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Better Energy Workplaces 2011

Application Guide 10th June 2011

Better Energy Workplaces Application Guide, Version 1.0, June 2011

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CONTENTS

1. 2. 3. 4. 5. 6. 7. 8. 9. 10.

Description of Scheme .............................................................................................................................................. 3 Scheme Objectives ..................................................................................................................................................... 3 Who can avail of the Scheme? ............................................................................................................................... 4 What types of projects are eligible? ..................................................................................................................... 4 What level of support is available? ....................................................................................................................... 5 Evaluation Criteria ....................................................................................................................................................... 6 Application, Evaluation, and Approvals Procedure ....................................................................................... 7 Payment Procedure .................................................................................................................................................... 9 Terms and Conditions .............................................................................................................................................10 Useful Contacts and Further Information ........................................................................................................11

IMPORTANT NOTICES ..........................................................................................................................................................11 Appendix A Energy Conversion Factors ...................................................................................................................12

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1. Description of Scheme
Under the Governments Jobs Initiative, the Better Energy The National Upgrade Programme was launched by the Minister for Communications, Energy & Natural Resources on 11th May 2011. This new programme aims to deliver a major increase in the pace, scale and depth of sustainable energy investments in upgrading existing buildings and facilities 1. It will play an important role towards improving energy efficiency in buildings and facilities, and meeting national 2020 energy saving targets as set out in the National Energy Efficiency Action Plan. In order to build a strong bank of exemplar projects, and to test and evaluate new approaches, financial support is available through Better Energy Workplaces 2011 (and hereinafter termed the Scheme), for implementing a wide range of qualifying sustainable energy upgrading projects in the public, commercial, industrial and community sectors. Such projects should align with the overall programme objectives outlined in Section 2 below. The main focus of the support will be on achieving delivery in 2011 of energy efficiency investment projects of differing sizes and complexities. Achieving the scale and pace of action necessary in the present climate will require new delivery models to be developed, implemented and replicated. For this reason, the engagement and leveraging of projects through new contractual, procurement and financing models is particularly encouraged. A grant application can be made directly by the energy end user organisation, or indirectly on its behalf by a nominated project co-ordinator. Such co-ordination may be by an Obligated Party comprising an energy supply company acting in fulfilment of its energy saving target as envisioned under S.I. No. 542 of 2009 European Communities (Energy End-Use Efficiency and Energy Services) Regulations 2009, or by an entity delegated by an energy supply company.

2. Scheme Objectives
Key objectives are to: Achieve significant, measurable and verifiable energy performance gains in the public and private sectors that yield value for money cost savings and contribute to meeting national energy policy targets. Stimulate employment activity through relatively labour-intensive sustainable energy upgrading projects. Support the installation of both individual sustainable energy measures and packages of such measures including encouraging the implementation of deeper and more technically/ economically challenging measures. Build and develop the value-chain that can deliver sustainable energy projects, particularly relating to procurement and contracting arrangements between partners. Develop and showcase the impact of sustainable energy services provided by or on behalf of energy suppliers designated as Obligated Parties.

NOTE: For the purposes of the Scheme, the term sustainable energy refers primarily to projects for upgrading energy efficiency. However, projects incorporating renewable energy elements will also be permitted, where such elements are accompanied by substantive energy efficiency (fossil fuel demand reduction) elements.
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Develop and showcase innovative delivery models, including the associated contractual and procurement mechanisms based on the principles of energy performance contracting, which in turn will inform other longer term initiatives for activating sustainable energy retrofit investment. Build capacity and test the scalability of projects from which we can identify, quantify and prove potential energy saving opportunities and delivery models through exemplar projects, thereby facilitating widespread replication. Support the collection of public sector energy use data in fulfilment of the public sector energy reduction target of 33%.

3. Who can avail of the Scheme?


The Scheme is open to projects and related initiatives for the sustainable energy upgrading of buildings, services, and facilities of organisations in the public and private (including community) sector. . Public Sector: For the purposes of the Scheme, the public sector includes the Civil Service, commercial and non-commercial state bodies, the Defence Forces, An Garda Sochna, Health Service Executive hospitals and other facilities, local and regional authorities, schools and universities. A concise definition is referenced in Regulation 10 of S.I. No. 542 of 2009, European Communities (Energy End-Use Efficiency and Energy Services) Regulations 2009. Private Sector: For the purposes of the Scheme, the private sector is defined as comprising all organisations that do not fall within Regulation 10 or the categories above. This covers both the business and voluntary/ community sectors. Any such eligible organisation may submit its proposal directly, or through a nominated project co-ordinator, which may be in the form of an Obligated Party (energy supply company) or other energy service company engaged as a resource to co-ordinate or assist the project implementation and delivery process on its behalf. The main focus of the support will be on achieving delivery in 2011 of energy efficiency investment projects. Authorisation to extend a phase of a project into early 2012 may be considered in limited circumstances, subject to DCENR approval, where a project is of a scale which requires a longer lead time to completion and/or where an innovative procurement, financial or contractual mechanism is being applied. Individual organisations and co-ordinators are permitted to submit several different applications for support but projects should be bundled where appropriate.

4. What types of projects are eligible?


Support is available for sustainable energy upgrades to buildings, services, facilities and processes, involving investment actions comprising individual or packaged measures, aimed at achieving ongoing and lasting energy savings. Projects entailing upgrades to thermal, electrical or transport energy performance are all considered eligible. Where the project involves purchase of plant, machinery or equipment in the product/ technology categories listed on the Triple E register (http://www.seai.ie/Your_Business/Triple_E_Product_Register), then generally such products will be required to be drawn from that register. For grantees eligible to claim the Accelerated Capital Allowance (ACA) linked to the Triple E register, it should be noted that any ensuing claim to the Revenue Commissioners for the ACA should be made on the basis of costs net of the Better Energy Workplaces grant. Where relevant, public sector organisations should meet their obligations to procure products that meet Triple E criteria, in accordance with SI 151 of 2011.

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In addition to achieving significant and verifiable annual energy savings and offering opportunities for replication, projects must include an efficient and effective mechanism for energy use data collection, monitoring and/or verification of savings. In this regard, projects employing the International Performance Measurement & Verification Protocol (IPMVP) to monitor and verify energy savings, especially for large or complex projects, are particularly encouraged (see www.evo-world.org). Projects containing at least two of the following features are particularly encouraged:

Include retrofitting of one or more energy services within a cohort of buildings or facilities to best in class performance. Incorporate innovative delivery facilitation and financing models, especially those drawing on the principles of energy performance contracting. Involve the services of Obligated Parties as a mechanism to deliver the projects. Incorporate an innovative energy saving technology, or application. Incorporate a range of energy efficiency actions of varying complexity and investment attractiveness. Involve multiple project/ technology elements across single or multiple sites (or organisations) that are coordinated through a central body or organisation. Utilise the International Performance Measurement & Verification Protocol (IPMVP) to monitor and verify the energy savings from the project.

5. What level of support is available?


The Scheme offers support up to the following grant levels depending on the nature of the project and sectoral category outlined below: Non-commercial public sector: Support of typically 50% of eligible costs is available; although in some cases public bodies may qualify for support of up to 80%. Only projects which score highly under the criteria outlined in section 6b below can avail of funding greater than 50%. Private sector, voluntary/ community sector and commercial public sector organisations: Support of up to 35% of eligible costs is available. However, voluntary/ community organisations funded primarily by from public funds may be open to consideration for similar treatment as non-commercial public sector organisations.

In general, grant support per project will not be less than 20,000 and will not exceed 500,000. Projects of a scale eligible to attract grant support of over 100,000 and projects submitted via Obligated Parties (i.e. energy supply companies) are particularly encouraged. NOTE: Recipients of grant support must ensure that compliance is achieved with the relevant principles of Irish and EC law regarding the spending of this funding and, where applicable, the laws and guidelines concerning public procurement. Eligible Costs The eligible costs are: Costs of external labour required to install and commission the energy efficiency project, i.e. to implement the project. Costs of materials, equipment, hardware or control systems necessary to implement the project. Additional specialist costs, which in relevant circumstances may relate to design, procurement and contracting activities, will be considered on a case by case basis but these should be clearly specified in the project application.
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NOTE on VAT: The VAT cost component of implementation may only be deemed an eligible cost in circumstances where VAT is not reclaimable by a Client Organisation and there is appropriate certification available from the Revenue Commissioners. Ineligible Costs The following costs are ineligible: Any costs not directly related to improving sustainable energy performance through the proposed project. Ongoing monitoring costs. Internal staff costs.

NOTE: Any costs that are incurred prior to formal grant approval no matter what they relate to are ineligible and will not be paid.

6. Evaluation Criteria
Applications for funding will be accepted on the basis of passing the eligibility criteria outlined in (a) below and on acceptance will be evaluated for funding on the basis of competitive assessment criteria outlined in (b) below: (a) Eligibility Criteria The application must comply with the Scheme funding levels. The application must be submitted by the energy end user organisation (Client Organisation) responsible for making or procuring the proposed investment, or by an entity (which may be an Obligated Party) authorised to act on its behalf. The site must be located in the Republic of Ireland. Except in the case of non-commercial public sector applications, the project should not be in receipt of any other State Aid. The project must include an efficient and effective mechanism for energy use data collection, monitoring and/or verification of savings. In the latter regard, please note that for all public sector buildings and facilities in the relevant organisations estate, Meter Point Reference Numbers (MPRN) and Gas Point Reference Numbers (GPRN) and access to time series data from such meters will be required to be made available in due course to SEAI as part of a wider data collection exercise being undertaken by SEAI under SI 542 of 2009. In general, projects are required to be physically completed and claims for grant payment are required to be received by SEAI by 1st December 2011 except in the cases where authorisation has been given to extend a phase of a project into 2012, in which case the relevant portion of the grant pertaining to this phase can be claimed in 2012. On completion of the works: Following one year of operation in the case of buildings, or of 3 months operation in the case of facilities or processes, monitored results must be made available within a reasonable (generally 3 month) time frame to SEAI for verification and dissemination purposes. Failure to comply with this condition may lead to grant support being partly or wholly recouped by SEAI.

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(b) Assessment Criteria All applications will be assessed against the following criteria (indicative marks in brackets): VALUE FOR MONEY: Savings in terms of the magnitude of the energy and CO2 savings, in absolute terms or relative to the cost of implementation, and/or percentage performance gains relative to appropriate reference or regulatory standards. Included in the consideration in this category will be the value of the investment to the State and the quality of financial appraisal of the project. (30) QUALITY and DELIVERY: The quality of project, including the quality of the solution proposed in the application and its demonstration value and replicability. Included in this consideration will be the robustness of the project plan, including demonstrated organisational commitment and capability to complete the project by the deadline (30). JOBS BENEFIT: The labour-intensity reflected in the proportion of the project budget that is credibly attributable to contracted labour costs (20). INNOVATION: The degree of innovation in the project in terms of technology application across multiple solutions, buildings or sites, or of the organisational delivery model with regard to finance, procurement and/or contractual mechanism (20).

Applications will be evaluated as they are received and client organisations will be notified of a decision as quickly as possible. The Scheme will remain open until funds are fully allocated. Project selection will be discretionary and will be based on the above eligibility and assessment criteria. Non commercial public sector projects achieving marks in excess of 80% overall will qualify for a higher level of support which in certain cases could be up to 80%.

7. Application, Evaluation, and Approvals Procedure


Application forms are available to download from the SEAI website Grants Section. In summary, applications should describe the project in detail using the application form and include: The technical details of the project; The proposed project beneficiary organisation for the purposes of receipt of grant payment under any consequent Grant Agreement with SEAI (see Section 8); The expected energy savings potential and cost effectiveness; The planned work programme and time schedule, including likely constraint periods and status of any risk factors (including necessary consents and compliance with statutory requirements) in meeting the schedule; The financial and contractual arrangements for the project; The labour content of the project; The management and organisation of the project, including the schedule for project delivery and drawdown of the final, and any proposed interim, grant payments ; Any other information deemed relevant to the application.

Applications may be made directly by eligible energy end user organisations (Client Organisations) or by other parties, including Obligated Parties or other energy services companies, appointed by them to act in a project co-ordination role on their behalf. In the case of such appointments, applications must be accompanied by a copy from the energy end user organisation of a letter of appointment. All participating organisations in a project, and their roles, should be identified on the application form and relevant signatures provided. NOTES:
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Where separate business entities within a corporate group (e.g. associated or subsidiary companies) are participating in the project, then details of each such entity must be provided on the Application Form. Grant payments may be made only to such entities on which such details have been provided and which have incurred/ paid for costs in implementation of the project. With the exception of certain non-commercial public sector bodies which have not been required to be tax registered, a valid Tax Clearance Certificate 2 (a scanned or faxed copy is acceptable for electronic applications) must accompany the application in respect of each participating Client Organisation and of a participating Obligated Party and/or external Project Coordinator if applicable.

Applicants are strongly encouraged to contact relevant SEAI personnel to discuss their proposed projects before preparing an application (see Section 10 for contact details). Applicants should send an electronic Word version of the Application Form and/or PDF containing electronic (scanned) signature(s) to siobhan.howarth@seai.ie. Alternatively, applicants that do not have electronic signatures should send: (i) an electronic version of the completed Application Form to siobhan.howarth@seai.ie and (ii) a hard copy containing the original signatures to: Grants Administrator Sustainable Energy Authority of Ireland Wilton Park House, Wilton Place, Dublin 2. The Scheme will be subject to continuous review and may be discontinued at the discretion of SEAI, without prejudice to projects that have received grant approval. The indicative decision time from the receipt of a complete application form is four weeks; projects of an exceptional nature may require additional time for decision. If approved, a Grant Offer will be issued to the Client Organisation or their authorised project co-ordinator, appointed to act on its behalf. This offer will only be validated upon receipt of acceptance of offer through a signed Grant Agreement which must be returned to SEAI within 30 days of date of issue. NOTES: A Grant Agreement may be terminated by SEAI if a completed payment request form in respect of final payment or, where permitted, interim payment, including all relevant support documentation, is not received by SEAI by 1st December 2011 unless the grant offer timeline indicates otherwise. Failure to comply with the condition regarding an efficient and effective mechanism for energy use data collection, monitoring and/or verification of savings may lead to grant support being partly or wholly recouped by SEAI.

Except in the case of certain non-commercial public sector bodies which have not been required to be tax registered.
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8. Payment Procedure
In general, projects must be completed and associated final claims for payment to enable drawdown of funding must be submitted to SEAI by 1st December 2011. In the case of projects permitted to partially carry over into year 2012, substantial elements of the project must be completed and associated interim claims for payment to enable drawdown of funding must be submitted to SEAI by 1st December 2011. Grant payment will be made to the designated project beneficiary organisation (for the purposes of receipt of payment from SEAI) per the terms of the Grant Agreement. This beneficiary organisation will generally be the Client Organisation, with the following possible exceptions: 1. Where a contractually binding financing arrangement is in place through an external Project Manager/Co-ordinator, then payment can be made to this party with the formal agreement of the Client Organisation. For a cluster/ group project, payment may be made to the designated lead Client Organisation or Project Manager/ Co-ordinator with the agreement of all other participating Client Organisations.

2.

The level of grant payment will be proportional to receipted payments made by the beneficiary to suppliers and contractors connected to the project. Payments will be conditional upon satisfactory receipt by SEAI of the following: (a) Project completion report by 1st December 2011, or certified progress report by that day in the case of projects permitted to carry over into year 2012; (b) A completed payment request form ; (c) Invoices and receipts (and other evidence as may be requested by SEAI) documenting all eligible costs; (d) Valid Tax Clearance Certificate or Certificates (where a Tax Clearance Certificate submitted with the application has expired); (e) VAT status confirmation from Revenue Commissioners when required; (f) Project inspection report (when required) prepared and submitted by an SEAI-appointed inspector. On receipt of the appropriate documentation by the deadline, and its being confirmed as satisfactory, SEAI will normally transfer grant funds electronically to the client or beneficiary organisations bank account and issue an accompanying letter notifying payment to the client or beneficiary organisation.

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9.
1. 2. 3. 4. 5.

Terms and Conditions


Claw back of funding will occur at the discretion of SEAI in the event of failure by the grantee to comply with the verification and reporting requirements. Application Form and Terms and Conditions are those published by SEAI on the date of submitting the application. The client organisation must be the intended owner of the investment, located in the Republic of Ireland, in respect of which the grant application is made. Only new products should be installed for the purposes of the project. Approval of grant only becomes valid upon receipt by SEAI from the client organisation or appointed project co-ordinator of the issued Grant Agreement duly signed to indicate its acceptance. Grant approval must be in place before any purchases are confirmed or installation works commenced. No payments will be made retrospectively for costs incurred prior to approval being granted. The grant, once approved, is only payable in respect of the project(s) identified in the Application Form and referenced in the Grant Agreement. The client organisation must provide SEAI and/or its authorised agents access to inspect and review the project. The client organisation must obtain all necessary consents and statutory approvals and have authority to implement the project.

6.

7. 8. 9.

10. Recipients of grant support must ensure that compliance is achieved with the relevant principles of Irish and EC law regarding the spending of this funding and, where applicable, the laws and guidelines concerning public procurement. 11. SEAI reserves the right to update and revise the levels of grant funding available to the various project types and sectors. 12. The client organisation must be prepared to participate in follow-up site visit(s) to verify impacts and achievements and to participate in follow-up research (telephone or questionnaire) as may be commissioned by SEAI to establish the Schemes impacts and achievements. This will also include the acquisition of information and data for the development of case studies for wider dissemination (protecting as appropriate all confidential or commercially sensitive information/ data). 13. SEAI undertakes to use its best endeavours to hold confidential, any information provided by client organisation subject to its obligations under law, including the Freedom of Information Act 1997 (as amended). Should client organisations wish that any of the information supplied by them should not be disclosed because of its sensitivity, they should, when providing the information, identify the same and specify the reasons for its sensitivity. SEAI will consult with client organisations about such information before making a decision on any Freedom of Information request received. 14. Data Protection Any personal information which an applicant volunteers to SEAI will be treated with the highest standards of security and confidentiality, strictly in accordance with the Data Protection Acts, 1988 & 2003. SEAI, as data controller, and its agents, will store such information on its database and fully respect the confidentiality of the data provided. The information provided by applicants will be used for evaluation purposes and to facilitate the administration of the grant process. This may require that data be supplied to and discussed, in confidence, with any person or organisation appointed by SEAI to assist in assessing or monitoring this application. These persons will be subject to the same requirements for protection of confidentiality. The applicants signature on the Application Form is treated as confirmation that SEAI and its agents may use the information thus supplied for the aforementioned purposes.

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10.

Useful Contacts and Further Information

Scheme Administrator Ms. Siobhan Howarth Sustainable Energy Authority of Ireland Wilton Park House Wilton Place Dublin 2 Phone: 01 8082086 Fax: 01 8082013 Email: Siobhan.howarth@seai.ie Sectoral Advice / Support
Business energy users Business energy Obligated Parties over 1M per annum users under 1M per annum Contact: Alan Ryan John OSullivan Ivan Sproule Josephine Maguire Email: alan.ryan@seai.ie John.osullivan@seai.ie ivan.sproule@seai.ie Josephine.maguire@seai.ie Phone: 01 8082027 01 8082014 071 9159730 01 8082088 Public sector Energy Service Companies (ESCOs) Alan Ryan alan.ryan@seai.ie 01 8082027

Additional information is available from the SEAI website (www.seai.ie/grants ). IMPORTANT NOTICES SEAI accepts no liability in respect of any dispute, claim or cause of action arising out of, or in relation to, any product, equipment, work, system, installation or commissioning in respect of which grant approval was given by SEAI. No undertaking, guarantee, assurance or other warranty, express or implied, is given by SEAI, or any of its agents or servants, in respect of the cost, quality, efficiency and/or benefit of any work, equipment, product, service or installation provided under the Scheme. The information provided herein and on SEAIs website is provided solely for the purpose of providing assistance to the public, and is not intended to warrant or guarantee the quality of the product and/or the installation chosen by the grant client organisation. The grant payment is subject to any clearances required from the Commission of the European Union and any consents, clearances or licenses which might be required from any other competent body. SEAI reserves the right to alter or amend any aspect of this Scheme as a consequence of any directions, conditions or requirements of any such consents, clearances or licences.

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Appendix A Energy Conversion Factors


These conversion factors may be of use when completing the Estimated Energy Savings section in part 3 of the Application Form. Unit of Supply kWh Litre Litre Litre Tonne Litre kWh Tonne

Fuel Electricity Kerosene / Light Fuel Oil / Heating Oil Gas Oil / Diesel Residual Fuel Oil / Heavy Fuel Oil Coal Liquefied Petroleum Gas (LPG) Natural gas Wood pellets Wood biomass Notes: 1. 2. Based on Gross Calorific Value

kWh / unit 1.00 11.21 10.55 11.45 7,759.20 7.09 1.00 4,200 3,500

kg CO2 / kWh 0.533 0.257 0.264 0.274 0.341 0.229 0.205 0.005 0.005

Electricity emission factor based on year 2009 average generation mix

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