. Continuous monitoring campaigns are required to establish such benchmarks, but also to allow for feed-back on the success of R&D activities.

Consumers cannot effectively judge the appropriateness of design and the quality of installation. Comparing efficiency between different systems is difficult. There are no simple benchmarks to support such judgement.

Existing tests reflect component performance under mostly steady-state conditions. But the combination of well performing single components must not lead to well performing overall systems. A “whole system test cycle” is necessary to evaluate the dynamic performance of the system acquired by the end consumer. It should integrate existing European standards as well as the transitional method of the different Ecodesign lots as basis.

Deliverables:

In collaboration with industry, the target is to define reference test cycle(s) to measure real life performance of all kind of RHC systems, independent of their heat source. This could include the development of a model home approach to be employed across the different climatic zones. Harmonise international test procedures to ensure transparency for comparison of different RHC options.

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Produce a labelling scheme enabling end-users and manufacturers to evaluate and compare overall system performance of RHC systems with all kind of heat sources, and by that create a pressure towards and a market for more efficient overall systems.

Expected impact:

Establishment of harmonised test procedure(s), recognised among industry, research and standardisation bodies in EU, in order to test different RHC systems.

Optimized design and increased efficiency of installations.

KPIs:

The harmonised test procedure(s) should be tested in at least 5 EU countries by relevant research and/or standardisation bodies. Connection to existing Ecodesign implementing measures for heating/cooling/hot water production.



Modality of Implementation: European actions.

Action 2: Developing standards for the overall system design and for hydraulic and

electrical interconnections for different building components in medium and large

scale hybrid systems

Scope: The main objective is to elaborate and validate new standards for the design and interconnection of RHC systems. In particular, these activities aim at: ensuring cost-efficiency and interoperability and enabling low-cost, easy and fail-safe installation (plug and function or plug and flow).

The expected outcome is a set of harmonised EU standards for the connection of renewable heating and cooling equipment and systems. In the case of heat pumps, this should include the connection of HPs to smart meters or auto-electricity production such as PV or small wind. This will unlock new market opportunities for manufacturers and system developers and should lead to the fact that the gap between predicted and in operation measured energy consumption figures can be reduced.

A lot of components in consumer-type RHC (i.e. in the residential sector) are still designed to national standards, company rules, or just individually hand-made. Also, different types of equipment can belong to different clusters of standardisation, preventing easy combination e.g. in hybrid systems. The interchange of components from different countries or manufacturers is thus limited, and designers as well as installers are confronted with challenges in interconnection.

Deliverables:

New set of harmonized standards for the design and interconnection of RHC systems.

Expected impact:

Reduce the first cost of components and time and cost of installation.

Improve system functionality, reliability and longevity as well as inter-component compatibility.

KPIs:

Installation time is reduced by 30%.

Material cost reduction for the end-user of 20%.

20% reduction of human interventions for maintenance / reparation.



Modality of Implementation: European & national actions.

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Action 3: Development of low impact, low cost, reliable devices for heat pump systems and

development of alternative (low cost) controls for currently available high

efficiency (A, A++ etc.) circulation pumps

Scope: The efficiency of heat exchange with the geological strata can be increased by R&D for optimization of components such as borehole heat exchangers (design, pipe material, and grouting material), well completion materials, compressors, and pumps.

COP and SPF monitoring devices: Devices relying on the availability of low pressure drop flow meters sized for heat pump flow rates and heat pump delta-T's, ultimately for connection to SMART meters etc. Most heat meters that are currently available in the market have been designed on the basis of low (specific) flow rate, high temperature, and high delta-T boiler systems).

Investigation of the role/benefit of variable speed compressors for domestic GSHP systems, particularly for countries with single phase domestic electricity supplies.

Investigation of methods for reducing peak electricity demands during periods of lowest external temperatures e.g., thermal storage / PCM / multi or variable speed compressor etc. in order to reduce impact on electricity grid during periods of high heat pump demand - with a special focus on a locality/region/country where heat pumps are installed in significant numbers.

Development of alternative (low cost) controls for currently available high efficiency (A, A++ etc.) circulation pumps. To control either delta-T or flow rate use on domestic sized HP ground loops - to minimise parasitic energy consumption. Most of the pumps currently on offer control on pressure, which is the opposite of what is required for ground loop pumps.

Deliverables:

Improved monitoring devices.

New variable speed compressors.

Expected impact:

Reduced cost.

KPIs:

Increase of efficiency to 2020 by 25.


Timeline: 2014-2020. Some research in particular on materials might lead to new solutions only in a

medium term.

Modality of Implementation: EU with national participation.

Action 4: Improvement of sorption cooling from renewable energy sources

Scope: Providing cold from a constant and dependable heat source (like deep geothermal energy, surplus heat from biomass or district heat) could be done by various sorption technologies. The cold might be used in industry, but could also be fed into district cooling systems.

Development is required for conversion technology for heat into cold adapted to the characteristics of the renewable resource, e.g. to improve efficiency of low-temperature absorption chillers and decrease the necessary source temperature to activate the chillers.

Reduce medium temperature waste heat by increase of efficiency and solve waste heat disposal (re-cooling) issues.

Deliverables:

Reduce weight and size of absorption chillers.

Have at least 10 pilot plants in the 1-MW-range operational by 2025, associated to district cooling networks.

Expected impact:

Develop a new, reliable and clean technology for cold production.

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KPIs:

Reach a Cost for absorption chiller of 120 €/kWc by 2020 and of 100 €/kWc by 2025.

Have 2 Plants in operation by 2020 and 10 by 2025.



Modality of Implementation: European & national actions according TRL 7-8 and also 5-6.

Action 5: Capacity building

Scope: The aim of this action is to provide information on the technological options using DHC, CHP, hybrid systems etc., including the key steps for developing heat network schemes and key viability indicators. I would also investigate 100% or close to 100% RES systems.

Actions should propose:

Strategies to improve coherence of sustainable energy policies and measures at all governance levels.

Capacity building targeted at public authorities for integrated local planning and raising the capacity of member states to fulfil their obligations under the energy efficiency directive, for sectors of high energy saving potential such as buildings and industry.

Integration of information on different levels is essential:

Heat mapping methodologies on regional/national level.

Geographical cluster opportunities on city level.

Consumption patterns on local/building level (e.g. from smart meters or advanced building technologies).

Assessing the future development strategies (including the planning and infrastructure) taking into account options related to 'efficient district heating and cooling’ – as referred in the Energy Efficiency Directive.

Different partners need to co-operate to establish this common capacity building: national/regional governments, urban planners from cities, industrial partners, grid operators.

Only through making available (aggregated) data at these different levels national/regional ambitions can be linked to specific project ambitions and long term policy frameworks can be translated into real market uptake.

Deliverables:

Heat Mapping Methodologies, Guidance, data and tools.

Methodologies to implement strategies and planning at the regional and national level.

Expected impact:

Accelerate market penetration of energy efficient heating/cooling through innovative management for cost effective exploitation of district heating and cooling networks.

Increase capacity building and knowledge sharing for planning and integrating heating/cooling into the territorial context.

Support the exchange and replication of good practices.

KPIs:

Hour per hour analysis of the heating and cooling demand and forecasting.

28 heating and cooling maps plus one pan-European map showing demand and available indigenous sources.




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Challenge 2: Increase efficiency at the production, distribution and

consumption levels

KEY ISSUES

Develop cost effective technologies to increase efficiency in production, distribution and end-use of heating and cooling (e.g. highly efficient large-scale CHP, micro-CHP, heat pumps, low energy heat grids, eco-efficient substations, ICT solutions for distribution networks, improved cooling generation technologies, low-energy heat grids, development of flexible appliances able to use different energy sources).

Develop modelling, metering, control and optimisation solutions that increase the operation, maintenance and overall energy efficiency of heating and cooling systems.

Support the exchange and replication of good practices (e.g. support and incentive schemes, business models, regulatory framework and codes).

Need to accelerate the market penetration of energy efficient heating and cooling products and systems through innovative management for cost effective exploitation of district heating networks.


Action 1: New concepts for industrial heat pumps

Scope: A broader range of operating temperatures and higher temperature lifts are needed to

increase the application potential and the energy saving potential that heat pumps offer. The end users’ demands extend beyond the required temperature and cost of the system to topics such as the toxicity & flammability of the working medium and the reliability of the system. No single heat pump technology can cover this entire range of demands, meaning different heat pump technologies should be developed in parallel.

The main objective is the exploration of alternative thermodynamic cycles for heat-pumping and heat transforming for different industrial applications, with the goal to increase the operating window of industrial heat pumps so that they can deliver heat at medium pressure steam levels (around. 200°C). Not only will these improvements allow larger energy savings, but they will also unlock the benefits of economies of scale for the European heat pump industry.

Deliverables:

Research of alternative thermodynamic cycles for heat-pumping and heat transforming for different industrial applications.

Expected impact:

Deliver heat at a temperature up to 200°C.

Temperatures lift ≥ 70 K.

20% increase in the energy output compared to current technology, resulting in a reduction of the payback time.

KPIs:

Reach a Temperature of the delivered heat of ≥200°C by 2020.

Reach a Payback time of less than 3 years by 2020.




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Action 2: Research for Cost and energy efficient, environmentally friendly micro and small

scale CHP

Scope: Small-scale CHP (50 -250 kWel) and micro-scale CHP (< 50 kWel) constitute a high energy efficient solution for flexible RES such as bio-electricity and thermal energy supply. When electrical and thermal efficiency is included, this efficiency could be as high as 85% globally. Basic and applied research are needed on material research (thermoelectric materials, working fluids, working machine materials, and heat exchanger materials), component and system development, performance and efficiency improvement as well as cost reduction. Deliverables:

Development of high temperature- and high corrosion-resistant heat exchangers including reliable cleaning mechanisms or technological solutions to avoid deposit formation.

Development of advanced materials for seals, heat exchangers etc.

Expected impact:

Increasing performance and efficiency of micro and small scale CHP.

Reduction of technology costs.

KPIs:

Electric system efficiencies based on solid state technologies of 2%.

Electric System efficiencies based on thermodynamic cycles of 7% (<5 kWel ), <10% -12% (5 - 50 kWel), 12-15 (<250 kWel).

Costs: EUR 50 million (public and private funding).


Modality of Implementation: European & national actions according to TRL 4 (80%) and TRL 3 (20%).

Action 3: High efficient conversion systems for Polygeneration

Scope: As biomass is a limited resource, bio-refinery concepts and resource-efficiency will become increasingly important. In this view, polygeneration units constitute a very promising technology as its main function may change from electricity, heating, and cooling depending upon the season, climatic condition and time of day the primary function of such biomass. Polygeneration units will increase potential for CHP in particular in Middle and Southern Europe as well as the cost-competitiveness through the possible production of bioenergy carriers (bio-oil, torrified wood, etc.) - some of them with a higher value. Such units can in principle even double the total energy production efficiency (> 90% overall efficiency) compared when benchmarked with to the dominant electricity generation based on condensing power production (around 40 %). Deliverables:

Elaboration of cooling grid techniques/concepts:

- Distribution of heat and absorption cooling. - Distribution of cold media and direct cooling.

Development of concepts for the operation of a hybrid electric/heating/cooling grid.

Development of test beds for on-line monitoring and measurement techniques.

Development of specific technologies to increase the flexibility of multi-fuel units.

Expected impact:

Increase the potential for CHP.

Reduction of technological costs.

KPIs:

Achievement of an annual average efficiency of >90%.

Emissions (CO2, CO, NOx and SOx) reduced by half compared to condensing power production.

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Electricity production efficiencies of >30% (<10MWe) and >40% (<200MWe) for Polygeneration units.



Modality of Implementation: European & national actions according to TRL 3, 4 and 6.

Action 4: Improve efficiency of turbines for CHP, using low-temperature resources

Scope: Use of low-temperature resources in combination with flash and binary power units should enhance the energy output and use of the resource alongside return on investment. Research is required for increased energy efficiency, applicability at lower temperatures, and cost reduction.

Deliverables:

Improvements to conversion cycles (e.g. ORC, combined cycles Kalina), efficiency of components, cost abatement efficiency increase (collaboration with the power sector).

R&D on improvement of components (turbines, heat exchangers, generators, cooling devices, auxiliaries like gas separators, filters, insulations).

In the medium/long term, overcoming some current barriers to improvement.

Low to medium temperature CHP (combined power generation/district heating schemes).

Cascade utilisation, integration with heat (or cold) supply via novel cascading concepts.

Adoption of flash technology for EGS Systems.

Binary plant technology requirements:

- Selection and testing of suitable working fluids and blends (zeotropic mixtures). - New refrigerants with very small GWP (Global Warming Potential) potentially to be available

applicability to ORC turbogenerators should be investigated and checked in real plants. - Increase in the turbine efficiency (through continuous improvements in thermo-fluid-dynamic,

finite element and vibration analysis). - Thermodynamic cycle optimization and increase in cycle efficiency (multilevel, multi fluid,

supercritical, optimized extraction of the heat for combined heat and power). - Reduction of the specific cost/kW (by increasing power plant size; by the adoption of more

efficient heat exchangers). - Improvement in plants’ reliability through the introduction of diagnostic devices for scaling and

leakage in the heat exchangers. - Air condensers – the most common used type of cooling in geothermal ORC’s - are the largest

and single-item most expensive components in a geothermal ORC plant; further development to optimize performance as well as to reduce noise and size are still possible spraying of water (if available) in hot conditions is also an interesting way to increase performance.

Expected impact:

Increase energy efficiency, applicable at low temperatures and cost reduction by improving conversion cycle (binary cycle).

KPIs:

Increasing of conversion efficiency to 2020 by 25%, allowing for either higher efficiency (for production, turbine etc.).



Modality of Implementation: EU with national participation.

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Action 1: Optimisation of thermally driven heat pumps and their integration in the boundary

system

Scope: The objective of this topic is to support the market penetration of thermally driven heat pumps

for heating and cooling by enhancing the efficiency and the long term stability and by reducing their size, weight and cost.

Significant short-term market penetration of thermally driven sorption heat pumps and chillers, especially in the area of existing buildings, can substantially speed-up the usage of renewable energy for heating, domestic hot water and cooling in residential and small commercial applications. The technology is well suited for the boiler replacement market, where the impact of emission reduction and energy efficiency regarding the market size and limited availability of renewable energy using alternatives might be considerable.

This can be achieved through the improvement of materials, production processes, components, controls, as well as thermodynamic and hydraulic design with the final goal of enhancing the efficiency and long term stability of units and systems. It is very important to support the development process through large-scale field trials to evaluate the performance under a wide range of operating conditions.

Deliverables:

Analysis, testing and demonstration activities for optimisation of thermally driven heat pumps and their integration in the boundary system.

Expected impact:

Reduction of volume and weight of the thermally driven heat pump by 10%.

Enhancement of thermal SCOP* of the unit by 5% and thermal SCOP* of the system by 10%.

Cost reduction: 20 % by 2020.

Reduction of electricity consumption of the overall thermally driven cooling system by 50%.

KPIs:

Reach a Reference specific weight per power of 9 kg/kW (heating) by 2020.

Reach a Reference value of electricity consumption for single unit of 20 We/hWth by 2020.



Modality of Implementation: European & national actions according to TRL4-6 (60%) and TRL7

(40%).

Action 2: High capacity heat pump for simultaneous production of cold and hot water for

heating/cooling non-residential buildings

Scope: Development of a high efficiency, high capacity heat pump solution for heating and cooling of buildings with simultaneous production of hot water for space-heating and chilled water by automatically changing the refrigerant circuit in order to reject/take the necessary heat to/from the air or water from a geothermal loop (air and water versions of the heat pump). Additionally, the heat pump should preferably employ a low GWP refrigerant and offer competitive cost, high reliability, optimised control and easy integration with other systems.

Deliverables:

Development and testing of a high efficiency, high capacity heat pumps solution.

Expected impact:

Capacity around 100 kW, sCOP for heating and cooling 10 for production of hot water at 40 ºC and chilled water at 10 ºC. Minimum refrigerant charge.

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KPIs:

Reach a sCOP referred to electricity consumption of air-to-air HP of 10 by 2020.




Action 3: Enhanced industrial compression heat pumps

Scope: Development of advanced compression refrigeration cycles based on novel working fluids for use in medium temperature industrial applications (condensation temperatures up to 150 °C and evaporation temperatures up to 100 °C). Applications of these novel heat pumps include process heat generation as well as waste heat recovery in industrial processes yielding substantial increases in energy efficiency.

R&D topics to be addressed in this context comprise: new working media (low GWP, non-inflammable) or natural refrigerants (water), improved compressors and lubrication methods for high evaporating temperatures (up to 100°C), heat exchangers with improved design for direct using of condensing gases (flue gas, exhaust air, drying processes, etc.).

Deliverables:

Development and testing of advanced compression refrigeration cycles based on novel working fluids.

Expected impact:

Carnot efficiency of at least 0.35.

At least 2 demonstration projects should be realised by 2020.

Condensation temperatures up to 150°C.

Temperature lift up to 60 K.

Energy saving up to 30%.

Cost target heat pump unit: 200 - 300 Euro/kW.

KPIs:

Achieve through optimized components and integration a Carnot efficiency factor ≥ 0.40 by 2025.

Achieve a Production cost of the heat pump unit <200 €/kW by 2025.



Modality of Implementation: European & national actions according to TRL 3 (20%) 4-6 (60%) and 7. (20%).

Action 4: Process integration, optimisation and control of industrial heat pumps

Scope: Development and demonstration of electrically and thermally driven heat pumps in individual industrial applications as well as in combination with district heating and cooling networks including thermal energy storage. R&D topics to be addressed comprise:

Classification of processes (temperature levels, time-based energy demand etc.).

Process integration of industrial heat pumps (control and hydraulic design).

Impact of heat pumps on existing process (dynamic behaviour).

Selection of components (refrigerant, compressor, heat exchangers etc.) for the process identified.

Deliverables:

Development and demonstration of electrically and thermally driven heat pumps in individual industrial applications.

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Expected impact:

5 lighthouse projects with a capacity of minimum 1 MWth implemented by 2020.

Compression heat pump: minim sCOP of 5 for a temperature lift of 35K, energy savings of at least 30%.

Absorption heat pump: minimum sCOP of1,5; energy savings of at least 50%.

Cost target at system level for electrically driven heat pumps (unit plus installation): from 400 to 500 Euro/kW.

KPIs:

Demonstration in real-life plants of absorption heat pumps using new working pairs (avoiding crystallisation effects) Demonstration in real-life plants of absorption heat pumps using new working pairs (avoiding crystallisation effects): 4 plants by 2020.

Demonstration in real-life plants of compression heat pumps with high evaporation temperatures and high condensation temperatures: 4 plants by 2020.

CO2 emission reduction compared to gas fired system (Tcond/Tevap = 80 / 40 °C)3: 40% by 2020.



Modality of Implementation: European & national actions according to TRL 4-6 (30%) and TRL7 (70%).

Action 5: Industrial research and demonstration programme for Cost and energy efficient,

environmentally friendly micro and small scale CHP

Scope: Besides the research activities, demonstration activities are required to ensure long-term performance quality and to reduce costs by technical optimization with consideration of serial production. The actual reliability and techno-economics in field operation should be assessed and the integration of the plants into smart houses and grids, including the development of efficient storage systems (electricity, heat) to avoid grid losses, should constitute another key aspects.

Deliverables:

10 demonstration units of cost and energy efficient, environmentally friendly micro and small scale CHP solutions utilising different technologies (e.g. thermoelectrics, Stirling engines, steam cycles, organic Rankine cycles (ORC), internal combustion engines (IC), micro gas turbines (MGT), and fuel cells (FC)).

Expected impact:

Increasing the long-term performance quality and reducing the costs of technology.

KPIs:

Proven lifetime of 20.000 h (<5 kWel) / 35.000 h / 50.000 h (>50 kWel) for Micro- and Small-Scale CHP.

Reduction of electricity production costs by 50% in Micro- and Small-Scale CHP.



Modality of Implementation: European & national actions according to TRL 7 - 8.

3 CO2 emission factor according to EN15603: gas = 277 g CO2 / kWh final energy; electricity = 617 g CO2 / kWh final energy

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Action 6: High efficient large-scale or industrial steam CHP with enhanced availability and

increased high temperature heat potential (up to 600°C)

Scope: Besides the research activities, demonstration activities are needed to convert existing fossil-fuelled units to biomass like e.g., boiler retrofitting, long-term testing of fuel mixtures / new materials with increased agricultural residues and recovered fuels share, monitoring of plant efficiency and emissions behaviour, development of control concepts and strategies for optimal efficiency under variable loads. Moreover, the construction of new optimized multifuel boilers should also be the object of specifically targeted demonstration activities.

Deliverables:

3-4 demonstration units in existing CHP and/or co-firing plants.

3-4 demonstration units in new CHP and/or co-firing plants.

Expected impact:

Increasing the long-term performance and reducing the costs of technology. KPIs:

In New CHP boilers:

Reduction of electricity production costs by at least 5% (clean wood boilers) and 9% (wide fuel mix boilers).

Increase ash utilisation to 30%.

Increase of not more than 10% total capital expenditure over current state of the art for new technologies.

Retrofit of Existing CHP boilers:

Increase ash utilisation to 30%.

A maximum of 10% reduction from the nominal level of operational electric efficiency.

Greater than 50% Agrofuels thermal share of fuel mixture of wood fired units.

Costs: 6-8 projects (3-4 in existing plants, 3-4 in new plants); budget of EUR 10 million per existing plant project, EUR 100-300 million per new plant project: share of Public Funding in line with Horizon 2020 (70%).


Modality of Implementation: European & national actions according to TRL 7 - 8.

Action 7: Improved surface systems for heat uses in DHC (including CHP)

Scope: Applications for DHC or large buildings require specific technologies to transform the geothermal energy into useful heat to be conveyed through a network or consumed in a building. There is Scope: for improvement in the technologies that exchange heat between the geothermal source and the heat transfer fluid in the network, both in terms of energy efficiency and resistance to corrosion (e.g. new materials or innovative design). Standard heat exchange and heat/cold distribution systems for conventional heat and cold sources are applied. The characteristics of geothermal heat (steady supply, mostly limited temperature, mineralized waters) determine system design; however innovative solutions and components are needed. Deliverables:

The development of smart thermal grids (1st generation) with the building of new district heating & cooling networks (Geothermal District Heating & Cooling, with ca. 5 €-cent/kWh, is one of the most competitive energy technology).

Optimization of existing networks.

2nd generation of smart thermal grids with new geothermal combined heat and power plants with low temperature installations and Enhanced Geothermal Systems.

Develop flexible, efficient, multifunctional and cost-effective thermal storage.

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Smart metering and load management systems are needed for the integration of thermal and electrical grids.

New and innovative geothermal applications in transport, industry and agriculture.

Advanced district heating systems must be developed that are able to deal with both centralised and decentralised, hybrid sources (e.g. solar thermal, biomass, geothermal,) and heat storage.

Explore new synergies between various customer groups with different thermal needs.

Expected impact:

Further advancement in DHC technologies (including cascading and storage) can improve the efficiency and performance of geothermal district heating.

KPIs:

Provide optimum heat transfer from the ground source to the distribution system so to increase heat exchange efficiency by 25 % and component longevity in the thermal water circuit by 40 %.



Modality of Implementation: EU with national participation (30% Development / 70% Demonstration).

Action 8: Development of a heat pump for near-zero energy buildings (single family house)

Scope: Development of a small capacity reversible heat pump (around 3-4 kWth), with low cost, easy

installation, operation and maintenance, for the new low-energy consumption houses of the EU, with optimal integration with the ventilation heat recovery, cooling, dehumidification and domestic hot water production. Additionally, the unit should employ a low Global Warming Potential (GWP) refrigerant. Different designs will be necessary to accommodate for the variability of European climate zones.

Deliverables:

sCOP> 5. The exhaust air heat pump should be able to keep reasonable performance even at low outdoor temperatures such as -10ºC.

Expected impact: -

KPIs:

Reach a Contribution to the production of DHW of 40% by 2025.

Costs: EUR 12 million (PUBLIC: 60%, PRIVATE: 40%); recommended number of projects: 4.

Timeline: Priority for 2018 -2020.


Action 9: Develop and demonstrate industrial solutions to enable production facilities and

systems to switch from steam to hot water based supply systems

Scope: There is a need to develop and demonstrate industrial solutions (machineries, processes) to enable production facilities and systems to switch from steam to hot water based supply systems (e.g. for the food, beverage textile and metal industry) in order to increase energy efficiency (e.g. use of heat recovery) and increase the use of renewable energy sources (e.g. solar thermal heat).

Deliverables:

New process design based on an integrated systems design approach taking the solar thermal side as well as the process side (by means of e.g. PINCH analysis) into account.

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Expected impact:

Reduce the costs of low (< 100°C) and medium temperature (100°C – 250°C) for industrial process heat systems. For instance, a solar heat price of 5 - 8 €cent/kWh for low temperature applications and 6 - 9 €cent/kWh for medium temperature applications by 2017.

New machineries and processes will enable the use of renewable low temperature heat for a broad range of industrial processes.

KPIs: -

Costs: -




Action 1: Accelerate market penetration of energy efficient heating/cooling through

innovative management for cost effective solutions and exploitation of district

heating and cooling networks

Scope: According to EC guidance on Article 14 “Promotion of efficiency in heating and cooling” of the

EU’s Energy Efficiency Directive, adequate non-technological measures to ensure the market uptake

of energy efficient heating/cooling solutions should be developed taking into account the costs and benefits of the opportunities that exist at the national/regional and EU level.

There is already a wide range of good practices in the development, implementation, operation and maintenance of DH and H/C systems that need to exchanged and replicated. Therefore a stronger emphasis on market uptake measures is needed (e.g. support and incentive schemes, business models, regulatory framework and codes).

Support schemes are expected to accelerate the growth of RES H/C markets, as they have done for RES electricity. They should encourage investments in RES H/C in general and also in district heating infrastructure. The unregulated nature of the heat market across the majority of MS and the locations/specific nature of heat management should be addressed in strategic actions which lead to the development and deployment of incentives and support schemes for RES H/C.

Actions should be supported by the relevant public authorities and address the endorsement of national heating and cooling plans at national, regional and local levels.

Deliverables:

Cost efficient solutions to measure heat and cooling consumption.

Optimisation of the integration of RES H/C through the introduction, development and deployment of specific market measures, such as incentives and support schemes and codes for RES H/C.

Improved solution for efficient operation and maintenance of heating and cooling systems.

Expected impact:

Supporting the implementation of Energy Efficiency Directive and in general supporting the achievement of EU targets for 2020 and 2030.

Removing the still existing barriers in the energy market and overcome market failures that impede efficiency in the supply and use of energy.

KPIs:

Innovative business models & policy instruments for RHC sectors in general, including detailed overview of key markets.

Recommendations for RHC integrated support schemes commonly agreed by key stakeholders at national/regional and EU level.

Every million Euro of EU support should in the short term lead to the reduction of at least 25 GWh/yr of fossil fuels for heating and cooling.

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Modality of Implementation: Coordination and Support Actions (relevant public authorities and stakeholders need to be involved).

Action 2: Innovative actions/measures for retrofitting of old district heating systems to

provide cost effective supply of heat and cooling with a high share of

(residual/waste) and renewable energy

Scope: There are EU countries having a long tradition of district heating. A lot of these systems are old and operate inefficiently affecting the quality of the service provided to the end user. The result is that a significant number of customers disconnect form district heating networks and install individual heating systems instead.

The retrofitting of these DH systems could offer a cost effective manner to supply energy efficiency and with a high share of (residual) and renewable energy. This represent a challenge that could explicitly be addressed with: activities looking at innovative manners to cost effectively "deep" retrofit existing district heating networks. Coordination actions to help in the adoption of managerial and organisational approaches for the cost effective exploitation of district heating networks are expected.

In addition, the integration of (residual) and renewable energy sources in district energy networks faces still some challenges which need to be addressed and better understood considering also the interaction of all relevant elements (supply sources, energy (heat and coolth) distribution networks ad internal energy (heating and coolth) distribution systems.

Deliverables:

Cost efficient solutions for retrofitting old District Heating systems.

Expected impact:

Improved energy efficiency potentials of existing DH systems.

KPIs: -

Costs: -


Modality of Implementation: Coordination and Support Actions.

Challenge 3: Integration of renewables and energy efficiency solutions

KEY ISSUES

Develop efficient and interconnected grid and storage solutions (e.g. facilitating the integration of distributed generation, development of contract models for mass deployment of micro-CHP in combination with RES).

Develop ICT solutions for better integration of energy networks (e.g. development of intelligent measurement and control).

Improved interaction with and between prosumers and consumers.

Additional issues to be addressed:

Facilitating the integration of distributed generation (e.g. development of contract models for mass deployment of micro-CHP in combination with RES).

Residential buildings: Main issues are high level of comfort, automatic operation, low maintenance, reasonable cost (and growing consumer awareness of clean energy). Adaptation to changes in demand are required over time; for new buildings, the prescribed trend towards zero energy

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building with RES requires systems easier to install/de-install, to provide lower individual output, to be integrated in control and monitoring networks, etc. In particular for collective buildings (often older buildings), RES heating and cooling systems need to address the renovation issues, increase RES penetration, decrease consumption, and decrease installation costs.

Non-residential buildings: Main issues for this demand type include systems to be flexible in size, adaptive to quick demand changes, providing substantial amounts of cooling; in this sector, cost is analysed more closely, and clean energy often only considered as a PR issue. This is a field the public sector can take the lead and provide examples!

Industrial heat and cold: Main issues comprise reliability (no stops of production!) and competitiveness. Mainly seen as triggered by the industrial sector is an area of high demand and yet little RES supply and efficiency measures. Innovative solutions and substantial basic research are required in particular in the high temperature ranges from ca 250 °C upwards until temperatures beyond 1000 °C. Hybridisation, different system stages, storage, etc. need also to be investigated. For the low to medium temperatures, applied research, development and demonstration is crucial to convert known technological solution into practical installations and marketable products.

Heating and cooling networks can adjust large producers and many small consumers, and from island grids for villages to large networks in cities, heat and cold demand can be matched with production of heat and cold (often as excess heat) through smart thermal grids. The main challenge for RES in smart thermal grids comprise legal, contractual and control/monitoring aspects, and thus requires a certain non-technical development work .In the light of the large share of energy used in heating and cooling, which will stay substantial even with strong efficiency measures, sufficient priority must be laid on RD&D in each of the three demand types and the overarching issues, allowing for a number of priority measures in each.


Action 1: Improving the efficiency of combined thermal energy transfer and storage

Scope: Further development and improvement of fluids that combine the heat transfer function with thermal energy storage. These will lead to smaller required storage volumes, to an increase in heat transfer efficiency and to a reduction in auxiliary energy for pumping.

Deliverables:

Development of new fluids for thermal energy transfer and storage. New materials for both high temperature applications for solar cooling or process heat, with working temperatures between 120 and 250 ºC, and for low temperature applications for heating and cooling.

Development of PCM slurries or emulsion or molten salts or any other fluid with long lifetime, reducing the pumping energy of 25% with respect to conventional water based heat transfer fluid system.

A reduction of 20% of the storage volume through the use of PCM heat transfer fluids for room heating.

Expected impact:

Development and improvement of fluids that combine the heat transfer function with thermal energy storage.

Reduction of technology cost.

KPIs:

Achieve 30% reduction of the viscosity of the relevant fluids by 2030.

Achieve 30% reduction storage volume through increase of energy density by 2030.



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Modality of Implementation: European & national actions according to TRL1-3 (40%) 4-6 (40%) and 7 (20%).

Action 2: Increased storage density using phase change materials (PCM) and

thermochemical materials (TCM)

Scope: To increase the storage density of TES based on PCM or TCM in order to enable the implementation of TES in applications with less available volume and to enable the cost-effective long-term storage of renewable heat. To be effectively applied in heating and cooling systems, the technology should be improved as follows:

Further increasing the storage density to make it possible to integrate PCMs into buildings and thermal energy systems. For building-integrated applications, encapsulation and stabilisation, particularly of salt hydrate PCMs will be important.

Increasing the rate of heat discharge from PCMs that can be used for DHW production.

Finding solutions for problems such as subcooling (with the use of nucleators), phase separation, and hysteresis, typical when inorganic materials, such as salt hydrates, are used. (The use of inorganic materials avoids the fire risk of organic materials such as paraffin.)

Developing microencapsulated PCM for 300 ºC<T<1,000 ºC.

Developing new materials and/or mixtures that adjust the melting temperature, that is, that have several phase change temperatures, or that change their phase change temperature if stimulated to do so.

Developing heat exchangers that can also encapsulate the PCM.

In order to optimise the performance of TCM, activities should focus on:

Development of novel or improved storage materials, using materials technology and novel numerical methods.

Development of testing and characterisation techniques for thermochemical materials, including new techniques to determine the state of charge.

Design and optimisation of specific charging and discharging technologies.

Large scale domestic stores to assess economic viability, construction and installation issues, and manufacturing efficiencies.

New concepts to combine solar collector and thermochemical reactor.

Deliverables:

Developing microencapsulated PCM for 300 ºC<T<1,000 ºC.

Novel PCM with adjustable phase change T.

New heat exchangers with PCM included.

TCM target: 4 times more compact than water at system level.

Novel TC solar collector (directly charging of TCM n collector): first prototypes.

Control of TCM systems: new sensors developed.

Improved seasonal solar TCM solution for single-family houses.

Expected impact:


Cost-effective long-term storage of renewable heat.

KPIs:

Stable, micro encapsulated salt hydrate PCM: production technology optimised and material available at <2€/kg by 2030.

Micro-encapsulated PCM for medium and high T: production technology developed and materials available on a large scale at <2€/kg by 2030.



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Modality of Implementation: European & national actions according to 2-3 (60%) 4-6 (30%) and 7-9 (10%) - (60%).


Action 1: Next generation of Sensible Thermal Energy Storages

Scope: Availability of high-efficiency sensible thermal energy storage devices with significantly reduced heat losses, increased energy efficiency, efficient charging and discharging characteristics and high flexibility to adapt it to and integrate it in existing buildings with limited space for storages.

Costs and thermal conduction of the containment materials will be reduced by replacing metal with polymer casings, with or without fibre reinforcement. Novel and compact heat exchangers using new materials, improved concepts and geometries will improve the charging and discharging process by increased heat transfer power and therefore reduce charging and discharging time and disturbances of the temperature stratification.

Significant improvements on storage insulation will be achieved by the development of long lasting, low-cost and easy to apply high performance insulation (e.g. vacuum insulation). This will increase the overall system performance, the usable storage volume decreasing the gross volume of the storage including insulation) and the comfort for users by reduced room heating in summer.

The energy efficiency (or stratification efficiency) of sensible storage will become more important with increasing shares of renewables (heat pumps, solar thermal) and key performance indicators will be developed together with standardized test methods in order to measure energy efficiency for sensible storage.

The performance of sensible TES will be further increased by improved energy efficiency and stratification devices. The integration of sensible TES into smart heating networks will be enabled by the inclusion of intelligent state of charge determination systems fully integrated in the storage.

Deliverables:

20% cost reduction of mass produced containment.

High performance insulation materials with 50% higher insulation effect than conventional materials and 70% lower cost than present vacuum insulation.

Development and demonstration of innovative modular concepts.

Expected impact:


Increasing the performance of technology.

KPIs:

Reach a Cost of containment of 1000 litre tank (excluding insulation and VAT) of 300 - 700 € by 2020.

Costs: EUR 25 million (PUBLIC: 60%, PRIVATE: 40%); 5 EU projects on pre-industrial developments: insulation materials, heat exchangers, alternative geometries.


Modality of Implementation: European & national actions according to TRL4-6 (50%), TRL7-9

(50%).

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Action 2: Cost effective heat pump kit for houses with existing boiler

Scope: Development of heat pump kit to be integrated in the heating system of houses with existing non-electrical boiler. The expected solution should present the following characteristics:

High efficiency air to water heat pump producing heating water with a temperature lift of minimum 45 K.

The supply temperature should be changeable between 50 and 35ºC depending on the ambient temperature.

The existing boiler will be kept and will only be employed as a back-up system under extreme ambient conditions when the heat pump is not able to attain 60ºC or to increase the temperature of the sanitary hot water.

Compact design in a form of kit with all the necessary components for an easy integration and installation with the boiler heating system. This should ideally be wall mounted recognizing current form factors and the installer work-flow.

The control of the system must allow optimal management and automatic operation of the heat pump unit and boiler

With a capacity in the range 4-8 kW, the system should be able to provide the required heat most of the time.

Deliverables:

25% decrease in the cost of the heat pump, including installation.

The SCOP of the heat pump operating under the described conditions should reach at least a value of 5.

Roughly doubling the PER with the heat pump kit, compared to gas boiler.

Expected impact:



KPIs:

Gas consumption reduction with 90% of the thermal load covered by the HP by 2020.

SCOP referred to electricity consumption: 5 by 2020.



Modality of Implementation: European & national actions according to TRL 4-6 (70%) and 7 (30%)

Development (TRL 4-6).

Action 3: Improvements in Underground Thermal Energy Storage (UTES)

Scope: The UTES concept may play an important role in future DHC networks, industrial applications or

any thermal grid in which there is a need for a substantial amount of thermal storage because of its unique ability to efficiently store large amounts of heat at a comparatively low cost in the 40 – 90 ºC temperature range. There is however a need for improvement of system concepts and operational characteristics, to allow an optimum integration between the underground heat exchanger and the application. In addition, the thermal efficiency of storage in different geological conditions should be increased and the thermal behaviour better understood. Other important aspect, such as the reliable operation of UTES, is R&D into water treatment technology preventing clogging, and into component selection to prevent scaling and corrosion.

R&D topics comprise:

The development of a new generation of sensible Thermal Energy Storages: water, be it in tanks, pits, aquifers (groundwater), caverns, abandoned mines, or solid like soil or rock in borehole stores.

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Improved characterization methods (including technologies for mapping) to investigate, understand the thermal characteristics of the soil surrounding the store and the thermal behaviour of the store itself.

Demonstration projects of ATES and BTES for temperatures in the range of 40-90 °C to above 90 °C.

Systems to improve the efficiency of combined thermal energy transfer and storage: reliable and efficient system performance of thermal storage; more efficient storage through improved heat transfer and heat transport; increased storage density using phase change materials and thermochemical materials.

Deliverables:

20-30 Demonstration plants with different concepts, geological situations and demand profiles including improved main components in the storage auxiliary system.

Concepts and systems for the thermal characterization of the surrounding soil system (geophysical or through thermal response tests).

New small scale store prototypes based either on new site-specific combinations (e.g. use of mines, use of special geological structures, water systems etc..) either based on the use of new materials (PCM, …) adequate for UTES.

New concepts for store-network integration and optimization of storage in the heating and cooling system.

Expected impact:



KPIs:

Achieve energy efficiency (defined as the ratio “heat out” /”heat in”) of 75% by 2020.

Lifetime of the UTES at elevated T (n of years): 20-30 by 2020.

Maintenance cost as share of operational costs: 2-4% by 2020.

Costs: EUR 40 million (PUBLIC: 50%, PRIVATE: 50%); 3 large research and development projects; 5

smaller demo projects.


Modality of Implementation: European & national actions according to TRL 4- 6 (40%) and 7 (60%).

Action 4: Demonstration of multifunctional building components combining renewables and

energy efficiency

Scope: Building components, e.g. solar collectors as roof and façade elements and building walls as heat stores with multiple functionalities and high flexibility regarding the architectural integration. A further possibility is the use of structural elements of the buildings, such as piles, diaphragm walls or similar elements to exchange heat with the surrounding soil in combination with a shallow geothermal appliance or UTES store. All these forms of multifunctional components, though very promising to decrease cost and allow optimized use of local RES resources, are quite demanding in terms of integration requirement, multifunctionality assessment and standardization. These areas require a thorough multidisciplinary approach, careful demonstration and a straightforward strategy combining the different acting building sector and HVAC system agents.

R&D topics may include:

Research of geoactive structures for shallow geothermal application: piles, diaphragm walls, bridges, roads.

Deliverables:

5-10 Demonstration and pilot plants to test different types of structural elements regarding their thermo-hydromechanical long term behaviour in connection to thermal building loads.

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Demonstration projects to incorporate geostructural elements in real buildings and structures.

Expected impact:



KPIs:

Decrease in installation cost in comparison of conventional shallow geothermal BHE of 50%.





Action 1: Improved, highly efficient substations for both present and future lower

temperature networks

Scope: Substations should become smarter, softer, and cheaper. The following priorities are identified:

Improving in the manufacturing process.

Costs reduction.

Efficiency gains.

Capacity to adapt to changes in the energy demand profile.

To reach these objectives, R&D must also look at ways to harmonise substations’ standards, to reduce materials’ cost, to invest in the automation of manufacturing methods and to achieve good performances also at temperatures below 70° C.

Deliverables:

Reducing energy consumption for the customer by 8% through the use of eco-efficient substations.

Reduce manufacturing cost by 15% compared to current standards.

Expected impact:



KPIs:

Substations’ reference manufacturing cost (in EU, residential buildings): 4000 to 6000 € by 2020.

Average electricity consumption of substations for residential building: 2600 kWh/year by 2020.

Number of “smart substations” (efficient pumping systems and intelligent control system) installed as a proportion of all new substations: 80% by 2020.



Modality of Implementation: European & national actions according to TRL 7 (70%) 4 -6 (20%) and 3 (10%). each project including at least 50 buildings.

Action 2: Booster Heat Pump for DHC

Scope: This topic aims mainly at the demonstration of electrically driven industrial heat pumps in district heating and cooling networks. R&D topics to be addressed comprise:

Classification of networks (temperature levels, time-based energy demand etc.).

Integration of industrial heat pumps (control and hydraulic design).

Impact of heat pumps on existing networks (dynamic behaviour).

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Use of the return flow from the DH network as heat source.

Deliverables:

Compression heat pump: sCOP 5 or more for a temperature lift of 35K.

Development of small (3kW) booster heat pumps that can supply heating and cooling to individual apartments and are connected to a low temperature district heating grid.

Energy cost reduction of min. 30%.

Expected impact:

KPIs:

Evaporating/ Condensing temperatures for industrial waste heat (°C) 2012: 40/80 & Carnot efficiency factor: 0.3 - 2016: 50/90 & Carnot efficiency factor: 0.3 - 2020: 70/130 & Carnot efficiency factor: 0.4.

Evaporating/ Condensing temperatures (°C) for waste water used in low temperature DH: 2012: 15/65 & Carnot efficiency factor: 0.35 - 2016: 15/65 & Carnot efficiency factor: 0.4 - 2020: 15/65 & Carnot efficiency factor: 0.45.

N. of successful demo applications to industrial waste heat: 2012: n.a. - 2016: 2 - 2020: 5.

N. of successful demo applications to low temperature DH: 2012: n.a. - 2016: 1 - 2020: 3.

Reference sCOP value compression HP (at ΔT = 35 K, Tevap = 40 °C): 2012: 3.5 - 2016: 4 - 2020: 5.

Reduction of heat generation costs (baseline 2012): 2012: n.a. - 2016: 10 % - 2020: > 30 %.




Action 3: Training and certification of new RES heating and cooling professionals

A proper understanding of the energy demand of a building is essential to design efficient systems with the required renewables intake. With an increasing demand for nZEBs qualified installers are key for the uptake of new renewable/efficient technologies.

Programme: Innovation and Market Uptake TRL 7.

Scope:

Establish training and certification schemes to up-skill the workforce with an understanding of the energy demand of buildings and the impact of the use of different technologies.

Training of planners, architects and civil engineers to include energy efficient/renewable technologies in the building design.

Creation of awareness for the benefits of these technologies with non-technical professions, in particular in administration, regional and spatial planning, reduction of administrative boundaries.

Cooperation between education and training institutes and companies: Create Networks for Energy Education and Training involving industrial platforms, universities and research centres to foster the development of theoretical and practical training.

Develop courses on RES H&C with existing university courses and launch of new courses.

Absorb workforce of declining industries.

Promote mobility of workers in Europe.

As far as geothermal is concerned: harmonization of shallow geo- standards, shallow geothermal installer EU wide training certificate along the lines of previous projects, Shallow geothermal Smart City deployment policy. Training and education of new geothermal professionals specialized in deep drilling and, particularly, EGS technologies.

Deliverables:

Create local jobs and re-skill today's mainly fossil based heating industry into a renewables based version. This will maintain employment in this industry in Europe.

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Expected impact:

Number of trained professionals? Number of jobs preserved/(re)created.

KPIs: by 2020, to employ more than 500,000 people.

Costs: EUR 5 million, 2 projects.


Modality of Implementation: European, national, regional, local.

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HEADING 3: Increasing Energy Efficiency in Industry and SMEs

Introduction

The industry sector accounts for about one third of total energy use in the EU and for most industrial companies, energy efficiency is key to productivity, energy security, job creation and sustainability4. Roughly, three quarters of the energy use in the industry sector is related to the production of energy-intensive commodities such as ferrous and non-ferrous metals, cement, chemicals and petrochemicals, glass or ceramics. In these sectors, energy costs constitute a large proportion of total production costs, so industries already pay particular attention to driving them down. More broadly, energy efficiency can help the European industries(5) increase their global competitiveness, reduce the share of energy in their cost “portfolio”, address the depletion or the uncertainty of access to raw materials and resources, reduce their risk exposure to the fluctuation and uncertainty of energy prices, respond to the growing societal needs and address climate change. However, making the transition to more energy efficient industries is a challenge, especially for the energy-intensive industries6. Although large enterprises will now be obliged, under the Energy Efficiency Directive, to identify systematically and regularly how to improve their energy efficiency, there is still a need to further develop and apply technological and behavioural solutions for the industry sector in combination with the most appropriate policy environment.

Energy efficiency is also important for the small and medium-sized enterprises (SMEs) that are the backbone of the European economy. Amounting to nearly 21 million in the EU, they provide around 90 million jobs. A Eurobarometer survey7 showed that, in comparison with large companies, SMEs are considerably less likely to save energy (64% vs. 82%) and to have an environmental management system in place (25% vs. 48%). They require specific research and innovations actions in order to address their specific challenges and needs in the field of energy efficiency.

Challenge 1: Need to address industry’s resource and energy efficiency in a

systematic way

KEY ISSUES

It is estimated that 20-50% of industrial energy input is lost in the form of hot exhaust gases, cooling water, heat losses from equipment, heated products, etc. There is therefore a need to improve waste heat recovery technologies and accelerate their deployment across Europe. There is a need to extend the range of existing technologies, to improve their economic feasibility and efficiency, and explore new recovery solutions for unconventional waste heat sources.

Better use of industrial waste as valuable resources (organic material, raw material, CO2…) within the manufacturing process and within its eco-system.

Improve energy efficiency by avoiding waste through customisation and zero-defect (e.g. first time fit).

Better integrate industry and SMEs in a modernised EU energy system with demand side flexibility and smart grids.

4 Eceee industry seminar 5 Renewable Energy in Industrial Application. An Assessment of the 2050 Potential. United Nations Industrial Development Organization 6 See Research and Innovation Roadmaps of Factories of the Future (FoF) and Sustainable Process Industries (SPIRE) 7 Flash Eurobarometer 342 survey ‘SMEs towards resource efficiency & green markets' (March 2012)

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Action 1: Development and demonstration of new technologies for heat recovery in

industrial systems and optimisation of the existing recovery technologies.

Scope: Developing and prototyping Heat Recovery Systems easily adaptable to different process and

working conditions (e.g. modular systems, WHRPG: waste heat recovery for power generation technologies, solutions for the efficient use of heat recovery gases, recovery from corrosive media and surfaces/plates) and optimising the existing solutions. The R&I actions should also aim at increasing the economic competitiveness of waste heat (WH) recovery and develop ready-made practical solutions allowing its mainstreaming into normal operation practices of industrial plants. To minimize the economic costs of heat recovery, and prepare its integration into plant processes and organisation, technologies, new equipment and adaptable integration solutions should be developed and tested in real-world conditions, through research and development of prototypes and industrial procedures8.

Deliverables:

Design, development and demonstration of economically viable solutions and technologies.

Development of new waste heat recovery solutions for power generation (WHRPG) technologies in industrial processes.

Uptake of existing technologies to a larger number of applications in intensive industries while simplifying and decreasing costs of equipment.

Adaptable technical, organisational and operational modules to support the implementation of waste heat recovery solutions.

Improvements to conversion cycles (e.g. ORC, Kalina), efficiency of components, cost abatement efficiency.

Improvement of WHRPG components efficiency (turbines, heat exchangers, generators, cooling devices, auxiliaries like gas separators, filters, insulations).

Improving storage solution for non-continuous processes.

Improve techniques to decrease WHRPG operation and maintenance costs.

Improve techniques to increase WHRPG availability.

Research on technologies for WH to storage (H2, biogas).

International collaboration with industry branches in the US for the exchange of knowledge, experiences and techniques on WH recovery, WHRPG.

Expected impact:

New heat recovery systems will contribute to the understanding of where are the best available low temperature heat sources in industry and how this heat can be used in order to achieve better global efficiencies.

Perceived technical and business risks related to heat recovery will be reduced leading to widespread uptake of the technical solutions with a high impact in several industrial sectors.

Improved EU industry productivity and competitiveness by increasing the energy efficiency of industrial production processes.

Integration of waste heat recovery systems with fumes treatment systems.

Upgrading of thermal waste energy to a temperature level, where it can be re-used in the process (i.e. by utilization of waste steam).

KPIs:

Recovering 15% of process heat compared to current practices.

At least one waste heat recovery for power generation from an industrial process able to recover overall 15% of the heat loses.

At least one waste heat symbiotic concept between industries with no reference in operation yet able to recover 15% of the overall heat loses.

8 H2020 http://ec.europa.eu/research/participants/portal/desktop/en/opportunities/h2020/topics/2068-ee-18-2014.html.

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Reduce operation and maintenance costs for waste heat to power technologies of 20%.

Increase availability of waste heat recovery for power generation plants up to 80% of the process operating hours.

Demonstration of the use of thermo-chemical systems to upgrade waste heat by utilization of waste steam for re-integration into the process.

Costs: 10 projects with a total budget of EUR 80 million (60% public, 40% private).



Action 2: Towards Nearly-Zero Waste Industry (NZWI): Further develop and demonstrate the

use of industrial waste as a valuable resource within the manufacturing process

and within the broad eco-system

Scope: Developing and prototyping Waste-to-energy technologies in order to increase the creation of energy as electricity or heat from waste resource. This type of energy recovery includes all technologies and processes that target the production of energy from waste products, including biogas production from organic waste. This should be framed in a Circular Economy concept: recirculation of raw materials into the process should be prioritised in order to reduce waste production, diminish raw material pre-treatment needs and therefore reducing energy consumption. When not possible to recirculate (e.g. certain transformed materials, contaminated materials), waste-to-energy technologies should take place.

Deliverables:

Design development and demonstration of integrated solutions driving to the reduction of waste formation, recirculation of wastes and waste-to-energy, i.e. driving to Nearly-Zero Waste Industry (NZWI) concepts.

Design development and demonstration of economically viable waste-to-energy solutions and technologies.

Production of energy from biological wastes by means of e.g. AD + CHP and using this energy internally in the process and finding added-value solutions to the sub-products (i.e. digested from AD).

Expected impact:

Perceived technical and business risks related to Nearly-Zero Waste Industries, and in particular to waste-to-energy technology will be reduced leading to widespread uptake of the technical solutions with a high impact in several industrial sectors.

KPIs:

Nearly-zero Waste Industries maximising the reduction of waste formation, recirculation of wastes into the process and producing energy from the non-recyclable wastes.




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Action 3: Developing and demonstrating CO2 recovery and use for increasing the resource

and energy efficiency of certain industries

Scope: Demonstrating CO2 recovery and use in cross sectorial industries to produce added-value products like e.g. synthetic natural gas (SNG) production, fuel (Methanol, Diesel-oil, etc.) or chemical production (e.g. DME), which can be consumed (including storage to use in peaks) in these industries to increase their resource and energy efficiency. The hydrogen needed to produce these materials should be produced by RES surplus energy. Actions should develop and demonstrate new energy-efficient technologies to recover CO2 from industrial streams, innovative solutions for the conversion of CO2 into value-added projects and their use in the industry.

Deliverables:

Design development and demonstration sites for C02 recovery and use.

Expected impact:

Design development and demonstration of integrated solutions of CO2 recovery and use in production processes for the production of added-value products, driving to improvements in resource and energy efficiency in the involved industries.

KPIs:

Efficient production of added-value products from recovered CO2 driving to concrete improvements in resource and energy efficiency in the industries involved in the integrated solutions.

By 2020 the EU will be leading in the recovery and use of CO2 emissions and their transformation into chemical products or methane and fuels for chemical energy storage making use of peaks in renewable energy productions.




Challenge 2: ICT related issues

KEY ISSUES

Better simulation and modelling methods and tools are needed to improve the design and operational phase of manufacturing processes and systems.

ICT should be used to improve energy management systems (data collection) and the better monitoring and control of processes and machines.

ICT solutions should be user-oriented and improve people-technology interaction and behavioural change. To that regard, new hardware must be validated by several industries and fulfil several technical requirements that enable a better plant control and more energy efficiency (e.g. real time monitoring, scaling risk management, self-adapting control).

ICT is itself an increasingly important consumer of energy and sustainable energy supply for data centres and efficient cooling of servers and use of their excess-heat have to be part of an efficient energy system.

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Action 1: Development and demonstration of standard and open ICT systems and improved

control concepts for energy monitoring and control of consumption in industry and

SMEs

Scope: Networks of sensors and actuators working with a standard communication protocol (such as IP) are necessary. These networks must manage the electric devices with independency of their functionality and/or manufacturer. Energy efficiency systems must be able to deliver consumption information in real time and they must operate in the Cloud. Ideally, they must be compatible with the future deployments of “Internet of Things”. So, ICT systems for energy efficiency have to use standard protocols and open access. Also they must be plug and play and easy to use (from the end-user point of view). Ambient Intelligence techniques must be adapted to energy efficiency systems allowing them to operate without user interaction. Actions could also aim to develop and demonstrate improved control concepts by using new ICT technologies in industry and SMEs. Actions should for instance support the development of advanced self-learning and self-adapting control and monitoring strategies.

Deliverables:

Demonstrated standard and open ICT systems for energy monitoring and control of consumption in industry and SMEs (e.g. consumption information in real time, compatible with the future deployments of “Internet of Things”, plug and play and easy to use).

Development of self-learning and self-adapting control strategies.

Development of control equipment and commissioning tools.

Control tool for thermal storage and waste heat utilization integration into the process.

Expected impact:

Increased sensitivity of SMEs/Industry to the energy consumption and shift in investment decisions towards EE technologies and solutions.

New tailor made IT tools available for a range of industrial branches.

Improved energy demand and performance data availability.

KPIs:

Implementation of demonstrated standard and open ICT systems and improved control concepts for energy monitoring and control of consumption in industry and SMEs in real conditions.

Costs: EUR 15 million (6 projects).



Action 2: Development and demonstration of advanced energy monitoring visualization

techniques and tools

Scope: Due to the amount of energy data that will be available in the Cloud, mechanisms for data visualization will be needed. 3D techniques for data analysis should be applied to energy data visualization. Advance visualization tools should be developed and demonstrated in order to allow sharing consumption information among users and detect and correct deviations in energy consumption in specific buildings or infrastructures. Energy consumption information in SME buildings /offices /shops /stores must be provided from the “in-buildings” energy monitoring systems in real time data and be presented to users in an easy-to-understand manner (especially for the non-technical persons).

Once the ICT systems for energy efficiency and the visualization tools are ready to be deployed, a pilot program for testing these systems in real environments among Europe will be needed. The aim of these pilots is to test and adjust the ICT systems intelligence and the visualization in a user friendly way. Debug actions will optimize the saving mechanisms that will optimize an efficient use of energy.

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Deliverables:

Development and demonstration of advanced energy monitoring visualization techniques and tools.

Pilots running for, at least, two years to extract useful information.

Expected impact:

New user-friendly advanced energy monitoring visualization techniques and tools adapted to industry and SMEs and which are optimised to trigger energy savings.

KPIs:

Development and demonstration of at least two innovative advanced energy monitoring visualization techniques and tools.




Action 3: Creating and demonstrating predictable models for process energy consumption

and demand

Scope: New solutions (software, hardware) should be developed and demonstrated to create predictable models for process energy consumption and demand, reporting on over-consumption or over-demand. These new developments should be validated by several industries and fulfil several technical requirements in order to enable a better plant control on a more efficiency basis (e.g. on-line monitoring, real time measurement, alarm before process installation is affected, overall scaling risk measurement, specific measurement possible, low sensor fouling risk to use).

Deliverables:

Software and hardware for modelling process energy consumption and demand.

Novel, low-cost and intelligent sensors.

Expected impact:

Creation of models and demonstration in real industrial conditions, driving to the elimination of energy over-consumption or over-demand.

KPIs: -




Action 4: Development and demonstration of advanced simulation and modelling methods

and tools for the design and operational phase of manufacturing processes and

systems

Scope: Advanced computational models for process design and control are key factors in establishing

a competitive edge for the process industry in Europe. In order to drive continuous progress and innovation in process technology, it is a prerequisite to acquire improved process understanding. Hence, design and engineering methodologies and systems engineering methods and tools, such as process modelling, advanced simulation and control strategy, are essential to extrapolate and catalyse the dissemination of advanced process technologies into all kinds of industrial production units. Linking process modelling capabilities with eco-efficiency and economic models is also a requirement for qualified, knowledge- based decision making for sustainable production. The safe operation of a process in an optimal operation window, delivering the specified product quality with the maximum yield, and using the scarce resources efficiently with a minimum of energy input, is a key issue in the process industry. Therefore the measurement of the relevant process parameters, the advanced

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control and the multi-variety optimization of the conflicting goals are mandatory to stay competitive in the global market.

Deliverables:

Development and demonstration in real industrial conditions of advanced simulation and modelling methods and tools for the design and operational phase of manufacturing processes and systems (e.g. linking process modelling capabilities with eco-efficiency and economic models).

Expected impact:

Dissemination of advanced process technologies into all kinds of industrial production units.

KPIs:

Increasing the energy efficiency of manufacturing processes and systems.




Challenge 3: Value chain optimisation and factory design

KEY ISSUES

Better address resource and energy efficiency in the design phase of manufacturing processes.

Identify and improve resource and energy efficiency throughout the whole value chain. Industrial and business energy efficiency policy must not stop at the factory gate but should capture savings wherever this is practical along the whole supply- and distribution chain ("factory/transport" interface), in a cradle-to-cradle perspective. To that regards, life cycle analysis need to be better used.

Large resource and energy saving potential can be tapped by engaging traditionally separate industries in collective research & innovation approaches in order to identify new ideas (e.g. up to 21% of all final energy use and feedstock in manufacturing industry in 2050 can be of renewable origin), transfer new technologies from one sector to another and reach a critical mass for advanced and breakthrough technologies. These collective approaches should also lead to better demand side management strategies through the clustering of e.g. factories and suppliers and to the improvement and integration of logistics flows around, to and from factories.

The optimization of the value chain as regards resource and energy efficiency should lead to the development and implementation of new business models (e.g. reusing, recycling or reprocessing companies).

Capacity building should be enhanced as regards factory design, operation and maintenance.


Action 1: Increasing the use of RES in industry

Scope: The industrial sector is an area of high energy demand and yet little RES supply and efficiency measures. Innovative solutions and substantial research are required in particular in the high temperature ranges from ca 250 °C upwards, to temperatures in excess of 1000 °C. Hybridisation, different system stages, storage, waste heat recovery etc. need to be investigated. For the low to medium temperatures, applied research, development and demonstration is crucial to convert known technological solution into practical installations and marketable products (e.g. solar thermal solutions for industrial processes).

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Deliverables:

High temperature: CHP installations at high temperature, suitable for energy intensive industry.

Low temperature: e.g. Combined Heat and Power using ORC technologies at low temperature, Underground Thermal Energy Storage (UTES) at 40-90 °C can directly supply heat for low temperature industrial needs such as batch processes or seasonal industries (e.g. sugar refineries), where periods of heat (and/or cold) demand are followed by phases of inactivity.

Application of innovative concepts for RES energy use in agriculture, aquaculture, drying processes, desalination, industrial uses, snow melting and road de-icing etc.

Expected impact:

The Deployment of RES technologies is seen with RES heat from combined heat and power (CHP) for industrial process and district heating & cooling. The first operations are expected for the period 2012-2020, with widespread implementation of the technology during 2020-2030.

Multi-functional networks (buildings and industrial processes) will be developed too.

KPIs:

High temperature CHP installations development and demonstration in real industrial conditions providing heat at temperatures above 250ºC at costs competitive with fossil fuel alternatives, reducing the consumption of fossil fuels in at least 20% compared to current practice.

UTES and innovative RES concepts should drive the fossil energy consumption reductions of at least 20% compared to current practice.





Action 1: Developing industrial symbiosis and the creation of symbiotic eco-systems for

more energy efficiency

Scope: Integration of individual production units of a single company or in some cases multiple companies have already demonstrated that significant gains in energy efficiency can be achieved. Hence, actions should aim at further integrating energy-intensive activities across workshop boundaries within production units (process integration) and across business boundaries (industrial-park). This concept can be taken further by the integration of industry parks into the local communities (eco-village, eco-cities). Actions could also support the development and implementation of demand side management strategies through the clustering of factories and suppliers or other companies (including development of adapted Manufacturing Execution Systems).

Deliverables:

Developing and demonstrating collective industrial approaches by creating e.g. cross-sectorial clusters leading to industrial symbiosis with coupled production and increased energy efficiency.

Expected impact: -

KPIs:

Development and demonstration of industrial symbiosis concepts leading to concrete measurable reductions in energy consumption in the involved industries of 15% compared to current practice.




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Action 2: Collective cross-sectorial actions to develop, demonstrate and optimise new and

existing industrial processes

Scope: Developing new processes is sometimes too costly and risky for a single company/sector for instance, heating technologies and insulation designs. Sharing costs between companies and sectors would allow them to develop new processes and to provide the means to success in a general way. A sharing of costs would permit many SME to develop processes that they wouldn’t have been able to develop on their own because of a lack of resources. There is a huge potential to promote a cross-sectorial approach of R&I through different industries, in order to identify new ideas, the possible transportation of a new technology from one sector to another one and reach critical mass of means for advanced and breakthrough technologies.

To that regards, an integrated approach to overall innovation of process is required looking at design, simulation, operating conditions, maintenance and process management along with highly innovative breakthrough in e.g. heating technologies and insulation designs. For example, thermodynamic barriers to conversion can be changed by using better catalysis, use of different solvents or use of solvent free conditions can change reaction conditions and thermodynamics fundamentally in a positive manner, use of energy and reducing agents not based on carbon, which means hydrogen and electricity and to a lesser extent natural gas, can reduce CO2 emissions. In addition, these activities could also lead to the development of new and low cost materials purposely designed for e.g. reducing thermal losses, reducing cooling water use, supporting the implementation of technology for energy recovering, allowing recycling spent refractor or embedding sensors to monitor thermal status. Other solutions and combined integrated efforts on new reaction technologies, new manufacturing concept (e.g. 3D printing), new separation technologies, new hybrid technologies, or new supply chain concepts should also be considered as a way to increase energy efficiency in industry. Optimised preventative maintenance on key machines/equipment should also be investigated as it can prevent energy from being wasted. Examples include losses due to vibration or heat in pumps, motors, compressed air, heat exchangers, forming, shaping, pressing and bending of metals, heating, moulding (heat).

These new approaches should be demonstrated to prove their integration capability in the whole product tree. In all activities the aim is also to improve economic feasibility and hence increase adoption.

Deliverables:

Development and implementation of mature framework and methodology to realise cross-sectorial technology transfer of ideas and practices.

Redesign and design of existing and new equipment and processes.

Development and demonstration of more flexible and scalable manufacturing processes at lower capital and operating costs.

Development and demonstration of new low dissipation designs, equipment and materials purposely designed for:

- Reducing thermal losses.

- Reduction of cooling water use.

- Supporting the implementation of technology for energy recovering.

- Allowing recycling spent refractory.

- Embedding sensors to monitor thermal status, performance and residual life in service of the materials in service.

Expected impact:

Reduction in the energy waste and the environmental footprint of SMEs and industries while increasing their competitiveness.

KPIs:

By 2020, new innovative processes may allow the production of short series at the same cost as present large ones by development of more efficient melting, holding and sintering processes. In the chemical sector, new solutions in this field will enable higher reaction rates leading to low-

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temperature processes and smaller equipment size, better selectivity leading to minimization or elimination of waste, reduced requirements for separation which are responsible for ~40% of energy consumption in chemical and related industries.9




Action 3: Methodologies and tools for cross sectorial Life Cycle and Cost Assessment of

energy efficiency solutions in industry

Scope: In order to develop more resource and energy efficient process streams, modelling and assessing all the interacting value chains is essential. A holistic approach is needed to identify and select appropriate assessment methodologies and impact parameters and further develop and demonstrate in real industrial pilot case suitable macro and meso-indicators across sectors to meet the needs of a specific assessment10.

Deliverables:

LCA methodologies and tools for energy efficiency in industries and SMEs.

Capacity building actions to increase the skills of energy managers and decision makers related to LCA.

Expected impact:

Enabling plant/process managers to discover opportunities for energy improvement by replacing or updating equipment, processes and machines while novel LCA cross-sectorial indicators, methodologies and approaches.

KPIs:

Development and demonstration in actual conditions of novel cross-sectorial sustainability indicators and LCA methodologies.

Costs: 4 projects with a total budget of EUR 6 million.



Action 4: Capacity building on factory design, operation and maintenance related to energy

efficiency

Scope: Activities should focus on removing market barriers, in particular the lack of expertise and information on factory design, operation and maintenance related to energy efficiency.

Deliverables:

Instruments and schemes to ensure the availability of updated, comprehensive and usable information on factory design, operation and maintenance related to energy efficiency.

Expected impact:

A significant impact in terms of improved competitiveness, larger investments made by stakeholders in energy efficiency measures, number of people with increased skills, broader application of pinch technology.

KPIs:

Every million EUR of support is expected to increase the skills of hundreds of people working in the sector resulting in savings of at least 25 GWh per year.

9 SPIRE 2030 roadmap http://www.spire2030.eu/uploads/Modules/Publications/spire-roadmap_december_2013_pbp.pdf 10 SPIRE roadmap 2030 http://www.spire2030.eu/uploads/Modules/Publications/spire-roadmap_december_2013_pbp.pdf

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Challenge 4: Market uptake of innovative energy efficient practices and

solutions in Industry and SMEs

There is a need to support the deployment of innovative energy efficient practices and solutions in industry and SMEs by tackling the non-technical obstacles which hinder their adoption and implementation.

KEY ISSUES

Better monitoring (including audits), need for more energy management systems, benchmarking tools, best practices exchanges and information exchange on energy efficiency in industries & SMEs (capacity building).

Improving the deployment of energy efficient solutions while helping companies take more rational choices on energy options.

Supporting the development of clear business cases for energy efficiency investments in industry and SMEs and addressing the issues of access to capital, split incentives, bounded rationality risk, imperfect information or hidden costs.

Continuously improve the skills of both managers and employees for the adoption of a new energy culture in industry and SMEs.

Common definitions on energy efficiency at machine and system level.

INNOVATIVE AND MARKET UPTAKE PROGRAMME

Action 1: Improving the energy culture of industrial companies and SMEs

Scope: Energy efficiency relies on technologies but also on people behaviour. To that regards, specific

research and demonstration activities on behavioural change in industry and SMEs are needed to improve the energy culture of businesses. The improvement of energy culture in businesses is a novel approach that draws inspiration from both behavioural models and theory of change. It covers many of the key elements of behavioural models and is thus a comprehensive approach to behavioural change in industry and SMEs. This approach needs to be further researched and developed, in particularly demonstration projects are needed in industry. In general, both employers and employees should change their behaviour for capturing energy savings wherever it is practical. Actions should also address the need to better convince the senior management to support the implementation of energy efficiency measures while "bringing energy efficiency from the boiler room to the board room".

Deliverables:

Additional research and demonstration activities on behavioural change in energy efficiency in industry and SMEs.

New corporate incentives and programmes for encouraging energy efficiency.

Targeted trainings and communication campaigns.

Continuous education of future process industry professionals.

Expected impact:

Adoption of a new energy (saving) culture in industry and SMEs.

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KPIs:

The energy culture should trigger a pressure for change, a clear and shared vision about energy efficiency, allocation of resources to implement the changes and it should mitigate the perceived risks of energy efficiency (stopping production, technological burden).

Implementation of large-scale and sustainable training courses on related skills dealing with cross-sectorial practices for the Sustainable Process Industry.

Activities to improve the energy culture are implemented and monitored in SMEs and industries in real conditions leading to concrete measurable energy savings.

Costs: 8 projects, EUR 12 million.



Action 2: Create benchmarking and target improvement programs for industry and SMEs

Scope: Many industrial organisations miss the opportunity to continuously improve energy efficiency and generate cost savings by analysing efficiency data against target and benchmarks. An Energy Manager on site cannot improve what is not measured and cannot improve efficiency if no target is identified at the process level. Benchmarking and target improvement programs for industry and SMEs need to be further developed and rolled out across Europe. To that regards, SMEs and energy intensive manufacturers require guidelines on what to measure to benchmark consumption and demand as well as how to measure it. Today, more guidance is needed on how to identify areas of energy improvement or cost savings, resulting in lost opportunities for continuous improvement. Regulations and standards must be set to help drive system level compliance with initiatives such as ISO 50001.

Deliverables:

Investigation on available technology for measuring and monitoring system health.

Guidance and recommendations on energy efficiency benchmarking and targeting.

Energy efficiency benchmarking facilities.

Improvements to level of reporting available / required to discover energy efficiency opportunities.

Expected impact:

This energy efficiency measure increases industrial sustainability and competitiveness, reducing energy consumption and demand costs.

KPIs:

Improved adoption of energy management software and measurement devices to improve EE reporting at the opportunity level to 30%.

Improve reporting of energy efficiency opportunities to drive 12.5% reduction in overall energy consumption.

Increase adoption of EM measurement and benchmarking reporting systems 80% in the discrete/process Industry.




Action 3: Development and demonstration of the most adequate Energy Management

Systems (EMS) for SMEs and industry

Scope: Energy Management systems (EMS) allow SMEs and larger industrial companies to account for or benchmark their energy consumption and demand for comparison against target, identifying anomalies or changes to their energy consumption while allowing for continuous improvement project identification. EMS can also offer standardized holistic new approaches that perform cost-saving optimizations of energy and resources supply and demand on the basis of energy and exergy balances,

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pinch analysis, prediction of energy demand, diagnostic and optimisation, including heat recovery, by taking into consideration both economical and sustainability constraints. Finally, harmonized energy use for fluctuating inputs (e.g. wind, converter gas) and variable (batch) process demand, on-site energy flow management (smart grids) represent added value information to be incorporated in EMS. Research and innovation actions should aim at further developing EMS according to the need of each sector. At the SME level, they should for instance focus on the further development of cross sectorial scalable EMS based on ISO50001. Actions should also aim at promoting EMS good practices across industry and SMEs.

Deliverables:

EMS improvements (e.g. scalable EMS for SMEs, appropriate evaluation methodology with regard to energy and resources efficiency, environmental relevance and economy).

Improvements to existing guidelines on EMS.

EMS pilot programme.

Guidance and recommendations on common opportunities, KPIs, methodologies required to discover EE opportunities via EMS.

Expected impact:

Systematic approaches like ISO 50001 are applicable to all industrial processes.

The EMS will help SMEs and large intensive manufacturers to baseline and benchmark energy as a variable cost of production.

Many European companies are active in this value chain: energy management system integration is growth area for automation & control as well as instrumentation companies.

KPIs:

Improved adoption of normalized energy per unit of product produced KPIs and EE reporting at the SME level to 65%.

Improve reporting of energy efficiency opportunities to drive 12.5% reduction in overall energy consumption.

Increase adoption of EMS 80% in the discrete / process industry.

Costs: EMS development and pilot program EUR 8 million.



Action 4: Develop a repository of best available energy efficiency technologies/ good

practices for industry

Scope: Develop a repository of best available technologies/good practices where the results of previous energy-efficiency EU or national projects in industry projects could be pooled together (e.g. sharing of results on energy-efficient glass and aluminium melters, total site energy management- and planning, etc.).

Deliverables:

Development of a state-of-the-art exchange platform.

Expected impact:

Reap the benefits of Europe's collective intelligence on energy reduction in industry for all relevant audiences. It should bring together new practitioners and professional associations while motivating them to exchange best working practices and knowledge and to transfer tools and resources.

KPIs:

More than 200 good practices available covering various industrial sectors and more than 200,000 visitors per year.


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Action 5: Increase attractiveness and societal acceptance of energy efficiency as the best

tool of tackling climate change and competitiveness in industries & SMEs

Scope: Use of modern communication tools and media to increase attractiveness and societal acceptance of energy efficiency as the best tool of tackling climate change and competitiveness in industries/SMEs (e.g. cross EU, cross sectorial campaign for industrial and SMEs energy efficiency).

Deliverables:

Cross EU, cross sectorial campaign for industrial energy efficiency. Use of existing channels.

Expected impact:

Uptake of cross-cutting innovative technologies, such as energy efficient electric motor driven systems and steam/hot water generation.

KPIs:

The communication activities should be evaluated and monitored and should lead to a change of behaviour within the targeted sectors.

Costs: EUR 10 million (5 sector specific projects).



Action 6: Support the development of innovative energy efficiency services and business

models for industry and SMEs

Scope: Development and demonstration of new energy efficiency services and business models for

industry and SMEs based on the large amount of energy data that will become available. These actions should also take into account the issues of access-rights to data, data protection and cyber-security.

Deliverables:

New or optimised business models adapted to industrial companies and SMEs.

Expected impact:

New business models (especially for SMEs) enabling OpEx improvement projects rather than Capital Expenditure – oriented strategies.

Roll-out of adapted business models – SMEs specific focus.

KPIs:

New business models accepted by the industry and financiers.




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HEADING 4: Increasing Energy Efficiency of Energy-related Products and

Systems11

Challenge 1: Develop innovative and highly efficient energy-related products

and systems

KEY ISSUES

Research on the next generation of highly efficient energy-related products and systems (e.g. lighting, HVAC technologies, tyres, windows, wet appliances, ICT, etc.).; the challenge here is to find the right balance between affordability, performance, and energy and other resources use while considering the whole product life cycle.

Develop interoperability and connectivity of smart technologies within the smart grid environment (e.g. standardisation, framework for smart appliances, communication protocols, Internet of things for energy efficiency, control strategies).

Analyse the forthcoming challenges and future technology needs in the area of energy-related products and systems.


Action 1: Research on the next generation of highly efficient energy-related products and

systems

Scope: For developing the next generation of energy efficient products and systems, there is a need to develop visions of highly energy efficient ones could to best respond to future market needs including the need for e.g. "smartisation", system integration, affordability, resource efficiency and low environmental impact throughout the whole life-cycle of the product. These research activities should aim at creating a clear and innovative path to new concepts, technologies and applications leading to significant energy savings. To tap into this substantial innovation potential, research and innovation activities should aim at developing definitions, roadmaps, system calculations or at investigating synergies (e.g. how OLEDs in practice can be used as a PV array as well as a medium for generating images?), As regards synergies and system integration, actions should take into account the existing voluntary product or system certification schemes (e.g. eu.bac CERT and eu.bac System ) which support quality and energy efficiency at a system level. Research and innovation actions should also fully consider the environmental impact of products throughout their entire value chain/ life cycle.

Deliverables:

Definitions of highly efficient energy using products, appliances and systems.

Roadmaps, system calculations, Life cycle (costs) assessment, new technology and synergy concepts for developing the next generation of highly energy efficient products and systems.

Expected impact:

Contribution to the development of highly energy efficient appliances, products and systems with advanced features and performance which can offer a smart way to save energy.

11 As defined by Ecodesign 2009/125/EC Energy-related product means ''any good that has an impact on energy consumption during use which is placed on the market and/or put into service, and includes parts intended to be incorporated into energy-related products covered by this Directive which are placed on the market and/or put into service as individual parts for end-users and of which the environmental performance can be assessed independently''

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KPIs:

By 2020, new proven concepts of highly energy efficient products are being developed.





Action 1: Develop interoperability and connectivity of smart technologies within the smart

grid environment

Scope: A smart household appliance is sometimes defined as a product which plays an active role in energy management, complying with the system protocols, respecting the user settings and always assuring its best performance. However, in practice, 'smartness' is a poorly understood concept and there is a need to better understand what smartness means, in particular for the end-user. Furthermore, many smart applications are tied to specific products and linked to proprietary technologies, rather than based on open interfaces and standards, which hampers innovation. Research and innovation actions should therefore aim at facilitating the development of clear and fair rules, definitions and standards to better define the 'smartness' concept and to ensure interoperability and connectivity of smart appliances with their environment (e.g. smart grid environment). Research actions are also needed to develop accepted overarching rules for 'control' strategies to ensure the efficient integration of "smart" appliances at system levels.

The inclusion of a smart device (smart box: a single control device a 'multi-commodity gateway/smart box') able to control consumptions and detect malfunctions, on all kind of infrastructures, could increase efficiency of homes detecting malfunctions in the systems or automating intelligent behaviours, for instance: detecting anomaly water consumption due to a broken pipe. Or leveraging applications, such as: detecting parasitic loads and unplugging devices to avoid them or leveraging tariff schemes. This kind of solutions should be used for heating and cooling control with presence detection, switching off devices when nobody is inside or adapting temperature in accordance with the activity inside the home.

Furthermore, availability of home consumption information in different smart platforms: in home displays, smart phones, tablets, etc. and enable modification of tariffs depending on the real-time consumption or energy needs, would allow users a more active control of the consumption.

Deliverables:

Definitions on smart appliances and "use cases".

Clear criteria to identify what technologies save energy and what technologies are useful for other purposes (Load management, cost savings through meter reading), formulas for dividing profits between users and suppliers.

Roadmaps, system calculations, life cycle (costs) assessment, new technology and synergy concepts for developing the next generation of energy efficient products and systems.

Adopted standard/rules for interoperability, connectivity and energy-related data management (common communication protocols, Internet of things for energy efficiency etc.).

Research on essential data to be exchanged and an analysis of interaction between parallel equipment control strategies (demand/supply control, interoperability12 among different systems e.g. HVAC, alarms systems, data privacy and security).

Developing single control devices 'multi-commodity gateway/smart box' allowing availability of home consumption information in different smart platforms.

Demonstration of the integrated solutions.

12 DG ENERGY DG CONNECT are expecting to launch a “Lot” concerning smart appliances this year. The pre-study would consider both energy consumption and interoperability and should last for two years

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Expected impact:

Support the innovative power of a highly innovative and dynamic industry.

Large environmental benefits in energy savings and load management (introduction of renewables, distributed generation and off-grid systems).

Optimal combination of energy efficiency and renewables.

Adopting intelligent solutions to facilitate the citizen's daily life. Enabling significant improvements in energy efficiency.

KPIs:

Increased interoperability, connectivity and security.

Number of installed single control devices. Percentage of reduction in the solving time of a fault.




Challenge 2: Stimulating the market for highly energy efficient products and

systems

The performance of products on a market, if ranged in order from the best to the worst, tends to form a Gaussian distribution. Over time this distribution changes so the worst disappear, there are more product performing as the best (BAT) did and further new products emerge performing even better (BAT+). This process can be pushed to move faster by implementing market transformation activities including (1) Minimum requirements can ban the worst, (2) phasing in BATs energy labelling and market promotion can speed towards BAT and (3) technology procurement can establish BAT+.

KEY ISSUES

The European legislative framework for energy efficiency (notably Ecodesign, Energy Labelling, Energy Star and Energy Efficiency Directive) should be used as a stronger driver for market transformation.

Harmonise and improve performance measuring standards and minimum energy performance standards via international collaboration.

Increase the roll-out of highly energy efficient products and systems by increasing capacity building, knowledge sharing, implementation support and strategic development of legislation (e.g. market surveillance and enforcement), labelling and regulation.

Facilitate a favourable market framework and the social acceptance of highly energy efficient products and systems.

Promote technology, public and collective procurement as well as other market transformation tools that provide the right incentives to develop and roll out highly energy efficient products and systems.

Support consumers to be able to make informed purchase decisions based on robust energy performance data.

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Action 1: Promote technology, public and collective procurement as well as other market

transformation tools that provide the right incentives to promote highly energy

efficient products and systems

Scope: Buyers of energy-related products and systems can foster innovation by specifying energy performance levels that are higher than the best levels available on the market. This market-transformation tool, commonly referred to as 'technology procurement', has been used successfully for a few products such as lighting products, copiers, electric motors and cold appliances but it could be used for many more energy-related products, systems and services if more buyers knew how to use it. In addition, the public sector constitutes an important driver for stimulating market transformation towards more sustainable energy-related products and services. In this regard, the Energy Efficiency Directive requires for instance that central governments purchase only products, services and buildings with high energy-efficiency performance. However, there are many operational barriers related to energy efficiency public procurement (e.g. lack of knowledge, practical training, tailored guidelines, legal uncertainties) that need to be addressed. Collective and joined procurement are also an important tool for fostering market transformation. The larger the group of buyers, the higher is the potential market and therefore the greater is the interest of manufacturers to meet more ambitious product specifications and to deliver new highly energy efficient products. Research and innovation actions should therefore aim at supporting the promotion of technology, public and collective procurement by providing capacity building and guidance to procurers and sharing good practices, by supporting the development of innovative procurement actions and/or by supporting the establishment of group of buyers.

Deliverables:

Trainings and capacity building schemes to foster the use of innovative energy efficiency procurement practices in the public and the private sector.

Establishment of buyer groups willing to drive the market forward in terms of highly energy efficient products, systems and services.

Support for the preparation of large-scale public or private tenders related to energy efficiency, e.g. support regional and local authorities to voluntarily follow the example of central government authorities to purchase energy efficient products, systems and services.

Expected impact:

Earlier market introduction of super-efficient technologies that go beyond BAT (i.e., BAT+ or BnAT).

Acceleration of BAT market penetration.

KPIs:

Doubling of the market penetration of products using super-efficient technologies.




Action 2: Ecodesign and labelling as a driver for market transformation

Scope: The ecodesign and labelling process is very thorough in determining the market situation for different products. It is already efficient in phasing out the worst products, but more could be done with up-to-date market and product performance data. The preparatory studies undertaken for ecodesign and labelling should be 1) used to understand under which conditions the phase-out of worst products can be accelerated, but also 2) to phase-in BATs and become much more developed into roadmaps that indicate actions for all three modes (1-3) of market transformation indicated above.

For a number of product categories, system aspects and system integration are extremely important and may often represent a far larger savings potential then the technical efficiency of the stand-alone

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product. Pumps are a good example where the savings are to be found in system integration and very little actually are captured by improving the hydraulic efficiency of the pump. Ventilation and motor equipment are other examples where system integration and controls can bring very large savings. Windows represent a new type of challenge, as a product causing indirect energy consumption. These products are now being considered for ecodesign and labelling and they have system relevance in different ways: First, the definition of their efficiency is extremely dependent on the type of building they will be installed in (climate, usage etc.). But windows today can also have built in active functions: they can generate electricity as PV arrays but the same function can also be used in reverse to change their insulation properties.

It is also important that preparatory studies take the learning potential of industry into account so minimum performance requirements are based on a realistic understanding of how quickly the cost/performance ratio actually may increase. Finally, actions should also aim at exchanging good practices following the future revision of the EU energy product legislation framework (e.g. new design, rules of the label).

Deliverables:

Making data on efficiency level of BATs products in the market and nBATs available for a better design of MEPS levels on open source basis.

Collection and exchange of good practices on the implementation of the EU energy product legislation framework.

Roadmaps for market transformation of product groups/systems.

Expected impact:

Better identification of market transformation opportunities.

KPIs: -




Action 3: Better monitor market development and products energy performance

Scope: The lack of up-to-date market and performance data on products is hindering the development of strategies and policies. Available data is often very sketchy or even misleading. Actions should therefore aim at better monitoring market development and products energy performance by using state-of-the-art technologies such as automatic web crawlers that collect price and performance data of given products. The collected data could also be used to help consumers make informed purchasing decisions based on robust energy performance data easily accessible. And support market surveillance activities by Member States.

Deliverables:

EU-wide generic system for tracking data for products covered by ecodesign and labelling systems. Additional data can be generated on request by member states etc.

Databases of the products entering the EU market.

Support scheme for helping consumers make informed purchasing decisions.

Expected impact:

Better identification of market transformation opportunities, more ambitious legislation and their effective implementation and improved consumer knowledge leading to informed purchasing decisions.

Better targeting of market surveillance efforts by Member States.

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KPIs:

Doubling of market penetration of highly energy efficient products.

Costs: EUR 10 million (this could be much higher depending on the scope of the exercise).



Action 4: Increasing Energy Efficiency of Green Data Centres

Scope: A Data Centre is a repository for the storage, management and data which are dynamic and energy intensive facilities. In response to increasing energy consumption in Data Centres and the need to reduce the related environmental, economic and energy supply security impacts, the aim of this action is to develop and implement an energy monitoring and reporting management process for efficient data centres and to inform and stimulate data centre operators and owners to reduce energy consumption in a cost-effective manner without hampering the critical function of data centres.

In this context, the Green Data Centres should be designed for maximum energy efficiency and minimum environmental impact for all the mechanical, lighting, electrical and computer systems and components. The action should consider the rapid technological evolution of a dynamic industry, the scalability and the need for tailored solutions by suppliers. Sharing of best practices for ICT’s energy efficiency enhancements.

Deliverables:

Assessment of energy saving options and solutions for Green Data Centres, estimating associated cost.

Identifying and developing Best Practices.

Integration of renewable energy sources in Data Centres.

Recommendations based on best practice and real cases studies.

Replication activities / benchmarking of energy use.

Expected impact:

Quantifiable and significant improvement of resource efficiency and reduction of operation and maintenance costs.

Contribution to the creation of new market opportunities.

KPIs:

Improving energy efficiency by 20% by 2020 through the implementation of best practices.




Action 5: Develop and roll-out DHC driven white goods and low temperature solution for

domestic hot water preparation

Scope:

DHC networks can supply a wide variety of household appliances that nowadays produce heat or cold internally with electricity. White goods already exist and are commercially available but they are expensive. The cost of these white goods should be reduced by bringing them from demonstration to mass production. There is a need for demonstration projects to show the feasibility of using in-house appliances which directly use thermal energy from the thermal district energy system.

The sector should also develop customised solutions for the hygienic supply of domestic hot water (DHW) using low supply temperatures that are beneficial for the whole energy system. An

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evaluation of different possibilities of DHW preparation (e.g. additional heating or direct heating without storage) considering the local energy systems framework needs to be made.

DHW today must be stored and supplied at temperatures over 60°C in order to avoid the development of bacteria (legionella). With the development of low temperature systems, the preparation of DHW in DHC networks should be given appropriate attention to avoid the development of legionella.

Deliverables:

Decrease the electricity consumption of white goods by 50% in household using DHC. White goods using DHC becoming cost-competitive with traditional ones.

Develop new plug-and-play solutions which allow the operation of DHC at temperatures below 50°C without risk of bacterial infections.

Expected impact: -

KPIs:

Electricity consumption of white goods per year, average household: 2012: 850 kWh - 2020: 153 kWh - 2030: 130 kWh.

Operating temperature of white goods connected to DH: 2012: 80 °C - 2020: 60 °C - 2030: 40 °C.

Number of plug-and-play white good products available on the EU market: 2012: 3 - 2020: 7 - 2030:20.




Action 6: Supporting effective implementation of EU product efficiency legislation

Scope: By 2020 full implementation of the EU product efficiency legislation should be one of the most

important contributions to the EU energy efficiency target. Previous initiatives have demonstrated the usefulness of market surveillance activities. However to ensure full implementation of product efficiency legislation, it has also been proven that these activities should be improved. There is therefore a need to support the monitoring, verification and enforcement of the EU's energy related products policy, in particular for those products that represent the highest energy saving potential (e.g. electric motors, water and space heating and cooling equipment, lighting). Although actions should not replace activities that are under the responsibilities of the Member States, they should add a European added value to these activities.

Deliverables:

Execution of joint activities among market surveillance authorities, exchange of information, development of common methods, protocols or checklists.

Expected impact:

Increase of confidence among purchasers, manufacturers and retailers.

Energy savings from avoided non-compliance.

KPIs:

Improved accuracy and confirmed performance levels of products in line with legislative requirements, improved consumer satisfaction.

Lower levels of non-compliance.

Streamlined energy efficiency policy implementation process.




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Challenge 3: Reforming business

The future energy system will be much more integrated allowing for use of distributed generation feeding in locally. Often such changes releases innovative power also for more efficient use of energy since the owner of the local system wants to sell maximum of their production. In the end the traditional division between supply and demand, on one hand, and between producer and user, on the other, will fade away. This will also have an impact on business models. In addition, with smart appliances, smart meters and other connected sensors, data volumes will only continue to grow and will provide new business opportunities for energy efficiency services.

KEY ISSUES

Both Demand side and Supply side need to take the on-going market changes (ICT, increasing volumes of data miniaturisation of RES and smart functions in appliances) into account and adapt their business operations so to give a higher value to energy efficiency and energy efficient behaviours.

Develop new business models activating the participation of prosumers (e.g. rewarding consumers adequately for purchasing a better energy efficient product and for better matching energy demand with the supply, aggregate consumers' resources and bid them into the market).


Action 1: Developing and demonstrating alternative energy efficiency business models

Scope: Both Demand Side (suppliers of equipment and services) and supply side need to take the on-going market changes (ICT, increasing volumes of data, Miniaturisation of RES and smart functions in appliances) into account and consider their business operations. There are several studies from major consultants13 but also traditional interest groups14 that indicate directions and readiness. Research and innovation actions should aim at developing and demonstrating alternative business models which create new revenue streams based on the use of new technologies for energy efficiency. Business models should put the customers at the core of value creation and should use the new technologies as way to facilitate their engagement. Typically, new business models could create the most value in mixing traditional energy efficiency services with e.g. demand response, distributed generation and storage, electric vehicle or facility management. The emerging and future technologies should also help energy efficiency service providers address new sectors such as the residential sector where large energy savings potentials are lying.

Deliverables:

Demonstration projects that show how alternative business models integrating energy and energy services supply and demand.

Development and demonstration of new energy efficiency services putting customers at the core of value creation and using new and emerging technologies to address new sectors.

Expected impact:

Development of the energy services industry (turnover of over 15 b€ by 2020).

KPIs:

10 successful business models developed and demonstrated in different countries.




13 McKinesy and Accenture 14 Eurelectric

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HEADING 5: Innovative Financing for Energy Efficiency

Challenge 1: Improving the financeability and risk profile of energy efficiency

investments

KEY ISSUES

Develop frameworks for the standardisation and benchmarking of investments. Need to standardise measurement and verification of energy savings to reduce risk perception, increase reliability and certainty, allow project bundling and pooled project financing.

Develop technical standards for metering and invoicing in the frame of on-bill financing schemes and other innovative solutions linking the energy savings with the physical assets.

Develop and demonstrate a pipeline of flagship projects and model innovative financing solutions to gain investors’ confidence and enable standardisation and aggregation.

Support the development of support programmes/business models to give a higher value to energy efficiency and energy efficient behaviour (e.g. programmes from utilities, retailers or energy services providers). Develop and replicate innovative financing schemes and energy service contracts for non-energy individuals/organisations (e.g. co-operative citizen ownership, micro-finance, etc.).

Establish networks, dialogue, and best practice exchange/cooperation structures between finance, energy industry and technology providers.

Address the lack of track record, knowledge and understanding of sustainable energy investments by e.g. banks, financial institutions or investors. Foster training and capacity buildings for financial institutions and investors to increase the motivation to finance energy efficiency projects and develop appropriate financing products and practices.

Revise building valuation techniques, to allow for proper reflection of the energy efficiency measures in the overall asset value.

Develop and demonstrate the framework and model solutions for refinancing of EE investments (address issues related to creation of the secondary market, securitization, portfolio approach etc.).


Action 1: Standardise measurement, reporting and verification of energy savings

Scope: There is a need to assess the current measurement, reporting and verification (MRV) approaches for energy savings in the different Member States. In addition, MRV methodologies should be harmonised in order to allow financial institutions and investors to assess the risks on comparable grounds and use predicted energy savings for project finance structures, which are depend on achievement and monetization of savings (i.e. sale of receivables based on achieved savings). The roll-out of MRV protocols requires the establishment of a profession of independent MRV auditors. Energy performance certificates would also need to be better standardised and register in order to allow proper evaluation of building value increase after rehabilitation.

Deliverables:

Harmonised approaches to energy consumption and performance data collection.

Clear, reliable, harmonised, “open-source" and accountable Measurement, Reporting and Verification (MRV) processes to be included in design of Common Procedures and Underwriting Practice (e.g. development of a European Standard based on the International Performance Measurement and Verification Protocol 15).

MRV certified software.

15 http://www.evo-world.org/index.php?lang=en

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MRV training schemes.

National register of certified auditors including quality management.

Expected impact:

Energy efficiency investments and the resulting or attainable energy savings to be measured, reported on and verified in a standardized, clear, transparent and high quality manner.

Uptake by financial institutions of standardised EE MRV methodologies.

Trained MRV auditors.

KPIs:

75 % of public tenders for energy efficiency services will include the use of an EU-wide harmonised MRV process as contractual requirement.

20% of financing institutions require the use of harmonised MRV process for energy efficiency investments by 2020 (beyond a certain investment threshold).




Action 2: Encourage on-bill financing schemes and other innovative solutions linking the

energy savings with the physical assets

Scope: Develop open standards for assessing metering data and devices, which allow for non-discriminating access of energy service providers to on-bill financing schemes. Assess existing standards and develop models that would allow cost allocation to heat and electricity meters which are accessible to all market actors.

Deliverables:

Harmonised approaches for assessing metering data and devices.

Expected impact:

Development of on-bill financing schemes in Europe.

KPIs:

Number of existing on-bill schemes having access to physical meters and allow for cost-allocation and recovery.





Action 1: Engage finance stakeholders in energy efficiency investments

Scope:

Create EU / national financing platforms associating all stakeholders on best/good practice financing solutions. Establish exchange to achieve common understanding between the finance world and the energy efficiency industry including representatives of final customers. Develop EE financing roadmaps per country and at EU level. Calculate grant requirements based on country specific framework conditions and affordability criteria.

Explore possible avenues of supporting energy efficiency financing by innovating the framework and instruments that could be further up-scaled e.g. under the regional policy.

Analyse impacts of existing instruments.

Engage institutional investors to increase their investments in EE/RES.

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Deliverables:

Energy efficiency financing roadmaps agreed by all stakeholders at national and EU level, including required evolutions in the legal framework and action plans for public authorities.

Impact analysis of existing instruments for financing energy efficiency and how they could be improved and up-scaled.

Engagement campaigns for institutional investors.

Expected impact:

Mobilisation of all relevant stakeholders and common understanding on financing for energy efficiency.

Clear roadmaps to improve finance for energy efficiency, estimations of the required investment volumes and public funding, and action plans to improve national and EU frameworks.

Increased investments by institutional investors in energy efficiency.

KPIs:

At least 1 roadmap in each Member State and 1 at EU level.

Increase by 10% of investments of institutional investors in energy efficiency.

Costs: EUR 42.5 million (28 national platforms at EUR 1 million, 1 EU platform at EUR 2 million, 1 study at EUR 0.5 million, 2 projects/year at EUR 1.5 million).



Action 2: Build innovative financing schemes and a pipeline of investment projects (project

development assistance)

Scope:

Project Development Assistance (conditional to investment triggered) for the uptake of large scale regional or municipal EE programs and innovative projects in specific areas where there is a need to increase investors' confidence and reduce their risk perception (e.g. buildings, industry, SMEs). Promote schemes increasing the financeability of EE investments (e.g. project bundling and pooling).

Supporting the replication of previously demonstrated successful financing models.

Development and demonstration of energy retailers programmes which target the delivery of energy efficiency services rather than commodity sales. It is important that such programmes remain open to energy service providers or other third parties.

Development and demonstration of micro-finance, citizen financing and co-operative models for energy efficiency, in particular through energy performance contracting.

Development and demonstration of innovative energy service contracts linked with financing solutions which e.g. better link energy savings with other benefits for consumers, give a higher value to energy savings and energy efficient behaviour, or take advantage of regulatory changes.

Development and demonstration of public guarantee solutions for energy efficiency investment in industries (large industries, midcaps, SMEs). In the present situation of lack of available credit, investment in energy efficiency is not considered strategic by industries. Funds are usually invested for core business activities. It is important to promote dedicated financing solutions (e.g. Energy efficiency funds for investments in industry) coupled with public guarantee mechanisms. Public guarantee is justified because the energy efficiency investments are considered strategic for the competitiveness of industry, mainly for the energy intensive ones.

Development and demonstration of finance models for comprehensive renovations of buildings, addressing both property and rental markets, enable long-term financing.

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Deliverables:

Large scale investment pipeline.

Demonstrated innovative financing schemes.

Expected impact:

Investment opportunities for private finance.

Sustainable financing schemes for energy efficiency established at local, regional and national level.

Market roll-out of innovative financing schemes and energy performance contracting (including financing).

KPIs:

EUR 1 million of EU funding should lead to at least EUR 15 million of investments for PDA projects and large scale energy savings.

Costs: EUR 200 million (EUR 35 million/year for PDA projects over 4 years, 7 CSA projects/ year developing and demonstrating innovative financing schemes).



Action 3: Create a track record for energy efficiency investments

Scope:

Useful data on the key aspects pertaining to energy efficiency investments and their observed performance should be made available to prospective energy efficiency investors and financiers. There is therefore a need to engage in the development of a joint platform for EE investments performance data sharing and analysis, to enable the creation of a “market history” necessary for further market creation. In addition, there is a need to develop risk assessment tools which can be integrated in the standard risk-assessment cycle by financial institutions.

For buildings, study impact on property value and propose revisions in valuation techniques in order to allow proper reflection of the energy efficiency measures in the overall asset value.

Deliverables:

Open source EU energy efficiency projects database with data standards, commonly agreed data structure and collection protocols.

New property valuation techniques and databases accepted by professional federations.

Expected impact:

High quality performance (both technical and financial) database to build the necessary market confidence in energy efficiency investments.

Possibility to benchmark and compare the relative successes of previous EE investments.

KPIs:

Dataset of tens of thousands of energy efficiency investments from across the EU.




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Action 4: Support the market transition towards more energy efficiency investments by

establishing frameworks, standards and securitisation models

Scope:

Research how to standardize the legal and financial structures of assets (loans, guarantees, energy performance contracts…). Develop securitisation models and rating models for energy efficiency debt products to enable access to secondary markets.

Develop frameworks for the standardisation and benchmarking of investments, such as labelling of energy efficiency investments / portfolios.

Support the financing of an ambitious energy services industry by e.g. developing forfeiting, securitization, or risk sharing schemes. Investigate options for establishment of new debt/equity instruments for up-scaling the energy services sector (e.g. green bonds).

Develop and demonstrate new business models by the finance sector, based on the aggregated and standardised transactions in the underlying portfolios.

Develop and demonstrate project risk assessment tools which can be integrated in the standard risk-assessment cycle by banks, investors and valuators.

Clarify under which conditions energy efficiency investments by a third party should be accounted on or off the balance sheet of the client (public or private), in order to develop clear business cases and allow the up-scaling of energy performance contracts.

Deliverables:

Standards and frameworks to benchmark and label investments in energy efficiency.

Standardised documents elaborated with the financial sector.

Models to develop a secondary market for energy efficiency debt products, including securitisation vehicles and rating guidelines.

Models to develop the forfeiting and securitisation of energy performance contracts.

New business models for the finance sector.

Demonstrated solutions to reduce transaction costs, increase scalability and mitigate risks of different financing solutions, including micro-finance models.

Risk-assessment tools integrating the energy efficiency fundaments.

Study on EU accounting and debt reporting rules.

Expected impact:

Greater visibility of energy efficiency investments on the financial market, enabling to attract more money at more affordable conditions.

Creation of a secondary market for energy efficiency related debt, including energy performance contracting.

Development of new financing solutions adapted to small-scale investments.

Integration of energy efficiency revenues in the financial evaluation of projects by financial institutions.

Greater clarity on the market regarding energy performance contracting or other forms of third-party investments, leading to an uptake of those schemes.

KPIs:

Energy efficiency rating is integrated in at least 50% of “green bonds” emitted in 2020, based on solid standards.

Standardised documents are used at national level for at least 20% of energy efficiency loans and 50% of energy performance contracts.

Secondary market for energy efficiency debt (including EPC) worth at least 500 MEUR/year in 2020.

Risk assessment tools adopted by at least 20% of EU banks.

Costs: EUR 30 million (12 projects, 2 tenders).


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Action 5: Capacity building on innovative financing for energy efficiency

Scope:

Large-scale capacity building on innovative financing to specific groups of stakeholders such as Member States, public authorities, energy agencies, energy consultants, SMEs and Industry.

Design and implementation of training courses (initial and continued education) for staff of financial institutions, with a view on transferring knowledge about underlying risks, project structures and performance of EE projects.

Deliverables:

Large-scale capacity building schemes targeted to relevant target groups (e.g. continuous vocational education and training with modules on innovative financing).

Adapted curricula to address innovative financing (e.g. in business schools).

Expected impact:

Empowerment of e.g. public authorities, energy agencies, energy consultants, SMEs and industry to develop or use innovative financing solutions for energy efficiency.

KPIs:

Every million EUR invested in these actions is expected to increase the skills of at least 500 targeted stakeholders and accelerate the use and the roll out of innovative financing solutions for energy efficiency in the trained organisations.




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HEADING 6: Citizen Engagement, Capacity Building, Governance and

Communication for Energy Efficiency

Challenge 1: Improve consumer engagement & changing behaviour

KEY ISSUES

Overcome the lack of relevant information about supporting measures for energy efficiency; ensure that information on available energy efficiency mechanisms, financial and legal framework is widely disseminated to all relevant market actors.

Increasing operators' transparency towards the consumers and in particular fostering their engagement helping them to control their energy costs and therefore reducing their energy consumption.

Foster user empowerment to encourage changes in energy consumption behaviour and active participation as prosumers.

Roll out of intelligent information and feedback systems to help citizens become active users, enabling accurate metering and billing that reflect their actual energy consumption and provide information on actual time of use16.

Structural actions addressing in particular vulnerable consumers in view of increase in electricity prices and the recent estimates from the EESC17 Priorities should be: setting up a European Poverty observatory, European energy poverty indicators, transfer of experiences on fuel poverty abatement actions between MS, in particular to South and East MS (where the risk of fuel poverty is higher), and transfer of experiences across MS on effective national policies addressing vulnerable consumers.

Research on behaviour and Energy Efficiency, e.g. rebound effect, neo-classical model vs behavioural, energy sufficiency, base per capita energy needs, and development of feedback systems based on understanding how the messages of energy efficiency should be provided to different target groups 18.

Research on the consumer’s learning cycle and on the development of ICT applications, end-user friendly systems to monitor and manage energy consumption with a systemic approach, as well as dynamic pricing programs to coordinate with this cycle.

Support social innovation to stimulate end-users to propose new solutions for energy efficiency.


Action 1: Theories and models of energy consumption behaviour and behaviour change

including re-examining the barrier concept, analysing policy applications, strategies

to address specific target groups.

Scope: Traditional models pay little attention to the role of the supplying business towards customers. The EED focuses on the need for energy services and on selling propositions that facilitate customers' choices while guaranteeing a safe and reliable supply.

It is generally assumed that customer/users are price-responsive and able to act in an economically rational way once having received and understood the implications (the economic man model). If the

16 as required by the Energy Efficiency Directive 17 European Economic and Social Committee (EESC) stated that 50-120 million Europeans are at risk of Fuel poverty (2013/C 341/05) 18 e.g. simple display & 2-way interaction with consumers via their smart meter regarding consumption, costs, time of use opportunities and income

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users still do not undertake the actions assumed it is because they have different preferences or because the implicit costs of the transaction are too high and hence the benefit of the energy efficiency action is not sufficient (enough). In this traditional perspective, awareness programmes are necessary to secure that the relevant information is made available. Communicating energy efficiency properties is best done when energy efficiency is the default option; hence “Choice architecture” (Thaler and Sunstein) may have to be applied not only to policies and incentives, but also to equipment and hardware in order to allow correct operation and understanding of functions.

Behavioural economics offers different explanations and points out several biases in the decision-making with the user and that market. This allows proposing offers that have been designed to overcome those biases.19

Approaches:

1. Re-examine the barrier concept; that assumes that the customer does not accept the potentially beneficial energy efficiency improvements because of different barriers that hinders their action. Behavioural (economics) science has different explanations based on biases in perception (Kahneman, Thaler) and/or reduced “bandwidth” to handle problems (Mullanaithan)20.

2. Re-examine the concept of a "well-functioning energy market" in relation to energy efficiency, and analyse the following points:

How the lack of an efficient market should affect the design of energy efficiency policies and their implementation?

What are the implications of the fuel mix and the technology associated on the better design of energy efficiency policy?

What are the consequences of an inefficient energy market on the end users behaviour?

Is it correct to consider energy efficiency as an autonomous and self-consistent area within the internal energy market?

3. Re-examine policy applications and cross-check against addressing biases (as above). Traditional incentives (financial and information) may have to be changed to address not only the barriers but also the biases21. In this context a specific action could focus on offering packages solutions (e.g. comfort, energy security, safety, health support, collective services) instead of promoting energy efficiency as a stand-alone issue (also relevant for programme B below). At the same time the importance of target public specificity should be further detailed.

4. Rethinking and refocusing systems. Rising awareness is often quoted as way to make users ready to accept new technologies and behaviour. It is however quite obvious that individual awareness is not the issue as much as collective and governance awareness of the entire set of opportunities that follows from the change in:

ICT.

Miniaturisation of (renewable) generation.

Smart applications. (KIC) Societal awareness is the first step but social inclusion and active attitudes is the final aim. This means that new business models and collective solutions need to involve citizens as participating partners of the solution. (See also social innovation in Heading 4).

Deliverables:

A methodology that both replaces the traditional barrier analysis when discussing or shaping policies and measures and complements the identified barriers with suggested “choice architecture” modes (nudges) to override the barriers.

Guidance to value other aspects and benefits than only reduced costs connected with energy efficiency.

19 Some of these issues are in the programme of the IEA DSM-Programme (www.ieadsm.org) with primarily European participation 20 JRC has recently produced a study on the issues « Applying Behavioural Sciences to EU Policy-making » 21 (KIC)

http://www.ieadsm.org/

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Survey of methods to capitalize such aspects and benefits in policies and in particular in business applications (models).

Gathering of models and stories that illustrates how the energy market transfer can be facilitated (this may be subject to formal exchange of experiences and training on development of “smart” systems).

Expected impact:

European policies should primarily be based on behavioural economics (nudges) which should replace the traditional perception of the economic human and simple policy responses from ordinary citizens as being based on informed calculations.

Thereby the vast potential of energy efficiency can be released. Maintaining the fiction of the economic human for the purpose of policy-design will mean that only a fraction of the potential of 50% reduction till 2050 will be released.

KPIs:

Models based on human behaviour that gradually phase-out barrier analysis models as basis for policy advice in the policy-making process and analysis based on their output.

A growth in the use of Cost-Benefit Analysis tools that include non-traditional aspects and benefits such as behavioural ones and do not reduce only to conventional costs. Inclusion of Non-Energy benefits (NEB) in calculations and thereby improve customer understanding/acceptance of market offers for improvements.

A catalogue of best practices in Member States in “Nudges” (Choice Architecture) for energy efficiency in the implementation of EU directives.



Modality of Implementation: European and national.

Action 2: Sociological theories on the dynamics of consumption including the re-examining

of all factors and forces contributing to the escalation of energy consumption and

analysing applications to formulation and assessment of energy efficiency policies

Scope: traditional models are mostly focused on rational choice theory and individual behaviors. Sociological theories on the dynamics of consumption complement these models by including the influence of the context in their explanations of human actions while indicating fundamental factors to be considered when implementing energy efficiency policies and assessing the energy impact of technologies.

Individual choices are not only driven by economics, nor they can be explained only in terms of factors residing within individuals. They change through history and are contextual (i.e. they are embedded into systems of decision and desires that go beyond economics and single individuals). This aspect has several implications. It implies e.g. that the analysis of energy consumption and energy efficiency improvements cannot be separated from the analysis of other forms of consumption (energy consumption is indeed a side effect of other forms of consumption). It indicates that, besides focusing on classical energy end-uses (e.g. lighting, heating, cooking, etc.), it is most likely necessary to analyse also how existing social conventions about comfort, cleanliness, convenience change with time and can be influenced. It indicates that all forces contributing to the escalating of energy demand (producers, consumers, other social groups) have to be taken into account when designing energy efficiency policies. The influence of the context on individual choices is so high that it can be assumed that all human wants and needs are socially shaped to a certain extent.

Approaches:

1. Re-examining all factors influencing individual choices. Considering that human actions cannot be explained only in terms factors located within individuals (whether these factors are related to economic income, or to acquired information/knowledge, ot to cognition, or to psychology, etc.), it is important to determine the nature of these additional factors. New theories have recently developed in

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this research field (e.g. Practice theory and actor-network theory) and generally assume that agency is typically distributed over a variety of human and not human elements. Moreover they indicate that these elements are typically interconnected and interact at multiple levels. This implies e.g. that investment decisions on single technologies and related energy impacts have to be typically analysed by looking at human practices and at a network of interlinking technologies (e.g. refrigerators have to be analysed part of practices related to eating, drinking, cooking, shopping, and as such linked by these practices to other technologies used for food preparation, food conservation, food transportation, etc.). It is hence necessary to develop research activities helping in identifying these practices and the related network of technologies.

2. Re-examining technologies by taking their interactions into account.

So far technologies have been mostly conceived as silver bullets entering seamlessly into everyday life without any subsidiary effect on other technologies and in general on ideas and practices. One of the consequences of this mind-set is e.g. that energy analyses are typically performed by assessing the energy impact of single energy end-use technologies during their lifecycle without paying much attention to the effects of their interactions with other technologies and with the daily practices they are embedded in. Such an approach may lead to wrong estimates of technologies overall energy impact and often it does not allow identifying those cases in which energy efficiency improvements boost higher energy consumption. This is particularly the case in the present historical situation when most of our daily activities rely on the employment of an increasing number of different devices consuming commercial energy and when all these devices end up with becoming a system whose overall energy performances depends more on how all its energy using components interact than on the energy efficiency of each component. It is hence necessary to develop research approaches that are suitable to identify how different technologies interact among themselves and which are the drivers of their overall energy consumption.

3. Revising existing energy impact assessment methodologies

The fact that single technologies have nowadays to be conceived as part of wider networks of technologies and practices implies that their energy impact must be analysed and understood by taking into account how these technologies interact among themselves. Different approaches can be in principle used to do so. The concepts developed in the research field of socio-economic metabolism can for example represent an interesting approach. This approach suggests that the energy consumption of ovens, dishwashers, refrigerating appliances, etc. of households has to be analysed by looking at the material, information and energy flows associated to the networks of technologies used for food preparation and consumption practices within households. It is the evolution of these material, information and energy flows that allows understanding and quantifying the main drivers of energy consumption caused by food preparation and consumption, while allowing assessing the impact of innovations on resources consumption and waste generation.

Deliverables:

A methodology that allows identifying all factors influencing individual choices and linked to the context where decisions are taken. This methodology should be based on a re-examine of how technologies interact within networks of other technologies and practices.

Guidance to the identification of the main drivers of energy consumption based on the identification of the above mentioned methodology.

Survey of methods adopting the above mentioned approach to capitalize benefits for energy efficiency policy formulation.

New methods for the evaluation of the energy impact of technologies based on the network approach previously described.

Expected impact:

European policies should take into account sociological studies identifying the influence on individual choices of factors linked to the context where choices are undertaken. This would allow complementing research studies based on individual behaviours and on rational choice theory by highlighting a series of additional factors that drive energy consumption.

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Thereby a higher part of the existing energy efficiency potential can be released. Moreover the impact of innovation and the evolution of energy consumption will be easier to be understood and foreseen.

KPIs:

Models based on sociological studies that allow improving the understanding of the impact of the context on individual choices affecting the energy consumption of products.

A growth in the use of energy impact assessment methodologies that include non-traditional aspects linked to interactions among technologies within existing practices. Inclusion of the concept of socio-economic metabolism in the calculations and thereby improve the understanding of the evolution of energy consumption.

A catalogue of methods and approaches that allow including sociological aspects in the formulation of energy efficiency policies implemented at the EU level.




Action 3: Research on the macro-economic impact of large scale deployment of energy

efficiency while better taking into account its multiple benefits (security of supply,

employment, environment, industrial development etc.)

Scope: Energy efficiency has multiple benefits (security of supply, environment etc.) of importance for

the overall economic performance. Some have a direct impact on employment and industrial development, as part of public policies and governance.

The action should address different model approaches based on a consistent set of scenario assumptions and having bottom-up analyses including techno-economic projections and top-down analyses including macro-economic modelling.

Deliverables:

Analyses and scenarios shaping the future energy efficiency policy at local, national and EU level.

Expected impact:

Improved energy efficiency policy making, based on robust macro-economic studies and verified data.

Better/improved modelling of EE scenarios.

Studies collecting data on the associated benefits of energy efficiency investments programme in different sectors and Member States (e.g. impacts on job creation, comfort, productivity).

Better quantification of the inferred discount rates and the effect of energy efficiency measures on these.

KPIs:

Validated and robust models and scenarios capturing all macro-economic impacts of Energy Efficiency.

Reliable ratios (indexes) to calculate the associated benefits associated with energy efficiency investments.


Timeline: 2016- 2020.


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Action 1: Deploy a European platform to share energy data to compare users' consumption

across neighbourhoods, cities and countries in order to increase users' commitment

with energy savings

Scope: The option to integrate renewable energy in local energy systems is a part of the necessary changes of systems and markets22. The integration of these technologies will be enabled by the grid infrastructure. Large scale demonstration projects will test these solutions and the results produced from these demonstration projects will be necessary to provide input for some of the actions described in this section. Moreover, some work on business restructuring to focus on services is under way in Europe23 and it is also based on Energy Efficiency Obligations (EEO) in many European (and other) countries24.

Comparing users' information on energy consumption across neighbourhoods, cities and countries will increase users' commitment towards energy savings. A new generation of systems monitoring the energy consumption in buildings are needed, with an automatic Internet connection and visualization interfaces that allow comparison among users with similar profiles across Europe. Awareness increases when users can compare how efficient they are and how efficient they can become.

It should be ensured that data on energy consumption in buildings/neighbourhoods/cities are truthful, public and accessible. Subsequently, a “base” amount of average energy consumption per capita can be estimated. This could trigger policies that incentivise users to keep their energy needs as close as possible to the “base” needs and measures to stimulate the reduction of energy consumption, with special attention to working spaces and public buildings: offices, schools, administrative buildings, shopping centres.

This part may incorporate the use and development of energy management systems25, which has an impact on governance and on training/certification of staff and of companies, and ESCO applications which have an integration component26 as well as focus on staff functions27.

Deliverables:

A European wide system for energy consumption data collection and sharing that allows monitoring system developments.

Analysis of energy consumption trends and evidence-based recommendations for policies, actions and new business concepts, on how to release the full energy efficiency.

Expected impact:

An improved framework for the future development of energy service businesses (ESCO, EPC, Big Data based analysis and advice etc.).

Increased users' awareness about their energy consumption along with local, national and European benchmarks.

Reference values for average energy consumption available for the local, national and European policy makers and for businesses.

22 See also IEA DSM-Programme task 17, “Integration of demand side management, distributed generation, renewable energy sources and energy storages” which is primarily run with European competences. (EII) 23 (DENEFF in Germany, EEF in Sweden) 24 Regulatory Assistance Project. A wider take on this is the work of the university based IDEAS 42 in the US 25 See “Investment in energy efficiency by large-scale consumers: an innovative audit program” http://proceedings.eceee.org/visabstrakt.php?event=3&doc=2-459-13 26 See ” Comprehensive Refurbishment with Energy Contracting (ECEEE '07 paper)” http://www.ieadsm.org/Files/Tasks/Task%2016%20-%20Competitive%20Energy%20Services%20(Energy%20Contracting,%20ESCo%20Services)/Publications/Bleyl_Comprehensive%20Refurbishment%20with%20Energy%20Contracting_070420.pdf 27 See “ESCo market development: A role for Facilitators to play” http://www.ieadsm.org/Files/Tasks/Task%2016%20-%20Competitive%20Energy%20Services%20(Energy%20Contracting,%20ESCo%20Services)/Publications/IEA%20DSM%20Task%20XVI_eceee%20papers%20No%203-472-13_ESCo%20Facilitator_130322.pdf

http://proceedings.eceee.org/visabstrakt.php?event=3&doc=2-459-13

http://www.ieadsm.org/Files/Tasks/Task%2016%20-%20Competitive%20Energy%20Services%20(Energy%20Contracting,%20ESCo%20Services)/Publications/Bleyl_Comprehensive%20Refurbishment%20with%20Energy%20Contracting_070420.pdf



http://www.ieadsm.org/Files/Tasks/Task%2016%20-%20Competitive%20Energy%20Services%20(Energy%20Contracting,%20ESCo%20Services)/Publications/IEA%20DSM%20Task%20XVI_eceee%20papers%20No%203-472-13_ESCo%20Facilitator_130322.pdf



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KPIs:

The European platform to share energy data delivered.

Number of visits on the platform.




Action 2: Support the development and demonstration of users' interfaces for smart meters

and energy management systems that trigger behavioural change in energy

consumption and the participation to energy markets

Scope: To promote the development of tools and applications (using for example gaming, serious games and social networking approaches) to motivate citizens towards a more sustainable use of energy and a more efficient attitude. Applications may be fixed or mobile applications and take advantage of the data provided through smart meters, smart plugs, smart appliances or smart grids and rely on ICT in order to trigger behavioural change.

Applications must be low cost, and energy savings generated from these solutions must be greater than the cost for the provision of the services. Applications should aim also at stimulating collaboration between customers and at enabling their aggregated participation in the market.

The applications are designed in order to trigger individual changes and also aggregated actions aiming at enabling the participation of final customers to the market.

Deliverables:

End users interfaces that provide the customers with information about their consumption profile and empower them to improve their use pattern and to operate in combination with others in order to increase their benefits (e.g. diffused demand response). Interfaces must be deployed and validated in real life conditions.

Analysis of the socio-economic evidence for ICT investment in the field and include detailed plans for sustainability and large-scale uptake beyond the project's life time.

Expected impact:

Improve end-users' awareness about their consumption patterns.

Larger information sharing about opportunities to reduce energy consumption.

Support to the uptake of diffused demand response.

KPIs:

Number of interfaces tested for different applications and types of users.

Quantified reduction in energy consumption in pilots.



Modality of Implementation: National and European.

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Action 1: Structural actions addressing in particular vulnerable consumers (e.g. setting up a

European Poverty observatory, European energy poverty indicators, transfer of

experiences on fuel poverty abatement actions between MS)

Scope: In view of increase in electricity prices and according to the recent estimates from the EESC 50-120 million Europeans are at risk of energy poverty28. Structural actions should be a priority: setting up a European Poverty observatory, European energy poverty indicators, transfer of experiences on fuel poverty abatement actions between MS, in particular to South and East MS (where the risk of fuel poverty is higher), and transfer of experiences across MS on effective national policies addressing vulnerable consumers.

Deliverables:

Energy Poverty Observatory set-up.

A set of European energy poverty indicators.

Structured exchanges of good practices across Europe in support of vulnerable consumers and addressing fuel poverty.

Expected impact:

Reduced energy poverty.

KPIs:

Fewer consumers under the risk of energy poverty.

Member States actions and measures addressing vulnerable customers and energy poverty.




Action 2: Support to innovative communication/ engagement actions for changing the

behaviour of consumers in their everyday life

Scope: Soft measures and campaigns are much needed in all countries, in order to achieve behavioural change towards more energy efficient choices and decisions. Support should therefore be given to innovative communication/ engagement actions for changing the behaviour of consumers in their everyday life (e.g. at home, at work, at school) using market segmentation and focussing on "action", the last step of the AIDA (Awareness – Interest – Desire – Action) framework. These actions should be based on the results of the advanced research on theories and models of energy consumption behaviour.

Deliverables:

Tailored engagement strategies to improve the energy efficiency and/or reduce energy consumption of private buildings, heating systems and/or appliances.

Campaigns fostering user empowerment and changes in energy consumption behaviour including.

Innovative engagement activities (e.g. trainings, or tools, ICT solutions, platforms).

Expected impact:

Higher engagement, active participation and/or empowerment of people to make positive changes towards the implementation of energy efficiency measures.

Increased consumer confidence and satisfaction (based on yearly surveys).

Developing and demonstrate innovative approaches to customer engagement.

28 Opinion of the European Economic and Social Committee on ‘For coordinated European measures to prevent and combat energy poverty’ (own-initiative opinion) (2013/C 341/05)

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KPIs:

Number of people changing their behaviour and taking informed investment decisions.




Challenge 2: Expand capacity building, networking and practice sharing

KEY ISSUES

Encourage data and practice sharing between different market actors (e.g. national regulatory authorities, suppliers, DSOs, consumers).

Roll out of market-available energy efficiency technologies and solutions throughout e.g. capacity building, exchange of good practices, large-scale demonstration projects, governance models, innovation in the organisation of the market.

Ensure that energy efficiency becomes an integral part of initial and continuous education curricula and training for architects, engineers and professionals in the energy field including relevant supply chain actors (e.g. DSOs, energy suppliers).

Exchange of experience between public authorities (e.g. cities and municipalities) and private entities (schools, SMEs, research institutions, higher education).


Action 1: Research on the need for training and retraining of energy system professionals

Scope: The on-going change of paradigm for energy systems is in particular problematic for craftsmen on all levels. Education based on existing technologies and institutional framework may be obsolete fairly soon and still the new framework is not yet fully known but evolves as we move. This puts strain on the education in two ways - both how to adapt for the future, but also to serve and “re-educate” and train personal already in work and it could be particularly relevant for product-related professionals e.g. installers, maintenance etc.

The integration aspect will take a huge proportion of the education since the traditional border between supply and demand will gradually become more “fuzzy”.

The total reconfiguration of energy systems driven by a) The ongoing technology development, b) The integration of the European Markets both geographically and with a new energy mix and c) The need to secure sustainability, will require a profoundly new competence to be developed among a wide variety of professionals.

Deliverables:

A Europe-wide study on the energy efficiency-related competences available and the opportunities to develop them to a new context. This could include a study where these issues are related to world market needs and competitiveness.

Examples from business activities should be distributed in twinning arrangements and with relevant educational institutions and NGOs that are prepared to set up training with short notice.

Expected impact:

Cooperation between the institutions to fill the gap of competences.

All institutions involved in education and training will get a common ground to ensure that their activities are complementary.

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KPIs:

One study and dissemination activities.





Action 1: Further develop, adapt and roll-out high education programs for energy efficiency

specific master courses to prepare future engineers to the new challenges on

energy efficiency (e.g. Internet of Things, advanced network architecture). High

education institutions and universities should also include specific topics on energy

efficiency especially in architecture, ICT engineering and Industrial engineering

Scope: Specific Master Programs must include the advances in energy efficiency systems. Keeping in mind that the next “big thing” in Internet will be the growth of Internet of Things, buildings and other elements of the urban infrastructure will be Cloud connected, and so, they will be part of the web. Engineers will be ready to understand advances on network architecture for energy distribution, “in-building” systems for energy management or new applications and systems for energy management in cities. Also Doctoral Programs should be updated to prepare researchers for the new challenges on energy efficiency.

User awareness must be part of the education process. High education institutions and universities should include specific topics on energy efficiency especially in architecture, ICT engineering and Industrial engineering.

Deliverables:

New programmes and training courses at established institutions. Delivered partly in traditional format but also via different web-applications.

Expected impact:

Increased number of staff having high level skills.

Companies and administrations will request and recruit staff with these new competences.

Diffusion of energy management skills and of an energy efficiency culture.

KPIs:

Number of students and certificates.



Modality of Implementation: national and European.


Action 1: Exchange of good practices on the design, implementation and monitoring of

behavioural change measures

Scope: Behavioural measures, often seen as soft measures, are challenging - even complex - to effectively design, plan and evaluate, and the results are often difficult to quantify in kWh of energy savings. When designing such measures, it is important to take into account the social context and practices as well as the different approaches and viewpoints (such as sociological, physiological, and economical). In addition, only few countries have yet some experience in calculating savings from soft measures. Finding ways of evaluating soft measures that are not solely focused on the calculation of energy savings is also important for the continued success of the different measures and

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programmes, to improve the quality, justify continued funding, and disseminate the results. Sharing experiences on the design, implementation and evaluation of soft measures should therefore be supported. (Ref: CA EED).

Deliverables:

Identifying good practices on the design, implementation and monitoring of behavioural change measures.

Analysing and understanding of the effectiveness of the different approaches and how these work for different types of consumers.

Methodologies for evaluating the impacts of soft measures and developing advice and guidance, tailored to different kind of consumers, and taking into account local characteristics.

Expected impact:

Increase the effectiveness of behavioural change measures.

Commonly accepted methodologies to evaluate the impacts of soft measures.

Better use of available information and good practices in Europe.

KPIs:

A number of soft measures is implemented across Europe at e.g. national or regional level based on the developed methodologies and guidance.




Challenge 3: Providing recommendations for energy policy development and

implementation

Efforts should be placed on shaping future energy policy development and supporting their implementation. To that regards, economic and long-term policy analysis on how to enhance EU and national socio-economic framework for energy efficiency policy should be supported. In addition, the capacity of market actors to plan, implement and monitor energy policies and measures should be enhanced by stimulating energy visions and tracking progress and achievements. Finally, there is a need to support policy implementation throughout e.g. Concerted Actions involving the various nominated implementing bodies across Europe.

KEY ISSUES

Need for Economic and policy research/long-term policy analysis on how to enhance EU and national socio-economic framework for energy efficiency policy.

Enhancing the capacity of market actors to plan, implement and monitor energy policies and measures, by stimulating energy visions and tracking progress and achievements.

Need to focus on policy implementation (e.g. Concerted Actions supporting the implementation of energy efficiency related Directives).

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Action 1: Capacity building and support for public authorities to plan and implement

sustainable energy policies and measures and for better linking up local, regional

and national levels for delivering concerted sustainable energy action planning and

projects

Scope: Following the obligations stemming from the EED (buildings renovation strategies, heating/cooling strategies, etc.) and other key EE related directives, public authorities at all levels play a key role in the reduction of EU energy consumption. Doing this requires multidisciplinary skills to e.g. assess different cross-sector sustainable energy options according to technical, environmental, economic and social criteria and implement them while e.g. an appropriate energy management system. It also requires skills to engage stakeholders in both the definition and implementation of the solutions, and to secure funding. The situation regarding the availability of these skills varies from country to country. Therefore actions should provide large-scale capacity building or engagement activities to those specific groups playing a key role in the definition and/or implementation of sustainable energy policies and measures initiated by public authorities.

Actions should also support co-operation between public bodies at national, regional and local levels for delivering concerted sustainable energy action planning and projects. Mutual, top-down and bottom-up co-operation should be developed with the aim to build effective collaboration in the long term and transfer knowledge and good practices among public actors.

In general, these activities should demonstrate a strong European added value and put in place mechanisms ensuring the continuation of the activities beyond the project duration.

Deliverables:

A number of coherent strategies and plans in line with good multi-level governance principles.

Large-scale capacity building to specific groups of public authorities, such as national, local and regional authorities, energy agencies, structural and cohesion funds managing authorities.

Set up effective tools and mechanisms for capacity building and networking between stakeholders, such as e.g. staff exchanges between public authorities, or "Energy Academies" for local Energy Managers. These activities should benefit from the experience of the large scale energy implementation projects connected to significant investment.

Ensuring synergies with the Covenant of Mayors Initiative.

Expected impact:

Supporting public authorities in better linking up local, regional and national levels for delivering integrated sustainable energy action planning and projects to achieve synergies and economies of scale.

A solid technology and investment needs definition and reduction of investment costs for energy efficiency measures across related sectors.

KPIs:

Number of public officers influenced and number of new or improved policies and plans.

Number of public authorities that have implemented ambitious sustainable energy action plans.

Number of public authorities implementing energy conservation measures.



Modality of Implementation: EU & national level.

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Action 2: Support the implementation of key EE related Directives

Scope: The legislation has the potential to drive real improvements in energy efficiency across the EU but the effort required to fully implement the Directives in all MS is significant and faces many common challenges. Each MS approaches implementation from a different perspective reflecting existing national policy frameworks. This means that alongside the challenges posed, there are also significant opportunities to draw on and share experience, building on other successful approaches and avoiding pitfalls. Clear benefits will result from knowing and understanding what other MS are doing and why. This supports and justifies the creation of a structured framework for information exchange. Concerted Actions are an instrument which can provide an effective framework for such collaboration.

Deliverables:

Concerted Action to support the implementation of the EED Directive (2012/27/EU) or other such as the Energy Performance of Buildings Directive (EPBD).

Specific Consultation Forums to support the implementation of key EE related Directives in well-targeted sector (e.g. Defence sector).

Expected impact:

MS builds on other successful approaches with a view to accelerate implementation of the legislation, and to avoid pitfalls.

Exchange of a variety of good practice examples on energy efficiency-related matters and demonstrated learning from them.

Further cooperation among implementing bodies in charge of the implementation of EE related Directives.

Identification of possible areas for potential future convergence amongst MS.

An overview of policy instruments and measures for energy savings.

KPIs:

High degree of satisfaction and participation of the national implementing bodies.

High level of cooperation and transfer of good practice examples between countries.



Modality of Implementation: European level.

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