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Energy	
  	
  Services	
  in	
  Lebanon	
  
                                       	
  

                        Nader	
  Hajj	
  Shehadeh              	
  
                         Energy	
  Engineer	
  -­‐	
  LCEC	
  



  Regional	
  Workshop	
  on	
   Regulation	
  and	
  certification	
  of	
  Energy	
  Service	
  
        Providers	
  according	
  to	
  article	
  7	
  of	
  the	
  Arab	
  EE	
  Guideline 	
  
                                                  	
  
                                   Monday	
  May	
  7,	
  2012	
  
                                                              	
  
                            Crowne	
  	
  Plaza,	
  Beirut,	
  Lebanon	
  
The	
  Beginning	
  


PROJECT	
  NUMBER	
  	
            000013385	
  (LEB/99/G31)	
  
                                   Lebanon	
  -­‐	
  Cross	
  Sectoral	
  Energy	
  Efficiency	
  and	
  Removal	
  of	
  
TITLE	
  	
  
                                   Barriers	
  to	
  ESCO	
  OperaGon	
  
PROJECT	
  SITE	
                  Lebanon	
  
DURATION	
                         5	
  years	
  +	
  1	
  year	
  extension	
  
APPROVAL	
  DATE	
                 June	
  2001	
  
START	
  DATE	
                    April	
  2002	
  
PROJECT	
  TARGET	
                Energy	
  Efficiency	
  &	
  ConservaGon	
  
TYPE	
  OF	
  PROJECT	
            Policy/OperaGonal/Management	
  
EXECUTING	
  AGENCY	
  	
          Ministry	
  of	
  Energy	
  &	
  Water	
  (MEW)	
  
ADMINISTRATOR	
  AGENCY	
  	
      United	
  NaGons	
  Development	
  Programme	
  (UNDP)	
  
PROJECT	
  FUNDING	
  	
           Global	
  Environment	
  Facility	
  (GEF	
  Ministry	
  of	
  Energy	
  &	
  Water	
  (MEW)	
  	
  
                                   Industrial,	
  Commercial	
  &	
  ResidenGal	
  Energy	
  users,	
  Ministry	
  of	
  Energy	
  
PROJECT	
  BENEFICIARIES	
  	
  
                                   and	
  Water,	
  EDL	
  and	
  the	
  Lebanese	
  populaGon	
  at	
  large.	
  
Energy	
  Audit	
  in	
  Lebanon:	
  Energy	
  Audit	
  &	
  LCEC	
  

            The	
  first	
  local	
  energy	
  audit	
  firm	
  gets	
  into	
  business.	
  
1996	
  
            Business	
  is	
  weak,	
  with	
  a	
  major	
  barrier	
  of	
  funding.	
  
                                                                                                             1	
  

    .	
  
    .	
  
    .	
  
            Only	
  one	
  firm	
  in	
  business..	
                                                         1	
  
  	
  
            LCEC	
  is	
  launched;	
  aim:	
  remove	
  barriers	
  to	
  ESCO	
  opera6ons.	
  
2003	
  
            LCEC	
  coordinates,	
  supervises,	
  and	
  helps	
  funding	
  the	
  studies.	
  	
  	
  
                                                                                                             3	
  

            LCEC	
  refreshes,	
  promo6ng	
  more	
  energy	
  audit	
  ac6vi6es.	
  
2007	
  
            Offering	
  trainings,	
  workshops,	
  &	
  development	
  sessions.	
  
                                                                                                             6	
  

            Energy	
  Audit	
  Market	
  is	
  ge1ng	
  stronger	
  and	
  stronger.	
  
2008	
  
            Energy	
  Audit	
  Firms	
  are	
  star6ng	
  to	
  develop	
  their	
  own	
  business.	
  
                                                                                                            10	
  
Energy	
  Audit	
  in	
  Lebanon:	
  The	
  Finance	
  
The	
  Impact	
  (2009)
                                                     	
  

Ø Energy	
  Audit	
  Firms:	
  
     æ Total	
  number	
  of	
  qualified	
  firms:	
  7	
  
     æ Dedicated	
  firms:	
  2	
  	
  
     æ Energy	
  Audit	
  Engineers:	
  18	
  

Ø Energy	
  Audit	
  Studies:	
  	
  
     æ Performed	
  :	
  ~120	
  

Ø ImplementaVon	
  Projects:	
  
     æ Public:	
  	
  	
   	
  4 	
  	
  
     æ Private:	
   	
  9        	
  	
  
Capacity	
  Building	
  AcVviVes
                                                      	
  




2007	
     Energy	
  AudiVng	
  Training	
  

           ReacVve	
  Power	
                  Energy	
  Efficiency	
  in	
             Energy	
  Efficiency	
  in	
  
           Enhancement	
                       Mechanical	
  Systems	
                Electrical	
  Systems	
  

           ESCO	
  Business	
                                                         Energy	
  Saving	
  in	
  Steam	
  
2008	
     Development	
  
                                               CO2	
  CalculaVons	
  
                                                                                      Systems	
  

           Measurements	
  in	
  Energy	
  
           AudiVng	
  	
  

           E.A.	
  ApplicaVons	
  &	
          Sending	
  4	
  Engineers	
  for	
  
2009	
     Methodologies	
                     an	
  internaVonal	
  training	
  
EvoluVon	
  of	
  energy	
  audit	
  firms
                                                                 	
  

Ø Current	
  Qualified	
  Energy	
  Audit	
  Firms:	
  7	
  
             9	
  
                                                                                                                                8	
  
             8	
  
                                                                                                                        7	
  
             7	
  
                                                                                                                6	
  
             6	
  
                                                                                                      5	
  
             5	
  
             4	
  
                                                                                   3	
  
             3	
  
             2	
  
                                   1	
  
             1	
  
             0	
  
                     1994	
       1996	
       1998	
        2000	
     2002	
             2004	
         2006	
         2008	
         2010	
  




                      Ø  Growth	
  of	
  the	
  Market:	
                         Ø  Development	
  of	
  Firms:	
  
                                -­‐  Local	
  Firms:8 	
  	
                                   -­‐  Ac>vity	
  increase:	
  30%	
  
                                -­‐  Specialized	
  Engineers:	
  21                           -­‐  Staff	
  increase:	
  16%	
  
                                       	
              	
  	
  
Energy	
  Audit	
  Studies	
  Results:	
  Sectors	
  Covered	
  (since	
  Aug	
  2007)	
  

         Sector	
                                            Conducted	
  

                                            Private	
             41	
  
         Services	
  
                                            Public	
              26	
  

         Industrial	
  	
                   Private	
             21	
  

         Governmental	
  Offices	
                                   6	
  

                               TOTAL	
                            94	
  
Energy	
  Audit	
  Studies	
  Results:	
  Poten>al	
  Savings	
  (since	
  Aug	
  2007)
                                                                                      	
  
                                                        	
  
         Sector	
                                                   Cost	
          Tons	
  CO2	
  

                                          Private	
             912,852	
  $	
        5,142	
  
         Services	
  
                                          Public	
              241,241	
  $	
        1,537	
  

         Industrial	
  	
                 Private	
            6,099,244	
  $	
      22,900	
  

         Governmental	
  Offices	
                                 65,608	
  $	
          394	
  

                              TOTAL	
                          7,318,944	
  $	
       29,974	
  
What	
  is	
  being	
  done	
  now?	
  

The	
  NaVonal	
  Energy	
  Efficiency	
  and	
  Renewable	
  Energy	
  
 AcVon	
  	
  
-­‐  Clients	
  benefit	
  from	
  a	
  0.6%	
  interest	
  loan	
  on	
  energy	
  
     efficiency	
  and	
  environmental	
  projects	
  
-­‐  Clients	
  also	
  benefit	
  from	
  a	
  grant	
  with	
  an	
  amount	
  of	
  15%	
  
     of	
  the	
  project	
  investment	
  (by	
  the	
  EU)	
  
-­‐  Clients	
  benefit	
  from	
  a	
  Risk	
  Guarantee	
  by	
  the	
  UNDP	
  in	
  
     collaboraGon	
  with	
  IBL	
  bank	
  
What	
  is	
  being	
  done	
  now?	
  

To	
  benefit	
  from	
  the	
  Bank	
  Risk	
  Guarantee	
  

-­‐  LCEC	
  launched	
  a	
  prequalificaGon	
  scheme	
  for	
  energy	
  
     audit	
  companies	
  
-­‐  The	
  client	
  needs	
  to	
  submit	
  a	
  report	
  prepared	
  by	
  a	
  
     qualified	
  energy	
  audit	
  company	
  
-­‐  The	
  qualificaGon	
  criteria	
  is	
  upgraded	
  and	
  will	
  be	
  
     launched	
  in	
  a	
  few	
  weeks	
  
What	
  is	
  being	
  done	
  now?	
  

The	
  Energy	
  ConservaVon	
  Law	
  

-­‐  The	
  drag	
  energy	
  conservaGon	
  law	
  is	
  prepared	
  and	
  being	
  
     studied	
  by	
  the	
  parliamentary	
  members	
  
-­‐  The	
  drag	
  law	
  sets	
  mandatory	
  energy	
  audits	
  for	
  faciliGes	
  
     consuming	
  more	
  than	
  400	
  toe	
  annually	
  (4,640	
  MWh)	
  
-­‐  The	
  energy	
  audit	
  should	
  be	
  conducted	
  by	
  a	
  specialized	
  
     company	
  qualified	
  by	
  LCEC	
  
www.lcecp.org.lb   	
  


THANK YOU

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Energy services in_lebanon

  • 1. Energy    Services  in  Lebanon     Nader  Hajj  Shehadeh   Energy  Engineer  -­‐  LCEC   Regional  Workshop  on   Regulation  and  certification  of  Energy  Service   Providers  according  to  article  7  of  the  Arab  EE  Guideline     Monday  May  7,  2012     Crowne    Plaza,  Beirut,  Lebanon  
  • 2. The  Beginning   PROJECT  NUMBER     000013385  (LEB/99/G31)   Lebanon  -­‐  Cross  Sectoral  Energy  Efficiency  and  Removal  of   TITLE     Barriers  to  ESCO  OperaGon   PROJECT  SITE   Lebanon   DURATION   5  years  +  1  year  extension   APPROVAL  DATE   June  2001   START  DATE   April  2002   PROJECT  TARGET   Energy  Efficiency  &  ConservaGon   TYPE  OF  PROJECT   Policy/OperaGonal/Management   EXECUTING  AGENCY     Ministry  of  Energy  &  Water  (MEW)   ADMINISTRATOR  AGENCY     United  NaGons  Development  Programme  (UNDP)   PROJECT  FUNDING     Global  Environment  Facility  (GEF  Ministry  of  Energy  &  Water  (MEW)     Industrial,  Commercial  &  ResidenGal  Energy  users,  Ministry  of  Energy   PROJECT  BENEFICIARIES     and  Water,  EDL  and  the  Lebanese  populaGon  at  large.  
  • 3. Energy  Audit  in  Lebanon:  Energy  Audit  &  LCEC   The  first  local  energy  audit  firm  gets  into  business.   1996   Business  is  weak,  with  a  major  barrier  of  funding.   1   .   .   .   Only  one  firm  in  business..   1     LCEC  is  launched;  aim:  remove  barriers  to  ESCO  opera6ons.   2003   LCEC  coordinates,  supervises,  and  helps  funding  the  studies.       3   LCEC  refreshes,  promo6ng  more  energy  audit  ac6vi6es.   2007   Offering  trainings,  workshops,  &  development  sessions.   6   Energy  Audit  Market  is  ge1ng  stronger  and  stronger.   2008   Energy  Audit  Firms  are  star6ng  to  develop  their  own  business.   10  
  • 4. Energy  Audit  in  Lebanon:  The  Finance  
  • 5.
  • 6. The  Impact  (2009)   Ø Energy  Audit  Firms:   æ Total  number  of  qualified  firms:  7   æ Dedicated  firms:  2     æ Energy  Audit  Engineers:  18   Ø Energy  Audit  Studies:     æ Performed  :  ~120   Ø ImplementaVon  Projects:   æ Public:        4     æ Private:    9    
  • 7. Capacity  Building  AcVviVes   2007   Energy  AudiVng  Training   ReacVve  Power   Energy  Efficiency  in   Energy  Efficiency  in   Enhancement   Mechanical  Systems   Electrical  Systems   ESCO  Business   Energy  Saving  in  Steam   2008   Development   CO2  CalculaVons   Systems   Measurements  in  Energy   AudiVng     E.A.  ApplicaVons  &   Sending  4  Engineers  for   2009   Methodologies   an  internaVonal  training  
  • 8. EvoluVon  of  energy  audit  firms   Ø Current  Qualified  Energy  Audit  Firms:  7   9   8   8   7   7   6   6   5   5   4   3   3   2   1   1   0   1994   1996   1998   2000   2002   2004   2006   2008   2010   Ø  Growth  of  the  Market:   Ø  Development  of  Firms:   -­‐  Local  Firms:8     -­‐  Ac>vity  increase:  30%   -­‐  Specialized  Engineers:  21 -­‐  Staff  increase:  16%        
  • 9. Energy  Audit  Studies  Results:  Sectors  Covered  (since  Aug  2007)   Sector   Conducted   Private   41   Services   Public   26   Industrial     Private   21   Governmental  Offices   6   TOTAL   94  
  • 10. Energy  Audit  Studies  Results:  Poten>al  Savings  (since  Aug  2007)     Sector   Cost   Tons  CO2   Private   912,852  $   5,142   Services   Public   241,241  $   1,537   Industrial     Private   6,099,244  $   22,900   Governmental  Offices   65,608  $   394   TOTAL   7,318,944  $   29,974  
  • 11. What  is  being  done  now?   The  NaVonal  Energy  Efficiency  and  Renewable  Energy   AcVon     -­‐  Clients  benefit  from  a  0.6%  interest  loan  on  energy   efficiency  and  environmental  projects   -­‐  Clients  also  benefit  from  a  grant  with  an  amount  of  15%   of  the  project  investment  (by  the  EU)   -­‐  Clients  benefit  from  a  Risk  Guarantee  by  the  UNDP  in   collaboraGon  with  IBL  bank  
  • 12. What  is  being  done  now?   To  benefit  from  the  Bank  Risk  Guarantee   -­‐  LCEC  launched  a  prequalificaGon  scheme  for  energy   audit  companies   -­‐  The  client  needs  to  submit  a  report  prepared  by  a   qualified  energy  audit  company   -­‐  The  qualificaGon  criteria  is  upgraded  and  will  be   launched  in  a  few  weeks  
  • 13. What  is  being  done  now?   The  Energy  ConservaVon  Law   -­‐  The  drag  energy  conservaGon  law  is  prepared  and  being   studied  by  the  parliamentary  members   -­‐  The  drag  law  sets  mandatory  energy  audits  for  faciliGes   consuming  more  than  400  toe  annually  (4,640  MWh)   -­‐  The  energy  audit  should  be  conducted  by  a  specialized   company  qualified  by  LCEC  
  • 14. www.lcecp.org.lb   THANK YOU