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RENEWABLES FOR HEATING AND COOLING

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RENEWABLES FOR HEATING AND COOLING ( renewables-for-heating-and-cooling )

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Annex B1. Canada Instruments Renewable heat policy Federal Buildings Initiative CCA REDI CBIP TEAM Geothermal industry agreements Federal house-in-order initiative IBIP EcoEnergy initiatives - Renewable heat programme - Retrofit homes initiative In Canada, provincial governments have exclusive jurisdiction over the energy production and distribution within their provinces. As a consequence, specific decisions regarding the use of renewable energy sources are made within each province, tailored to their unique circumstances. The federal government promotes the sustainable development of all of Canada’s natural resources, is responsible for international trade and other inter-jurisdictional energy issues, and has a direct role in the development and management of resources on aboriginal and other federal lands and off-shore. Natural Resources Canada (NRCan), through the Renewable and Electrical Energy Division (REED) and the Office for Energy Efficiency (OEE), is responsible for most of the federal initiatives in support of renewable energy, including financial and information measures and programs. Guidance. The Federal Buildings Initiative (FBI) is a voluntary program developed and administered by NRCan42. This ongoing programme, first established in November 1991, assists federal departments and agencies to plan and implement cost effective comprehensive energy efficiency improvement projects in their facilities. The programme provides departments and agencies of the Government of Canada with technical assistance such as project facilitation services, energy audits, model tendering and contract documents as well as a model framework for updating their facilities with energy efficient technologies and practices. The initiative is broken into Energy Performance Contracting and Tailored Executive and Managerial Support. Through the former, the departments and agencies of the Government of Canada are given access to private sector capital used to finance energy efficiency improvement projects. As it is a voluntary programme, measures are paid for through the energy savings generated by the projects themselves. By March 2006, the FBI had fostered more than 80 projects, attracted €172 M (CAD 265 M)43 in private sector investment, and generated €25 M in annual energy cost savings. Carrot. In Budget 1994 an Accelerated Capital Cost Allowance (CCA) was created under Class 43.1 to encourage industries to invest in equipment using a renewable energy source. This early CCA provided 30% allowance for some forms of biomass and waste heat generation. In Budget 2005 a new CCA was 42. See www.oee.nrcan.gc.ca/fbi 43. 1 Canadian dollar (CAD) = €0.65 137 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

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