Guidelines for the design of P4P schemes

This report aims at formulating guidelines for designing a pay-for-performance (P4P) programme that steers towards energy efficiency measures in buildings benefiting both building owners and the power system. The guidelines are expected to facilitate the design of a conceptual P4P programme1 which may ultimately be piloted in one or more EU Member States.

Geert Gordon, Charles-Henri Bourgois, Sven Wuyts, Johan Coolen,

Factor 4, Belgium

>> The full report is available to download here

Proposal on the specifications for P4P project da

This report is aimed at defining a list of indicators that can be used to evaluate the impact of implemented Pay-for-Performance (P4P) programs for energy efficiency. In addition to introducing the P4P concept, the SENSEI model is introduced. An important feature of the indicators here is the possibility to include them in the De-risking Energy Efficiency Platform (DEEP), an open-source database that includes information about energy efficiency investments and achieved savings.

Benedetto Grillone, CIMNE, Spain

>> The full report is available to download here

Policy developments in the European Union and strategies for Pay-for-Performance business models

This report focuses on ways that policy and regulatory developments in the EU may become risks or opportunities for energy efficiency Pay-for-Performance schemes. Based on a multi-disciplinary approach, regulatory opportunities for P4P schemes are identified considering the different policy measures and market uptakes. This, in turn, has enabled to provide a set of integrated strategies for rolling out P4P schemes in the EU, by considering existing and upcoming regulatory frameworks, the exploitation of opportunities that may emerge and adaptation to potentially unfavourable developments.

Dimitra Tzani (1), Vassilis Stavrakas (1), Marion Santini (2), Filippos Anagnostopoulos (1)

(1) IEECP, the Netherlands

(2) Regulatory Assistance Project (RAP), Belgium

>> The full report is available to download here

Guidelines for the design of effective P4P rate structures

This report aims to identify the relationship between the compensation rate structures within a P4P scheme and the required energy efficiency measures of a group of selected buildings. It provides a general overview of the required elements to consider when designing a compensation structure. In addition, an extended analysis of the indirect indicators of non-energy benefits and external factors is carried out which will assist aggregators to assess expected incentives for customers.

Monica Pascual, Ana Ruisanchez

GENCAT, Spain

>> The full report is available to download here

The ex-ante evaluation of financial benefits in the SENSEI P4P scheme

How can we provide an ex-ante estimation of the financial benefits of implementing energy efficiency measures in a P4P scheme?

Energy retrofits of buildings have for long been known to deliver more benefits than solely energy cost savings. This report describes a methodology for the monetization of these multiple benefits.  Their ex-ante estimation is an important task for the energy efficiency aggregator when developing a P4P scheme. In this report, a selection of methods is provided to quantify and monetize benefits such as energy cost savings, increased building value,  optimized operation and maintenance costs and more.  

Bourgois, Charles (1), Coolen, Johan (1), Gordon, Geert (1), Lapietra, Arturo (2)

(1) Factor4, Belgium

(2) OMNIA ENERGIA, Italy

>> The full report is available to download here

Methods for the dynamic measurement and verification of energy savings

By offering a new, advanced energy efficiency metering tool named eensight, this deliverable aims at contributing to the advancement of the automated measurement and verification (M&V) methods for energy efficiency. Automated M&V combines real-time data and predictive modelling methods so that to produce tools to understand the characteristics of a building’s energy consumption, and provide continuous feedback on the most probable impact of an energy efficiency intervention.

Sotiris Papadelis

HEBES Intelligence, Greece

>> The full report is available to download here

The Boundary Cases for the P4P Rates

What will it take for energy providers to support the rollout of energy efficiency measures?

This report identifies the market value of energy savings from the energy providers’ perspective. It provides a concrete classification and evaluation of the various energy efficiency measures which provides the foundations for proposing a definition of a P4P rate that is transparent and a non-performance-based incentive that can be offered to energy providers.

Lapietra, Arturo (1), D’Agostino, Vincenzo (1), Grillone, Benedetto (2)

(1) OMNIA ENERGIA, Italy

(2) CIMNE BeeGroup, Spain

>> The full report is available to download here

Experience and lessons learned from pay-for-performance (P4P) pilots for energy efficiency

This newly-released report provides definition, general design and examines the rationale for P4P energy efficiency programmes as well as an in-depth review of 11 case studies from North America and EU (Germany). This, in turn, has enabled to provide a set of key implications and recommendations for a successful replication of the P4P approach in the EU, which could speed up the rate of energy efficiency improvement in the EU’s buildings while reducing the costs of the energy transition.

Santini, Marion (1), Tzani, Dimitra (2), Thomas, Samuel (1), Stavrakas, Vassilis (2), Rosenow, Jan (1), Celestino, Alessandro (1).

(1) The Regulatory Assistance Project (RAP), Belgium

(2) Institute for European Energy and Climate Policy (IEECP), Amsterdam

>> The full report is available to download here

Rewarding energy efficiency for energy system services through markets: opportunities and challenges in Europe

Energy Efficiency’s multiple benefits are often undervalued. This report examines the 3 main mechanisms for rewarding EE as an energy system resource in the US and Europe and provides recommendations to realise those rewards.

Rosenow, Jan. (1), Thomas, Samuel. (1)

(1) The Regulatory Assistance Project (RAP), Belgium

>> The full report is available to download here

Upcoming deliverables

  • The drivers of the value of energy efficiency as an energy resource
  • Consolidated services and technical standards catalogue
  • Variants of P4P schemes to engage third party investors in energy efficiency
  • The business model of the energy efficiency aggregator
  • The interplay between P4P and demand response incentives
  • Functional design options for the SENSEI smart services
  • Governance models and P4P acceptance
  • KPI and impact assessment
  • Final Publishable Report