Self-financing through energy savings
Self-financing is the most straightforward EE financing model when the investment is covered from own funds of municipalities and regions and the payback is ensured by energy savings generated by the projects, eventually by the energy sales or feed-in-tariffs claimed when implemented EE projects are producing clean energy. The great advantage of these projects is the fact there is not any additional burden laid on taxpayers but the opposite, these projects can themselves even improve municipal budgets.
However, the main condition for implementing this model is enough own sources for the upfront investment as well as sufficient savings or revenues generated by the project which happens only rarely.
One of such cases is the Reconstruction of boiler room plant in General County Hospital
“Dr. Tomislav Bardek” Koprivnica, Croatia which is documented as the Best Practice Factsheet #5 of the BOOSTEE-CE EE financing best practices.
This project met the crucial conditions for self-financing, having enough own sources available and generating sufficient energy savings to ensure simple payback period of 10 years.
Among other important factors belongedproject involvement of competent and relevant individuals and detailed and thorough preparation of the investment.
The factsheet to this investment project is available on BOOSTEE-CE OnePlace Place platform, in the section Financing Energy Efficiency and involves comprehensive information on measures implemented, barriers encountered, success factors, graphs of cash flow etc.