Voluntary Long Term Agreements
Policy measure

According to NEEAP (2006), the incorporation of Voluntary Long Term Agreements (LTA’s) between the industry sector and the State represents one of Romania’s strategies to improve energy efficiency in industry. The bodies in charge of this initiative are the Ministry of Finance, the Romanian Agency for Energy Conservation (ARCE), and the Ministry of the Environment and Sustainable Development (MMDD). The LTA initiative aims at incorporating industrial operators and/or professional and employers’ associations into the energy efficiency process.

Implementation

Through LTAs, industry must adopt energy saving measures, thus reducing energy demand and reaching the full potential for energy savings, achieved through the modernization of technological processes and equipment as well as more efficient use of energy. The energy efficiency improvements stipulated in these agreements are based on the introduction of new technology in the production and supply of steam/hot water, heat recovery; electric motors; compressed air; automatic control of energy demand, by cost centres; drying; water cooling; industrial furnaces and others (NEEAP, 2006).

Challenges
No identified challenges.
Outcomes

According to estimates provided by the EU, states which implemented LTAs achieved energy savings between 10-20 percent (NEEAP, 2006).

References

NEEAP (National Energy Efficiency Action Plans), 2006. First National Action Plan for Energy Efficiency (2007-2010). Available at: http://ec.europa.eu/energy/demand/legislation/doc/neeap/romania_en.pdf.