BULGARIA MARKET ANALYSIS Market analysis of industry and commerce HCIU sectors (Heating and Cooling Intensive Use sectors) RESTRICTED REPORT ANALYSIS OF INDUSTRIAL AND/OR COMMERCIAL SECTORS WITH INTENSIVE USE OF HEATING AND COOLING 1. National framework Prices of energy carriers of RES The preferential prices for electric energy buy-out from the different types of plants with the use of RES are considerably higher than the electric energy obtained from the final supplier: Photovoltaic electric stations - about 5,5 times higher Wind electric stations – about 1,7 times higher. With this ratio, the producers’ motivation of these types of RES is to sell the electric energy at preferential prices instead of consuming it in situ or in regions. At the same time, there is a policy of systematic decreasing of the price differences. Funding opportunities Relatively good opportunities exist in Bulgaria about the funding of RES projects. The credit line along the EBRD on energy efficiency and renewable sources – grant up to 20%; Bulgarian fund of energy efficiency and RES – preferential rate of interest. Credit lines operated by banks with grant opportunities up to 15% Programmes under the Operational programme „Development of the competitiveness of the Bulgarian economy 2007-2013” with grant opportunities up to 50% ESCO companies, etc. Description of the domain-area of intervention and reasons for his choice As a result of the preliminary analysis of the state of the RES sector in Bulgaria the market survey is directed with priority to the following areas: By types of RES – biomass, solar collectors for heating energy, biogas of recycled waste, thermal sources – with the largest potential Sectors – chemistry, commercial chains, hotels in cross-country section – with significant energy intensity, importance in Bulgarian economy and suitable for the project purposes 2012 GBE Country Analyses
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Regions – national scope and Stara Zagora of broad scope of surveyed entities
Results of the market surveys in 2 aggregated focus groups are shown in the next sections: Industry Focus Group (chemical and processing industries - 45 enterprises - 9625 employees) Commercial buildings & Hotels (24 buildings - 1550 employees)
2. Analysis of energy consumption in domain-area: through yearly data issued by distributors of energy (gas and electricity), on responses to the survey questionnaire sent to sample SMEs
2.1 •Industry Focus Group Main Conclusions Around 22% of the companies have considerable energy consumption – over 20% of the overall production costs and the application of RES to cover these costs or part of them would contribute to increasing the share of green energy in the industry of Bulgaria.
Around 40% of the total consumption of energy is electric, and around 14 % of the liquid fuels – energy carrier of high impact on the greenhouse gas emissions. Enterprises using liquid fuels are serious potential candidates for GBE factories
Heating and domestic hot water in SMEs are used in the range of 38-44% of the total consumption of heat energy – types of consumers with special priority for the GBE Factory project.
Around 24% of the total consumption of electricity is used for heating and cooling – types of consumers with special priority for the GBE Factory project.
Only 2 of the surveyed companies have been using RES as an energy saving measure, resources and environmental impact during the last three years. The assessments of the introduction of RES are positive. Other 7 companies (about 15%) are planning to introduce RES and could be considered as potential GBE F.
As a whole, the companies evaluate positively the extent of their awareness as well as the services offered by suppliers of RES.
Among the impediments mostly mentioned obstacles is the lack of specific information (technical, expert best practice related, etc). The tasks of the GBE Factory project are meant to surmount these barriers largely.
All companies show interest and willingness to participate in the activities organized under the project. 2.2• Commercial buildings & Hotels Focus Group Main Conclusions
The average heating area of the commercial buildings is over 5000 m2.
The commercial centers are significant consumers of electricity – around 78% of the total energy consumption.
2012 GBE Country Analyses
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Heating, ventilation and domestic hot water form a considerable share - around 23% of the total energy consumption.
The commercial centers are serious potential candidate for the GBE Factory. 14 hotels have indicated interest to implement biomass boilers for heating and DHW. The total expected cost savings are about 1 780 thousand BGN and the average payback period is about 3,6 years. The projects could contribute to CO2 reduction of about 7590 t/year. 3. Indicators of energy consumption, existence and willingness of SMEs to invest GBE F, considerations on the potentials and possible early GBE F interventions The indicators of energy consumption for the 2 focus groups are shown in the next tables (market analysis report tips 18-4-2012). Industry Focus Group (chemical and processing industries - 45 enterprises - 9625 employees) - final summary information Type of RES Oil (liquid Carbon gas Carbon Renewable Total Indicator fuel) (natural gas) electricity energy (electricity) 264 000 1 175 900 1 322 200 366 300 3 128 400 Absolute value (Mwh/year )
Company\s Energy Needs
Type of RES
Company’s renewable energy produced Expected RES new Installations due to the GBE FACTORY project activity
8,4
37,6
42,3
11,7
100,0 Percentage value (%)
27429
122171
137371
38057
325029 Indicator: (Kwh/year/employee)
0,025
0,049
0,086
0,017
Solar
Biomass/Biogas 300
366 000
0,1
99,9
2
1
25
9
2000,0
4000,0
2012 GBE Country Analyses
Wind
Geothermal
0,177 Indicator: (Energy cost (€)/unit of turnover (€)) Total
Indicator
366 300 Absolute value (Mwh/year) 0,0
0,0
100,0 Percentage value (%)
3,0 Number of Installation 34,0 Number 6000,0 (Mwe/year and MWth/year)
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Commercial buildings & Hotels (24 buildings - 1550 employees) - Market Analisys - final summary information Type of RES
Company’s Energy Needs
Type of RES
Company’s renewable energy produced
Oil (liquid fuel)
Carbon gas (natural gas)
10 539
21 544
Carbon electricity (electricity) 6 927
26,9
54,9
17,7
0,5
100,0 Percentage value (%)
6799
13899
4469
129
0,0281
0,0251
0,0127
0,00027
25297 Indicator: (Kwh/year/employee) 0,0662 Indicator: (Energy cost (€)/unit of turnover (€))
Solar
Biomass/Biogas 200
0
100,0
0,0
0 Expected RES new Installations, due to the GBE F project activity
200
Geothermal
Total
Indicators
39 210 Absolute value (Mwh/year)
Total
Indicators 200 Absolute value (Mwh/year)
0,0
0,0
0,0 Percentage value (%)
14 Number of Installation
2
7
200,0
8000,0
2012 GBE Country Analyses
Wind
Renewable energy
9,0 Number 8200,0 (Mwe/year and MWth/year)
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