Abstract
The Portuguese Electricity Demand-Side Efficiency Promotion Plan (PPEC) is a voluntary financial mechanism, under which several entities, among them electric utilities, may submit proposals of measures aiming at the reduction of electricity consumption or load management. It is one of the alternative options followed by the Portuguese government to the Energy Efficiency Obligations (EEO) stated in Article 7 of the EU Energy Efficiency Directive. A brief review is presented of the state of the implementation of Article 7 in EU. PPEC is one of the schemes that provide financial support to the implementation of measures whose results contribute to the commitments made under the Portuguese National Energy Efficiency Action Plan (NEEAP), the framework under which the alternatives to the EEO were designed. In the first edition of the PPEC, only three energy services were addressed, while, in the most recent PPEC edition, the sixth, measures addressed nine energy services. In addition, the co-funding by participating consumers and other agents has increased, raising the investment in energy efficiency from actors other than the program administrator. PPEC, although a voluntary mechanism, has proven to be a very competitive one, involving an increasing number of economic agents, measures and addressed energy services.
Highlights
On the grounds of Article 7 of the Energy Efficiency Directive (EED), several European UnionMember States (MS) have adopted Energy Efficiency Obligations (EEO) [1]
Unlike PGP, PPEC is a voluntary scheme where, besides electric utilities, other entities can compete for funds to finance energy efficiency improving measures
The promotion of energy efficiency at the demand side by electric utilities in Portugal has been in place since 1999: at first with the PGP, where the participation of the regulated utility was mandatory, and after 2007, with the PPEC, a voluntary scheme that allows the participation of other promoters not belonging to the electricity sector
Summary
On the grounds of Article 7 of the Energy Efficiency Directive (EED), several European Union. Among the policy measures taken to achieve the savings target is the Electricity Demand-Side Efficiency Promotion Plan (PPEC), a voluntary mechanism. Portugal has been implementing PPEC, with a track record of six calls for proposals for energy efficiency measures, since. In the last PPEC edition, the total cost of the proposed measures accounted to 63 million euros, almost three times the available budget. This trajectory of the program implementation represents a source of data and relevant information on the role played by voluntary mechanisms in the involvement of electric utilities in the promotion of energy efficiency at the end-use. ECEEE Summer Study [2], the authors intention was to assess how influential PPEC, as an example of a voluntary program, shows to be on several market agents’ behaviors
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