Energy efficiency

State of compliance

Kosovo* has achieved partial compliance with the energy efficiency acquis. Compliance remains problematic, notably where legal acts have been drafted, but their adoption is pending (i.e. draft Energy Efficiency Law, by-laws to implement Energy Performance of Buildings Directive,  etc.).

 

  • Energy Efficiency Directive

    Energy Efficiency Directive

    A new Energy Efficiency Law was finalised in cooperation with the Energy Community Secretariat, and, after adoption by the Government in May 2018, submitted to the Parliament for approval. The Law on Energy Efficiency was subsequently adopted by the Parliament of Kosovo* on 7 November 2018. This Law transposes the Energy Efficiency Directive, and includes an extensive chapter on the establishment and operation of the energy efficiency fund based on energy service agreements. However, full implementation of the Energy Efficiency Directive will require adoption of secondary legislation.

  • NEEAPs and targets

    NEEAPs and targets

    The 3rd EEAP was adopted in August 2017 (fourteen months after the 30 June 2016 deadline). It includes a roadmap for the transposition of Directive 2012/27/EU, 2018 target expressed in final energy savings and introduced a 2020 final energy cap consumption target amounting to 1556 ktoe.

    The new Energy Efficiency Law will introduce an energy efficiency obligation with a 0,7 % target, as  well as an obligation to renovate annually 1% of central government buildings.

    Kosovo* was the first country that submitted the 1st Annual Report under the Energy Efficiency Directive on 26 June 2018.  According to the report, final energy consumption increased by 7,9% compared to 2015, mainly due to the increase of energy consumption in buildings sector. This sector should be the main priority for energy efficiency measures.

  • ESCO market development and financing

    ESCO market development and financing

    The 2011 Energy Efficiency Law omits provisions on ESCOs and energy services market development. The draft of the new Law on Energy Efficiency addresses this, and explicitly defines the ESCO, energy performance and supply contracts and sets out the rules for these projects in line with the acquis. The 3rd EEAP also includes measures for the development of an ESCO market.

    The REEP Plus programme supported the responsible state institutions in Kosovo* and in May 2018 prepared model energy performance and energy supply contracts (to be adopted as by-laws to the new Energy Efficiency Law), and identified a number of gaps in the functioning of the ESCO market in Kosovo*. These are mostly addressed in the new  Energy Efficiency Law, but also refer to organisational issues, namely a stronger role of the Energy Efficiency Agency,  the need for more visibility and capacity building activities and certain amendments to the Budget System Law (to enable multi-annual budgeting) and the Public–Private Partnership Law (to provide more clarity for ESCO public–private partnership projects).

  • Energy efficiency in buildings

    Energy efficiency in buildings

    The Law on the Energy Performance of Buildings was adopted in December 2016 (four years after the transposition deadline), which rectified the breach identified by the Ministerial Council’s Decision on the lack of transposition of Directive 2010/31/EU of 2016.

    The only by-law adopted during this reporting period (in February 2018) is the rulebook on inspection of heating and air conditioning systems in buildings. The majority of by-laws remain to be adopted. The by-law on the energy performance certification procedure completed the public consultation process, while others (on the methodology and software for calculating the energy performance of buildings and minimum energy performance requirements) are yet to be finalised.  Thus Kosovo* fails to implement Directive 2010/31/EU.

    The 3rd EEAP adopted in August 2017 and draft Energy Efficiency Law envisage the preparation of long-term building renovation strategies, setting the annual targets for renovation of central government buildings and a programme for renovation of residential buildings to achieve minimum energy performance requirements (including the renewable component). Kosovo* is implementing an energy efficiency programme for the rehabilitation of public buildings, while a new comprehensive investment programme for energy efficiency in the residential sector was launched in April 2018.

  • Energy efficient products - labelling

    Energy efficient products - labelling

    The Administrative Instruction on the Labelling of Energy Related Products transposes Directive 2010/30/EU and the delegated regulations, as adopted by the Ministerial Council in 2010. However, Kosovo* has failed to implement the delegated regulations adopted by the Ministerial Council in October 2014. These are expected to be adopted after the entry into force of the Energy Efficiency Law.

    The European Commission and the Energy Community Secretariat suggested to Kosovo* to refer in the Law to both the 2010 framework labelling directive (Directive 2010/30/EU) and the 2017 framework labelling regulation (Regulation (EU) 2017/1369) to enable future adoption of new implementing regulations for specific products. However, this was not followed.

  • Institutional capacities

    Institutional capacities

    The Ministry of Economic Development is the leading state body for the development of energy efficiency policy, while the Kosovo Agency for Energy Efficiency (KEEA) is responsible for implementation, including monitoring of EEAP implementation and verifying the achievement of energy saving targets. Municipalities are responsible for development and implementation of municipal energy efficiency plans and energy efficiency measures in public buildings. The new Energy Efficiency Fund is envisaged to be established by the new Energy Efficiency Law as an independent entity, which will operate as a revolving fund and finance priority energy efficiency projects.

     

    Despite the fact that the institutional framework for energy efficiency will be formally strengthened, the human capacities in institutions remains weak, especially in KEEA as main implementing body. This results in the lack of coordination capacities, slowing down the required progress and development of the energy efficiency market.