|Office building in Greece
|Greek public body
The Centre for Renewable Energy Services, a public body governed by private Law, partner of the REFINE project offered its facilitation services.
The client is planning to upgrade its HVAC installations of its central office building in the near future. The upgrade will consist of:
- The replacement of the diesel oil – fired boiler and air-cooled chiller with a newly designed high-efficiency geothermal heat pump for meeting the thermal and cooling needs of the building.
- The re-design and replacement of the existing supply and return piping of the HVAC installation.
- The re-design and replacement of the existing terminal units (Fan-Coil Units) of the building.
- The design and installation of a monitoring and control system for the new HVAC installation.
The Technical Services department of the client is interested in tendering this project as an Energy Services Contract in which the Energy Service Provider would finance this project with a guaranteed performance or shared savings Energy Performance Contract with refinancing clauses.
Therefore, the Technical Services Department of the client requested facilitation services for the preparation of the Tender and also the implementation and testing of the refinancing instruments.
Although the client was initially very enthusiastic about implementing a project which would demonstrate both innovative, for the public sector in Greece, technologies (ground-cooled geothermal heat pump with remote monitoring and control, financing mechanisms (100% ESCO financing with a Tender for Energy Services) and refinancing mechanisms, it backed down before the launch of the Tender.
The main reason for this withdrawal of interest was their hesitancy in trying something different that they were not familiar with.
The project has been put on hold and is currently being re-evaluated by the Technical Services Department of the client.
- Similar projects in the market have very limited interest to market stakeholders as:
- The relatively small budget and financial returns are of limited interest to large companies which have access to sources of financing.
- Smaller companies or consortiums with interest for such projects do not have access to sources of financing (mainly due to the lack of guarantees for the financial risk) and they also usually cannot provide the necessary guarantees for the performance risk (i.e. lack of insurance or surety bonds).
- There are currently no readily-available re-financing services available.
For more information, please contact: (name of partner organisation responsible for this pilot)