A total of 40 per cent of energy consumption in the EU occurs within existing buildings; thus, retrofitting with energy efficiency measures could result in sizable impacts in the fight against climate change. The financial benefits of more efficient buildings are clear, but how can we attract further investment to these projects?
The H2020 project SENSEI designs and tests innovative transaction models to enable energy efficiency upgrades within buildings. The key to these models is a concept named “Pay-for-performance (P4P)”, which verifies future cost savings to support financial planning.
Verifying cost savings is a novel feature separating the new P4P schemes from traditional Energy Service Company (ESCO) models.
The SENSEI project explores how to reward energy efficiency in buildings as an energy resource and grid service to help the market take advantage of this approach. This can be applied to reduce building energy consumption, thereby supporting the power grid’s stability in light of increasing energy demands and the prevailing energy crisis.
Four stakeholder groups
SENSEI has developed an eLearning platform with tailored information for four stakeholder groups to guide professionals toward a better understanding of this innovative concept.
Through the P4P model, building owners will benefit from better and more comfortable buildings, improved indoor climate, and a lower environmental footprint. Energy providers are offered cost-effective options to ensure stability and adequacy of the energy system whilst pursuing decarbonisation. For ESCOs, P4P programmes provide an opportunity to increase revenue streams of energy efficiency projects. Lastly, policymakers can benefit from recommendations on how to adapt the legislative framework to support increased investments in energy efficiency.
Yet the benefits for the environment and society are not forgotten, as P4P can result in reduced energy consumption, lowering emissions and improved quality of life.
Those interested in knowing more about Pay for Performance schemes and SENSEI models may find more information on the SENSEI knowledge platform.
You will find relevant information in each of the named sections for those belonging to one of the four stakeholder groups. The platform is also available for others interested in learning more about P4P schemes and related energy efficiency work.
For more information, contact:
- Project coordinator: Filippos Anagnostopoulos, The Institute for European Energy and Climate Policy (IEECP)
- Responsible for the EngageSuite e-learning platform: Nicklas Bang Bådum, The Danish Board of Technology
(This text is a press release sent from the H2020 project SENSEI)