Select Committee on Economic Development Meeting Energy Efficiency in Public Buildings 7 August 2012 Presenter: Mr Xolile Mabusela Director: Energy Efficiency and Environment 1

Outline Background & Context Objectives of the Public Building Energy Efficiency in the Public Building Objectives of the Public Building Energy Efficiency Programme Energy Efficiency Interventions in Public Buildings Institutional Arrangements Conclusion 2

Background & Context (1) The National Energy Efficiency Strategy (NEES) was promulgated in 2005 and projected a reduction of the national energy demand of 12% by 2015 together with sectoral targets by which commercial and public buildings of 10%. The sectoral targets made an allowance for forecast growth of energy demand, and are defined as percentage reduction in the predicted end-usage of energy. The first review of the NEES was held in 2008, and a revised Strategy was afterwards gazetted for public comments. In view of the received comments more work needed to be undertaken since the comments were critical, which amongst others, took into consideration that circumstances have changed since the 2005 NEES was developed, and that a more comprehensive review process is required. 3

4 Background & Context (2) Parallel to the development of NEES in 2005, an energy efficiency target Monitoring Methodology Handbook was also developed. This EE Monitoring Methodology Handbook provided a detailed input data-streams required, however its review is necessary to ensure that the South African energy efficiency monitoring system take full advantage of the current development and international best practice updates.

5 Energy Efficiency Implementation Gaps Identified in the 2008 NEES Review The lack of energy efficiency monitoring system to track the achievements of the targets in the National Energy Efficiency Strategy. The National Building Codes and Regulations were yet developed to ensure improvement of energy efficiency for new buildings. Non-availability of Standard for Energy Management Plans and/or system. Non-availability of Measurement and Verification (M&V) standard for calculation of energy savings. Insufficient energy efficiency awareness activities to change behaviour on how energy is being used as well as how citizens could save energy within their daily activities.

NEES Review Process The second review process started in 2011 as part of the Industrial Energy Efficiency Improvement Project implemented in collaboration with the Department of Trade and Industry, Business, and other international partners. The next review and NEES implementation process took into consideration the power interruptions and load shedding experience in 2008 and the beginning of 2009, the world financial crisis/economic down turn and its impact on SA; climate change impacts and response measures; energy policy development. The 2011 NEES review process has just been completed, and will be published for public comments pending Cabinet Approval.

Energy Efficiency in Public Buildings (1) The DoE is currently embarking on or developing an EE Target Monitoring System through the Energy Efficiency Monitoring and Implementation Project which is done jointly with the South African Local Government Association (SALGA). This project is supported through a collaboration between DoE and the Swiss Agency for Development and Cooperation (SDC). The purpose is to introduce and institutionalise an Energy Efficiency Target Monitoring System for measuring and reporting of the achievement of the sectoral targets set out in the National Energy Efficiency Strategy. In addition, the Minister of Public Works launched the National Green Building Framework in December 2011, which also has elements of energy efficiency in buildings. The National Building regulations are also being amended to include mandatory energy efficiency standards for new buildings to support the improvement of energy efficiency buildings. 7

Energy Efficiency in Public Buildings (2) Noting the urgent need to make EE system work effectively, the Minister of Public Works and the Deputy Minister of Energy met on 24 th January 2012 to discuss energy efficiency in public buildings to close the gaps that were identified in the existing MOU between the two departments and it was agreed that an inter-departmental Task Team (IDTT) be established to accelerate the improvement of energy efficiency in public buildings. This coincided with the Minister of Public Enterprises letter of support sent to the Minister of Energy on the 5 th March 2012 to develop and implement standardised energy management plans and energy efficiency communication in public buildings. The IDTT was tasked to develop an action plan for the implementation of energy efficiency measures in public buildings and also revised the Memorandum of Understanding (MOU) signed between the two departments in

Objectives of Energy Efficiency in Public Buildings Implement energy efficiency measures in public buildings that would contribute to the South African Green Economy & Economic Sustainability. Create synergies in Energy Efficiency programmes for Government buildings. Establish a standard data collection and energy consumption database through energy audits, use of smart metering and Geo- positioning Information System (GIS). Standardise energy management system and plans for public buildings. Decrease energy usage and associated costs. Develop and/or improve energy management skills for Facility Managers. 9

Energy Efficiency Interventions in the Public Buildings (1) The DoE/DPW Task Team for Energy Efficiency in Public Buildings has noted the gaps and as such identified interventions necessary for the introduction of standardized energy management and performance certification in public buildings, as a subset of the Built Environment Green Economy Programme (BEGEP) currently under development. The energy performance certificate is a tool to rate buildings according to their level of energy consumptions. The interventions identified will be a five step process which will commence with establishing a baseline on the extent energy usage by public buildings. This exercise will be in a form of pilot projects on identified public buildings, and will further establish a standard for data measurements and issuing of the energy performance certificates. 10

Energy Efficiency Interventions in the Public Buildings (2) Intervention 1: Development of a system to introduce Energy Performance Certification in Public Buildings : – Development of Energy Performance Certificates (EPCs) in South Africa, in line with Green Building Framework and International Best Practice and through applicable South African National Standard (SANS) as regulated by the South Africa Bureau of Standards (SABS); – Intervention would put South Africa on par with developed economies with regard to energy efficiency monitoring tools and systems; – The standard has been drafted in accordance with international standards and will be translated to a South African National Standard (SANS) once approved by the South African Bureau of Standards (SABS). – The other component of the system is an accreditation process within the South African National Accreditation System (SANAS) to accredit bodies that will issue EPCs. SANAS has been invited to form part of the Task Team in order to develop this system. 11

Energy Efficiency Interventions in the Public Buildings (3) Intervention 2: A Pilot Project on Energy Data Collection and establishment of national public building energy consumption database is underway, starting with 1000 building in a short term (1-3 years) and in a medium term ( 3-10 years). This process includes the collection of data and location of the buildings. The data collection sheet has been finalized and agreed for the pilot phase of the data collection. A GIS Software is in the process of being procured to support the development of a database. Already, the Department has appointed a GIS Data Manager to provide technical support to the data base development. 12

Energy Efficiency Interventions in the Public Building (4) Intervention 3: Policy Framework for the introduction of Energy Performance Certification in Public Buildings: The Plan is to include the development of a gazetted Policy Directive to make the use of EPCs as a mandatory tool for the planning of energy efficiency measures in public buildings, and display of EPCs on buildings occupied by Government departments. Based on the deliberations and workshops held on the phasing out of the Incandescent lambs, the DoE and DPW is in the process of involving the National Energy Regulator (NERSA) for Compulsory Specifications (NRCS) to introduce a standardized national policy to phase out inefficient lighting products. Options to be considered will include, among others, green procurement. 13

Energy Efficiency Interventions in the Public Building (5) Intervention 4: Installation of Smart Meters: The DoE in partnership with the Danish Embassy within the perimeters of the existing MOU between the South African Government through DoE and the Government of Denmark is introducing smart metering in public buildings targeting about 200 (of the buildings earmarked for data collection) as a start. This i nstallation of Smart Meters is executed under the Pilot Project of Data Collection being implemented by DoE/DPW to support energy management planning and collection of real-time data. The plan is to install Smart Meters in all government buildings pending the outcome of this pilot and availability of funds. A draft project plan for the analysis installation of Smart Meters has been completed, and Eskom through its Integrated Demand Management programme is part of the initiative. 14

Energy Efficiency Interventions in the Public Buildings (5) cont… Intervention 4: It should be noted that currently there is no standard for smart meters in South Africa, and as part of the implementation plan, the development of such as standard will be considered. SANEDI is working on a model for local manufacturing of smart meters through its Energy Efficiency Hub located at University of Pretoria. 15

Energy Efficiency Interventions in the Public Buildings (6) Intervention 5: Energy Efficiency Awareness in the Public Sector: In 2008, Government Communications and Information Systems (GCIS) was mandated by Cabinet to manage a communication campaign on energy efficiency for a period of three years and a handover was done in March One of the key recommendation of the GCIS handover report is to develop a National Energy Efficiency Campaign Strategy to support effective policy- making, continuously trigger stakeholder actions geared towards improving energy efficiency. The National Energy Efficiency Campaign Strategy was developed, presented and approved by NEDLAC, and was launched during COP17 in Durban, Dec

Energy Efficiency Interventions in the Public Building (6) cont…. The Campaign Strategy is aimed at contributing to the sustainable transformation of current energy consumption practice towards a more energy efficient one including public buildings sector. Most government departments have initiated energy efficiency awareness activities, however there is a need to intensify, including appointing qualified energy managers, have electronic display of energy saving tips, distribution of electronic newsletter to all government employees, printing energy savings tips in government magazines, pay slips, etc. There are also plans in place to share energy savings measures through inter- departmental seminars /workshops using existing platforms such as Government Communications Forum, DG’s Forum, etc. 17

Energy Efficiency Interventions in the Public Building (6) The public sector Energy Efficiency Campaign activities includes training and implementation of Facility Managers to become “Energy Efficiency Champions/Marshals” within the government buildings sector. These “Energy Efficiency EE Government Champions/Marshals” are to implement energy efficiency measures within public buildings, and to prove the case for energy efficiency and provide an example to the private sector. The planning of the training on energy management systems and energy efficiency opportunities for the Facility Managers is within the “Energy Data Collection Survey Pilot Project”. 18

Policy Profiling of Energy Efficiency in Buildings The DoE in partnership with the Swiss Agency for Development and Cooperation (SDC), as part of the Energy Efficiency Target Monitoring System development, with technical support from the International Energy Agency (IEA) is in the process of analysing the current energy efficiency policies for buildings. The project will also estimate the energy savings potential using current and future measures in the public building sector. The project is estimated to be finalised by end of May 2013, and covers the following key activities: Energy efficiency activity data collection including stakeholder consultation process; Data analysis and reporting of the findings; Estimation of the energy savings potential and policy review (if any). 19

Institutional Arrangement for EE in Public Buildings 20 International Partners: GIZ, SDC, Danish Energy Agency International Partners: GIZ, SDC, Danish Energy Agency Task Team SALGA DoE/SANEDI CIDB CBE DPE Technical Working Streams Energy Efficiency Campaign in Public Buildings IDT DPW Eskom SANAS

Capacity Building and Skills Development A capacity building and training programme for energy audits, energy managers, and facility managers will also be executed. Through the energy auditing, data collection and introduction of energy performance certification for public buildings there will be an opportunity to train and employ unemployed youth and women as part of energy services market development. The South African National Energy Development Institute (SANEDI has established a Postgraduate programme on Energy Efficiency & Demand Side Management with the University of Pretoria; In addition, the introduction of energy efficiency certification and standardize energy management system in the public building sector, as part of the Green Building Industry, will have training opportunities for new and existing built professionals in energy auditing, monitoring and energy management systems. 21

Recommendations It is recommended that the Portfolio Committee notes: Progress on the energy efficiency in public buildings; That in implementing these activities there are limited financials and human resources to deliver the required energy savings; and Note partnership with International Organisations on the implementation of the programme. 22