Contracting

4.2.2/ Organisational structure
Udine, considerably smaller than
Stuttgart, represents a ‘typical’ small
to medium sized EU city. The fund was
set up at the end of 2015. In Udine the
initial fund size was €32,000. This sum
DV-AS
Division
was the city’s
of
budget income from
Environment the EEC’s investment and
on the National
osals
Sustainability
nal circuit Energy Market for the 2007-2014
tion
period.
Analysis and
Information
In Udine a new Political council by-law has very
Responsible for the enforcement of the scheme
recently and global been coordination passed. between It states departments. that
Final approval on projects.
aluation according the to revolving fund will be the financial
the Fund Regulation tool through which the authority
and Technical
information will finance any SEAP measure. So
the fund has Management
changed its name from
Overall management of the fund, including
“Climate project’s Fund” assessment, to “SEAP financial monitoring, Fund”.
cision
priorities definition, internal contracts validation
Mayor
Municipal
Executive
Operational
Management of the fund at an operational level –
flow of information and budget, internal
contracts enforcement and interdepartmental
assessment and monitoring of internal contracts
Beneficiaries
TECHNICAL STAFF:
Efficient tool for
monitoring investment
POLITICIANS:
now possess tool
to implement policies
CITIZENS:profit: from higher
efficiency of “municipal engine”
Revenue Streams
Average Payback
period
of implemented
projects:
48 months
Real energy savings
of measures:
47,700 kWh/a
Number of projects
implemented p.a.: 8
Annua al amount invested: € 32,000
Costs internal monitoring # employees in preparation:
+ building Mayor audits: € 0
6(head of technical and
Joaquim Judas financial dep., financial
Type of employees assigned
expert, legal expert,
2 technical experts + head of
Councillor for Environment and Energy 2 technical Issuesexperts)
technical Dep. + 1 financial expert
Rui Jorge Martins
Costs for preparatory studies
Overall Time spent on scheme:
+ consulting and experts: € 0
37 – 40 hours per month
Fund size: € 32,000
Costs ext. experts +
Head of Environment, Mobility, audits + studies: Costs for equipment
Energy and Urban
Upgrading Directorate
€ 3,000 + training: € 0
Head of General Management and Finance Directorate
Carlos Marques
Pedro Filipe
Head of Energy Climate
Environment and
Head of Finance and
Head of Planning and Control,
Mobility Department
Administration Department
Studies and Statistics Division
Catarina Freitas
Ana Coelho
Isabel Oliveira
Figure 17: Udine Internal contracting scheme at a glance
Head of Environmental Studies and
Management and Energy Division
Nuno Lopes
Operational Cost
Preparation Cost
ANY
Berlin
4.2.3/ Management of the fund
Technical
Evaluation of project pool eligible for the fund.
In Technical Udine and technical economical management evaluation of each project, of the
monitoring of the installation and uptake of the
fund project. was Technical assigned evaluation to of the projects Municipal after
Agency for
uptake
Environmental
(post-monitoring)
Policies
that has the role of an Energy Service
Company (ESCO). All municipal units
and departments are invited to
propose energy efficiency measures
to be financed by the fund. The
proposals are evaluated subject to
a cost-benefit analysis, mandatory
CITY GENERAL
BUDGET
financial
management
FINANCIAL
SERVICE
approved actions
approved savings
financial resources
financial
management
Figure 18: Business model and organisational functionality
criteria and the amount available in two technical experts, one financial
the fund. The Agency implements
AGENEAL
the expert, one political representative and
measures and calculates Local Energy the Management financial Agency
two other external technical advisors
Carlos Sousa
savings achieved which are João
redirected
Cleto
was created and is still active today.
back into the Fund. The City Authority However, the day-to-day business is
decided to start the Fund with energy now managed by the two technical
savings 1,4 generated by four pilot
experts.
measures implemented in 2015.
1,2
The diagram below illustrates the
To set up the fund, a “core
business model and organisational
management team” comprising the functionality chosen for the Udine 2011-2013
wood
head of 1,0 the technical department, chip SEAP fund:
2007-2010
firing
2003-2006
action
0,8 city budget
budget
1999-2002
CITY proposal WG for porposals
“CUSTOMER” 1995-1998
COUNCIL
CITY BUDGET
INTERNAL UNIT
0,6 saving DEFINITION
evaluation
proposals
Investment €Mio.
0,4
saving
evaluation
proposals
proposals of
actions to be
financed
through
the fund
0,2
cogeneration
photovoltaic
technical
units
REVOLVING0,0
management ENVIRONMENTAL
FUND
0 5
POLICIES
10 15 20 25
AGENCY
payback time (years)
financed
actions
performance
efficiency
data
monitoring
MUNICIPAL 12
BUILDING/
action implementation
PLANTS
10 free capital
maintenance / use
reserves for future
measures stuck in pipeline
8
investments
expenses for investments
Million
6
Infinite Solutions Guidebook – Internal Contracting
4
2
start-up difficulties
to get into process