Background
The newly adopted legislation in Bulgaria on the energy efficiency measures (Law on Energy Efficiency and the relevant orders and regulations: Decree № 18 from 12th November, 2004 on energy characteristics of the buildings, Decree № 21 from 12th November, 2004 on energy efficiency audits, Decree № 19 from 12th November, 2004 on certifying the buildings for energy efficiency) sets new responsibilities and duties for the municipalities in regard to the energy efficiency of public buildings. The Law stipulates that: 
- Municipalities shall develop and implement local energy efficiency programs; 
- Municipalities shall modernize the building stock, including residential housing as well as administrative and service facilities in order to improve their energy efficiency characteristics;
- Municipalities shall introduce energy saving installation systems for the street lamps and outside lighting on the public buildings in residential areas;
- Municipalities shall certify the municipal building stock, which is in running order and has a useful area of 1000 sq.m. 
- The introduction of energy efficiency measures in the municipal buildings like hospitals, schools, administrative facilities and etc comes as a first priority because of the energy expenses for electricity and heating. In order to successfully accomplish efficiency standards, the local governments should provide investments and necessary funding. This financial requirement puts a high financial pressure on the municipal budgets especially for small-size municipalities like Beloslav, Byala and Aksakovo. 
- Thus the Union of Bulgarian Black Sea Local Authorities in partnership with the local authorities mentioned above launched the ENЕRBUILD project: Public-private partnership for integrated improvement of the energy characteristics of municipal buildings. The project proposal aims at establishing a local procedure on how to improve the energy efficiency characteristics of the buildings, which will yield annual bill savings to be proportionally distributed among the stakeholders (public and private sector organizations). Such an approach will secure successful implementation of energy efficiency improvement projects with minimum financial burden on the public money.
The project suggests an innovative model for elaboration of energy efficiency measures in the municipal buildings, based on the public-private partnership approach like the ЕSСO contracts with guaranteed results. The ENЕRBUILD project complies with the Law on Energy Efficiency and all the municipal responsibilities, stemming from it.

Practice
Project Stages:
1. Launching of the project idea by the Association of Bulgarian Black Sea Municipalities in partnership with the local experts.
2. Drafting of the project proposal and submitting it under the PHARE 2004/016-711.11.04 Public Private Grant Scheme, the leading applicant being the Municipality of Beloslav.
3. Launching of the project activities in November 2006; the project continues 12 months and its total cost is 26 004 EUR, 75% of which is funded by the program.
4. The project comprises five activity groups as follows:
Module1 ‘ESCO scheme for energy audit and solid wall insulation of public buildings’
Expected results: Guidebook on implementing energy efficiency measures in the municipalities; Technical assignment for a preliminary energy efficiency evaluation; Scheme for implementing PPP for providing services with energy saving results;
Module 2 ‘Setting up an electronic database to assist the energy efficiency evaluation’
Expected results: Questionnaire to assist the energy efficiency evaluation of building characteristics; Data reports on 10 evaluated municipal buildings in the target municipalities;
Module 3 ‘Developing a technical assignment for detailed evaluation’.
Expected results:Technical assignment for energy efficiency evaluation; 3 evaluated municipal buildings; Sample of a tender procurement procedure documents to award an ESCO contract;
Module 4 ‘Marketing strategy on promoting services on energy efficiency’
Expected results: A Marketing strategy; Local cluster of consultation companies to provide services on energy efficiency, Workshop meetings;
Module 5 ‘Promotion of the model ENERBUILD’
Expected results: Press conferences; Web page; Publications; Conference on energy efficiency measures;

Results
The promotion and implementation of the ESCO schemes in energy efficiency projects on municipal buildings will result in better business and ecological environment in the pilot municipalities: Beloslav, Byala and Aksakovo. In addition the project results will be used as an innovative practice in several aspects:
n UBBSLA initiates partnership and cooperation among the Black Sea local authorities in order to jointly implement projects on common issues;
n The model of a successfully implemented ЕSCO scheme will be promoted in the rest of the member municipalities;
n The public-private partnership model, set by the project, will be multiplied in other public services provided by the local authorities.
Union of Bulgarian Black Sea Local Authorities
4 Preslav str.,
Varna, Bulgaria
post box 161
tel./fax: (++ 359 52) 600 266,
(++ 359 52) 611 811
[email protected]
www.ubbsla.org
Contact person:
Mariana Kancheva,
Executive Director