Assessment on the Feasibility and Potential of a Super ESCO Model in Cuba

Econoler supported the United Nations Industrial Development Organization (UNIDO), under the European Union-funded Support Programme for the Energy Sector in Cuba – Energy Efficiency, in assessing the feasibility and potential of establishing a Super energy service company (Super ESCO) in Cuba. More than 300 energy audits conducted in the industrial and tourism sectors had identified significant energy efficiency potential; however, the implementation of the identified measures had been limited by financial constraints, institutional barriers, and the absence of a mechanism to finance and aggregate investments.

In this context, UNIDO mandated Econoler to assess whether a Super ESCO could help address these barriers by facilitating the financing and implementation of energy efficiency projects at scale. Drawing on existing energy audit results and national energy efficiency priorities, Econoler assessed the relevant technical, financial, institutional, legal, and regulatory conditions and examined how a Super ESCO model could be adapted to the Cuban context.

Under the mandate, Econoler carried out the following tasks:

• Reviewed and analyzed the results of more than 300 energy audits in the industrial and tourism sectors;

• Assessed the legal, regulatory, institutional, and financial frameworks relevant to energy efficiency investments and energy performance contracting;

• Developed representative case studies to simulate the technical and financial operations of a Super ESCO under Cuban conditions;

• Estimated the potential market size, energy savings, investment needs, and emission reductions achievable through the Super ESCO;

• Developed a concise operational roadmap outlining the steps required to establish the Super ESCO.

Through these services, Econoler provided UNIDO and Cuban institutions with a clear feasibility assessment and practical guidance to support informed decision-making on scaling energy efficiency investments in Cuba.