“Green Urban Lighting” UNDP-GEF 00074869 Full Size Project

INCEPTION REPORT

“Green Urban Lighting”

UNDP-GEF 00074869

Full Size Project

Prepared for UNDP-GEF

Yerevan, Armenia

February 2014

2 “Green Urban Lighting” UNDP-GEF/00074869 project

C o n t e n t

ACRONYMS ......................................................................................................................................................... 3

I. BASIC PROJECT INFORMATION ........................................................................................................ 4

II. PROJECT INCEPTION UPDATE ........................................................................................................... 4

II.1 INTRODUCTION ..................................................................................................................................... 4

II.2 PROJECT OVERVIEW ............................................................................................................................. 5

II.3 PROJECT ACTIVITIES CARRIED OUT OVER THE INCEPTION PHASE ....................................................... 5

II.4 INCEPTION WORKSHOP......................................................................................................................... 6

II.4.1 Discussions Related to 2014 Work Plan ......................................................................................... 8

II.4.2 UNDP-GEF Requirements Update ................................................................................................. 8

II.5 CHANGES IN CIRCUMSTANCES THAT MAY AFFECT PROJECT IMPLEMENTATION .................................. 8

II.6 CIRCUMSTANCES THAT POSE A RISK TO SUCCESSFUL PROJECT IMPLEMENTATION .............................. 9

III. CONCLUSIONS OF THE IW .............................................................................................................. 9

III.1 RECOMMENDATIONS TO THE PROJECT TEAM ....................................................................................... 9

III.2 REVISION OF THE LOGICAL FRAMEWORK MATRIX ............................................................................. 14

IV. SCHEDULE FOR REVIEWS, REPORTS AND EVALUATIONS ................................................ 19

V. LIST OF ANNEXES ................................................................................................................................. 20

ANNEX A. AGENDA OF THE INCEPTION WORKSHOP ....................................................................................... 21

ANNEX B. LIST OF PARTICIPANTS OF THE INCEPTION WORKSHOP ................................................................. 23

ANNEX C. PRESENTATIONS FROM THE INCEPTION WORKSHOP ...................................................................... 27

ANNEX D. MINUTES OF THE INCEPTION WORKSHOP ...................................................................................... 28

ANNEX E. ANNUAL WORK PLAN FOR 2014 .................................................................................................... 32

ANNEX F. CO2 EMISSION SAVINGS CALCULATION ......................................................................................... 38


ACRONYMS

AUA American University of Armenia

AWP Annual Work Plan

CEO Chief Executive Officer

CIS Commonwealth of Independent States

EE Energy Efficiency

EU European Union

FSP Full-Sized Project

GDP Gross Domestic Product

GEF Global Environment Facility

GHG Greenhouse gases

GoA Government of Armenia

IE International Expert

IW Inception Workshop

LPAC Local Project Advisory Committee

ME Ministry of Economy

MENR Ministry of Energy and Natural Resources of RA

MNP Ministry of Nature Protection of RA

MTE Ministry of Territorial Administration of RA

MUD Ministry of Urban Development of RA

NIS National Institute of Standards CJSC

NGO Non-governmental Organization

PB Project Board

PPG Project Preparation Grant

ProDoc Project Document

R2E2 Fund Armenia Renewable Resources and Energy Efficiency Fund

RE Renewable Energy

RTA Regional Technical Advisor

RoA Republic of Armenia

SEUA State Engineering University of Armenia

SRIE Scientific Research Institute of Energy

TAC Technical Advisory Committee

tCO2e Tons of CO2 equivalent

ToR Terms of Reference

UNDP United Nations Development Programme

UNDP CO United Nations Development Programme Country Office

UNFCCC UN Framework Convention on Climate Change

USAID United States Agency for International Development

USD the U.S. Dollar

WT Workshop-Training on Strategic and Programmatic Issues under UNDP-GEF

Mitigation Programme

YCM Yerevan city Municipality

YSUAC Yerevan State University of Architecture and Construction


I. Basic Project Information

Programme or project number and title: PIMS 4669 “Green Urban Lighting” UNDP-GEF/00074869

Designated institutions

(Executing Agencies): Ministry of Nature Protection of the Republic of Armenia (MNP)

Implementing agency: UNDP

Project starting date

Originally planned: November 2013 (as approved in FSP proposal)

Actual: the same

Project completion date

Originally planned: October 2017 (approved 48 months duration)

Total budget (US$): GEF: 1 600 000 ;

UNDP: 1 120 000 (including 1 000 000 in kind);

GoA: 320 000 (in kind);

Local Administrations: 7 055 000 ;

Other: 95 000 .

Original: the same

ProDoc signature date: November 8, 2014 by the Ministry of Nature Protection of RA

November 15, 2014 by UNDP Armenia

Date of the Inception Workshop: January 15, 2014

II. Project Inception Update

II.1 Introduction

The project inception phase, lasting 4 months, marks the launch of the implementation of the “Green

Urban Lighting” UNDP-GEF project. Thus far, the following has been achieved.

Local Project Advisory Committee (LPAC) was held on 23th of September, 2013. Based on the result

of discussions and positive feedback from the stakeholders, considering the importance of the project

outcomes for the national policy making process, recognizing its timeliness and consistency with

national and global development goals, LPAC recommended FSP document for further approval by

GEF Implementing Agency and National Implementing Partner.

The Ministry of Nature Protection (MNP) – оn 8th of November 2013, and UNDP Armenia – on 15

th of

November 2013, signed the ProDoc; the AWP was signed on December 31, 2013.

Establishment of project management structure:

In line with the project document the project will be implemented under the UNDP Climate

Change Programme which will ensure smooth start of the project using the well-established

facilities and administrative resources of the Unit. Project Task Leader has been hired based on

a competitive selection process to lead, supervise, and monitor project implementation process

and work under direct supervision of the UNDP Climate Change Programme Coordinator.

According to the ProDoc, the Project Board (PB) consists of the UNDP Environment

Governance Portfolio National Director, Mr.S.Papyan, a representative of government and

implementing partner, the Ministry of Nature Protection; a focal person nominated from the

municipality of Yerevan as main beneficiary and counterpart of the project, Mr.A.Harutyunyan;


and RR or DRR of UNDP Armenia. The Technical Advisory Committee (TAC) comprises

MENR, MUD, MTE, ME, MNP, R2E2 Fund, SRIE, NIS and YSUAC. The PB activities rely

heavily on the TAC findings with their meetings timed closely to each other.

Initial engagement with partners and stakeholders:

During the inception phase, intensive negotiations were conducted with MNP as the national

responsible partner of the Project and Yerevan city municipality as the Project’s major

counterpart for pilot projects. Importantly, talks were held with city/town municipalities in the

marzes of Armenia and consultations were held with YCM, R2E2 fund and private sector.

II.2 Project Overview

The overarching goal of the project is to save energy and to reduce emissions of greenhouse gases by

increasing energy efficiency of municipal lighting in the cities of Armenia via implementation of

municipal investment programs and national policies. The proposed project is in compliance with the

national priorities to strengthen the economic and energy independence of the Republic of Armenia

by promoting resources efficient and climate resilient growth.

These activities will contribute to UNDP’s goal of increasing access to sustainable energy services by

introducing regulatory and institutions frameworks, promoting technology transfer for extension of

application and market penetration of energy efficient technologies..

The project approach of institutionalizing improved energy efficiency in lighting sector through

introduction of minimum energy performance requirements, standards, regulation, trainings and

demonstration directly contributes to the pursuit of Millennium Goal Number 7: Integrate the

principles of sustainable development into country policies and programmes and reverse the loss of

environmental resources. The project approach also builds on one of the key areas of the UNDP

Armenia Country Programme: to “strengthen synergies of environmental, governance and socio-

economic issues to ensure integrated solutions.”

Lighting is the second largest source of municipal GHG emissions in Armenia (after heating),

accounting for about one-third of municipalities’ GHG emissions and up to 50 percent of their

electricity bill. Urban lighting costs of Armenian municipalities account for more than US $5 million

per annum (power costs and maintenance). Municipal lighting in the capital city of Yerevan accounts

for the largest consumption in the country: about 80 per cent of all urban lighting energy use

nationwide, or about 56,000 MWh/year. At the same time, there is considerable technical potential for

cost-effective efficiency improvements in public lighting in Yerevan and other Armenian cities. Street

lighting power use in Yerevan is 1.3-1.5 times higher than the average street lighting power

consumption in European cities and towns. The vast majority of bulbs used in street lighting in

Yerevan are high pressure sodium bulb (HPS) of 250W capacity (about 93% of total street lights),

whereas in the other cities street lighting is “divided” among three main types of lights, namely HPS

(46%), mercury bulbs (40%) and CFLs (13%).

In pursuit of the objective, the project will deliver the following outcomes:

i) Municipal energy audits and technical capacity-building;

ii) Demonstration projects;

iii) Replication via municipal lighting programs and associated financial instruments;

iv) National policies, codes, and standards on lighting;

v) Project implementation, monitoring and evaluation.

Collectively, these components seek to put in place cornerstone policy instruments at both the

municipal and national level, supported by technical, policy-related, educational, and financial

measures to raise capacity, reduce investor risk, and help assure successful implementation.

II.3 Project Activities Carried Out Over the Inception Phase

The following activities were carried out in the 2013:


ToR for the Project Task Leader was developed, selection process was completed on competi-

tive basis and the respective contract was signed in November 2013.

International expert (IE) on energy efficient lighting for inception phase was hired.

Multi-year AWP (2014-2017) was developed and adopted by MNP and UNDP, as well as

detailed work plan for 2014 was prepared.

Project TAC establishment initiated by the MNP as the national executing agency.

Project team establishment was initiated, the preliminary list of experts includes:

o International Expert on Energy Efficient Lighting

o Local Expert on Lighting System Audit

o Local Expert on Municipal EE Lighting Pilot Projects

o Local Expert on Lighting System Audit

o Local Capacity Building and Training Specialist

o Local Expert on Municipal EE Lighting Pilot Projects

o Local Expert on Public Outreach

o Local Expert on Energy Efficient Lighting Market and Technologies

o Local Capacity Building and Training Specialist

o Local Expert on Economy and Finance

o Local Expert on Pilot Projects Monitoring

Preparation for and organization of the Inception Workshop was completed.

The Project’s Task Leader held talks with the Mayors of Vanadzor city and Spitak and

Alaverdi towns, to verify information on the potential pilot projects to facilitate identification

of the pilot project sites in the respective communities (November 2013).

Monitoring and reporting documentation was developed in accordance with the UNDP

Project Results and Resources Framework requirements: quarterly progress reports for 2013

were prepared and submitted to GEF and MNP; Annual Standard Progress Report was

developed, submitted and presented at the UNDP Outcome Board on December 3, 2013.

The Logical Framework Matrix was revised substantially based on recommendations of

Regional Technical Advisor (RTA) and the IE; the revised LogFrame is included in section

III.2 below.

The ProDoc, IW information and related materials were posted on a separate web-page of the

Project integrated into the web-site of the Climate Change Information Center of Armenia

(http://www.nature-ic.am/green-urban-lighting/).

II.4 Inception Workshop

The Inception Workshop (IW) took place on 15th January, 2014 in Yerevan, Armenia. The IW was co-

chaired by Mr.A.Harutyunyan, Minister of Nature Protection of the RA, Mr.B.Busetto, UN RC,

UNDP RR, Mr.K.Areyan, First Deputy Mayor of Yerevan city. The IW was led by the RTA on

Energy, Infrastructure, Technology and Transport of UNDP Regional Centre for Europe and the CIS.

The 94 participants included representatives of PB, UNDP RBEC and several COs, relevant

government agencies, town/city municipalities, scientific and educational institutions, private sector,

international organizations and other interested parties – current and potential partners considering the

recent developments in the sector. During the IW, the Project implementation approaches were

discussed and approved of as based on the ProDoc. The purpose of the IW was to present jointly with

stakeholders the project management arrangements, discuss the Project’s implementation approaches,

and identify the key areas of cooperation. In addition, the agenda was discussed with the RTA and

invitations were sent to similar projects’ implementing UNDP COs in Russia, Ukraine and

Kazakhstan, and representatives of “Philips” company and UNEP en.lighten.

Presentations of participants from UNDP COs emphasized the identified gaps and lessons learned.

The GEF-oriented outcomes of the similar projects in Eastern Europe were briefly presented by the

RTA. The international expert presented the best practice in improving energy efficiency and ensuring

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energy saving in urban lighting, including a reference to an Australian energy efficient street lighting

trial in 2008-2012.

The participants greeted inception of the project implementation and expressed their willingness to

support the project activities.

Global transition to Energy Efficient Lighting: Guidance for Specialists UNEP publication was

reprinted in limited numbers (in Russian) and provided to the Project’s key partners. The package

presented to the participants included CDs with the said publication along with the ProDoc brief and

at hand documents to all the participants.

The IW agenda is included in the Annex A. The list of participants is included in Annex B.

Presentations at the IW are listed in Annex C (provided electronically). The IW materials are shared

via Events page at Climate Change Information Center of Armenia web-site (http://www.nature-

ic.am/green-urban-lighting-events/)

The IW participants considered the Project’s implementation approaches acceptable in general with

no major clarifications or modifications needed. The following remarks, comments and suggestions

were recorded, which have to be taken into consideration during the project implementation as much

as possible:

It is important to avoid duplication, repeat the work and activities planned under other donor

assistance projects, as well as to ensure timely communication on project plans and outputs

with counterparts;

The UNDP COs representatives from similar energy efficient lighting projects in Ukrainm

Kazakhstan and Russian Federation invited for the IW expressed their willingness to share their

experience in identifying cost-effective options for pilot projects, to present their lessons

learned and good practice followed, including their publications to be used as a basis for the

project’s similar tasks;

It is desirable to cover different communities with the demonstration component of the project.

Mayors of two towns expressed their willingness to co-finance the cooperation;

It was proposed to consider co-financing opportunities through involvement of environmental

subventions provided to the communities for implantation of environmental projects, into a

potential financial mechanism to be established for funding energy efficiency improvement in

lighting sector;

Involve corresponding specialists and/or private sector representatives in Technical Advisory

Committee meetings when needed;

State Engineering University of Armenia proposed cooperation framework for introduction of

energy efficiency lighting technologies as a separate course at one of their departments;

A private company proposed a cost-sharing option for establishing a laboratory for testing and

certification of lighting appliances (joint funding of equipment procurement by the company

and the project and operation by a third party);

Proper planning and implementation of the pilot project activities should be done to ensure their

replicability;

It is desirable to initiate demonstration component as soon as possible in order to provide

enough time for on-site monitoring and analysis of the outcome;

Importance of conducting trainings on EE lighting is mentioned.

The minutes of the IW are included in the Annex D and shared with the stakeholders.

Following the IW, the Workshop-Training on Strategic and Programmatic Issues under UNDP-GEF

Mitigation Programme (WT) was organized by the RTA and held in the UN House on January 16,

2014. UNDP CO representatives in Armenia, Russia and Kazakhstan, UNDP Armenia Environmental

Portfolio project coordinators, and national and international experts took part in the WT. The key

lessons learned during several years of GEF-funded projects’ management were presented by the

RTA. WT focused on GEF outcome relevant issues and LogFrame compilation in support to the

appropriate long-term positioning of UNDP in mitigation sector. The major recommendation of the

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WT was to keep the indicators adequate and measurable, the baselines reliable and accurate, the

targets realistic and time-bound etc. In general, the LogFrame formulations should be concise and

GEF outcome oriented to facilitate and clearly demonstrate their necessary linkages with achieving

global targets set forth for the respective GEF focal area.

II.4.1 Discussions Related to 2014 Work Plan

Following the IW, a meeting of the International Expert with the YCM as the project’s major

beneficiary was held to update priorities, WP, pilot projects and financial commitments of the YCM

towards establishing an Energy Efficiency Fund from savings gained through the pilot projects. The

annual work plan 2014 of the Project was outlined during the IW and the follow-up meetings with no

substantial comments/remarks received (see Annex E).

II.4.2 UNDP-GEF Requirements Update

During the IW and the WT the participants were updated on the GEF requirements and regulations

regarding the project implementation, including: monitoring and evaluation requirements (adaptive

management, progress monitoring, progress reporting, evaluation, budget), risk management

(environmental, financial, operational, organizational, regulatory, political, etc.), UNDP-GEF project

implementation responsibilities; monitoring and evaluation responsibilities; changes allowed in the

project, etc.

II.5 Identified changes to be considered in the project baseline and targets

Baseline

During the inception phase discussions it was agreed that the baseline of the project should be

amended to incorporate also а new indicator representing specific power consumption per one lighting

fixture (Watt/fixture). This will enable accounting of the actual project impact by making more

precise estimation of improvement of street lighting efficiency, rather than just basing on energy

consumption data which will incorporate the natural growth of the street lighting stock and changes to

the national electrical grid emission factor.

At the same time it was decided to address the problem of suppressed demand (i.e. the reduced level

of public lighting services that do not meet the requirements of lighting standards because of low

quality or inappropriate operation of lighting equipment) during baseline situation assessment via

introduction of respective correction factors that will allow bring baseline situation in compliance

with the requirements of acting lighting norms and standards.

Hence, the project baseline will be accurately established based on available statistical information,

surveys, actual measurements of power consumption, illumination level and other parameters made

within scopes of energy audits, application of the above mentioned correction factors.

Targets

During the consultations held with the Yerevan city municipality within the Inception phase, it was

identified that LED-based street lighting is considered as a priority technology to be tested under the

pilot projects. In particular, the Municipality proposed to implement a LED-based street lighting

demonstration project on one of the major avenues involving about 884 fixtures. Given the reduced

number of fixtures affordable within the budget due to the relatively high capital cost of LED lighting

technologies, the initially estimated direct energy saving from implementation of pilot projects was

revised and reduced accordingly: from 1.4 GWh/y to 1.2 GWh/y.

In order to bring the project target setting in line the latest GEF-STAP Guidelines on GHG emission

reduction from energy efficient projects it has been decided to revise the project target via joining

direct energy savings from demonstration projects and indirect energy savings from replication of

demonstration projects into a one group of direct energy saving.

For more details please see Annex F.

Barriers analysis


No change in the main barriers was recorded within the Inception phase of the project as compared to

the ProDoc.

II.6 Circumstances that Pose a Risk to Successful Project Implementation

No objection arose and no recommendation was delivered per the project related risk categories as

spelled out in the ProDoc during the inception phase. In accordance with the UNDP-GEF

requirements, Logs were prepared for the project, including identification of risks, their impact and

probability, and the respective management response (see Annex F).

III. Conclusions of the IW

III.1 Recommendations to the Project Team

Based on the project inception review carried out at the IW (section II. above) the general

recommendations to the Project Team were the following:

The detailed WP 2014 and the LogFrame should be revised and amended in accordance with

the provided recommendations of RTA and IE (see below);

The Inception Report should be prepared for submissions after the IW and must follow the GEF

template provided and submitted to the UNDP CO;

The 2014-2017 multi-year AWP shall be revised and the AWP for 2014 be subjected to a

revision based on the changes in the pilot project implementation timelines.

The RTA’s recommendations concerned the following:

In selection of pilots, visibility issues of the project’s impact must be considered and discussed

and agreed with YCM;

Financial sustainability of the proposed and piloted technologies must be ensured through the

relevant legal/regulatory improvements;

Timely planning of the study tour to Eastern Europe, including ToR elaboration and submitting

an application to leverage respective funds from Czech Trust Fund or Slovak Aid is advised;

Indicators set in the Logfram shall be adequate and measurable, baseline shall be reliable and

accurate and targets shall be realistic and time bound;

The lessons learned and experience of the UNDP lighting projects in the CIS countries must be

studied and considered by project team while planning project activities;

The educational and public outreach materials can be utilized as appropriate;

The resources and networking opportunities with UNEP en-lighten programme must be utilized

to the most practical extent possible;

Direct energy saving and associated GHG emissions reduction shall be estimated by impact of

savings and reductions achieved both from pilot projects implemented under GEF funding and

from replication of piloted activities and introduced technical assistance.

The IE’s recommendations to the Project Management included:

Technical Capacity Building and Stakeholder Engagement

The critical spine to the entire project is technical capacity building and there is no better way

to achieve this with key representatives from stakeholders than by having them gain practical

experience by participating in the implementation of the project. The two main areas where

capacity building will be required are technical operations and financial operations/modelling.

Therefore, a Financial Working Group and a Technical Working Group have to be established,

with each Working Group comprising of representatives from the Project team, local

independent experts (one technical expert for TWG and one finance expert for FWG),

international independent expert (as appropriate) and Yerevan Municipality representatives

(including Yerevan Illumination Company and department responsible for construction works),


representatives from 3 other municipalities (selected by likelihood of them conducting future

pilots or commencing transformation) and representatives of the Ministry of Energy and

Natural Resources of RA.

These two working groups will take ownership, contributing to the decision-making processes

during project implementation, and ultimately provide endorsement of findings and adopted

practices. Documentation of the decision-making processes undertaken and procedures of

technical analysis of lamp performance and financial modelling within the working groups will

become important resources for the continued roll out of green urban lighting throughout the

Republic of Armenia.

Well-structured and coordinated pilots will provide a suite of documentation for training and

ensuing transformation of street lighting to feasible energy efficient lamp technologies.

Demonstration Projects

Before changes to urban lighting practices can be proposed with justification, a detailed

understanding of the baseline (current) situation is required. This entails gaining an insight into

the technical and financial operations (a business profile) of urban lighting within the

municipalities. To do this a municipal lighting service audit, not just an energy audit, is

required. The terms of reference for providing such a service should include obtaining

information in relation to: installation requirements, lighting surveys, maintenance practices,

procurement practices and financial aspects (annual). Analysis of the lighting audits will

provide an insight into the opportunities for improving the energy efficiency and cost reduction

of operating the urban lighting (for more information please see the Mission Report presented

in Annex H).

Another mechanism that could be utilized is the street lighting tool developed by SEAD, the

Super-Efficient Equipment and Appliance Deployment (SEAD) initiative. SEAD is an initiative

under the Clean Energy Ministerial and the International Partnership for Energy Efficiency

Cooperation and aims to make it easier for governments and the private sector to reduce energy

demand and carbon emissions.

In street lighting, the problem is that with new fixture choices, wattage and light distribution

classifications have less correlation with fixture performance on a specific road. Improved

performance and energy savings depend on proper fixture selection. The street lighting tool

provides simplified photometric analysis, integrated with energy and life cycle cost

considerations, to allow lighting specifies to find better fixtures for their lighting upgrades. The

latest version (version 1.6.0) also includes financial analysis in the form of a “Return on

Investment”, ROI, calculated for each year. This new feature will assist with the assessment of

the feasibility of the piloted lamp technologies and future technology transformations by

verifying its applicability to the Armenian situation.

The currently available information for street lighting lamp stock in the Republic of Armenia is

very limited. Updating this information through a questionnaire survey to the municipalities

supplemented by expert assessment would be beneficial to the planning of future pilots and

understanding the opportunity for financial and energy efficiency improvements in their

operations. It also provides an opportunity to promote the “Green Urban Lighting Project” and

foster engagement by the municipalities.

The energy efficiency opportunities will be determined by evaluation of the technical features

of alternate lamp technologies and their suitability for replacing existing lamps in the local

environmental (e.g. temperature, vibration & humidity) and electricity supply (voltage spikes &

drops) conditions. These technical features include such parameters as: white light appearance,

Colour Rendering Index (CRI), lamp efficacy, OMR cost, capital cost, lamp survival, lumen

depreciation and lamp life.

Cost reduction opportunities will be determined by evaluation of the asset (including

procurement practices) and electricity costs, and predicted changes to maintenance practices

(frequency of lamp/fixture replacements and cleaning). In terms of a pilot, all of these elements


must be recorded in some form of work log to allow a full and proper financial analysis of the

adoption of a new lamp technology to be undertaken.

A Technology Selection Report should then document the process up to and including

preliminary selection of lamp technologies for the pilots. A request for information forms the

next step of the procurement process this will ensure that manufacturers/suppliers are provided

the opportunity to inform the Technical Working Group of any lamp technologies not currently

considered. Following an analysis of the information provided in this process, manufacturers/suppliers are

to be given a further opportunity to inform Technical Working Group members of available

technologies through a Supplier/Manufacturer Workshop. The final decision on the lamp

technologies to be piloted will have then been informed based on information provided through

a Public Request for Information and a Supplier/Manufacturer Workshop. This process will

ensure that the selection process considers all relevant information in its decision making

process.

The procurement of lamps should be publicly offered for tender in the weeks following the

workshop. Even though luminaires will be procured, the pilot monitoring will only be in

relation to the performance of the lamp technology, not the brand. This is an important

philosophy to remain mindful of with any pilot demonstration, otherwise the competition to be

the supplier of the lamps for the pilots can damage future market competition. Therefore, there

is to be no commercial advantage (inside running) for future projects to the supplier of the

luminaires or lamps for the pilots. That is, the pilots are promoted as being based on the lamp

technology (not brand) performance only, so that other quality lamp manufacturers who are not

selected for the pilots will still be able to benefit from the results of the trial, as the trial data

should be made public. The tender specifications should state a requirement for the supply of:

independent accredited laboratory reports of lamp/luminaire performance

lighting design plans verifying compliance with specified lighting requirements for the

nominated pilot sites

a satisfactory warranty

commitment to availability of replacement components

For LED products, evidence of compliance to IEA 4E SSL Outdoor Lighting Tier 2

Performance levels.

A completed luminaire information form to assist the tender review panel should also

accompany a tender submission (sample form is given in the Mission Report).

Once the inefficient lamp technologies that it is proposed to replace have been identified,

suitable pilot sites for monitoring and demonstrating the energy savings and financial feasibility

of such a technology change need to be identified. The criteria for selecting these pilot sites

should include consideration for:

Temperature, humidity and wind (vibration) extremes

Voltage supply variations (voltage spikes and voltage drops)

Typical road lighting configurations (including lighting level requirements, pole heights,

road widths)

Separate electrical feed to pilot light poles (exclusive of billboard and commercial signage

lighting) to enable energy monitoring

Ability to conduct lighting level audit (physical measurements) on road during pilot period

Conspicuity of the pilot to the general public for promoting the energy efficiency projects

The pilot site to be typical for labor practices involved with the maintenance of the

poles/fixtures. (i.e. no excessive degree of difficulty associated with accessing the

poles/fixtures) This is so that maintenance costs documented from the pilot are indicative

of typical installations allowing for reasonable financial analysis.

Any pilot sites and replacement lamp technologies that have already been proposed for

upcoming demonstrations scheduled in the first 12 month work plan, should be ratified by the

Working Groups, using the processes outlined above. This will secure stakeholder support and


provide documentation of the process that will become part of the pilot/transformation

establishment procedures and training material for municipalities beyond Yerevan.

Monitoring of the pilots should be conducted on a scientific measurement basis, which will

require a factoring in of a cost within the pilots. This monitoring must be reliable and transparent

measurement of key lamp performance criteria of and therefore conducted under the supervision

of a local independent competent lighting professional. This monitoring will entail:

Periodic in-situ light and color measurements (this will require some traffic control during

measurement) with calibrated equipment

Energy consumption monitoring (either at single poles or, if possible to isolate, the entire

distribution of the pilot area) with calibrated equipment

Weather data (temp, humidity, wind) for pilot location (possibly acquired from the Bureau

of Meteorology)

Installation, failure and maintenance logs (dates, times, pole location)

Failure cause analysis (failed lamps/fixtures should be recovered and returned to workshop

for failure cause analysis)

All data should be collected as automatically as feasible to ensure data integrity (e.g. a data-logger

for energy consumption). Data should be downloaded frequently (monthly) for security purposes

and so that analysis can be aggregated and monitored throughout the duration of the pilot. This

assists with identifying either data collection or lamp operation issues before an entire pilot

project is compromised.

The periodic lighting surveys along with weather and electrical supply conditions provide good

information to facilitate predictive lumen depreciation performance and lamp survival statistics.

The reports should be delivered in a manner that provides independence, objectivity and

technology generality (in terms of non-brand specific) so the results can be applied, without

favor, to as many situations/locations as appropriate.

The project has funds for asset changeover for the pilots proposed within the Green Urban

lighting Project. Identifying funding opportunities for the enduring sustainability of the street

lighting transformation is a critical component to this project. The funds within this project are

significant enough to provide the opportunity, (after robust technology assessment and

operational finance modelling) for an ongoing fixed budget commitment from the Municipality

of Yerevan to achieve savings that are reinvested into a rolling energy efficient technology

upgrade of the streetlight assets. This will be an effective demonstration of an initial investment

providing an increasing return.

During the project, other finance mechanisms for obtaining the initial stimulus funds need to be

discovered and promoted. Another alternative mechanism worthy of consideration, which does

not require a significant initial financial outlay, is the outsourcing (contracting) to a 3rd

party

(i.e. commercial entity) for the provision (ownership, operation and maintenance) of street

lighting to a municipality. The Finance Working Group could initially examine this model

(with prospective suitors) prior to facilitating a demonstration with an entire municipality. One

private entity providing such a service is Citelum (http://www.citelum.com/en).

Replication of Municipal Lighting Programs

There are three key steps to the replication of municipal lighting programs: (i) Detailed

knowledge of the baseline stock model, (ii) A methodology (with supporting documentation

and templates) and trained personnel for assessing the feasibility (financial and technical) for an

energy efficient technology upgrade, and (iii) Seed funding to deliver the stimulus finance for

the initial partial asset upgrade that creates the savings to establish the rolling fund for

progressive asset upgrades.

All three of these steps have been well covered above, but this highlights the necessity for all

steps before a municipal lighting program can be successfully initiated.

http://www.citelum.com/en


National Policies, Codes, and Standards on Lighting

In order to justify the adoption of energy efficiency standards and codes for the purpose of

energy saving and associated greenhouse gas reduction, a relatively accurate stock model of the

lamps in use is required.

In developing a national stock model for lamps used in the residential sector for this project, it

was identified that there was very little data that could be sourced to assist with the required

calculations for either of the accepted approaches to modelling. Using a top down approach, the

percentage of electricity used in the residential sector (as opposed to sectors such as industrial,

commercial and rural) is required along with the percentage of household electricity consumed

by lighting (as opposed to heating, cooling and appliances). No figures could be sourced for the

latter of these parameters and the general consensus of the project team is that the values

published for the European Union, USA, Australia and global are lower than could be expected

in the republic of Armenia, (see Mission Report). Using a bottom up approach, details are

required of the typical lamp inventory for a home in the Republic of Armenia and the typical

hours of use for each lamp. Again, none of this information appears to be available.

Any implementation of an energy efficient lamp phase in will require a detailed understanding

of the lamp stock currently in use and any actual or perceived barriers to such a transition.

It is recommended that a phone survey be conducted on a selected sample of homes in various

demographic regions of the Republic of Armenia in to obtain the necessary information to build

a representative residential stock model and hours of use by room type. Questions should also

be designed to gain an insight into potential barriers to an energy efficient lamp transition.

These questions may need some initial market research to identify the key issues to engage on

(e.g. price, light color, life etc.).

An energy audit could also be conducted on a smaller sample set of homes to obtain the

percentage of electricity consumed for lighting in homes. This would then allow verification of

a calculation of the national residential lighting energy consumption by both a top-down and

bottom-up approach.

Another key strategy to implementing new national standards and codes in energy efficient

lighting is to consider harmonizing with neighboring or trading economies. This will facilitate

trade and maintain market competition in lighting products. It is recommended to conduct a

review of the programs for energy efficient lighting equipment in various countries (e.g. CIS

countries, EU, China, USA.) for the last 5 years, including the analysis of the regulatory basis

of the programs (legislation, standards in force, methodologies accepted) and the tendencies of

their harmonization or transformation.

Other Considerations

Efficiency and quality of LED-based street lighting products is improving constantly along

with gradual reduction of technology costs. Hence, piloting of this technology at a later stage

of the project may result in higher cost efficiency due to possibility of procurement of street

lighting equipment with better energy performance and relatively lower price.

International practice shows that after adoption of appropriate legislation the process of

complete phase-out of incandescent lighting usually takes quite long (sometimes up to 10

years). This shall be taken into consideration for evaluation of indirect energy saving and

GHG emission reduction due to adoption and implementation of similar legislation.

Evaluation of energy saving in the residential sector due to implication of new norms on EE

lighting (including phase-out of IL) shall consider availability of comparable (in terms of

price and application) alternative lighting technology (e.g. halogen) on the local market, as

well as need for additional effort to change in consumer behavior.


III.2 Revision of the Logical Framework Matrix

The table below gives a comparison between indicators, baseline, targets, sources of verification, and risks and assumptions included in the Project Document and

those initiated at the Workshop-Training on Strategic and Programmatic Issues under UNDP-GEF Mitigation Programme (following the IW; held on January 16,

2014) and agreed in the immediate follow-up of the IW in close cooperation with the International Expert.

Indicator Baseline Targets: End of Project Source of verification Risks and Assumptions

as in the

ProDoc

as per the IW

amendments

as in the

ProDoc

as per the IW

amendments

as in the ProDoc as per the IW

amendments

as in the

ProDoc

as per the IW

amendments

as in the

ProDoc

as per the

IW

amendments

Project

Objective

To remove

barriers to

energy-

efficient

lighting in

Armenia, by

means of

technical

assessment,

facilitation of

financing,

and

development

and

implementati

on of

municipal

programs and

national

policy

Quantity of

energy

saved and

GHG

emissions

avoided

no change

recommen-

ded at this

time

40 GWh of

electricity

consumed for

street lighting

in 2011,

accounting

for about

16,000

tonnes of

CO2

emissions.

550 GWh

consumed for

residential

lighting in

2011,

accounting

for about

220,000

tonnes of

CO2

emissions

Street

lighting:

40 GWh of

electricity

consumed for

street lighting

in 2011,

accounting

for about

16,000 tons

of CO2

emissions.

Average

fixture power

consumption

is 210W in

2011.

Residential

lighting:

550 GWh

consumed for

residential

lighting in

2011,

accounting

for about

220,000 tons

of CO2

emissions.

Direct energy

savings of 1.4

GWh per year

from

demonstration

projects (560

tonnes of CO2

emissions)

Indirect energy

savings of 20

GWh per year

from

replication of

demonstration

projects via

municipal

programs (8000

tonnes of CO2

emissions)

Indirect energy

savings of 125

GWh per year

from

implementation

of national

lighting policy

(50,000 tonnes

of CO2

emissions)

Direct energy

savings of 1.2

GWh per year

from

demonstration

projects (474

tonnes of CO2

emissions)

Direct energy

savings of 20

GWh per year

from replication

of demonstration

projects via

municipal

programs (8000

tonnes of CO2

emissions).

Indirect energy

savings of 125

GWh per year

from

implementation of

national lighting

policy (50,000

tonnes of CO2

emissions)

Direct

energy

savings and

savings from

municipal

programs:

meter

readings and

power

company

invoices.

Savings

from

national

policy:

calculations

based on

regulatory

requirement,

data from

national

agencies and

suppliers on

import and

other market

indicators

Reports on energy

audits conducted by

the project (baseline

data verification,

adjustment to the

required lighting

standards)

Reports on GHG

reduction according

to the GEF

Guidelines.

Pilot project

monitoring reports.

Survey reports on

status of municipal

street lighting done

at the project

midterm and last

year.

Residential sector

survey reports on

indoor lighting.

Achievemen

t of these

targets

depends on

adoption and

timely

implementati

on of

municipal

programs

and national

policies,

which in

turn require

sufficient

political will

and

financing.

no change

recommen-

ded at this

time



as in the

ProDoc

as per the IW

amendments

as in the

ProDoc

as per the IW

amendments


amendments

as in the

ProDoc

as per the IW

amendments

as in the

ProDoc

as per the

IW

amendments

Outcome 1

Municipal

energy audits

and technical

capacity-

building

Number of

municipal

energy

audits

conducted

Number of

specialists

and agency

representati

ves trained

Methodolog

y for ener-

gy/lighting

audit

Number of

municipal

lighting

systems

energy

audits

conducted

no change

recommen-

ded at this

time

Public media

exposure

Comprehensi

ve energy

audits are not

part of

normal

practice for

public

lighting in

Armenia

No

specialized

training on

EE lighting is

offered in

Armenia

Lack of

methodology

for assessing

the feasibility

(financial and

technical) of

an energy

efficient

lighting

technology

upgrade

Municipalitie

s are not

aware of

energy saving

potential in

lighting

sector

No

specialized

training or

training

materials on

EE lighting is

offered in

Armenia

Limited

broadcasting

of

information

on EE

lighting

At least 10

comprehensive

audits of public

lighting

completed in

Yerevan and

other cities.

Training on EE

lighting

delivered to the

municipal

specialists and

agency

representatives

in Yerevan and

at least 10 other

cities

By the project

midterm the

methodology will

be established and

shared with

municipalities

At least 10

comprehensive

audits of public

lighting

(including pilots)

completed in

Yerevan and other

cities (including

baseline analysis

and

recommendations

for improvement)

At least 20

specialists from

private sector and

municipalities are

trained on EE

lighting and

energy audit

Media releases on

outcomes of each

pilot. Awareness

raising materials

available for

general public

Completed

audit

documentati

on

Training

materials,

participant

rosters,

summaries

of

proceedings

Project annual

reports.

Methodology guide.

Audit reports

Public outreach

materials and

publications

Project web-site

Not

observed

no change

recommen-

ded at this

time



as in the

ProDoc

as per the IW

amendments

as in the

ProDoc

as per the IW

amendments


amendments

as in the

ProDoc

as per the IW

amendments

as in the

ProDoc

as per the

IW

amendments

Outcome 2

Demonstratio

n projects

Pilot projects

yield cost-

effective

energy

savings,

raising the

confidence

and capacity

of investors

and decision-

makers about

EE lighting

Efficiency

and energy

savings of

installed

EE lighting

Share of

LED in

demo-

projects

no change

recommen-

ded at this

time

Various

levels for

existing types

of lighting –

baseline

technologies

include older

250W HPS

lamps, 400W

mercury-

vapor lamps,

incandescents

and

fluorescent

tubes.

(Baselines to

be updated

during the

inception

period.)

The majority

of fixtures in

municipal

outdoor

lighting

sector

incorporate

inefficient

250W HPS

lamps or

400W

mercury-

vapor lamps.

The indoor

lighting

sector is

dominated by

inefficient

incandescent

lamps and

fluorescent

tubes.

At least five

demonstration

projects

completed,

covering

various

technologies

including

LEDs, and

various

applications

including both

street lighting

and buildings.

Direct energy

savings of 1.4

GWh per year

100% LED for

new outdoor

and indoor

lighting.

5% LED for

outdoor

lighting

retrofits

At least five

demonstration

projects on a

number of

efficient lighting

technologies

completed for

indoor, outdoor

and street

lighting.

Direct energy

savings of up to

0.95 GWh per

year by

completion of all

pilots (subject to

final selection of

pilot size and

technologies)

100% LED for

outdoor (park)

and indoor

lighting pilots

40% LED

included in street

lighting pilots

Field

verification,

metering,

and other

documen-

tation

Field verification,

metering, and other

documentation

Project reports and

audits.

Fulfillment

of the target

will depend

on planning,

financing,

and

implementati

on according

to strict

timetables

agreed upon

by the

project and

its partners.

Fulfillment

of the

target will

depend on

planning

(e.g. final

selection

of pilot

size and

technolo-

gies),

financing,

and

implement

ation

according

to strict

timetables

agreed

upon by

the project

and its

partners.



as in the

ProDoc

as per the IW

amendments

as in the

ProDoc

as per the IW

amendments


amendments

as in the

ProDoc

as per the IW

amendments

as in the

ProDoc

as per the

IW

amendments

Outcome 3

Replication

via municipal

programs and

associated

financial

instruments

Municipal

lighting

programs

lead to

widespread

deployment

of EE

lighting and

associated

energy

savings

Adoption

and

financing

of

municipal

programs

for EE

public

lighting

Energy

savings

from these

programs

Financial

commitmen

ts for

energy-

efficient

municipal

lighting

Municipal

programs for

EE public

lighting

no change

recommen-

ded at this

time

Municipal

programs for

EE public

lighting are

desired but

not com-

prehensively

designed,

financed, or

implemented

no change

recommen-

ded at this

time

Municipality of

Yerevan

develops and

adopts program

for upgrades of

municipal

lighting, with

secured

financing

Similar

programs are

adopted in at

least five other

cities of

Armenia

Savings of 20

GWh per year

from municipal

lighting

programs

US $10 million

for energy-

efficient

municipal

lighting secured

Municipality of

Yerevan develops

and adopts

program for

upgrades of

municipal

lighting.

Similar programs

are adopted in

other cities of

Armenia

Savings of 20

GWh per year

from municipal

lighting programs

US $10 million

for energy-

efficient

municipal lighting

secured.

Establishment of

financing

mechanisms for

Yerevan and other

municipalities

(e.g. revolving

fund) from

savings achieved

from piloted EE

measures.

Support in

preparation of

funding proposals

(including tenders

for ESCOs) for

cities of Armenia

Official

documenta-

tion of

adoption of

programs

and

financing

agreements.

Municipal plans on

EE lighting upgrades

Established separate

account/

budget line in

Yerevan Lighting

Company for

funding of EE

lighting projects/

upgrades.

Number of

investment proposals

applied for funding

Adoption of

municipal

programs

requires

sufficient

funds from

municipal

budgets

and/or

public and

private

sources of

financing

no change

recommen-

ded at this

time



as in the

ProDoc

as per the IW

amendments

as in the

ProDoc

as per the IW

amendments


amendments

as in the

ProDoc

as per the IW

amendments

as in the

ProDoc

as per the

IW

amendments

Outcome 4

National

policies,

codes, and

standards on

lighting

New national

policies

mandate

significantly

greater

energy

efficiency and

ensure

product

quality for

lighting,

particularly

in residential

buildings

Adoption

and entry

into force

of phase-

out of

convention

al

incandesce

nt lighting

Adoption

and

implementa

tion of

other

needed

policies to

promote EE

lighting in

various

areas,

including

codes,

standards,

and pro-

curement

rules

Existence of

regulations

that mandate

improved

energy

efficiency of

lighting

products and

installations,

including

codes,

standards,

and pro-

curement

rules

Conventional

incandescent

lighting is

available

without

restrictions

and consti-

tutes 85

percent of

residential

lighting in

Armenia

Conventional

incandescent

lighting is

available

without

restrictions

and consti-

tutes 85

percent of

residential

lighting in

Armenia

There is no

regulation on

energy

performance

of lighting

products in

Armenia

A national

phase-out of

conventional

incandescent

lighting is

adopted and

enters into

force

Lamps with at

least 25 percent

greater

luminous

efficacy replace

conventional

incandescents

according to

the timetables

of the adopted

phase-out

Other adopted

policies and

standards

support the

phase-out

Proposed

improvement to

existing

legislation

addressing

minimum energy

performance

requirements for

lighting appliances

A national phase-

out plan of conven-

tional incandescent

lighting is adopted

Other adopted

policies and

supporting

standards

New criteria

(including

performance and

life cycle costs) for

incorporation in

state procurement

procedures for

lighting

applications are

developed

Official

documentati

on of

adopted

legislation,

standards, or

other state

policy and

regulations.

Revised legal and

normative

documents

National program

on phase out of

incandescent

lighting

Technical

specifications for

ensuring MEPS for

public procurement

of lighting

equipment

Adoption of

national

policy

requires

sufficient

political will

and

addressing

of

stakeholder

concerns

about

lighting

quality, cost

to

consumers,

and mercury

containment.

no change

recommen-

ded at this

time


IV. Schedule for Reviews, Reports and Evaluations 1. Inception Report February 2014

2. Annual Project Review (APR) and Project

Implementation Report (PIR) (on annual basis)

The 1st APR is recommended, not mandatory,

by 1st

of July 2014

3. Mid Term External Evaluation December 2015

4. Final External Evaluation and Project Review August 2017

5. Terminal Report December 2017

In addition to the above mentioned, quarterly, mid-year annual progress, financial reports and work-

plans should be prepared as per UNDP-GEF and national executing agency/partner requirements.

Date report prepared: February, 2014

Diana Harutyunyan,

Climate Change Program Coordinator

UNDP Armenia

Artem Kharazyan,

Task Leader,

UNDP-GEF/00074869 Project

UNDP Armenia


V. List of Annexes

A. Agenda of the Inception Workshop

B. List of participants of the Inception Workshop

C. Presentations from Inception Workshop (available electronically)

D. Minutes of the Inception Workshop

E. Annual work plan for 2014

F. CO2 Emission Savings Calculation


ANNEX A

Agenda of the Inception Workshop

The RA Ministry of Nature Protection

Inception Workshop “Green Urban Lighting” UNDP-GEF/00074869 Full-sized Project

Picasso Hall of Best Western Congress Hotel, Yerevan

January 15, 2014

Agenda

9:30-10:00 Registration

10:00-10:20 Welcome address

Mr. Aram Harutyunyan, Minister of Nature Protection of the RA

Mr. Bradley Busetto, UN Resident Coordinator, UNDP Resident Representative

Municipality of Yerevan

10:20-10:35 Energy saving potential in urban lighting sector of Armenia: financial and

institutional means of its realization under UNDP-GEF project

Diana Harutyunyan

Climate Change Programme Coordinator, UNDP Armenia

10:35-10:50 Overview of UNDP-GEF mitigation projects in Eastern Europe and CIS

Ms. Marina Olshanskaya Regional Technical Advisor on Energy, Infrastructure, Technology and Transport, UNDP

Regional Centre for Europe and the CIS

10:50-11:10 Main components of the project, log frame, indicators and 2014 work plan

Artem Kharazyan

Project Task Leader

11:10-11:40 International best practice in improving energy efficiency and achieving energy

saving in urban lighting

Steven Coyne

International Consultant, “Light Naturally” Consulting Company

11:40-12:00 Q&A, Discussions

12:00-13:00 Lunch

13:00-14:00 Experience of UNDP-GEF lighting project implementation in Kazakhstan

Syrym Nurgaliev

Project Manager, UNDP-GEF Project “Promotion of Energy Efficient Lighting in

Kazakhstan”

Experience of UNDP-GEF lighting project implementation in Russia

Anatoly Shevchenko

Project Manager, UNDP-GEG Project ”Transforming the Market for Efficient Lighting in


Russia”

Transforming the market for efficient lighting in Ukraine: experience, lessons and

opportunities

Sergii Varga

Project Manager, UNDP-GEF Project “Transforming the Market for Efficient Lighting in

Ukraine”

14:00-14:15 Philips regional experience in implementation of municipal lighting projects

Natalia Yeremeeva

Philips Ukraine LLC, Director Outdoor Segment

14:15-14:30 Donor funded municipal lighting projects in the Armenian communities

Hrant Ter-Gabrielyan

Energy Efficiency Expert, Renewable Resources and Energy Efficiency Fund

14:30-15:00 Q&A, Discussions

15:00 Closing of the session


ANNEX B

List of Participants of the Inception Workshop

The RA Ministry of Nature Protection

Inception Workshop “Green Urban Lighting” UNDP-GEF/00074869 Full-sized Project

Picasso Hall of Best Western Congress Hotel, Yerevan

January 15, 2014

List of Participants

Name, Surname Organization Position

Ministries, State Authorities

1. Aram Harutyunyan Ministry of Nature Protection

of the RA

Minister

GEF National Focal Point

2. Simon Papyan Ministry of Nature Protection

of the RA

First Deputy Minister

3. Khachik Hakobyan Ministry of Nature Protection

of the RA

Deputy Minister

4. Volodya Danielyan Ministry of Nature Protection

of the RA

Chief Assistant to the Minister

5. Viktor Martirosyan Ministry of Nature Protection

of the RA

Director a.i., “Environmental project

implementation unit” State Agency

6. Gagik Saroyan Ministry of Nature Protection

of the RA

Head of Legal Department

7. Armen Vardanyan Ministry of Nature Protection

of the RA

Head of Information and Public Relation

Department

8. Hasmik Grigoryan Ministry of Nature Protection

of the RA

Head of Foreign Relations Department

9. Hermine Arakelyan Ministry of Nature Protection

of the RA

Chief Specialist of Public Relations Division,

Information and Public Relations Department

10. Nune Hovhannisyan Ministry of Nature Protection

of the RA

Head of International Program Management and

Monitoring Division, Monitoring of Environental Strategic Programs Department

11. Martiros Tsarukyan Ministry of Nature Protection

of the RA

Head of Atmospheric Air Policy Division

12. Artashes Bakhshyan Ministry of Territorial

Administration of the RA

Deputy Minister

13. Hrachya Tsughunyan Ministry of Energy and Natural

Resources of the RA

Development Department Head

14. Samvel Srapyan Ministry of Urban Development

of the RA

Head of Housing Stock and Municipal

Infrastructures Division, Housing Policy and Municipal Infrastructures Department

15. Aram Gabrielyan UNFCCC National Coordinator



16. Mesrop Gharibyan Public Services Regulatory

Commission of the RA

Chief Specialist of Investment Programs

Division

Municipalities and Adjacent Agencies

17. Kamo Areyan Yerevan Municipality First Deputy Mayor

18. Armen Harutyunyan Yerevan Municipality Head of Development and Investment Programs

Department

19. Nune Sahakyan Yerevan Municipality Head of International Investment and other

Institutions Projects Coordination Division

20. Meri Harutyunyan Yerevan Municipality Leading Specialist of International Investment

and other Institutions Projects Coordination Division

21. Arevhat Abrahamyan Yerevan Project CJSC Chief Specialist

22. Samvel Gabrielyan Yerevan Illumination CJSC Director

23. Vladislav Harutyunyan Yerevan Illumination CJSC Chief Engineer

24. Vardan Harutyunyan Gyumri Municipality Director, In-city Illumination Implementing

Company

25. Karen Igityan Gyumri Municipality Chief Engineer, In-city Illumination

Implementing Company

26. Georgi Yeremyan Aparan Municipality Deputy Mayor

27. Gagik Hayrapetyan Tsaghkadzor Municipality Deputy Mayor

28. Hrach Husikyan Hrazdan Municipality Chief Advisor to the Mayor

29. Artavazd Varosyan Alaverdi Municipality Mayor

30. Anahit Gyulazyan Spitak Municipality Deputy Mayor

31. Karen Hayrapetyan Spitak Municipality Deputy Head of Construction Department

32. Artashes Badalyan Sevan Municipality Head of Architecture and Construction Division

33. Samvel Galstyan Sevan Municipality Chief Specialist

34. Vladimir Ivanyan Abovyan Municipality Assistant to the Mayor

35. Gagik Hovhannisyan Abovyan Municipality Head on Municipal Economy Section

36. Vardan Gevorgyan Kajaran Municipality Mayor

37. Vardan Muradkhanyan Yeghvard Municipality Secretary of the Staff

UNDP-GEF

38. Bradley Busetto UN RC, UNDP RR UN RC, UNDP RR

39. Marina Olshanskaya UNDP-GEF Regional Technical Advisor on Energy,

Infrastructure, Technology and Transport

40. Armen Martirosyan UNDP Armenia Environmental Governance Portfolio Analyst

41. Anatoly Shevchenko UNDP Russia Project Manager at EE Lighting Project

42. Sergey Volkov UNDP Ukraine Head of EE Program

43. Sergei Varga UNDP Ukraine Project Manager at EE Lighting Project

44. Syrym Nurgaliev UNDP Kazakhstan Project Manager at EE Lighting Project

45. Hovhannes Sarajyan UNDP Armenia Communications Associate



46. Hovhannes Ghazaryan UNDP Armenia GEF Small Grants Program Coordinator

47. Babken Babayan UNDP Armenia Community Development Project Coordinator

48. Andrey Harutyunyan UNDP Armenia Community Development Project

Infrastructure/Public Work Specialist

49. Steven Coyne Light Naturally International Expert on Energy Efficient Lighting

for Inception Phase

International Organizations and Private Sector

50. Arthur

Cherednichenko

Philips Ukraine LLC Regional Senior Sales Manager, Caucasus and

Central Asia countries

51. Natalya Eremeeva Philips Ukraine LLC Director Outdoor Segment Manager

52. Bella Andriasyan KfW Armenia Energy and financial programs senior coordinator

53. Gohar Mousaelyan ADB Senior Project Officer

54. Anna Hambaryan EBRD Analyst, Yerevan Office

55. Carel Hofsta Counterpart International

Armenia

Chief of Party

56. Hayastan Stepanyan Counterpart International

Armenia

Community Development Sr. Manager and Local

Government Advisor

57. Harutyun Vardanyan Counterpart International

Armenia

CPI Civil Engineer

58. Marina Vardanyan USAID Team Leader for Energy, Water and

Environmental Portfolio

59. Nora Martirosyan Sustainable Urban

Development Investment Program

Project Director

60. Hrant Ter-Gabrielyan Armenia R2E2 Fund Expert

61. Sergey Abrahamyan Armenia R2E2 Fund Energy Saving Project Coordinator

Educational and Scientific Research Institutions

62. Eduard Kurghinyan State Engineering University of

Armenia

Docent, Chair of Electrical Machines and

Apparatus

63. Pepo Khachatryan State Engineering University of

Armenia

Chair of Electrical Machines and Apparatuses

64. Eduard Martikyan State Engineering University of

Armenia

Chair of Electrical Machines and Apparatuses

65. Ara Zakaryan Yerevan State University of

Architecture and Construction

Head of Information Technologies Coordination

Division

66. Anna Orbelyan Yerevan State University of Architecture and Construction

Head of Laboratory

67. Levon Aghekyan Scientific Research Institute of

Energy

General Director

68. Tigran Gnuni Scientific Research Institute of

Energy

First Deputy Director

69. Vahan Sargsyan Scientific Research Institute of

Energy

Director of Energy Strategy Center



70. Gevorg Nazaryan National Institute of Standards

CJSC

Deputy Director

71. Artak Hambaryan American University of Armenia Professor

72. Nelli Igityan Student

Private Sector and Design Institutions

73. Anzhela Davtyan CONSEL, Representation of

Philips Lighting in Armenia

Head of Commerce Division

74. Davit Danielyan CONSEL, Representation of

Philips Lighting in Armenia

Chief Specialist on Design and Sales of Lighting

Systems

75. Hrant Manukyan Kam.Arsi LLC, Representation

of OSRAM Lighting in Armenia

Deputy Director

76. Stepan Shahbazyan ELJEN LLC Director, Co-owner

77. Ashot Harutyunyan ELJEN LLC Executive Director

78. Vanik Baghdasaryan Sky Hawk LLC Director

79. Levon Margaryan Energy Net Project Institute

CJSC

Director

80. Mari Sofyan Hazarashen Co. Ltd. Electric Engineer

Climate Change Program, UNDP Armenia

81. Diana Harutyunyan Climate Change Program Coordinator

82. Artem Kharazyan Task leader, “Green Urban Lighting” UNDP-GEF project

83. Vahram Jalalyan Task leader, “Improving Energy Efficiency in Buildings”

UNDP-GEF project

84. Mikhail Vermishev National expert on GHG Mitigation Policy and Measures

85. Marina Sargsyan National expert on Energy Sector Economics

86. Gurgen Khostikyan National Expert, Energy Efficient Lighting

87. Armen Gulkanyan National Expert on Lighting Sector Market

88. Arsen Karapetyan National expert on Building Codes and Standards

89. Tigran Sekoyan National expert on assessment of energy saving in buildings,

quality assurance/quality control of construction and insulation

materials

90. Apres Nazaryan National expert on Architecture and Design

91. Artur Tsughunyan National expert on energy auditing and evaluation of the energy

efficiency potential

92. Anna Dira National Expert on Public Outreach

93. Tatevik Vahradyan Climate Change Program Expert Team Assistant

94. Marianna Arzangulyan Climate Change Program Expert Team Assistant


ANNEX C

Presentations from the Inception Workshop

Presentations from the IW are available electronically at the web-site of Armenia Climate Change

Information Center, http://www.nature-ic.am/green-urban-lighting/ .

http://www.nature-ic.am/green-urban-lighting/


ANNEX D

Minutes of the Inception Workshop

“Urban Green Lighting” UNDP-GEF/00074869 project

I N C E P T I O N W O R K S H O P

“Picasso” hall of “Congress” hotel

January 15, 2014, 10am

PARTICIPANTS: The workshop was attended by 94 participants (see the list attached).

PURPOSE: The purpose of the IW was to launch the project’s implementation with participation

of the stakeholder parties as required by the GEF procedures, to present the project’s

management arrangements, discuss the project’s implementation approaches, and

identify the key areas of cooperation.

The workshop proceeded mainly in accordance with the agenda.

I. Presentations

Welcoming remarks were delivered by Mr.A.Harutyunyan, Minister of Nature Protection of the RA,

Mr.B.Busetto, UN RC, UNDP RR, Mr.K.Areyan, First Deputy Mayor of Yerevan city, Mr.S.Papyan, First

Deputy Minister of Nature Protection. The speakers attached high importance to the project, especially legal

reform in the field of energy efficiency and support to introduction of “green” technologies, highly

appreciated the joint efforts and expressed their willingness for the continuous cooperation.

Then Ms.D.Harutyunyan welcomed participation of UNDP representatives from Russia, Ukraine and

Kazakhstan and noted the favorable opportunity to yield of their implemented projects’ experience. She

presented energy saving potential in the urban lighting sector of Armenia, especially financial and

institutional frames of UNDP-GEF project implementation.

Ms.M.Olshanskaya presented UNDP experience in the field of energy efficiency in Eastern Europe and

Central Asia, stressing multifold impact of improvements ion energy efficiency, including on human health,

as well as importance of cooperation with authorities on local, regional and national levels.

Mr.A.Kharazyan addressed the key components of the project and its log-frame and presented activities

envisaged for 2014 and briefly described the tactics of the pilot projects.

Mr.S.Coyne presented the best international practice in improving energy efficiency and ensuring energy

saving in urban lighting, in particular, emphasized the issue of harmonization of the local regulating

frameworks with international ones, recommended to use Minimum Energy Performance Standards as a

guidance considered a reliable basis for the sector’s development, referred to phase-out process of inefficient

technologies in Australia, stressing the importance of supporting policies and programs. With a separate

presentation, he referred to the energy efficient street lighting trial in South-Eastern Queensland in 2008 to

2012, describing its structure and results, and formulated options for transition to energy efficient lighting

solutions.

Mr.S.Nurgaliev addressed the experience of a similar UNDP-GEF project under implementation in

Kazakhstan, with special attention to the legal basis of safe and energy efficient lighting, and the current and

completed pilots, particularly, aiming at proper recycling of mercury containing lamps. He also presented

promotional materials produced within the project, including brochures and leaflets.


Mr.A.Shevchenko presented Russian experience implementing the UNDP-GEF project in urban lighting, in

particular, assessment of energy saving potential, main issues in market development of lighting technology

based produce, opportunities for expansion of energy services and complex modernization of street lighting.

He also referred to the publications produced within the project.

Mr.S.Varga addressed mid-term experience, lessons learned and opportunities of the UNDP-GEF project

under implementation in Ukraine, stressing the importance of national policies, quality control, recycling of

mercury containing waste, public awareness raising, and impact of pilots (in urban lighting management

systems, for entrances of residential buildings, streets, parks, signal lighting etc.) for transforming the market

for efficient lighting.

Ms.N.Yeremeeva presented Philips’s regional experience in implementation of municipal lighting projects,

especially the company’s potential for reaching higher comfort levels in urban settlements via improving

lighting systems/services. She detailed on urban lighting management systems, including their introduction,

invited the participants’ attention to LED options and presented the company’s projects implemented in

China, Belarus, Niderlands, Spain, Poland, Great Britain, and Argentina.

Mr.H.Ter-Gabrielyan addressed the experience of Armenia Renewable Resources and Energy Efficiency

Fund, emphasizing that the works are implemented in kindergartens, secondary and higher education

institutions (e.g., Armenian National Agrarian University Foundation), administrative buildings, street

lighting sector in Dilijan and Vayk towns. A necessary condition of pilots’ implementation is presence of

some lighting operational in an urban area – to ensure payback. He noted that LED options were rejected

both due to their high costs and because of the outdated, but still effective requirement of the RA

Construction Norms II-8.03-96 – mandatory use of high pressure sodium lamps for street lighting.

II. Questions and recommendations

The participants greeted inception of the project implementation and expressed their willingness to support

the project activities.

The participants discussed possible mechanisms of produce standardization, and noted that High Efficiency

Performance Standards are necessarily applied voluntarily as a means of promoting a produce (so the

assessment process is initiated by the producer to finally achieve the respective labelling of the products),

while Minimum Energy Performance Standards could be applied mandatorily. (A.Gabrielyan, S.Coyne,

D.Harutyunyan)

The participants highly appreciated the manual on energy efficient electrical lighting for higher education

institutions presented by the colleagues from Russia (“Energy Efficient Electrical Lighting”, 2013,

http://issuu.com/undprussia/docs/ee_lighting_textbook). Acknowledging weak possibility of major

amendments to the manual’s contents, it may be reprinted in Armenia with. (A.Shevchenko, D.Harutyunyan,

A.Kharazyan)

Mr.V.Baghdasaryan, Director of “Sky Hawk” Co Ltd., inquired of availability of scientific studies on LED

options’ impact on human health. On that, Mr.S.Nurgaliev informed that the project he presented used

guidance of Scientific Research Institute of Hygiene and Health Care of Children and Adolescents of

Russian Academy of Medical Sciences (www.niigd.ru). Particularly, their activities were underpinned by the

three-year long study by the Institute that revealed no harm of LED for human health if all the technical

requirements were met. Mr.A.Shevchenko briefly presented application of reflectors and diffusers, use of

data on color heat and specter, referring to scientific studies on eye physiology currently performed in

Russia.

Mr.M.Vermishev proposed the following issue for the participants’ discussion: (1) harmonization of

regulations and standards in the frames of European Neighbourhood Policy and Customs Union of Eurasian

Economic Community, (2) options for realization of presumably high energy efficiency potential in

residential buildings’ lighting systems, (3) quality certification of imported produce using services of testing

laboratories.


Mr.S.Nurgaliev informed on point (1) that several standards are in the adoption process in Kazakhstan, in

particular, one on ecodesign enters into force in 2016, continuous comparisons are performed between

European and Eurasian normative and regulatory bases to avoid duplications and discrepancies; and clarified

on point (3) that Kazakhstan does not use a focused control over LED quality, however, a standard

framework procedure of checking compliance certification documentation operates on the country’s borders.

Mr.A.Cherednichenko noted on point (2) that administrative pressure in residential sector may yield adverse

results, especially given the wide presence of counterfeit produce in the market, and briefly presented the

“soft impact” experience of Phillips in Ukraine: due to informational and awareness raising measures, in

particular, info-graphics and explanatory activities in sales points, the company sold about 50 million energy

efficient lamps and fixtures.

Commenting on the project presentation, Mr.V.Gevorgyan, Mayor of Kajaran, stressed the importance of the

works to be performed in communities throughout Armenia, as vital solutions usually come from

communities. He noted that long-term experience with UNDP and GEF allows expecting positive results of

this newly launched project, too, for the RA communities. He referred to the cooperation between the private

sector and the project, in particular, in terms of involving the copper-molybdenum plant of Kajaran into

pilots to implement in health care and educational facilities of the town and vicinity. Saved funds could be

then used for other improvement projects.

Dr.A.Hambaryan, professor of American University of Armenia, inquired of Phillips representatives on

measurability and comparability of energy efficiency of lighting and on assessment of the respective trend

(e.g., monetary value of one lumen decreased). Mr.A.Cherednichenko had no data on one lumen value as the

company was selling solutions as a complex, in particular, examining the set of used devices and developing

a range of possible solutions each stressing a fixture, a management system etc. Ms.D.Harutyunyan

suggested not dwelling on a particular company’s prices. Mr.A.Cherednichenko noted that educated

application is particularly important in the case of the company’s actively promoted “white lights” (LED).

Mr.A.Gabrielyan recalled that during the project’s preparatory phase financial mechanisms of project imple-

mentation were envisaged that were not included into the approved Project Document and that should be

innovative, especially in terms of addressing adaptation and mitigation issues. Moreover, lately, the RA

Government approved an activity plan towards this goal (protocol decisions #16-8 and #47-6 of the RA

Government sessions of April 25, 2013 and of November 14, 2013 respectively; available in Armenian

language at www.e-gov.am/gov-decrees/). Besides, Green Climate Fund is established in the frames of

UNFCCC that provides incremental funding. The project could create an environment for implementing

pilots that would reveal feasibility and prospective of revolving funds collected of the environmental fees as

community subventions.

Mr.A.Kharazyan noted that the financial mechanisms reviewed at the project’s preparatory phase were both

more precise and more diverse: (1) establishment or involving of an energy services providing company to

contract municipalities and perform the envisaged measures with its own or lent financing, (2) operation of

lighting system’s section by a company under a concessional contract with obligation to modernize the

section and return it to municipality afterwards, (3) establishment and operation of a soft loan mechanism

and/or a revolving fund. However, based on consistent studies and consultations with an international expert,

the present legal and regulatory framework was considered not sufficient for successful completion of such

an exercise. Nevertheless, the project intends to use certain financial mechanisms, in particular, option (3)

was discussed with Yerevan city Municipality and preliminary consent was reached with them on

implementing energy efficiency improvement measures in lighting with the saved amounts returned to the

fund and used for new projects. That was for Yerevan city only. Besides, the project shall support the applied

municipalities to prepare a request to international funding organizations/facilities (WB, IFC, EBRD etc.). In

addition, the project shall support developing an energy efficient lighting program in Yerevan city; the

program shall come as a feasibility study written in banking/financial language and shall be submitted to

donors for funding. In general, the present/approved formulations are more realistic and more in line with the

current context.


Mr.A.Varosyan, Mayor of Alaverdi, wished to the project to come into action as soon as possible and inform

communities on participation requirements including financial terms. He hoped that works aiming at energy

efficiency improvement would involve large producers in community programs, e.g. within their corporate

social responsibility. He saw kernel of sense in establishing a fund collected of the environmental fees as

community subventions, which was repeatedly discussed at Alaverdi municipality and vicinal communities.

As for environmental funds to be established to replace the current mechanism of environmental

subventions, it would be far more effective to finance not only communities within their respective territory,

but also the respective ecosystem – with border communities to be involved into cross-border cooperation.

Municipality of Alaverdi is committed to allot funds towards that purpose.

Mr.A.Kharazyan expressed his appreciation to Mr.A.Varosyan and noted that the project currently develops

pilot project selection criteria to be presented to the partner towns, including Alaverdi town Municipality.

According to the GEF procedures, co-financing commitment is a key requirement with the project ensuring

energy efficiency component of the town’s development activities, in particular, providing fixtures, lamps,

and other relevant equipment. As the project aims at cooperation with communities, no energy efficiency

improvement measures are intended for industrial actors. However, involvement of large producers as

possible donors is definitely advisable. In administrative terms, he added that the project’s Inception Report

shall be provided to the participants electronically within two weeks.

III. Decision:

The workshop participants shall be provided with the inception report (by posting that on the project’s page

of www.nature-ic.am web-site) that would, in particular, reflect amendments to the project document based

on the participants’ expressed views and made recommendations.


ANNEX E

Annual Work Plan for 2014

ANNUAL WORKPLAN 2014

“Green Urban Lighting” UNDP-GEF project

Award ID: 00074869, Project ID: 00087057

Outcomes/Outputs/Activities 2014

Output 1 2 3 4 5 6 7 8 9 10 11 12

1: Knowledge and capacities for urban green lighting

1.1: Audits of public lighting systems

Activities:

Organize the design and execution of technical audits of public

lighting systems to define baseline technical information and

energy saving potential for municipal plans and financial proposals

for specific sets of upgrades to be carried out.

X X X X X X X X X

Completed energy audit of at least 1 public

(municipal) lighting system. Target municipality is

informed on the results of the audit. Results provide

baseline information of Component 2

(Demonstration Projects).

Development of a methodological guidance (manual) for energy

audit of municipal lighting systems based on the best international

practice and with consideration of local specificities. X X X X

A municipal lighting energy audit methodology

manual developed, discussed with stakeholders and

provided to municipalities as recommended

guidance.

1.2: Study tour to GEF Public Lighting project in Central Europe

Activities:

Organize a study tour to CEE on best practices in urban lighting

design, organization and financing for key personnel of involved

municipalities and other responsible agencies.

Completed study tour to GEF Public Lighting

project in CE Europe (100% co-financed).

1.3: Technical training and capacity building for the respective specialists

Activities:

Development of training and capacity building materials on EE

lighting including information on practical application of the

municipal lighting energy audit methodology manual developed

under subcomponent 1.1and available material from pilot projects

interim results.

X X X X Training and capacity building materials are

developed.

Organize and deliver at least two half-day capacity-building

seminars on energy efficient lighting for technical specialists from

municipal agencies, lighting companies, and building design

institutes.

Technical training and capacity building on EE

lighting for appropriate technical specialists

delivered.



Output 1 2 3 4 5 6 7 8 9 10 11 12

1.4: Increased awareness and support among the general public for green urban lighting programs.

Activities:

Organize media coverage and other public outreach on energy-

efficient lighting, to build support for the urban programs and also

to promote EE lighting in the residential sector.

X X X X X X X X X X X Media coverage and public outreach on energy

efficiency lighting is organized.

2: Pilot urban green lighting projects

2.1: Design, completion, and documentation of demonstration projects on street lighting

Activities:

Identification of pilot streets, collection of baseline information,

development of design for pilot demonstration projects. X X X X

At least one pilot street in Yerevan is identified and

pilot project is designed and agreed with relevant

stakeholders.

Implementation of pilot energy efficient street lighting projects in

municipalities of Armenia. X X X X X X X

At least one demonstration project on application of

EE technologies completed for street lighting in

Yerevan.

Monitoring and documentation of the achieved results. X X X X

Implemented pilot(s) is(are) monitored and the

achieved results are documented.

Dissemination of the results achieved through pilots to the relevant

stakeholders.

Results are analyzed and disseminated among

stakeholders and incorporated into updated training

materials.

2.2: Design, completion, and documentation of demonstration project in municipal public buildings

Activities:

Identification of public buildings, collection of baseline

information, development of design and implementation of pilot

demonstration projects.

Pilot public buildings are identified and pilot

projects activities are initiated.

Monitoring, documentation and dissemination of the achieved

results to the relevant stakeholders.

Implemented pilots are monitored and the achieved

results are documented and disseminated and

incorporated into updated training materials.

2.3: Design, completion, and documentation of demonstration project on lighting of outdoor spaces

Activities:

Identification of pilot outdoor spaces, collection of baseline

information, development of design and implementation of pilot

demonstration projects.

X X X X At least one pilot outdoor lighting space is identified

and pilot project activities are initiated.



Output 1 2 3 4 5 6 7 8 9 10 11 12

Monitoring, documentation and dissemination of the achieved

results to the relevant stakeholders. X X X

Implemented pilot(s) is(are) monitored and the

achieved results are documented and disseminated

and incorporated into updated training materials.

3: Financial and institutional mechanisms for scaling up municipal EE lighting programs

3.1: Support for private, international, and innovative municipal financing for EE urban lighting programs.

Activities:

Design of a financial mechanism (e.g. a municipal revolving fund)

for recovery and reinvestment of funds saved from the energy

efficiency lighting upgrades in Yerevan.

X X X X X Potential options for establishment of a financial

mechanism are identified and documented.

Assistance to the Municipality of Yerevan and other interested

municipalities in development and delivery of applications to

financial institutes and facilities for credit for energy efficient

lighting investments.

X X X X

Potential financial institutes and facilities for

financing implementation of EE lighting activities in

municipalities are identified and documented.

Organization of a tender for at least one ESCO to provide and

install energy-efficiency upgrades for part or all of the municipal

lighting program in at least one city outside Yerevan, and if

applicable, also for Yerevan itself.

A tender for one ESCO for provision and

installation of EE upgrades in at least one city

outside Yerevan is organized.

3.2: Development and approval of the city-wide program on public lighting in Yerevan

Activities:

Assistance to the Municipality of Yerevan in development and

adoption of a program for upgrades of public lighting system.

A city-wide program for upgrades of public lighting

in Yerevan developed and proved.

3.3: Facilitation of analogous programs in other cities in Armenia

Activities:

Support to the interested municipalities in Armenia in development

and implementation of public lighting upgrades programs

analogous to the Yerevan program.

Analogous public lighting upgrades programs are

facilitated.

4: National policies, codes, and standards on EE lighting

4.1: Phase-out of incandescent lighting and/or other major national policies on EE lighting

Activities:

Development of a comprehensive review of the present best

international practice with regard to phase-out of inefficient

incandescent lighting, including overview of the experience in

neighboring countries.

X X X X A review on best international practice in

incandescent lighting phase-out is developed.

Development of technical and policy justification for a phase-out of

inefficient incandescent lamps in Armenia. X X X

Justification of incandescent lighting phase-out in

Armenia is developed and submitted to the relevant

stakeholders for consideration.



Output 1 2 3 4 5 6 7 8 9 10 11 12

Support to the Government of RA in drafting and adoption of the

proposed legislation and enforcement mechanism of phase-out of

conventional incandescent lighting.

A national policy on incandescent lighting phase-out

is adopted.

4.2: Development and adoption of new standards for lighting quality, lighting design in buildings and construction, and lighting issues in public health

Activities:

Support the development of relevant legislation, standards and

requirements on quality and performance of lighting equipment also

covering testing procedures and public health aspects.

X X X X

New legislation, standards and regulation on EE

lighting (including street lighting fixtures) are

drafted.

Development of recommendations for environmentally safe

collection and disposal of used mercury-containing lighting

equipment.

Existing international best practice on

environmentally safe collection and disposal of used

mercury-containing lighting equipment is studied

and a strategy for RA proposed.

4.3: Development and adoption of new rules for state agencies on procurement of energy-efficient lighting

Activities:

Elaboration and provision of recommended processes and criteria

for selection of EE products to be incorporated in state procurement

procedures for lighting applications.

X X

New EE and quality criteria for incorporation in

state procurement procedures for lighting

applications are drafted.

5: Project Management

5.1. Project Board composition and the first meeting X X

5.2. The Technical Advisory Committee set-up and the first meeting X

5.3. Establishment of Project Team X X

5.4. Development of Inception Report X X

5.4. Development of quarterly and annual progress reports X X X X

5.5. Conduct regular field visits X X X X

5.6. Monitoring and evaluation X X X X

5.7. Mid-term and final evaluation


ANNEX F

Project Risk Log

Project Title: “Green Urban Lighting” Award ID: 00074869 Date: Apr-14

Description Date

Identified

Type Impact & Countermeasures / Mngt response Owner Submitted,

updated by

Last

Update

Status

Probability

(In Atlas, use

the Description

field. Note: This

field cannot be

modified after

first data entry)

(In Atlas,

select date.

Note: date

cannot be

modified

after initial

entry)

(In Atlas,

select from

list)

(in Atlas, use the

Management

Response box. Check

“critical” if the

impact and

probability are

high)

(in Atlas, use the Management

Response box. This field can be

modified at any time. Create separate

boxes as necessary using “+”, for

instance to record updates at

different times)

(In Atlas,

automatically

recorded)

Financing for

demonstration

projects and/or

municipal

programs proves

to be

unavailable

13.04.2013 financial Fail to demonstrate

financial and energy

saving benefits from

introduction of

energy efficient

technology in

municipal lighting

sector.

P = 2

I = 4

Starting during or immediately after

demonstration projects are confirmed

during the Inception Period, the

project will negotiate memoranda of

understanding with responsible

agencies and partners. Then, during

the project design stage, specific

sums for co-financing responsibility

will be agreed upon and confirmed by

contract. Municipality of Yerevan

and UNDP have both confirmed their

commitment to support

demonstration projects. In addition,

UNDP and the R2E2 Fund have

agreed to try to provide mutual

support where possible, which could

prove very helpful in the orderly and

timely securing of financing.

Yerevan

Municipality

Other target

cities'

municipalities

Stakeholders,

e.g. USAID,

WB, UNDP

RBEC

EG Portfolio

Analyst

Project Task

Leader

13.05.2014 pending


Proposed policy

changes are not

adopted or not

sufficiently

enforced

13.04.2013 political /

regulatory

Energy efficiency is

not legally

mandatory enforced:

low incentives for

energy performance

improvement; low

replicability of

energy efficiency

lighting

demonstration

projects.

P = 3

I = 3

All proposed policy changes are

aligned with stated national priorities

and objectives in the areas of climate

change mitigation and energy

efficiency. With specific regard to the

phase-out of incandescents, the

project is already anticipating

proposing a more moderate

alternative approach if stakeholder

opposition to an aggressive phase-out

is prohibitively strong.

RA

Government

RA National

Assembly

EG Portfolio

Analyst

Project Task

Leader

13.05.2014 pending

Involvement of the Ministry of

Energy and Natural Resources and

the Municipality of Yerevan as key

national implementing partners will

secure required political

backstopping to the proposed policy

changes at the national and municipal

level. UNDP has a successful track

record in Armenia with promoting

policy reforms, such as in district

heating sector, and will build on its

past experience and lessons learnt.

Inadequate

project

implementation

and

coordination

with other

initiatives

13.04.2013 strategic Ineffective efforts in

the fields due to lack

of cooperation,

overlap of functions.

P = 2

I = 2

In particular, for design and

implementation of demonstration

projects, implementation time-frame

and coordination with other partners

and providers of co-financing is

critical. UNDP Armenia has

experience with implementing

similarly complex projects for

construction of pilot EE buildings;

the same model and institutional

arrangement for procurement will be

adopted for green lighting projects.

Project Team,

Stakeholders

EG Portfolio

Analyst

Project Task

Leader

13.05.2014 pending


ANNEX G

CO2 Emission Savings Calculation


A series of consultation were held with the Municipality of Yerevan during the inceptions phase of

the project aimed at clarification of plans regarding organization of pilot demonstration projects.

During the meetings a number of proposals were made by the Municipality regarding selection of

pilot streets and proposed pilot lighting technologies. As the result of consultations the scope of the

proposed demonstration projects as well as estimation of energy saving and GHG emission reduction

potential have revised as shown below.

Estimation of direct emission reduction from implementation of the proposed pilot projects

Pilot 1A: Replacement of 250W HPS lamps with 150W HPS lamps

The majority of basic parameters, technical solutions and assumption for this pilot remain the same;

however, the total number of lamps to be replaced has been reduced from 2323 to 1300. This led to

the following changes in GHG emission saving assessment.

Parameters Unit ProDoc Scenario Revised Scenario

Type of lights (fixtures) type ZHKU-250 (old) to Osram/Philips/GE

Type of bulbs type DNAT 250 to HPS bulbs

Capacity of bulbs W 250 to 150

Number of lights to be replaced psc. 2323 1300

Annual energy consumption saving MWh/y 847 522

Annual GHG emission reduction tCO2/y 339 208.8

Total energy consumption reduction during 15

year technology lifetime MWh 12705 7830

Total GHG emission reduction during 15 year

technology lifetime tCO2 5082 3132

Initial GEF cost of the pilot implementation USD 400000 237900

Pilot 1B: Replacement of 400W mercury-vapor lamps and fixtures with 150W HPS


however, the total number of lamps to be replaced has been reduced from 581 to 200. This led to the

following changes in GHG emission saving assessment.


Type of lights (fixtures) type RKU-003-400 to Osram/Philips/GE

Type of bulbs type Mercury-vapor to HPS bulbs

Capacity of bulbs W 400 to 150


Annual energy consumption saving MWh/y 371 140.5

Annual GHG emission reduction tCO2/y 148.4 56.2






Pilot 1C: Replacement of 250W HPS with LED street lights


however, installed capacity of new LED based lamps has been increase from 110W to 150W, the total


number of lamps to be replaced has been increased from 162 to 884 as well as technology lifetime

was reduced from 20 to 15 years . This led to the following changes in GHG emission saving

assessment.



Type of bulbs type DNAT 250 to LED

Capacity of bulbs W 250 to 110 250 to 150


Technology lifetime year 20 15


Annual GHG emission reduction tCO2/y 33 161.3

Total energy consumption reduction during

technology lifetime MWh 1657 6050

Total GHG emission reduction during



Pilot 2: 150W HPS instead of 250W HPS on a new street

This pilot project has been omitted.

Pilot 3: EE lighting in buildings


however, installed capacity of new LED based lamps has been slightly revised which led to the

following changes in GHG emission saving assessment.


Type of lights (fixtures) type IL and FL to LED and LED Tube Shape

Capacity of bulbs W 60 to 12; 40 to 20;

20 to 10

60 to 10; 10 to 21;

10 to 9


Annual energy consumption saving MWh/y 88 91







Pilot 4: LED illumination of outdoor spaces

For this pilot project only the installed capacity of newly installed LED based lamps has been

increased from 60W to 90W which led to the following changes in GHG emission saving assessment.



Type of bulbs type DNAT 150 to LED

Capacity of bulbs W 150 to 60 150 to 90










In the table below summary of total direct energy saving and avoided emission from implementation

of the proposed pilot project is given for both initial and revised scenarios.

Summary of direct energy saving and avoided emissions from the initial and revised pilot projects







Estimation of direct emission reduction replication of the proposed pilot projects

Along with revision of direct energy saving and GHG emission reduction from pilot projects also

energy saving and emission reduction potential from replication of pilot project have been revised in

order to consider reinvestment of funds saved from implementation of the proposed pilots.

Replication of the proposed energy efficiency measures in the lighting sector are conditionally divided

into two groups:

1. Replication activities financed from savings achieved by the municipalities due to

implementation of project pilots under Green Urban Lighting project;

2. Replication financed from direct funding provided by the municipalities from community

budgets or other sources.

The results of calculations of direct annual energy saving and GHG emission reduction from

replication of the pilots achieved by the end of the project implementation year (2017) due to

reinvestments of saved funds (e.g. via Energy Efficient Lighting Revolving Fund) are introduced

below.

Energy saving and emission reduction achieved via replication of the proposed EE measures

financed by municipalities from savings achieved via pilot projects

2015 2016 2017

Reinvestment, USD 79,891 88,401 97,817

Annual electricity consumption reduction, MWh/y 126.4 266.2 420.9

Annual GHG emissions reduction, tCO2/y 50.5 106.5 168.4

In such a way, by the end of project implementation annual GHG emission reduction from the

replication of proposed energy efficiency measures due to reinvestment of saved funds will achieve

about 170 tCO2/y.

If the proposed municipal energy efficient lighting reinvestment mechanism continues to operate after

completion of the project then by 2029 the annual energy saving in municipal lighting sector will

amount about 4230 MWh/y and associated annual GHG emission reduction will be about 1690 t

CO2/y.

It should be noted that all estimations are made for a fixed emission factor.


The rest of the projections and estimations of direct (replication of the proposed pilot measures via

municipal and other programs) and indirect (national cross-sectorial policy, including IL phase out)

energy saving and emission reduction potential made in the ProDoc remain unchanged.

The table below summarizes the projected global environmental benefits from the project

Emissions reduction type

and relevant output

Amount

(tonnes of CO2)

Time frame over which reductions are to

be achieved

Direct (revised)

Demonstration projects 7,118

Measures installed during project period;

savings achieved over various measure

lifetimes

Indirect bottom-up

Replication of pilot projects

via municipal programs

135,000

Programs adopted and launched during

project period; savings achieved over various

measure lifetimes

Indirect top-down

National cross-sectoral

policy, including IL phase-

out

500,000

(moderate phase-out)

to 1,000,000

(aggressive phase-

out)

Policies to be developed and adopted during

project period. Reductions calculated for 10

years from project inception. Further savings

may reasonably be expected beyond 10

years, but are not shown here.


ANNEX H

Mission Report of the

International Expert on EE Lighting for Inception Phase


Mission Report

Republic of Armenia

“Green Urban Lighting”

(UNDP/GEF/00074869 Project)

Mission Report

Feb 2014

Suite 1B, 17 Peel St, South Brisbane T: +61 7 3844 0602

PO Box 3458, South Bank QLD 4101 AUSTRALIA F: +61 7 3844 8161

www.lightnaturally.com.au


Contents

1 INTRODUCTION 46

2 SITUATION ANALYSIS 46

3 PROPOSED STRATEGY 46

3.1 TECHNICAL CAPACITY BUILDING AND STAKEHOLDER ENGAGEMENT .......................................................... 9

3.2 DEMONSTRATION PROJECTS ....................................................................................................................... 47

3.2.1 Municipal Lighting Audits ................................................................................................................. 47

3.2.2 Technology (Lamp) Selection and Procurement Process .................................................................. 48

3.2.3 Pilot Site Selection Process ............................................................................................................... 51

3.2.4 Ratification of Lamps and Pilot Sites Selections ............................................................................... 51

3.2.5 Monitoring Protocols ........................................................................................................................ 51

3.2.6 Pilot Performance Analysis and Reporting ....................................................................................... 51

3.2.7 Financing the Asset Changeover ....................................................................................................... 52

3.3 REPLICATION OF MUNICIPAL LIGHTING PROGRAMS ................................................................................... 12

3.4 NATIONAL POLICIES, CODES, AND STANDARDS ON LIGHTING .................................................................... 13

3.4.1 National Stock Model ........................................................................................................................ 52

3.4.2 International Review of Standards and Codes .................................................................................. 53

4 SUMMARY OF RECOMMENDED ACTIONS 54

5 APPENDICES 55

5.1 APPENDIX A: IEA 4E SSL OUTDOOR LIGHTING PERFORMANCE TIERS ...................................................... 55

5.2 APPENDIX B: RESIDENTIAL SECTOR ELECTRICITY USE FOR LIGHTING ....................................................... 57

5.2.1 USA: .................................................................................................................................................. 57

5.2.2 European Union: ............................................................................................................................... 57

5.2.3 Lights Labours Lost (IEA Publication) ............................................................................................. 57

5.2.4 Australia: ........................................................................................................................................... 57


Introduction The objectives of the mission were to:

1. Develop and present, at the project’s inception workshop, a presentation on international best

practice and technologies in improving energy efficiency and achieving energy saving in urban

lighting sector. Special attention shall be drawn to cost effective energy efficient lighting

technologies for outdoor and indoor application that may ensure feasibility and replicability of

the proposed measures for the local urban communities.

2. Analyse existing project related documents as well as recommendations and opinions provided by

stakeholders during and after the Inception Workshop in order to prepare recommendations on

the full-sized project implementation strategy.

3. Provide recommendations on the project implementation strategy based on the outcomes of the

inception workshop, international practice and existing project documents

Situation Analysis The project will carry out several activities that will deliver specific outputs. The work will be organized in

four interrelated components:

municipal energy audits and technical capacity-building

demonstration projects

replication via municipal lighting programs and associated financial instruments

national policies, codes, and standards on lighting.

Documents provided for analysis included:

Overview of Baseline Information for GUL Project_08.01.2013.docx

Green Lighting Prodoc_ENG_signed.pdf

PIMS 4669 Armenia Green Lighting PIF 21 Dec 2011_eng_final.pdf

Report on Review of Market and Legislation_21 01 2013.docx

Calculation of IL phase-out effects Armenia Chao Feb 2013.xlsx

Armenia Lighting LogFrame.docx

Annual Work Plan for GUL for 2014 (ENG).docx

Proposed Strategy In order to maximise the success of this project in terms of sustainable energy savings with community

acceptance of the transformation outcomes, there is an opportunity now to strategically plan the integration

of the technical capacity building throughout the project’s other specified activities.

Technical Capacity Building and Stakeholder Engagement The critical spine to the entire project is technical capacity building and there is no better way to achieve this

with key representatives from stakeholders than by having them gain practical experience by participating in

the implementation of the project.

The two main areas where capacity building will be required are technical operations and financial

operations/modelling. Therefore, a Financial Working Group and a Technical Working Group should be

established, with each Working Group comprising of representatives from:

Green Urban Lighting Project team

Local independent experts (one technical expert for TWG and one finance expert for FWG)

International independent expert (as appropriate)

Yerevan Municipality representatives

o Mayor’s office

o Yerevan Illumination Company


o Yerevan Municipality department responsible for construction works

representatives from 3 other municipalities (selected by likelihood of them conducting future pilots

or commencing transformation)

Ministry of Energy, Republic of Armenia representative

These two working groups will take ownership, contributing to the decision-making processes during project

implementation, and ultimately provide endorsement of findings and adopted practices. Documentation of

the decision-making processes undertaken and procedures of technical analysis of lamp performance and

financial modelling within the working groups will become important resources for the continued roll out of

green urban lighting throughout the Republic of Armenia.

Well-structured and co-ordinated pilots will provide a suite of documentation for training and ensuing

transformation of street lighting to feasible energy efficient lamp technologies.

Demonstration Projects

Municipal Lighting Audits

Before changes to urban lighting practices can be proposed with justification, a detailed understanding of the

baseline (current) situation is required. This entails gaining an insight into the technical and financial

operations (a business profile) of urban lighting within the municipalities. To do this a municipal lighting

service audit, not just an energy audit, is required. The terms of reference for providing such a service should

include obtaining information in relation to:

Installation requirements

o Lighting level

o Operating hours

Lighting Surveys

o Current lamp stocks (including wattage)

o Current light levels of selected pilot areas

o Current energy consumption of selected pilot areas

Maintenance practices

o Spot replacement of failures

Identification/notification mechanisms of failed lamps/fixtures

Response time for replacements

o Bulk replacement of aged (but operational) lamps/fixtures

Replacement cycle

Scheduling

o Fixture cleaning cycles

Procurement practices

o Lamp/fixture performance specifications

o Warranty requirements

o Tendering/supplier panel arrangements

Financial aspects (annual)

o Lighting component costs

o Lighting maintenance labour costs

o Electricity usage/costs breakdown for lighting, illuminated commercial signage,

communication cabling

Analysis of the lighting audits will provide an insight into the opportunities for improving the energy

efficiency and cost reduction of operating the urban lighting.

1. Street lighting assessment tool

Another mechanism that could be utilised is the street lighting tool developed by SEAD ,the Super-Efficient

Equipment and Appliance Deployment (SEAD) initiative. SEAD is an initiative under the Clean Energy


Ministerial and the International Partnership for Energy Efficiency Cooperation and aims to make it easier

for governments and the private sector to reduce energy demand and carbon emissions.

In street lighting, the problem is that with new fixture choices, wattage and light distribution classifications

have less correlation with fixture performance on a specific road. Improved performance and energy savings

depend on proper fixture selection. The street lighting tool provides simplified photometric analysis,

integrated with energy and life cycle cost considerations, to allow lighting specifiers to find better fixtures

for their lighting upgrades.

The latest version (vers 1.6.0) also includes financial analysis in the form of a “Return on Investment”, ROI,

calculated for each year. This new feature will assist with the assessment of the feasibility of the piloted lamp

technologies and future technology transformations by verifying its applicability to the Armenian situation.

The tool, in the form of an excel spreadsheet is freely available from, http://superefficient.org/sltool.

Also a presentation on the features of the tool is available from

http://www.superefficient.org/en/Activities/Procurement/~/media/Files/Chennai%20SL%20Workshop%20Pr

esentations/Chennai%20Workshop_Demonstration%20of%20SEAD%20SL%20tool.pptx

2. Armenia Street Lighting Stock Model

The currently available information for street lighting lamp stock in the Republic of Armenia is very limited.

Updating this information through a questionnaire survey to the municipalities supplemented by expert

assessment would be beneficial to the planning of future pilots and understanding the opportunity for

financial and energy efficiency improvements in their operations. It also provides an opportunity to promote

the “Green Urban Lighting Project” and foster engagement by the municipalities. The currently developed

streetlight stock model and proposed pilots is provided in an accompanying excel file

(Pilots_analyses_and_Stock_model_v3.xlsx) to this report.

Technology (Lamp) Selection and Procurement Process

The energy efficiency opportunities will be determined by evaluation of the technical features of alternate

lamp technologies and their suitability for replacing existing lamps in the local environmental (eg

temperature, vibration & humidity) and electricity supply (voltage spikes & drops) conditions. These

technical features include:

White light appearance Capital cost

Colour Rendering Index (CRI) Lamp survival

Lamp efficacy Lumen Depreciation

OMR cost Lamp Life

Cost reduction opportunities will be determined by evaluation of the asset (including procurement practices)

and electricity costs, and predicted changes to maintenance practices (frequency of lamp/fixture

replacements and cleaning). In terms of a pilot, all of these elements must be recorded in some form of work

log to allow a full and proper financial analysis of the adoption of a new lamp technology to be undertaken.

A Technology Selection Report should then document the process up to and including preliminary selection

of lamp technologies for the pilots. A request for information forms the next step of the procurement process

this will ensure that manufacturers/suppliers are provided the opportunity to inform the Technical Working

Group of any lamp technologies not currently considered.

Following an analysis of the information provided in this process, manufacturers/suppliers are to be given a

further opportunity to inform Technical Working Group members of available technologies through a

Supplier/Manufacturer Workshop. The final decision on the lamp technologies to be piloted will have then

been informed based on information provided through a Public Request for Information and a

Supplier/Manufacturer Workshop. This process will ensure that the selection process considers all relevant

information in its decision making process.

Request for Information and analysis of information

Supplier / Manufacturer Workshop

Tender preparation and release

http://superefficient.org/sltool

http://www.superefficient.org/en/Activities/Procurement/~/media/Files/Chennai%20SL%20Workshop%20Presentations/Chennai%20Workshop_Demonstration%20of%20SEAD%20SL%20tool.pptx

http://www.superefficient.org/en/Activities/Procurement/~/media/Files/Chennai%20SL%20Workshop%20Presentations/Chennai%20Workshop_Demonstration%20of%20SEAD%20SL%20tool.pptx


The procurement of lamps should be publicly offered for tender in the weeks following the workshop. Even

though luminaires will be procured, the pilot monitoring will only be in relation to the performance of the

lamp technology, not the brand. This is an important philosophy to remain mindful of with any pilot

demonstration, otherwise the competition to be the supplier of the lamps for the pilots can damage future

market competition. Therefore, there is to be no commercial advantage (inside running) for future projects to

the supplier of the luminaires or lamps for the pilots. That is, the pilots are promoted as being based on the

lamp technology (not brand) performance only, so that other quality lamp manufacturers who are not

selected for the pilots will still be able to benefit from the results of the trial, as the trial data should be made

public.

The tender specifications should state a requirement for the supply of:

independent accredited laboratory reports of lamp/luminaire performance

lighting design plans verifying compliance with specified lighting requirements for the nominated

pilot sites

a satisfactory warranty

commitment to availability of replacement components

For LED products, evidence of compliance to IEA 4E SSL Outdoor Lighting Tier 2 Performance

levels (ssl.iea-4e.org/files/otherfiles/0000/0056/Outdoor_Lighting_Performance_Tiers_Oct_2013.pdf) See

Appendix A.

A completed luminaire information form to assist the tender review panel should also accompany a tender

submission. Below is an example of such a form. The information requested may require adaption to the

local requirements.

http://ssl.iea-4e.org/files/otherfiles/0000/0056/Outdoor_Lighting_Performance_Tiers_Oct_2013.pdf


Standard LED Luminaire Information Form

Company name

Product name

Model:

Total lamp lumen package (lumens):

Total electrical input power (Watts):

Sail area of fixture:

Weight of fixture:

Position of mounting of PE cell on fixture: select

Use of captive screws/clips on fixture for maintenance: select

Spiggott entry designed for 5 degree outreach upcast: select

IP rating: select

Electrical supply input of 230 Vac (+10% - 6%) at 50 Hz: select

Double insulation: select

IES or CIE files have been supplied electronically: select

Control gear modular cassette: select

UV stabilised acrylic cover/lens: select

Toughened glass cover/lens: select

Ability to self clean cover/lens: select

Unit price:

Fixture warranty for 3 year life of trial: select

Delivery time:

Note: For information only:

(Not to be

completed)

The fixture photometric performance will be assessed for maximum pole spacing for 8.0m

pole height with 20m road reserve with default poles positions of one quarter of road reserve.

Feedback will be given in the form of the table below with a "x" in the calculated spacing.

P5 compliant pole spacing (m).

<40 40 50 60 70

T

"T" indicates the target spacing for existing installations

Disclaimer: We reserve the right to extend the tender assessment criteria


Pilot Site Selection Process

Once the inefficient lamp technologies that it is proposed to replace have been identified, suitable pilot sites

for monitoring and demonstrating the energy savings and financial feasibility of such a technology change

need to be identified. The criteria for selecting these pilot sites should include consideration for:

Temperature, humidity and wind (vibration) extremes

Voltage supply variations (voltage spikes and voltage drops)

Typical road lighting configurations (including lighting level requirements, pole heights, road

widths)

Separate electrical feed to pilot light poles (exclusive of billboard and commercial signage lighting)

to enable energy monitoring

Ability to conduct lighting level audit (physical measurements) on road during pilot period

Conspicuity of the pilot to the general public for promoting the energy efficiency projects

The pilot site to be typical for labour practices involved with the maintenance of the poles/fixtures.

(ie no excessive degree of difficulty associated with accessing the poles/fixtures) This is so that

maintenance costs documented from the pilot are indicative of typical installations allowing for

reasonable financial analysis.

Ratification of Lamps and Pilot Sites Selections

Any pilot sites and replacement lamp technologies, that have already been proposed for upcoming

demonstrations scheduled in the first 12 month work plan, should be ratified by the Working Groups, using

the processes outlined above. This will secure stakeholder support and provide documentation of the process

that will become part of the pilot/transformation establishment procedures and training material for

municipalities beyond Yerevan.

Monitoring Protocols

Monitoring of the pilots should be conducted on a scientific measurement basis, which will require a factoring

in of a cost within the pilots. This monitoring must be reliable and transparent measurement of key lamp

performance criteria of and therefore conducted under the supervision of a local independent competent

lighting professional. This monitoring will entail

Periodic in-situ light and colour measurements (this will require some traffic control during

measurement) with calibrated equipment

Energy consumption monitoring (either at single poles or, if possible to isolate, the entire

distribution of the pilot area) with calibrated equipment

Weather data (temp, humidity, wind) for pilot location (possibly acquired from the Bureau of

Meteorology)

Installation, failure and maintenance logs (dates, times, pole location)

Failure cause analysis (failed lamps/fixtures should be recovered and returned to workshop for

failure cause analysis)

All data should be collected as automatically as feasible to ensure data integrity (eg a data-logger for energy

consumption). Data should be downloaded frequently (monthly) for security purposes and so that analysis can

be aggregated and monitored throughout the duration of the pilot. This assists with identifying either data

collection or lamp operation issues before an entire pilot project is compromised.

Pilot Performance Analysis and Reporting

The periodic lighting surveys along with weather and electrical supply conditions provide good information

to facilitate predictive lumen depreciation performance and lamp survival statistics. The reports should be

delivered in a manner that provides independence, objectivity and technology generality (in terms of non-

brand specific) so the results can be applied, without favour, to as many situations/locations as appropriate.

An example of an extensive long term streetlight trial can be found at: www.energex.com.au/about-

us/community-support/south-east-queensland-energy-efficient-street-lighting-trial.

http://www.energex.com.au/about-us/community-support/south-east-queensland-energy-efficient-street-lighting-trial

http://www.energex.com.au/about-us/community-support/south-east-queensland-energy-efficient-street-lighting-trial


Financing the Asset Changeover

The project has funds for asset changeover for the pilots proposed within the Green Urban lighting Project.

Identifying funding opportunities for the enduring sustainability of the street lighting transformation is a

critical component to this project.

The funds within this project are significant enough to provide the opportunity, (after robust technology

assessment and operational finance modelling) for an ongoing fixed budget commitment from the

Municipality of Yerevan to achieve savings that are reinvested into a rolling energy efficient technology

upgrade of the streetlight assets. This will be an effective demonstration of an initial investment providing an

increasing return.

During the project, other finance mechanisms for obtaining the initial stimulus funds need to be discovered

and promoted.

Another alternative mechanism worthy of consideration, which does not require a significant initial financial

outlay, is the outsourcing (contracting) to a 3rd

party (ie commercial entity) for the provision (ownership,

operation and maintenance) of street lighting to a municipality. The Finance Working Group could initially

examine this model (with prospective suitors) prior to facilitating a demonstration with an entire

municipality. One private entity providing such a service is Citelum (http://www.citelum.com/en).

Replication of Municipal Lighting Programs There are three key steps to the replication of municipal lighting programs.

1. Detailed knowledge of the baseline stock model

2. A methodology (with supporting documentation and templates) and trained personnel for assessing

the feasibility (financial and technical) for an energy efficient technology upgrade.

3. Seed funding to deliver the stimulus finance for the initial partial asset upgrade that creates the

savings to establish the rolling fund for progressive asset upgrades.

All three of these steps have been well covered in Section 0 above, but this highlights the necessity for all

steps before a municipal lighting program can be successfully initiated.

National Policies, Codes, and Standards on Lighting

National Stock Model

In order to justify the adoption of energy efficiency standards and codes for the purpose of energy saving and

associated greenhouse gas reduction, a relatively accurate stock model of the lamps in use is required.

In developing a national stock model for lamps used in the residential sector for this project, it was identified

that there was very little data that could be sourced to assist with the required calculations for either of the

accepted approaches to modelling. Using a top down approach, the percentage of electricity used in the

residential sector (as opposed to sectors such as industrial, commercial and rural) is required along with the

percentage of household electricity consumed by lighting (as opposed to heating, cooling and appliances).

No figures could be sourced for the latter of these parameters and the general consensus of the project team

is that the values published for the European Union, USA, Australia and global are lower than could be

expected in the republic of Armenia, (see Appendix B). Using a bottom up approach, details are required of

the typical lamp inventory for a home in the Republic of Armenia and the typical hours of use for each lamp.

Again, none of this information appears to be available.

Any implementation of an energy efficient lamp phase in will require a detailed understanding of the lamp

stock currently in use and any actual or perceived barriers to such a transition.

It is recommended that a phone survey be conducted on a selected sample of homes in various demographic

regions of the Republic of Armenia in to obtain the necessary information to build a representative

residential stock model and hours of use by room type. Questions should also be designed to gain an insight

into potential barriers to an energy efficient lamp transition. These questions may need some initial market

research to identify the key issues to engage on (eg price, light colour, life etc).

An energy audit could also be conducted on a smaller sample set of homes to obtain the percentage of

electricity consumed for lighting in homes. This would then allow verification of a calculation of the national

residential lighting energy consumption by both a top-down and bottom-up approach.

The currently developed residential stock model is provided in an accompanying excel file

(Calculation_of_IL_phase-out_effects_Armenia_(SC+AK)_07.02.2014.xlsx) to this report.

http://www.citelum.com/en


International Review of Standards and Codes

Another key strategy to implementing new national standards and codes in energy efficient lighting is to

consider harmonising with neighbouring or trading economies. This will facilitate trade and maintain market

competition in lighting products. It is recommended to conduct a review of the programs for energy efficient

lighting equipment in various countries (e.g. CIS countries, EU, China, USA.) for the last 5 years, including

the analysis of the regulatory basis of the programs (legislation, standards in force, methodologies accepted)

and the tendencies of their harmonization or transformation.


Summary of Recommended Actions

Establish two Working Groups to facilitate stakeholder engagement and participation in decision-

making processes (Section 0).

Formulate, conduct and document extensive lighting audits to establish a solid baseline stock model

(Section 0).

Develop and document a lamp technology selection process based on technological and financial

assessment criteria (Section 0).

Develop tender document templates (Section 0).

Develop and document a site selection process for future pilots (Section 0)

Ratify existing proposed lamp selections and pilot sites (Section 0)

Develop and document monitoring protocols for pilots (Section 0)

Once Finance Working Group is settled, engage with private street lighting service providers for

feasibility assessment (Section 0).

Conduct lighting survey of a sample of demographically representative homes throughout the

Republic of Armenia to revise the residential lamp stock model and typical hours of use (Section 0).

Conduct international review of energy efficient lighting standards and codes for the purposes of

consideration for strategic harmonisation (Section 0).


APPENDICES

Appendix A: IEA 4E SSL Outdoor Lighting Performance Tiers


Appendix B: Residential Sector Electricity Use for Lighting

USA:

EIA estimates that in 2011, about 461 billion kilowatt-hours (kWh) of electricity were used for lighting by

the residential and commercial sectors. This was equal to about 17% of the total electricity consumed by

both of these sectors and about 12% of total U.S. electricity consumption.

Residential lighting consumption was about 186 billion kWh or 13% of all residential electricity

consumption.

The commercial sector, which includes commercial and institutional buildings and public street and highway

lighting, consumed about 275 billion kWh for lighting or 21% of commercial sector electricity consumption

in 2011.

EIA does not have an estimate for only public street and highway lighting

http://www.eia.gov/tools/faqs/faq.cfm?id=99&t=3

European Union:

Although most citizens know that lighting is a substantial part of their electricity bill – between 8% and 23%

in the EU-15 – they are not aware that conventional bulbs are highly inefficient.

http://iet.jrc.ec.europa.eu/energyefficiency/residential-lighting

Lights Labours Lost (IEA Publication)

Residential-lighting characteristics in IEA countries

An estimated 372 TWh of electricity was used for domestic lighting in IEA countries in 2005, about 14.2%

of total residential electricity consumption. This is an increase of 17% from 319 TWh in 1995, or some 1.5%

per annum. The majority of this energy was used by low-efficiency incandescent lamps, but they are not the

dominant residential light source in all IEA countries, notably Japan. The most popular incandescent lamps

have rated power inputs of 60 W, yet a wide range of input power levels is available and in some EU

countries (e.g. Denmark, Sweden and Germany) the most common wattage is lower (typically 40 W).

Australia:

Percentage electricity used on lighting in residential sector is based on calculations from data within

publications below.

2005: 13.5% (pre phase-out)

http://www.energyrating.gov.au/resources/program-publications/?viewPublicationID=2141

1998: 9.5%

http://ee.ret.gov.au/energy-efficiency/publications/greenhouse-gas-emissions/australian-residential-building-

sector-greenhouse-gas-emissions-1990-2010

http://www.eia.gov/tools/faqs/faq.cfm?id=99&t=3

http://iet.jrc.ec.europa.eu/energyefficiency/residential-lighting

http://www.energyrating.gov.au/resources/program-publications/?viewPublicationID=2141

http://ee.ret.gov.au/energy-efficiency/publications/greenhouse-gas-emissions/australian-residential-building-sector-greenhouse-gas-emissions-1990-2010

http://ee.ret.gov.au/energy-efficiency/publications/greenhouse-gas-emissions/australian-residential-building-sector-greenhouse-gas-emissions-1990-2010

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