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Decentralised heating services in Hungary

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Heat supply to the institutions of the Municipality of Józsefváros, Budapest

Under a 15-year agreement signed with the municipality of the “Józsefváros” district of Budapest in the summer of 2007, efficient heat supply systems were installed in 44 local institutions. Based on an individual needs assessment, the modernisation entailed the replacement of the primary energy supply systems. The infrastructure necessary for ensuring the ability to regulate and meter heat consumption was also put in place.

The municipality pays a fixed service fee adjusted for annual inflation, and a gas fee proportional to the institutions` consumption. E-Star Alternative Plc. purchases the other factors necessary for heat supply, such as the boiler room rental, electricity and water, from the Municipality of Józsefváros at a predetermined, fixed rate. Besides this, E-Star Alternative Plc. pays a fixed rental fee to the county municipality. E-Star Alternative Plc. operates the district heating systems through a non-profit company established jointly with the municipality.

Heat supply to the institutions of Fejér County Municipality

The investment in Fejér County totals HUF 1.8 billion in value. The development is taking place in two phases, the first of which has already been completed. In the first stage of the project the heating systems of 33 institutions were modernised, as the Company replaced the primary energy supply system at a cost of around HUF 650 million. These investments will boost energy efficiency by some 25-30%, which will result in substantial savings.

The municipality pays a fixed service fee adjusted for annual inflation, and a gas fee proportional to the institutions` consumption. E-Star Alternative Plc. purchases the other factors necessary for heat supply, such as the boiler room rental, electricity and water, from the Municipality of Fejér County at a predetermined, fixed rate. E-Star Alternative Plc. operates the district heating systems through a non-profit company established jointly with the municipality.

Heat supply to the institutions of Veszprém County Municipality

The investment in Veszprém County totals HUF 500 million in value. The development is taking place in two phases, the first of which has already been completed. In the first stage of the project the heating systems of 14 institutions were modernised, chiefly through the replacement of the primary energy supply system at a cost of some HUF 466 million, which includes the rental fees for premises owned by the municipality, which were paid upfront for a 15-year period. In the second phase, E-Star Alternative Plc. plans to modernise the heating systems of nine institutions. The investments will improve energy efficiency by around 25-30%, leading to substantial savings. The heating supply agreement was signed in September 2008, for a 15-year period.

The municipality pays a fixed service fee adjusted for annual inflation, and a gas fee proportional to the institutions` consumption. E-Star Alternative Plc. purchases the other factors necessary for heat supply, such as the boiler room rental, electricity and water, from the Municipality of Veszprém County at a predetermined, fixed rate. Besides this, E-Star Alternative Plc. pays a fixed rental fee to the county municipality, which is already paid upfront for the 15-year period. E-Star Alternative Plc. operates the district heating systems through a non-profit company established jointly with the municipality.

Heat supply to the Municipality of Hódmezővásárhely

Under a 12-year agreement signed with the Municipality of Hódmezővásárhely in August 2006, efficient heat supply systems were installed in 12 of the town’s institutions. Based on an individual needs assessment, the modernisation entailed the replacement of the primary energy supply systems. The infrastructure necessary for ensuring the ability to regulate and meter heat consumption was also put in place by E-Star.

The municipality pays a fixed service fee adjusted for annual inflation, and a gas fee proportional to the institutions` consumption. E-Star Alternative Plc. purchases the other factors necessary for heat supply, such as the boiler room rental, electricity and water, from the Municipality of Hódmezővásárhely at a predetermined, fixed rate.

Heat supply to the Municipality of Sárospatak

Heat and district heating supply to the Municipality of Sárospatak

Under a 25-year agreement signed with Municipality of Sárospatak in October 2007, efficient heat supply systems were installed in 25 of the town`s institutions. Based on an individual needs assessment, the modernisation entailed the replacement of the primary energy supply systems. The infrastructure necessary for ensuring the ability to regulate and meter heat consumption was also put in place by the Company. Besides modernising the heat supply systems, E-Star also renovated and now operates the town`s public lighting system.

The municipality pays a fixed service fee adjusted for annual inflation, and gas and electricity fees that are proportional to the institutions` consumption and that of the public lighting system. E-Star rents the boiler room and purchases electricity and water from the Municipality of Sárospatak at predetermined, fixed rates. The return on the investment comes out of the savings achieved through the efficiency gains. E-Star performs the public tasks related to heat supply and public lighting through a non-profit company established jointly with the municipality.




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