ENERGY EFFICIENCY PROJECT - UY ORIGINAL · dependence on oil imports, increasing the participation level of local sources of energy, fostering non-traditional renewable energies ,

ENERGY EFFICIENCY ENERGY EFFICIENCY

Ramón MéndezRamón MéndezRamón MéndezRamón Méndez

DirectorDirector

NATIONAL DEPARTMENT OF ENERGYNATIONAL DEPARTMENT OF ENERGY

URUGUAYURUGUAY

Overview of URUGUAYCountry name: República Oriental del Uruguay

Capital city: Montevideo

Political division: 19 Provinces

Land area: 176,215 km2

Population: 3.3 million inhabitants

Density: 18.8 inhabitants/km2

Life expectancy: 75.85 years

Infant mortality rate: 10.5/1000

Literacy rate: 98 %Literacy rate: 98 %

Language: Spanish

Gross Domestic Product: 8,000 USD per capita

Access to drinkable water: 98 %

Electrification rate: 98 %

Cars per 100 inhabitants: 19

Government type: Republic under an elected presidential system

Suffrage: Compulsory and universal over 18 years of age

Main exports: Meat, rice, dairy products, raw hides skins and leather, forestry

products, wool, agriculture byproducts

Current Energy Situation

Hydroelectricity

22%

Natural Gas

3%Biomass

18%

Imported

Electricity

2%

Petroleum and

byproducts

55%

Hydroelectricity

22%

Natural Gas

3%Biomass

18%

Imported

Electricity

2%

Petroleum and

byproducts

55%

Energy Supply by Source (2007)

Residential

28%

Transport

33%

Industrial

22%

No identified; 0% Agribusiness

/Fishing

8%

Commercial

/Services

9%

Residential

28%

Transport

33%

Industrial

22%

No identified; 0% Agribusiness

/Fishing

8%

Commercial

/Services

9%

Energy Demand structure by Sector (2007)

2%2% 8%8%

� High dependence on fossil fuels (consumption of petroleum: double of global

average)

� Scarce domestic sources in the energy grid (25% to 40%)

� Several energy supply crisis in recent years (high dependence on regional suppliers)

� In the year 2007 petroleum and byproducts imports represented 20% of total imports

in Uruguay and meant 25% of total exports of Uruguay

Energy Policy (2005) – Strategic Guidelines (2030)

� Directive role of the government involving regulated participation of private

sector.

� Diversification of the energy mix including sources and suppliers, reducing

dependence on oil imports, increasing the participation level of local sources of

energy, fostering non-traditional renewable energies, improving local

development and encouraging the preservation of environment.

� Energy Efficiency in every economic field (transport, education, building

industry, lighting, etc.).industry, lighting, etc.).

� Universal Energy access.

2015 Goal

Primary Energy Grid:

Energy Efficiency Timeline in URUGUAY

Year

LACK OF LACK OF ENERGY EFFICIENCY POLICIES & ENERGY EFFICIENCY POLICIES &

CULTURE in UYCULTURE in UY

70’s 90’s

- Creation of:

Fund for EE Projects

& Labeling System

- CFLs Lighting

Replacement

Year Year Year

-Demonstrative

Projects

- EE Week 1st Edition

- Communication

Campaigns

- Creation of EE

Committee

- Beginning of 1st

EE Standards

Year

2005

70’s 90’s

Global Development of

Technological view:

RATIONAL USE OF ENERGY

Global Development of

Technological view:

RATIONAL USE OF ENERGY

Worldwide Introduction of

Economic view:

EFFICIENT USE OF ENERGY

Worldwide Introduction of

Economic view:

EFFICIENT USE OF ENERGY

ENERGY EFFICIENCY PROJECT ENERGY EFFICIENCY PROJECT

STARTING POINT

Low prices of OILLow prices of OIL

Promotion of

ELECTRICITY CONSUMPTION

Promotion of

ELECTRICITY CONSUMPTION

Year

2008

Year

2006

Year

2007

• Energy Savings of 57 Ktep. 2.2% of Total Energy

Consumption in 2007

• 128,361 tons CO2 emissions avoided

• Total Investments GEF + Counterpart: USD 8.2

million

Energy Efficiency Project

The Energy Efficiency Project is a government programme that was launched in

September 2005, with a budget of USD 6,875,000 Global Environmental Facility grant.

The development objective of the Project is to increase the demand for and competitive supply of

energy efficient goods and services, contributing to:

(a) Improved efficiency of energy use;

(b) Reduced reliance of the Uruguayan economy on imported electricity and fuels; and

(c) Reduced emissions from the energy sector.

The Project's global environmental objective is to promote energy efficiency through:

i.Building capacity and know-how among stakeholders;

ii.Stimulation of consumer demand; and

iii.Promotion of project development and investment financing.

Up to date:

Total Investments done by the Project: USD 4.5 million

ENERGY ENERGY

EFFICIENCYEFFICIENCY

Information

Awareness

Education

Training

Suppliers of

energy efficient

technology

Policies

Technological

Innovation

Demonstrative

Projects

EFFICIENCYEFFICIENCY

Energy

Services

Companies

Public SectorInvestment

Promotion

Financial

lines

Policies

Laws

Standards

Regulatory framework, Policies and Standards

� Project Law – Energy EfficiencyIn June 2008 the draft version was introduced to the Parliament and is still under study. The law will

consolidate a legal institutional framework for energy efficiency, taking part of the energy policy. The law

establishes the creation of an Energy Conservation Unit and financing actions for EE. Moreover, the law

aims to give energy labeling a legal support for the implementation of the compulsory stages.

� Solar Energy Promotion Law Includes compulsory measures in new buildings in the services and commercial sectors for heating water by

solar panels. Industry sector is also included, however with some exceptions, depending on the hot water

use amount. On April 2008 the Senate approved it.use amount. On April 2008 the Senate approved it.

Approximately 4 m2 per 1000 inhabitants of installed solar panels.

� Energy Efficiency Standards and regulations Since 2006 more than 30 standards on lighting, electric appliances, buildings, solar systems and gas

equipment have been issued.

Incandescent lamps Prohibition in the public sector.

Summer Time zone.

�Energy Efficiency Standards for buildingsEstablishment of minimum requirements on EE and insulation at city council level

Financial Lines� Financial instruments has being designed and set-up in order to encourage studies and investments

in energy efficiency.

� This financial instruments were called Energy Efficiency Trust (EET) were launched on Dec., 2008.

� EET capital: up to USD 2,475,000 acting as a guarantee fund for loans given by commercial banks.

� EET manages two lines, one to provide contingent loans to cost-share feasibility studies of energy

efficiency and the other to provide term debt through commercial banks to energy investment

projects.

� Estimates of a total investment of USD 1.9 million have been made for the first 2 years, which

involve energy savings of 7,000 tep (0.3% total 2007 Energy Consumption) and 14,577 tons of CO2involve energy savings of 7,000 tep (0.3% total 2007 Energy Consumption) and 14,577 tons of CO2

emissions avoided.

Investment Promotion� Investment Promotion Law

Includes tax incentives to promote energy saving investments for EE and RE.

� Renewable Energy and Energy Efficiency Promotion DecreeBeneficial tax deduction for investments in both areas

� Public Lighting DecreeIncludes benefits for projects on public lighting measurement and Energy Efficiency

projects

Technological Innovation

� Incandescent Lighting replacementOn August and December 2008

1,470,550 CFLs lamps (“A” type) were given out,

meaning a saving of 75% of the consumed

energy for each replaced lamp. This has

become the first milestone for Energy

Efficient Labeling System, achieving a significant

percentage of changeover among residential lighting (2 out of 3 citizens), and an energy saving

amount equivalent to 3% of the total electricity consumption in 2007.amount equivalent to 3% of the total electricity consumption in 2007.

� Efficient Technology ExhibitionIn September 2008 the First exhibition on Efficient Technology in the country took place. It was

jointly organized with CEUTA (Uruguayan Center of Appropriate Technologies) and took place

in the facilities of the city council.

� Energy Efficiency LabelingBefore July 2009 voluntary labeling for lamps and electric water heaters will be regulated.

Purchase of equipment for 3 national laboratories for EE testing.

Demonstrative Projects

� Financing 100% of feasibility studies on Efficient Use of Energy in industrial

and service sectors carried out by registered ESCOs

� 8 out of 10 demonstrative projects are already implemented involving until

December 2008:

� Energy Savings of 2.9 Ktep . Approx. 0.11% total 2007 consumption

� 9,252 tons of CO2 emissions avoided

� Energy Efficiency Project’s Investments: USD 114,000

� Counterparts’ Investments: USD 187,000

Suppliers of Energy Efficient Technology

More than 20 national suppliers are registered at the

National Department of Energy Registry

Energy Service Companies

• More than 20 Energy Services Companies &

Consultants registered at the DNE registry

• Assisted to training courses

• Part of EET procedures0 KW

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CONSUMO DE BOMBAS

Bomba de Agua Helada Potencia BAH Bomba de Torre Potencia BT

Consumo sin

Variador BP

Consumo con

Variador BT

Consumo con

Variador BT

Consumo sin

Variador BP

Public Sector

� Ban of purchasing incandescent lamps for public buildings since year 2010

� Carrying out Energy Saving Plans during energy supply difficulties

during 2008:

� Energy Savings of 49 Ktep. Approx. 2% total 2007 Energy

ConsumptionConsumption

� 109,250 tons of CO2 emissions avoided

� Compulsory Energy Efficiency Plans for each governmental agency

� In 2009: carrying out Energy Audits in public buildings

Education & Training

� Publication of Elementary School Book on Efficient Use of

Energy: books given to 2,112 schools located all over the country. All public schools

were included in the program.

� Didactic Travelling Fair Assembling of booths to demonstrate energy

Efficiency and different energy sources. Efficiency and different energy sources.

� Puppet Show on Energy issues for Elementary Schools

shows given to 4th & 6th grade students

Education & Training

� Printing of Didactic Material for children

Data Tables, Maps, Games

� Training Courses on Energy Efficiency issues11 courses were given to more than 230 professionals

and technicians from energy sector

� Community Workshops

� Training of High School teachers

� Lectures on Energy Efficiency in schools

Information & Create Awareness

� Advertising Campaigns

TV, radio, magazines & newspaper; aimed at introducing Energy Efficiency Culture

� Emissions calculator on the web site

To calculate GHG emissions from home & transport energy consumption

� Energy Efficiency Week (Since 2007)Lectures on Efficient Technologies, Exhibition of Equipment

Workshops on Efficient Use of EnergyWorkshops on Efficient Use of Energy

� Studies on

Solar Potential Capacity in UruguayCo-generation Potential in Uruguay

will be completed by the end of 2009

� Support for the introduction and dissemination

of energy-saving equipment

Information & Create Awareness

� Website

www.eficienciaenergetica.gub.uy

� Emissions calculator on the web site

To calculate GHG emissions from home & transport energy consumption

� Study on

Energy Saving Potential in Uruguay

� Training Courses

2009 - 2010 The aim is to double the already trained people.

� Technical Lectures

Every fortnight, given by university staff, ESCOs, Suppliers of Energy Efficient

Technology or professionals in the energy field.

Future Actions

Technology or professionals in the energy field.

� Labeling

Certification of 3 national laboratories on energy efficiency tests.

Campaigns in mass media

� 1st National Energy Efficiency Award

First Edition - 2009; 4 categories: Public Sector, Industry Sector,

Services Sector and outstanding ESCO

Pending issues - Global EE Project

� Energy Efficiency in TRANSPORTATION SECTOR

- Energy situation for the transportation sector

- Lack of specific financing aimed to address this issue

- Energy conservation policies and measures for the transportation sector

� Technological replacement, standards and target values for Operating

Industrial Equipment

- Air ratios for boilers & industrial furnaces

- Waste gas temperatures for boilers

- Standard and target rates of waste heat recovery for industrial furnaces

- Standard values and target values of furnace wall outer surface temperatures & of power factor

- Target efficiencies of high efficiency engines.

� Energy Audit Program

- Energy audit for industries & commercial buildings

ThanksThanks forfor youryour attentionattention

Ramón MéndezRamón MéndezNATIONAL DEPARTMENT OF ENERGY

URUGUAYURUGUAY