Energy Efficiency in Public Buildings, UNDP

The Emobility Study/Strategy related to the installation and use of Renewable Energy Sources (solar photo voltaic systems) for charging of electric vehicles have been developed and finalized. The Strategy helped BiH to assess the short to medium term market potential and readiness for the introduction of electric vehicles in selected cities, as well as the development and design of the associated charging infrastructure. The adoption procedure is delayed but the study is fully in use by relevant institutions in BIH. Equally, the market penetration Study/Strategy on new technologies in SMEs in BiH has been finalized and handed over to MOFTER. The findings of the study were used in the development of specific regulations for audits in the industry in FBiH and are part of the regulations for audits in the industry and communal services in FBiH, created in cooperation with FBiH Ministry of Energy, Mining and Industry. The study was also made available to the RS entity through MOFTER and will be used in the development of their regulations. The Green Finance Incentive Scheme Interest rate subvention for implementation of energy efficiency/renewable energy measures in SMEs have been developed and implemented in 18 companies supporting them in installation of renewable energy sources, and measures related to industrial/ processing energy efficiency. The credit line for implementation of energy efficiency and use of renewable sources for SMEs has been created in cooperation with Union Bank. This significant initiative effectively provides free loans to SMEs, alleviating financial burdens and fostering sustainable business growth. The credit line offers several advantages, including improved access to capital, better cash flow management, favourable loan terms, support for innovation and growth, enhanced financial stability, the opportunity to build a strong relationship with the bank, potential for future credit increases, and access to valuable financial advice and support. UNDP provided technical assistance for 11 municipalities throughout BiH for the development of documentation for the implementation of the Energy Efficiency through the ESCO modality. During this reporting period, two local governments, City of Cazin and Municipality of Bratunac have completed the implementation of EE measures for public lighting systems through ESCO financing modality. The Strategy of public procurement in Bosnia and Herzegovina was developed, along with the Action Plan for enhancement of public procurement processes, part of which are Green Criteria. In coordination with Agency for Public Procurement of Bosnia and Herzegovina and Public Procurement Directorate of Republic of Slovenia, based on the adopted Strategy and Market Readiness Analysis developed through the Project, a Handbook for implementation of Green Public Procurement Criteria, is being developed, pending adoption upon finalization of new law. Sustainable urban mobility plan (SUMP) for City of Banja Luka was finalized in 2023 and handed over to City of Banja Luka for further adoption. The SUMP for the city of Banja Luka will ensure mobility for all citizens, with a particular emphasis on nonmotorized transportation such as cycling and walking, promoting the use of public transport, and implementing innovative measures to reduce the use of private cars to decrease accidents and environmental impact. The Strategy for restriction of coal and other solid fuel usage in Canton Sarajevo has been adopted in early 2024. Infrastructure works were performed on additional 28 public buildings (exceeding target of planned 13), installation of solar systems for hot water and electricity production on 38 public buildings, and 14 public lighting systems, including civil, mechanical, and electrical works. The total energy savings in renovated buildings is about 51%. Implementation of infrastructure energy efficiency measures created 197 green jobs and reduced CO2 emissions by 1,033 t/a during this reporting period, which resulted in a cumulative reduction of CO2 in amount of 18,250 t/a. 533 households subsidized for the replacement of coal stoves and solid fuels with certified furnaces and heat pumps in Sarajevo Canton. Several projects related to installation of solar systems in public buildings have been implemented. Great synergy has been established with MEG project where a number of water utility companies expressed interest and reached the agreement for the installation of PV system. Many returnees and marginalized families live in rural areas without access to electricity, affecting nearly 3,000 households in the country. Through the second phase of the GED project, solar systems have already been installed to help 24 families. In 2023, 4 households without access to electricity, were provided with installation of renewable energy kits. In total, all 15 planned households were equipped with renewable energy solar kits.

The primarily goal of Green Economic Development 3rd phase project is to contribute to the creation of a favorable environment for investing in EE and RES measures in BiH. Short-term aim of the GED 3rd phase project is to create interest and motivate end-users to invest into EE/RES by promoting co-financing, develop capacity and skills of Environmental Funds (systematic approach to decision making processes of EE/RES investments) and achieve budget cost savings through implementation of EE/RES projects and reinvest savings into EE/RES or other infrastructure projects. Mid-term aim of the GED 3rd phase project is to generate employment of domestic workforce,  increase public awareness and understanding of EE/RES benefits, develop and adopt sustainable financial mechanisms for EE project financing (performance based granting, ESCO Fund window), contribute to BiHs EU accession (EPBD, EED and RES directives) and lower the risk to enter EE investments/provide loans for EE/RES investments in BiH. The project will also contribute to COVID green recovery by providing technical and economic stimulus to GHG emission reduction, air quality improvement, creation of new jobs, budgetary savings/ re-generating resources for investment etc.