Summary

A new 786 million-euro contract will come into effect on Jan. 1 to manage lighting, fountains and city traffic signals and cameras.

Initial investments in energy efficiency, rehabilitation and improvement of facilities, for a total of 80 million euros will place Madrid among the cities with more efficient, modern and secure facilities in Europe (examples: flow regulation replacing existing lamps with LED or remote management system to control ornamental fountains. In addition, 57 M€ will be invested to renew obsolete facilities during the 8-year contract.

What is it

Contractors will be responsible for maintenance and energy supply and will finance investments. Estimated saving, 65 million euros during the eight-year contract, will self-finance most of the projected investment: 80 M€ in energy efficiency, rehabilitation and improvement of facilities and 57 M€ to renew obsolete facilities.

The contract has four main objectives:
- to ensure quality services to citizens;
- to ensure efficient facilities and performance contracting;
- to save energy
- to save money (the new contract will integrate 13 different single contracts).

The contract includes a plan to save energy, which aims to achieve a reduction of at least a 20% over current consumption. This minimum percentage can be improved by contractors. Annual saving of 375 million kWh electrical energy (equivalent to the electricity needed to power 107,000 homes during one year) will reduce CO2 emissions by 146,250 tonnes, (equivalent to reduce emissions of 100,000 cars driving for one year through the streets of Madrid.

How does it work?

The new contract, comes into force in January 1, 2014 , includes service quality indicators for control and monitoring purposes and links payment with results.

Four objectives: 

  • to ensure quality services to citizens; 
  • to ensure efficient facilities and performance contracting; 
  • to save energy
  • to save money (the new contract will integrate 13 different single contracts).

The contract is divided in three lots. Performance is monitored using 66 quality indicators and annual energy audits will check if implemented measures are effective. The fixed monthly fee could be reduced in a 20 % if expected results are not achieved.

Control and monitoring will be integrated in an ICT smart platform. The existing remote management system for lighting, traffic sings, tunnels and galleries will be improved providing real time data about the level of service and energy consumption.