S.L. 623.7 Art. 8Energy efficiency obligation scheme.

(1) Where the Minister decides that an amount of savings required under sub-regulation (1) of regulation 7, shall be achieved by way of an energy efficiency obligation scheme, the Minister shall ensure that a framework is in place such that obligated parties referred to in sub-regulation (2), without prejudice to sub-regulations (7) and

(8) of regulation 7, achieve their cumulative end-use energy savings requirement as set out in sub-regulation (1) of regulation 7:

Provided that where applicable, the Minister may decide that obligated parties fulfil those savings, in whole or in part, as a contribution to the Energy Efficiency National Fund in accordance with sub-regulation (4) of regulation 27.

(2) The Minister shall designate, on the basis of objective and non-discriminatory criteria, obligated parties among energy distributors, retail energy sales companies and transport fuel distributors or transport fuel retailers operating in Malta. The amount of energy savings needed to fulfil the obligation shall be achieved by the obligated parties among final customers, designated by the Minister, independently of the calculation made pursuant to sub-regulation(1) of regulation 7 or, if the Minister so decides, through certified savings stemming from other parties as described in paragraph (a) of sub-regulation (5).

The Regulator shall put in place new authorisation conditions, or additional authorisations conditions to existing authorisations, issued under the Act or subsidiary legislation issued thereunder, requiring an authorised provider to comply with any energy efficiency obligation schemes established by the Minister, when such authorised providers are designated as obligated parties.

(3) Where retail energy sales companies are designated as obligated parties under sub-regulation (2), the Regulator shall ensure that, in fulfilling their obligations, retail energy sales companies do not create any barriers that impede consumers from switching from one supplier to another.

(4) The Minister shall express the amount of energy savings required of each obligated party in terms of either final or primary energy consumption. The method chosen to express the amount of energy savings required shall also be used to calculate the savings claimed by the obligated parties. The conversion factors set out in the Fourth Schedule shall apply.

(5) Within an energy efficiency obligation scheme, the Minister may do one or both of the following:

(a) permit obligated parties to count towards their obligation certified energy savings achieved by energy service providers or other third parties, including when obligated parties promote measures through other state-approved bodies or through public authorities that may involve formal partnerships and may be in combination with other sources of finance, provided that where this is permitted, it shall be ensured that the certification of energy savings follows an approval process that is clear, transparent, and open to all market participants, and that aims to minimise the costs of certification;

(b) allow obligated parties to count savings obtained in a given year as if they had instead been obtained in any of the four previous or three following years, provided that this is not beyond the end of the obligation periods set out in sub-regulation (1) of regulation 7.

(6) The Regulator shall have the right to obtain audited data from the obligated parties within a reasonable time in regard to such certified savings. The Regulator may share the audited data with the Minister.

(7) The Regulator shall put in place measurement, control and verification systems under which documented verification is carried out on at least a statistically significant proportion and representative sample of the energy efficiency improvement measures put in place by the obligated parties. The measurement, control and verification shall be carried out independently of the obligated parties. The Regulator may share any information resulting from such measurement, control and verification systems with the Minister.

(8) The Regulator shall, on an annual basis, publish the energy savings achieved by each obligated party, or each sub-category of obligated party, and in total under the scheme.

(9) The Minister shall assess and if appropriate, take measures to minimise the impact of the direct and indirect costs of energy efficiency obligation schemes on the competitiveness of energy-intensive industries exposed to international competition.