Greening Public Buildings: ESCO-Contracting in  Danish Municipalities

Jensen, Jesper Ole; Nielsen, Susanne Balslev; Hansen, Jesper Rohr

doi:10.3390/en6052407

Cited by 27 publications

(26 citation statements)

References 6 publications

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“…Only recently has there been a surge in interest in the role of ESCOs in providing energy services at a local 4 authority and municipal level (Aasen, 2015;Hannon, 2015b, a;Jensen, 2013;Polzin, 2015). Procurement frameworks for energy services such as the PFEPCs analysed in this paper have received comparatively little attention with only a limited number of academic publications mentioning one of them (RE:FIT) (Chmutina, 2014;Chmutina, 2012;Hannon, 2015b).…”

Section: Introductionmentioning

confidence: 99%

Innovative Procurement Frameworks for Energy Performance Contracting in the UK Public Sector

2015

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SWPS 2015-31 (November) DisclaimerThe works av ailab le h ere ar e th e resp onsibility of the ind ividu al auth or(s) and do not necess arily repres ent the views of oth er SPRU researchers . As matters of policy and practice, SPRU does not endorse individual research contributions. Guidelines for authorsPapers sh all be submitted in pdf or Word format. They should con tain a title, an abstract, and keyw ords. Pap ers should be submitted to on e of th e Editors, who will process them and send them to th e appropriate Associate Editor. Tw o memb ers of SPRU will be asked to provide a short written rev iew within three weeks. The r evised v ersions of th e pap er, togeth er with a rep ly to the reviewers, should be sent to th e Associate Editor, who will prop ose to th e Editors its publication on th e series. When submitting th e authors shou ld ind icate if th e paper has already undergone peer-reviewing, in which case th e Associate Ed itors may decid e to skip internal review process. The SPRU Working Paper Series aims to accelerate the pub lic av ailab ility of the r esear ch undertaken by SPRU-associated p eople of all categories, and exceptionally, other r esear ch that is of consider able interest within SPRU. It pres ents research r esults that in whole or p art are suitab le for submission to a refereed journal, to a sp onsor, to a major confer ence or to th e editor of a book. Our intention is to provide access to early copies of SPRU research. AcknowledgementsThis research was funded by the Research Councils UK through their support for the Centre on Innovation and Energy Demand (Grant no. EP/KO11790/1). We are grateful to two anonymous referees of the SPRU Working Paper Series (SWPS) for their comments. 2 AbstractProcurement Frameworks for Energy Performance Contracting (PFEPCs) simplify the process of negotiating, developing and implementing Energy Performance Contracts (EPCs) with Energy Service Companies (ESCOs). This paper analyses their role in promoting the implementation of cost-effective energy efficiency measures in the UK public sector. Compared to conventional approaches to procuring goods and services involving detailed specifications, PFEPCs translate the challenge of upgrading, retrofitting and replacing energy related equipment and infrastructures into required outputs through functional specifications. The innovativeness of specific PFEPCs often lies less in the diffusion of 'developmental' innovative energy efficient solutions, although partner bidding approaches create favourable conditions for innovation. However increasing standardisation and bundling prove successful at lowering transaction cost, which enables ESCOs to address projects which would not be considered in the absence of PFEPCs due to high transaction costs. This particular organisational innovation opens the market up to new approaches to implementing costeffective energy efficiency measures.

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Section: Introductionmentioning

confidence: 99%

Innovative Procurement Frameworks for Energy Performance Contracting in the UK Public Sector

2015

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“…Although ESCO collaborations have been recognised to offer significant benefits to local governments that must conduct energy renovations under conditions of limited resources and high expectations, they also carry some disadvantages compared to the traditional in-house approach (Jensen et al 2013). First, ESCO collaborations involve transaction costs, including tendering, contract management and negotiations on baseline adjustment and costs that tend to increase with the complexity of the ESCO contract.…”

Section: According To the Eu Directive On Energy End-use Efficiency Amentioning

confidence: 99%

“…Moreover, compared to more traditional in-house energy reduction projects, in which minor solutions are implemented step by step, an ESCO offers an innovative approach to F o r P e e r R e v i e w 2 energy optimisation. ESCO collaborations are based on (1) output-based contracts; (2) the guarantee that a defined amount of cost savings will be reached within a specific number of years; (3) a long-term collaboration between public and private parties; and (4) short-term refurbishment and immediate, consequential savings (Jensen et al 2013).…”

Section: According To the Eu Directive On Energy End-use Efficiency Amentioning

confidence: 99%

“…The payment for the service delivered is based (either wholly or in part) on the achievement of energy efficiency improvements and on the meeting of the other agreed performance criteria". An ESCO company provides a package that consists of technology, project management, education and building monitoring pursuant to a long-term contract and assumes the eventual risks of not reaching the promised energy savings, thereby guaranteeing the client a particular amount of energy savings (Jensen et al 2013). …”

Section: According To the Eu Directive On Energy End-use Efficiency Amentioning

confidence: 99%

“…ESCO collaborations, among others, represent a novel, cost-neutral opportunity to energyrenovate public building stock through a collaboration between a public institution and a private party, i.e., the Energy Service Company (ESCO) (Jensen et al 2013). …”

Section: Introductionmentioning

confidence: 99%

See 2 more Smart Citations

Facilities management innovation in public-private collaborations

Nardelli

Jensen

Nielsen³

2015

Journal of Facilities Management

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Purpose – The purpose of this article is to investigate how facilities management (FM) units navigate Energy Service Company (ESCO) collaborations, here defined as examples of public collaborative innovation within the context of FM. The driving motivation is to inform and inspire internal FM units of local institutions on how to navigate and manage collaboration of different, intra- and inter-organisational actors throughout ESCO projects. Design/methodology/approach – A deductive research methodology was applied based on the first ten ESCO projects in Danish municipalities between 2008 and 2012. Findings – A model of FM roles in FM public innovation is proposed. The internal FM unit coordinates between clients and end users by acting as translator and demonstrator and collaborates with the ESCO company to implement the energy renovation (FM processor). Research limitations/implications – The data were collected from a limited sample of ESCO collaborations in Denmark. Future research should thus investigate collaborative innovation in ESCO (and other forms of private–public) collaborations outside of Denmark. Practical implications – Not only should FM units clarify what different stakeholders expect from an ESCO collaboration, but also they should translate stakeholders’ expectations into actual goals and objectives; process them together with the ESCO company; demonstrate their execution to all stakeholders throughout the process, not just when closing the collaboration. Originality/value – This paper contributes to FM innovation research by exploring FM innovation in the public sector and by depicting the coordinating role of local governments’ internal FM units engaging in public–private collaborative innovation.

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Diffusion of climate policy integration in adaptation strategies: translating the EU mandate into UK and Danish national contexts

Jensen,

Nielsen,

Russel

2023

Reg Environ Change

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In this paper, we examine how the EU Climate Adaptation Strategy and especially its pivotal principle of policy integration of climate adaptation has diffused into the climate adaptation strategies of Member States. We explore how this quest for climate adaptation policy integration (CPI) was pushed by vertical diffusion of the framing and policy mixes launched at the EU level. To do so, we analyse and compare national climate adaptation strategies in two EU Member States—the UK and Denmark—during 2013–2021, which witnessed Brexit and increased attention to climate impacts. Conceptually and analytically, we draw on the policy diffusion literature centring on four potential drivers of vertical policy diffusion: interests, rights, ideology and recognition. Furthermore, to scrutinize what is diffused, we conceptualize climate policy integration including the rationale and policy instruments for climate policy integration. We find that both countries’ approaches to climate change adaptation have been shaped by rights-based diffusion in a mixture of shadow hierarchy, soft power and activation of other policy areas with binding directives and observe how what appears to be asymmetrical diffusion has strong elements of symmetrical diffusion. We further identify divergence between the cases before and after Brexit and in mandating local level actions.

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Greening Public Buildings: ESCO-Contracting in Danish Municipalities

Cited by 27 publications

References 6 publications

Innovative Procurement Frameworks for Energy Performance Contracting in the UK Public Sector

Innovative Procurement Frameworks for Energy Performance Contracting in the UK Public Sector

Facilities management innovation in public-private collaborations

Diffusion of climate policy integration in adaptation strategies: translating the EU mandate into UK and Danish national contexts

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