Walter Schmidt, President

The Association for Energy Cost Allocation
Structural, technical and
economic feasibility of
individual metering
Walter Schmidt, President
Paris, May 6, 2015
About E.V.V.E.1
Mission


Independent and Europe-wide interest group aiming at the promotion of systems that
enhance energy and water savings in the residential sector
Member companies develop and produce systems for heat and water cost allocation
and carry out the service of consumption-based billing of energy and water costs
History

Founded in 1993, in Copenhagen, as „European Economic Interest Group“ (EEIG)
Organizational structure


15 member companies and two associated organisations
Represented in 9 EU Member States (Austria, Denmark, France, Germany,
Luxembourg, the Netherlands, Poland, Slovenia and Spain)
1Transparency
register nr: 74838936515-43
2
Why heating and hot water matter
Domestic homes use more than 80% of their energy for
heating and hot water
 Domestic
homes
are
responsible for 25% of the
overall
EU27
energy
consumption3
 Ca. 80% of the energy used in
domestic homes are due to
heating and hot water4
 Submetering addresses ca.
72% of the overall energy
consumption
of
domestic
homes
6% Electricity
6% Electricity
3%3%
CoalCoal
48% Gas
48% Gas
31% Oil
31% Oil
12% District heating
12% District heating
68,8%
68,8% Heating
Heating
70%
70%central
central
30% local
30%
local
25%
25%
Households
Households
13,8% Hot
water
13,8%
Hot
water
17,4% Others
17,4% Others
75%
75%
Segmentation energy consumption
Segmentation
energy consumption EU27
EU27 States
Need to empower consumers to impact on energy
savings
3Source:
4Source:
eurostat 2009
UK Department for Business, Innovation and Skills
About E.V.V.E. I EU 2020 targets I Heat and hot water I Submetering I Success factors I Executive summary
5
Metering versus Submetering
Metering
Utility provider
Submetering
Total
xxx kWh
yyy €
2
9
Real estate
managers/ landlords
Annual invoices for utilities consumption
Payment of invoice for utilities consumption
8
Multi-family
house
Payment of bills
for individual
heat/water
consumption
4
1
Provides primary energy
and/or water
5
Individual bills
7 per resident
3 Invoices
6 Individual bills
and details
of tenants
of tenants’
consumption
Meter reading
Radio meter
readings
Submetering ensures that every tenant is billed
according to actual individual energy consumption
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Technological feasibility
Bill
Heat
Real estate
Internet
Data center of service
provider
symphonic sensor net
VPN
Gateway
VPN
Gateway
Water
Communication
server
Smoke alarm
device
Gas
Smoke alarm
device control
Information about own
energy use
Raw data
base
Billing sytem
Electricity
Webservice
Energy data
management
system
Smart radio technology allows for easy and comfortable
Submetering deployment
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About E.V.V.E. I EU 2020 targets I Heat and hot water I Submetering I Success factors I Executive summary
Navrátil (CZ)
NYSERDA (US)
Goepfert (CH)
Adamson (SE)
Lordache (RO)
Heizbetriebe (AT)
Kraus (AT)
Gullev/Poulsen (DK)
Kuppler (DE)
GEWOS (DE)
Kolar (DE)
Kunde (DE)
Ackermann (DE)
Neue Heimat (DE)
Raiß (DE)
Jacobi (DE)
Schiller (DE)
Behrens (DE)
Saving‘s potential of Submetering
Studies on energy savings through heat submetering implementation (in %)
Upper range
40
Lower range
35
30
25
20
15
10
5
0
Studies show energy savings of 20% and more
5
Economic Feasibility of Submetering in Europe
500
400
Cost savings €/a
300
34 kWh / m²a France
30 kWh / m²a Sweden
200
100
0
23 kWh / m²a Poland
21 kWh / m²a Italy
50
100
150
200
250
-100
Area-based heat consumption space heating (without saving) in kWh / m²a
Economic feasibility of heat submetering is confirmed.
Source: Felsmann/Schmidt: Effects of Consumption-Based Billing Depending on the Energy
Qualities of Buildings in the EU, TU Dresden 2015
6
Effectiveness and efficiency of Submetering
- 49 € /tCO₂
12,7
Mt/CO₂
- 195 €/tCO₂
14,3
Mt/CO₂
Higher effectiveness and better cost/benefit ratio of
Submetering compared to other energy savings’
measures in buildings
5Source:
C. Felsmann 2013 (data referring to Germany)
7
Regulatory status quo in EU Member States
Strong regulation
Standard regulation
Regional regulation
Emerging regulation
Light regulation
Non-EU
8
Success factors
1) Pay-for-use
Tenant is the main beneficiary of Submetering: fair distribution of costs; transparency
and control over own consumption; savings outweigh the incurred costs; direct rewards
for further energy saving behavior
 Allocation of costs to tenants guarantees maximum energy saving
incentive
Countries with mandatory legislation show higher Submetering penetration rates, resulting
into higher energy savings’ levels
2)
2) Mandatory
Mandatory
legislation
legislation
 Mandatory legislation allows to seize Submeterings’ energy saving potential
MS with strong Submetering legislation much easier perform on achieving EU 2020
energy efficiency goals6
3) Enforcement
6Source:
 Enforcement tools including sanctions ensure effective implementation
(e.g. penalties for non-provided services)
EEA Report “Trends and projections in Europe 2013”, 10/2013
9
Regular consumption information
Individual consumption data frequently provided by modern radio
technology
Consumption information shows individual cost-cutting potential and
enables tenants to change their heating and water consumption
behaviour
Online-based applications for detailed but clear consumption information
– or classical hard-copy information if preferred
Achieving sustainable change of consumption behaviour
“Only people who know their energy consumption can really
individually manage their energy consumption.”
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Executive summary

More needs to be done if we want to achieve EU-wide energy efficiency targets for
2030 and beyond

Energy savings are necessary in the domestic housing sector, especially when it comes
to heating and hot water

With Submetering we have a solution in place which is easily deployable; it has
proved its excellence in the last decades

Submetering empowers the consumer/tenant to
consumption and contribute to energy savings directly

Submetering potential will be seized successfully if:

steer
his/her
own
energy

Costs are directly allocated to beneficiary of energy savings (tenant)

Submetering legislation is made mandatory in all MS

Enforcement of existing and future national legislation is ensured via
sanctions
Billing Information: easy step to realise additional savings on a low cost base
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Please do not hesitate to contact us if you have any
questions. We are pleased to provide further
information and support.
Walter Schmidt
President E.V.V.E.
Tel. +49.228.35 14 96
eMail: [email protected]
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