Project Summary:

Background
More than 40% of total energy consumption of the country relates to Building sector. From this amount a considerable part relates to buildings with central heating systems. The average of energy consumption in building section is more that 3 times of the global average. GEF SGP has supported the following projects in this area that has resulted in 20 to 40% demonstrated reduction in energy savings. The Automated Heatng Unit has been installed in the UN building since 5 years ago and has reapeatedly demonstrated the reduction levels:
? Application of automated control systems using a domestic innovation in the heating engine rooms of buildings SGP IRA/SGP/OP4/RAF/07/03 (94) and
? Application of compressed cooling equipments for measuring temperature inside and outside of buildings and IRA/SGP/OP4/RAF/Y3/09/08(132).

As the building sector has a considerable share in production and dispersion of environmental pollutants and greenhouse gases, the development of awareness and energy consumption management would be more necessary. In recent years with implementation of Smart Subsidies Plan as well as Consumption Pattern Correction by the government, some positive results have been achieved for optimization of energy carriers' consumption. Along the same line, is the new regulation and the network of prive sector and consulting firms under "Energy Service Provider Companies Incorporation and Protection" within the framework of Article 134 of the 5th Development Plan of the Country; the main goal of which is reduction of energy use in and its main approach has been made on the basis of international experiences of ESCOs' (Energy Service Companies) activities.

According to the definition by Consumption Pattern Correction Law, ESCOs are engineering and service provider companies who design, finance, and implement projects relating to optimization of energy use in different areas of energy consumption. Such company assumes all risks of projects through guaranteeing a specific level of energy efficiency; and would compensate its costs and gain its profit through energy saving process.

General framework of activities of ESCOs:

The followings are the septet activities an ESCO company should be able to do:

General model of activities of an ESCO company within the framework of energy service contracts has been shown in the following diagram:


Energy Costs

Costumer's Profit
Costumer's Profit
ESCO's Income

Energy Costs Energy Costs



Before implementation After completion

Project activities:

? To design, create and develop communication mechanisms among the association, officials and citizens in order to manage energy on macro scales in polluted cities
? Identification and assessment of challenges and technical and legal prohibitions of contracts for energy services implementable by ESCO in residential complexes
? Measuring energy saving (gas-electricity) and reduction of production and dispersion of environmental and greenhouse pollutants in pilot buildings of ESCO
? Assessment of impacts of implementation of project in case of development of activities in Tehran
? Presenting results of project to the Presidency and the respective ministries in order to nationalize ESCO's solutions in Iranian society
? To design, create, analyze and develop communication mechanism among the association, officials and young people in order to promote level of awareness and knowledge of families and officials of the country in the next decades
? Design, print and propagate informative brochures and posters for familiarity of students, their parents and high school teachers with the matter.
? Creating a system for collaboration and information network among the association and students
? Setting up a collaboration system and information network among the association, NGOs and the selected Regional Urban Councils
? Assessment, negotiating, and selecting at least 5 girls' high schools in the city of Tehran for development of information of 1000 girl students and 100 teachers in the area of energy and its consumption in Iran
? Assessment, negotiating, and selecting at least 5 boys' high schools in the city of Tehran for development of information of 1000 boy students and 100 teachers in the area of energy and its consumption in Iran
? Selecting at least 10 high-consuming residential complexes; and concluding contract for energy services with ESCOs for optimizing consumption of gas with two major executive solutions for boiler room's automated control system and tuning up the flame of central heating system
? Installing optimizing equipment for implementation of ESCO's project at least at 10 high-consuming residential complex. In addition Engineering Associations along Caspian area and Tehran will be followed up for increasing the number of installations during the life time of the project.
? To design, print and propagate information booklets and short clips for familiarity with high-consuming subscribes through concluding energy service contracts in 2 districts of Tehran and in Caspian region with at least 2000 copies.
? Updating site of ESCOs' Association; and releasing the results of conference in website electronically within the framework of project activities