The Bulgarian Energy Efficiency Act ("Bulgarian EEA") was published in the State Gazette ("SG") issueNo. 32/2015 and entered into force on 15 May 2015. It transposes into the Bulgarian legislation most ofthe provisions of Directive 2012/27/EU and Directive 2010/31/EU on the energy performance of buildings.It replaces in its entirety the old Energy Efficiency Act of 2008.
The main purpose of the Bulgarian EEA is to improve energy efficiency as part of the national sustainabledevelopment policy by:
-using a system of energy efficiency improvement activities and measures in energy production,transmission and distribution, as well as in final energy consumption;
-setting up energy savings obligation schemes;
-developing the energy efficiency services market and encouraging the delivery of energy efficiencyservices; and
-setting up financing mechanisms and schemes in order to achieve the national energy efficiencytargets.
Some of the provisions of Directive 2012/27/EU have also been transposed by amendments to theBulgarian Energy Act, the Act for Energy from Renewable Sources, the Public Finances Act, theAccounting Act, the National Standardisation Act, the Spatial Development Act, the Public ProcurementAct and the Administration Act.
Further, some important aspects of Directive 2012/27/EU have been transposed via secondary legislation.A number of sector specific ordinances have been adopted under the Bulgarian EEA in this respect. Themost relevant of these are:
-Ordinance for the methodologies for setting the national energy efficiency target, the setting of theoverall cumulative target, the setting up of an energy savings obligation scheme and the allocation ofthe individual energy savings targets to the obliged parties;
-Ordinance No. E-РД-04-3 of 4 May 2016 for the eligible measures for obtaining energy savings in finalconsumption, the manner of proving the energy savings obtained, the requirements to themethodologies for evaluation of energy savings and the manner for confirming energy savings;
-Ordinance No. РД-16-301 of 10 March 2014 for the circumstances for the entry of qualified energyauditors into the public register, the procedure for entry into the register and for obtaining information, aswell as the terms and procedure for the attainment of qualification of the auditors;
-Ordinance No. Е-РД- 04-01 of 22 January 2016 for the terms and procedures for performing an energyefficiency audit and certification of buildings, of parts of buildings, as well as the terms and procedure forpreparing an energy savings evaluation;
-Ordinance No. Е-РД-19-932 of 23 October 2009 for the terms and procedures for performing the energyefficiency inspection of heating systems with hot-water boilers and of air-conditioning systems, the termsand procedure for preparing an energy savings evaluation;
-Ordinance No. Е-РД-04-05 of 8 September 2016 for the indicators of energy expenditure, the energyperformance of enterprises, industrial systems and outdoor lighting systems, as well as the terms andprocedures for performing an energy efficiency audit and preparing an energy savings evaluation inindustrial enterprises;
-Ordinance No. Е-РД-04-2 of 22 January 2016 for the indicators of energy expenditure energy qualitiesof buildings;
-Ordinance No. Е-РД-16-647 of 15 December 2015 for determination of the structure and content andthe conditions and procedures for providing information;
-Ordinance No. РД-16-301 of 10 March 2014 for the circumstances for registration of those personsperforming certification of buildings and assessment for energy efficiency of industrial systems, theorder to obtain qualification and the necessary technical means for the performance of assessment andcertification activities; and
-Ordinance No. РД-16-346 of 2 April 2009 on the consumption and energy performance indicators ofindustrial systems and the requirements and procedures for conducting energy efficiency audits onindustrial systems.
Some of the secondary legislation in the energy sector, such as the Electricity Market Rules and NaturalGas Market Rules, were also modified accordingly.
The adoption of the Bulgarian EEA occurred after considerable delay (since Directive 2012/27/EU shouldhave been transposed into national law by 5 June 2014) and only after the initiation of an infringementprocedure by the European Commission against Bulgaria in March 2015. Although the Bulgarian EEAaddresses most of the requirements of Directive 2012/27/EU, the European Commission identifiedtransposition gaps in the national legislation and decided to continue the infringement procedure againstBulgaria by sending a reasoned opinion on 22 October 2015.
In order to remediate the gaps in the transposition, the Bulgarian Government proposed furtheramendments to the Bulgarian EEA and other pieces of primary legislation. The latest amendments wereadopted by the Parliament, published in the SG, issue No. 105/2016 and entered into force on 30December 2016. According to the Bulgarian authorities, Bulgarian legislation should now be fully alignedwith Directive 2012/27/EU.
In order to implement the measures and to achieve the energy savings targets under Directive2012/27/EU, Bulgaria has developed a complex framework of primary and secondary level norms.
Pursuant to the Bulgarian EEA, the energy efficiency policy in Bulgaria is to be implemented by a numberof public authorities. The National Energy Efficiency Strategy of the Republic of Bulgaria, which defines thestages, means and measures to achieve the national energy efficiency target, is to be adopted by theNational Assembly.
The Council of Ministers has a particularly important role in this respect, as it adopts, among others:
-the State energy efficiency policy;
-the National Energy Efficiency Action Plans;
-a National Plan for Nearly Zero-Energy Buildings;
-a national plan for improvement of the energy performance of heated and/or cooled State-ownedbuildings occupied by the State administration; and
-a long-term national programme to encourage investments in implementing measures to enhance theenergy performance of buildings of the public and private national residential and commercial buildingstock.
The practical implementation of those policies and documents is performed by different ministries – inparticular the Ministry of Energy, the Ministry of Economy, the Ministry of Regional Development andPublic Works, Ministry of Transport, Information Technology and Communications and other publicinstitutions.
Pursuant to the Bulgarian EEA, the Sustainable Energy Development Agency ("SEDA") is charged withthe implementation of the State energy efficiency improvement policy. This administrative authority has acentral role in this respect and its task and powers are frequently being extended to cover further energyefficiency policies and measures.
Energy Efficiency Targets
The Bulgarian EEA provides that the national energy efficiency target shall be set in the National EnergyEfficiency Action Plan, i.e. be adopted by the Parliament. The current National Energy Efficiency ActionPlan 2014-2020, although adopted before the transposition of Directive 2012/27/EU into the Bulgarianlegislation, has been developed in compliance with the provisions of Article 24(2) of Directive 2012/27/EU.
Energy Efficiency Improvement Activities
The Bulgarian EEA provides for the following energy efficiency improvement activities:
-reduction of energy expenditure in energy production, transmission and distribution, as well as in finalenergy consumption;
-training and attainment of qualification in the field of energy efficiency of persons delivering energyefficiency services;
-conformity assessment of development-project designs of buildings as regards energy efficientrequirements;
-energy efficiency audits and certification of buildings;
-energy efficiency inspection of heating systems with hot-water boilers and air-conditioning systems inbuildings;
-energy efficiency audits of enterprises, industrial systems and outdoor lighting systems;
-energy efficiency management;
-delivery of energy efficiency services; and
-raising awareness among households.
EU Sectoral Operational Programmes
Substantial financing for reaching the respective targets is expected to be obtained from the following EUfinanced Operational Programmes:
-Operational Programme "Innovations and Competitiveness" 2014-2020 (OPIC) is the basicprogramme document on the national level outlining the aid envisaged for Bulgarian businesses fromthe European structural and investment funds for the period 2014-2020. The total budget of OPICamounts to EUR 1.39 billion, with financing from the European Reconstruction and DevelopmentFund of almost EUR 1.18 billion (eighty five percent (85%) of the budget), and national co-financing ofEUR 209 million (fifteen percent (15%) of the budget);
-Operational Programme "Regions in Growth" 2014-2020 is a continuation of the programme"Regional Development" 2007-2013;
-Rural Development Programme 2014-2020 aims to improve living conditions in rural areas byfacilitating access to quality infrastructure. The activities eligible under the Programme includeinvestments for the improvement of energy efficiency in municipal buildings or other buildings used forthe provision of public services; and
-Operational programme on "Transport and Transport Infrastructure" 2014-2020 aims mainly toconstruct, reconstruct and modernise the transport infrastructure of the country as part of the Pan-European Transport Network.
Another actual programme directly aimed at energy efficiency measures is Programme BG04 "EnergyEfficiency and Renewable Energy", financed by the Financial Mechanism of the European EconomicArea and the Kingdom of Norway, Iceland and Principality of Liechtenstein. Programme BG04 "EnergyEfficiency and Renewable Energy" includes two programme areas "Energy Efficiency" (Programme Area5) and "Renewable Energy" (Programme Area 6). The programme comprises four grant schemes, abilateral relations fund and a designated project. The total programme budget is EUR 15,600,288,including EUR 13,260,245 (eighty five percent (85%)) in grant assistance and EUR 2,340,043 (fifteenpercent (15%)) in national co-financing.
Specific measures for environment, climate change and energy efficiency were also included within thescope of other programmes for the 2014-2020 period.
Kozloduy International Decommissioning Support Fund
In 2015, two projects aimed at improving the energy efficiency of public buildings were implemented, for atotal value of EUR 30.4 million, co-financed by the Kozloduy International Decommissioning Support Fund(KIDSF) – administered by the EBRD and funded by international donors within the so-called "non-nuclearwindow". The financial support amounts to one hundred percent (100%) of the project value.
KIDSF also financed a project on energy efficiency of municipal street lighting systems, which is valued atEUR 10.655 million and funded entirely from KIDSF.
The main Bulgarian national programme in the field of energy efficiency is the National Programmefor Energy Efficiency of Residential Buildings. Under this programme, BGN 1 billion(approximately EUR 511 million) are provided by the Government in the form of a bank guarantee, whichthe Council of Ministers provides to the Bulgarian Development Bank to attract resources and securefinancing for the programme's activities. The programme includes all municipalities and will last for aperiod of two (2) years, with the option to extend should the financial resources be available. Financing willcome in the form of a State grant for all buildings which meet the requirements. Eligible are residentialbuildings, constructed by industrial means, with more than 36 apartments.
Another important programme addressed to households is the credit facility for energy efficiency in thehousehold sector, which is financed by the EBRD. A total of 3,052 residential energy saving projectswere financed and implemented in 2015, to a total value of BGN 9,755,101; the estimated equivalentsavings are estimated at 14,145 MWh/year in electricity and 9,654 t CO2-eq/year in greenhouse gasemissions. The beneficiaries include households and associations of home owners which can receiveconsumer loans combined with technical and financial assistance provided free of charge via local banksand intended for energy efficiency improvement and RES utilisation. The eligible measures include theinstallation of energy efficient windows and doors, walls, roofs and floor insulation, high-efficiency burnersand biomass-fuelled boilers and systems, water heater solar collectors and systems; energy efficient gas-fuelled boilers and systems; thermal pump systems for heating and air-conditioning; photovoltaic systemsfor buildings; district heating substations and systems or gas installation in buildings and recuperativeventilation systems.
The Bulgarian Energy Efficiency and Renewable Sources Fund (FEEVI) is another possible financingsource for energy efficiency projects. It offers to Bulgarian companies, municipalities and privateindividuals beneficial financial products in the field of energy efficiency such as credits below marketinterest rates, partial credit guarantees and portfolio guarantees. In 2015, FEEVI extended loans to sixenergy efficiency improvement projects for a total value of BGN 1,479,253 (approximately EUR 755,751).These are expected to result in annual energy savings of 1,865 MWh and a reduction of annualgreenhouse gas emissions of 2,800 t CO2-eq.
Since 2007 when Bulgaria became a member of the EU, the country has made important progress inimplementing energy efficiency measures. The results achieved with respect to the national target set inaccordance with Directive 2006/32/EU evidence that Bulgaria has exceeded its indicative target for theperiod 2008-2015 by one point four percent (1.4%).
However, the implementation of Directive 2012/27/EU and the achieving of the national energy savingstargets and the targets for reducing the energy intensity of the national economy provided for in Bulgaria’sEnergy Strategy requires implementation of a number of measures and programmes to alleviate theimpact on businesses, households and the public sector. The Bulgarian government recognises theimportance and positive impact that energy efficiency measures may have on the national economy andenergy consumption and are constantly extending the measures and programmes to implement energyefficiency savings for the country.
According to the Bulgarian EEA, the total cumulative target for the 2014-2020 period was set as anaccumulation of new energy savings each year of at least one point five percent (1.5%) of the averageannual value of the total volume of energy sales to final customers within Bulgaria in 2010, 2011 and 2012,excluding the volume of sales of energy used in the transport sector, under Eurostat Code B_101900. Thetarget was reduced by up to twenty five percent (25%) by applying the options in Article 7 (2) a) and d) ofDirective 2012/27/EU.
According to the Bulgarian EEA, individual targets are allocated to the following three groups of obligedparties:
-owners of industrial systems with an annual energy consumption in excess of 3,000 MWh; and
-owners of buildings that are within the central or local government estate and are in use, and have atotal building floor area of more than 1,000 m² (from 2015, the threshold was lowered to 250 m²).
In order to achieve their individual targets, the obliged parties may implement energy efficiencyimprovement measures in different sectors, among others: transport, industry and households, commerce,civil society organisations, agriculture, forestry and fishery, services. The obliged parties may implementmeasures that achieve energy savings in the energy transformation, distribution and transmission sectors,including by means of efficient district heating and cooling systems infrastructure.
Annually, (not later than 1 March), the obliged persons must submit reports to SEDA on theimplementation of the EE measures and the progress towards the achievement of their individual EEtargets. Based on the reports submitted to SEDA by 1 March 2016, the evaluation of the EEOS resultswere included in the annual report on the implementation of NEEAP. For the period 2008-2015 the obligedenergy traders achieved forty three percent (43%) of their total energy savings targets.
Achieving the individual targets by energy traders
This measure was set up in Article 10 of the Bulgarian EEA and repealed in 2015, assigning individualenergy savings targets to be achieved by energy traders generating energy sales to end-consumersexceeding the equivalent of 75 GWh/year, having more than 10 employees or an annual turnover of morethan BGN 4 million (approximately EUR 2,045,167). The overall target to be achieved by energy traders by2016 was set to 4,644 GWh of energy savings.
The Directive introduced a new energy efficiency obligation scheme for energy traders and the newlyadopted Bulgarian EEA in 2015 defined the obliged parties which were included in the obligation scheme.Under Article 14(4) of the Bulgarian EEA, the overall cumulative target under the obligation scheme isallocated in the form of individual energy savings targets among the following obliged parties:
-end suppliers, providers of last resort, traders holding a license for the activity of "trading in electricity"having annual sales of electricity to end-users in excess of 20 GWh;
-heat transmission undertakings and heat energy suppliers having annual sales of heat energy to end-users in excess of 20 GWh;
-end-suppliers and traders in natural gas having annual sales to end-users in excess of 1 million m3;
-traders in liquid fuels having annual sales to end-users in excess of 6,500 t of liquid fuels, with theexception of fuels for transport purposes; and
-traders in solid fuels having annual sales to end-users in excess of 13,000 t of solid fuels.
The energy traders above are required to submit annual reports to SEDA, which provide for their activitiesand measures to lower energy consumption. The deadline for submission of these reports is 1 March ofthe following year.
SEDA implemented a project for enhancing the institutional capacity of the Sustainable EnergyDevelopment Agency to create incentives and enable energy traders to meet their obligations under theBulgarian EEA. The project is funded under the Operational Programme Development of theCompetitiveness of the Bulgarian Economy. One of the main project goals was to increase the volume andto improve the quality and economic return of implemented energy efficiency measures by creating energysavings market that will function on the basis of tradable white certificates.
Achieving the individual targets by the owners of industrial systems
The energy audits of industrial systems are a statutory energy efficiency measure according to theBulgarian EEA and Ordinance No. РД-16-346 as of 2 April 2009 on the consumption and energyperformance indicators of industrial systems and the requirements and procedure for conducting energyefficiency audits on industrial systems. Mandatory energy efficiency audits are to be conducted at leastonce every four (4) years by any of the following:
-large industrial and services enterprises which are not SMEs (i.e. enterprises which have an averageannual number of more than 250 employees; and an annual turnover exceeding BGN 97.5 million(approximately EUR 49.6 million) or a fixed tangible assets value exceeding BGN 84 million(approximately EUR 42.95 million) – Article 3 of the Small and Medium-Sized Enterprises Act);
-industrial systems with annual energy consumption exceeding 3,000 MWh; or
-outdoor lighting systems, located in settlements with population exceeding 20,000 residents.
The energy audit may be performed only by qualified and SEDA-accredited auditors, as described inArticle 59 of the EEA.
SMEs and the owners of industrial systems subject to mandatory energy audits, which implement anenergy or an environmental management system subject to certification by an independent body forconformity to European or International Standards, are exempted from the requirements for mandatoryenergy efficiency audits, provided that the management system implemented thereby includes an energyaudit of the enterprise or industrial system concerned.
Owners of industrial systems with annual energy consumption exceeding 3,000 MWh constitute one of thegroups of obliged persons which were allocated individual energy savings targets to be met by 2016, asprescribed in Paragraph 4 of the Transitional and Closing Provisions of the Bulgarian EEA. The overallindividual target to be achieved by obliged industrial systems owners by 2016 was 839.2 GWh/year.
Achieving individual energy savings targets by owners of buildings
The individual energy savings targets of the owners of government and local authority public buildingswere first set on the basis of a total floor area of more than 1,000 m², in line with the statutoryrequirements in force at the time the targets were set. Following the transposition of Directive 2010/31/EUinto national law, however, the floor area threshold was lowered to 250 m², which is effective since 9 July2015.
The overall target to be achieved by 2016 by the owners of government and local authority public buildingswas set at 521 GWh. More than half of the individual target allocations for this group of obliged personswere achieved during the three (3) year 2011-2013 implementation period of NEEAP. To ensureimplementation of individual energy savings targets, the national law stipulates that government and localauthorities are to draw up energy efficiency improvement programmes. The full range of energy efficiencyimprovement measures are eligible to achieve the individual energy savings targets.
The obliged persons report their energy efficiency improvement programme implementation to SEDA onan annual basis by 31 March of the following year. Based on these reports, SEDA analyses theachievement of individual energy targets by obliged public building owners.
In accordance with Directive 2012/27/EU, the Bulgarian EEA provided for a total cumulative target for the2014-2020 period of at least one point five percent (1.5%) of the average annual value of the total volumeof energy sales to final customers within the territory of the country in 2010, 2011 and 2012, excluding thevolume of sales of energy used in the transport sector, under Eurostat Code B_101900. The target wasreduced by up to twenty five percent (25%) by applying the options in Article 7 (2) a) and d) of the EED.
The "Methodology for the operation of the energy efficiency obligation schemes" was developed inaccordance with the requirements of Article 7 of Directive 2012/27/EU. This national methodology hasbeen drawn up in line with the framework provided in paragraph 4 of Annex V to Directive 2012/27/EU.When designating the obliged persons, Bulgaria does not include transport fuel distributors or retailers inthe obligation scheme.
With the new Bulgarian Energy Efficiency Act (adopted and published in SG No. 35 of 15 May 2015) thethreshold for obliged persons was changed. In order to reach their targets, obliged persons mayimplement horizontal measures aimed at increasing the energy efficiency of final customers, such asawareness and promotional campaigns. They may also pay contributions to the Energy Efficiency andRenewable Sources Fund or access other specialised funds, programmes, measures, schemes andmechanisms used to finance measures to increase the energy efficiency of final customers, includingagreements concluded with beneficiaries.
Bulgarian legislation complies with the provisions of Directive 2012/27/EU. The Bulgarian EEA and therespective Ordinances provide a framework of requirements to ensure that energy auditors have theproper qualification and have the necessary experience and equipment to perform energy audits.
Qualification of energy auditors
The EEA provides the general requirements for energy auditors. Details on the procedure for licensing andthe requirements are provided in Ordinance No. RD-16-301 of 10 March 2014 on the circumstances,subject to entry in the register of: (i) persons performing certification of buildings and energy efficiencyaudits of industrial systems; (ii) procedures for obtaining information from records; (iii) conditions andprocedures for acquisition qualifications; and (iv) the necessary technical means to carry out inspectionand certification activities.
Energy efficiency audits of enterprises, industrial systems and outdoor lighting systems may be performedonly by those persons entered in a registry maintained by SEDA.
Auditors should be merchants who have at their disposal certain devices and staff consisting of energyefficiency consultants, who meet the following criteria:
-have completed higher education in the field of technical sciences in a professional field and specialties,which is recognised in the Republic of Bulgaria or in another EU Member State, or in another State,which is a contracting party to the Agreement on the European Economic Area, or in the SwissConfederation, or have completed secondary technical education;
-have experience in a relevant position of not less than two (2) years for holders of a Masters' degree,not less than three (3) years for holders of a Bachelors' degree, and not less than six (6) years forpersons who have completed secondary technical education; and
-hold a certificate of a successfully passed examination for the attainment of the qualification necessaryto perform the activities listed above at higher technical schools specialised in the professional fields ofenergy, electrical engineering, and architecture, civil engineering and geodesy, or relevant educationfrom another EU Member State, or from another State which is a contracting party to the Agreement onthe European Economic Area, or from the Swiss Confederation.
Within five (5) years as of the registration in the registry maintained by SEDA, energy auditors must renewtheir registration by submitting an application stating their current qualifications and experience. SEDA isthe authority responsible for controlling the energy auditors’ qualifications and for the quality of the energyaudits conducted by them.
Performance of energy audits
The energy audits requirements, the indicators of energy expenditure, the energy performance ofenterprises, industrial systems and outdoor lighting systems, as well as the terms and procedures forperforming an energy efficiency audit and preparing an energy savings evaluation are regulated byOrdinance No. E-RD-04-05 of 8 September 2016.
Annually, not later than 31 January, the owners of enterprises, industrial systems and outdoor lightingsystems which are subject to a mandatory energy efficiency audit must submit a template declaration toSEDA containing the characteristics of the respective entity. Information based on these declarations isentered into a public register maintained by SEDA.
Energy efficiency inspections are performed for heating systems with hot-water boilers of an effective ratedoutput for space heating purposes of more than 20 kW and for air conditioning systems in buildings of arated output of more than 12 kW.
Bulgarian authorities have adopted a detailed and strict legal framework in order to ensure that energyefficiency audits will be performed by qualified and experienced specialists. The legal framework alsocontains detailed instructions on how an energy efficiency audit is to be performed which are themonitored parameters and what are the possible measures to be undertaken.
The Republic of Bulgaria has adopted several legislative acts to address the requirements of Directive2012/27/EU.
Energy Strategy of the Republic of Bulgaria until 2020, promulgated in SG issue No.43/07.06.2011
The main priorities set out in the strategy are to restrain the negative impacts on the climate, reduce theenergy consumption of the economy and increase the energy efficiency by twenty percent (20%) in orderto limit the external dependency of the EU on imported energy resources, and encourage the economicgrowth and employment levels possible. The Strategy conveys that energy efficiency is of the highestpriority in the energy policy of the Member States.
National Energy Efficiency Action Plan 2014-2020, adopted in July 2014
The NEEAP 2014-2020 is an acknowledgment that energy efficiency is of high importance in the longrange energy strategy of the country. The NEEAP was developed in accordance with the requirements setout in Directive 2012/27/EU. It ensures the inclusion of all obligations under the EE Directive, as well as
taking into account the requirements of Directive 2010/31/EU on the energy performance of buildings.
In order to ensure improved energy efficiency, the NEEAP covers the following topics:
-Adoption of horizontal measures
-Energy efficiency obligatory schemes and alternative policy measures;
-Energy audits and management systems;
-Metering and billing measures;
-Adoption of consumer information programmes and trainings;
-Availability of qualification, accreditation and certification schemes; and
-Measures related to energy services.
The NEEAP refers to the National Long-Term Programme for the Mobilisation of Investments In theImplementation of Measures to Improve the Energy Performance of Buildings, which includes anoverview of the national building stock (housing and public buildings), formulation of economicallyefficient approaches to improving the energy performance of buildings, taking into account the building
types and the climate zone and the State policy in the area of technical regulation and harmonisation ofenergy efficient legislation for the buildings sector.
-Buildings of public bodies
Referring to the Bulgarian EEA, the NEEAP provides that the measures to enhance the energyperformance of at least five percent (5%) of the total floor area should be taken annually in all heatedand/or cooled State-owned buildings occupied by the State administration. The State bodies shoulddevelop and adopt energy efficiency programmes and are bound to implement energy efficiency
management, including submitting of annual reports on energy efficiency management and the energyefficiency programmes to SEDA.
SEDA and the Public Procurement Agency have jointly developed Guidelines on the Application ofEnergy Efficiency and Energy-Saving Requirements When Awarding Public Contracts for the Supply ofEquipment and Vehicles. In 2010, these Guidelines became an appendix to the Public Procurement Act.As a result, the Government and the local authorities are purchasing energy in a more efficient mannersince 2010, further to the Instructions for Implementation of the Requirements for Energy Efficiency andEnergy Savings in Public Procurement for the Supply of Equipment and Vehicles to Minimise Costs forthe Duration of Their Exploitation.
Also, reference is made to the National Action Plan for the Promotion of Green Public Contracts 2012-2014, which was developed and adopted in 2012.
Bulgaria is focusing on overcoming the high energy intensity of its economy. Among others, thefollowing measures have been adopted in the national legislation:
-the application of an integrated approach to the control of emissions from industrial sources on allcomponents of the environment by issuing integrated permits;
-use of biomass in the combustion plants of the systems;
-energy efficiency audits and implementation of the measures prescribed; and
-development of public private partnerships for the implementation of energy efficiency measures.
The growing energy demand in the transport sector is driven by the rapidly increasing number ofvehicles and their annual mileage, which comes at the expense of a decrease in the use of the moreenergy efficient rail transport. A non-exhaustive list of measures to address this issue is provided in theNational Climate Change Action Plan as follows:
-the rehabilitation and modernisation of the road infrastructure in order to allow for optimal travellingspeeds and ensure that vehicle engines operate in the optimum mode;
-introduction of intelligent transport systems on national roads and in urban environments;
-reduction the relative share of trips with private motor vehicles by improving public urban transportand promoting non-motorised transport;
-increasing the share of electrified urban transport by rail, metro, trolleybuses and tramcars;
-development and promotion of the use of hybrid and electric vehicles;
-ensuring that fiscal policy stimulates savings and less use of conventional fuels;
-reduction the number of urban transport vehicles using conventional fuels by 2020; and
-trainings in energy efficient driving.
-Other topics covered by the NEEAP
-Promotion of efficient heating and cooling methods; and
-Energy transformation, transmission, distribution and demand response.
Funding required for the implementation of the measures provided in the NEEAP is provided partly by theState, Operational Programmes "Innovations and Competitiveness" 2014-2020, "Transport and TransportInfrastructure" 2014-2020 and Rural Development Programme 2014-2020.
Bulgaria has implemented all requirements under Directive 2012/27/EU by adopting national plans andstrategies, aimed at resolving the problems of energy efficiency in the major sectors with high reliance onenergy. The long-term strategy and the NEEAP consider the relevant energy efficiency factors andpropose corresponding solutions on how the ultimate goal can be achieved at a national level.
According to Directive 2012/27/EU, Bulgaria is obliged to set an indicative national energy efficiencytarget, taking into account national circumstances.
The NEEAP sets out a national indicative energy savings target for 2020 of 716 ktoe (kilotonne of oilequivalent)/y in final energy consumption (FEC) and 1,590 ktoe/year in primary energy consumption(PEP), of which 169 ktoe/year is from conversion, transmission and distribution in the energy sector. Thecontribution of each source to the achievement of the 2020 national energy savings target of 716 ktoe/yearin FEC is as follows:
-203 ktoe/year from optimal utilisation of available financial resources; and
-486 ktoe/year from fulfilment of the individual targets of energy traders under the obligations scheme.
The national indicative energy efficiency target is defined as a forty one percent (41%) reduction inBulgaria’s primary energy intensity ("PEI") in 2020 compared to its PEI in 2005.
The NEEAP is developed in accordance with the EED requirements on the basis of a template whichensures the inclusion of all obligations. The requirements of Directive 2010/31/EU on the energyperformance of buildings are also taken into account.
The annual report on the implementation of the NEEAP in 2015 contains an evaluation of the progresstowards the achievement of the national target – twenty six percent (26%) of the whole target wasachieved in the period 2014-2015.
Article 4 of Directive 2012/27/EU requires Bulgaria to establish a long-term strategy for the renovation ofbuildings. The Bulgarian national long-term programme for the mobilisation of investments in theimplementation of measures to improve the energy performance of buildings is part of the NEEAP. Itincludes an overview of the national building stock (housing and public buildings), formulation ofeconomically efficient approaches to improving the energy performance of buildings, taking into accountthe building types and the climate zone and the State policy in the area of technical regulation andharmonisation of energy efficiency legislation for the buildings sector. The Programme creates a financialframework for guiding the investment decisions of investors, builders and financial institutions. Currentlythe Programme is under the process of revision and update.
Bulgaria's set national indicative energy efficiency target is defined as a forty one percent (41%) reductionin Bulgaria’s PEI in 2020 compared to its PEI in 2005.