Large buildings also tend to generate steep energy bills in most cases. A proper retrofit should therefore reduce consumption and thus the bill. However, energy-saving measures don't always produce the expected results and a performance contract can address this. A performance contract lays down the envisaged energy reduction in a binding agreement with the contractor. The aim of this breakthrough project is to assemble a consortium of building owners in Leuven who put a large-scale performance contract on the market. In this way, we want to substantially bring down the energy consumption of non-residential buildings in Leuven.
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Who takes part?
Who are all the partners in the project?
Role of Leuven 2030?
In this breakthrough project we assume the following role(s):
Place in the Roadmap?
This breakthrough project is part of the following programmes of the Roadmap:
How does it work?
First we start looking for partners. Both small organisations and large building owners are welcome. However, not every building is suitable for a performance contract. It is therefore important that feasibility studies are first conducted to provide a definitive answer. These studies consider at least the following parameters. Is the energy bill high enough to achieve a substantial reduction? This is important as the contractor is (partly) compensated from these savings. Is the partner prepared to outsource the maintenance of the building for a longer period (typically 10 to 15 years)? Is the use of the building more or less fixed for the coming years? Rapidly changing use of a building makes it difficult to establish a baseline for the intended energy savings. When we have assembled a sufficiently large consortium of suitable partners, we make formal agreements with all partners and start drawing up a joint tender. This is then put on the market.
Idea of a performance contract for Leuven takes shape
Search for suitable building owners starts
3 feasibility studies completed, others being drafted
End target date for assembly of the consortium
Preparation of tender and formalisation of agreements between partners
Publication of tender
The framework of the European Mission sends this project back to the drafting table
Idea of a performance contract for Leuven takes shape
Search for suitable building owners starts
3 feasibility studies completed, others being drafted
End target date for assembly of the consortium
Preparation of tender and formalisation of agreements between partners
Publication of tender
The framework of the European Mission sends this project back to the drafting table
Why is this project important?
The heating and electricity consumption of non-residential buildings such as offices, schools or hospitals is responsible for approximately 36% of Leuven's carbon emissions*. Proper retrofits of large buildings in Leuven are therefore crucial to achieve a climate-neutral city. However, this kind of work does not always produce the expected results. The aim of this project is to put a large-scale performance contract on the market with a focus on:
- Guaranteed energy savings. The contractor is compensated for this and pays damages if the results do not meet the agreed objectives.
- The opportunity for small organisations to participate. Typically, performance contracts are put on the market by one building owner with several buildings (e.g. a city). By assembling a consortium we also want to give small organisations the opportunity to participate.
- The integration of residual value. This allows measures to be included that are typically not recovered within a period of 10 to 15 years, such as façade insulation, joinery, etc.
- Assembling a network of building owners. This allows other sustainability themes inherent to owning a large building to be discussed, such as the use of circular materials.
*CO₂-inventory Covenant of Mayors
The path of the past couple of months