ESCO Start-Up Support

  • Client

    Union Fenosa Group

  • Year

    2007-2008

  • Region
    • Europe
  • Service
    • Energy Performance Contracting and ESCOs
  • Countries

    Spain

Union Fenosa Comercial, a subsidiary of Union Fenosa and one of the main energy suppliers and services companies in Spain, requested Econoler’s support in establishing an energy services company (ESCO) with the aim of developing an energy efficiency program for Spain’s commercial, municipal, hotel and industrial sectors. The objective of this new program was to support energy efficiency projects implementation, diversify customers’ energy services provided by UF and help clients’ enhance their competitiveness while generating profits.

Econoler’s mandate consisted in providing technical assistance to Union Fenosa Commercial to reinforce its internal capacity to develop and implement comprehensive energy efficiency projects using the energy performance contracting (EPC) approach. Econoler provided support for the various ESCO aspects in project development and implementation, with a special focus on technical, financial and operations aspects of the ECSO. Econoler provided ESCO activity operators with technical support in carrying out the following major tasks:

  • Capacity-building for ESCO concept and project cycle development.
  • Developing various EPC models adjusted to specific requirements of the hotel sector.
  • Project risks assessment and mitigation strategies.
  • Developing measurement and verification plans for hotel projects.
  • Project financial viability and sensitivity analyses based on hotels’ specific operation characteristics.
  • Developing energy efficiency project marketing strategies.
  • Developing ESCO business plans.
  • Developing project design and implementation plan.
  • Updating and adjusting the ESCO operation and management tools developed by Econoler to better suit Union Fenosa’s operating conditions.

 

When fulfilling the mandate, Econoler selected 33 hotels to develop and evaluate EPC proposals for them. More specifically, to develop a complete energy services offer, the following aspects were covered:

  • Projects identification.
  • Designing various measures to be implemented.
  • Turn-key installation.
  • Development and implementation of adapted financing.
  • Maintenance of different implemented systems.
  • Constant monitoring of projects performance.
  • Measurement and verification of savings generated.

 

All this planning and assessment was done in the context of a contract guaranteeing the savings to be generated by the projects.