American Univesity of Beirut

Building Blocks for Developing an ESCO Market in Lebanon



Global electricity demand has been rising steadily, which has resulted in an increase in fossil fuel generation. The International Energy Agency (IEA) reports a 5% increase in electricity demand in 2021, primarily met by fossil fuels. The increase in greenhouse gas (GHG) emissions in recent years triggered many countries to adopt policies and strategies that reduce energy wastage and improve energy efficiency on both the demand and supply sides. Energy demand is only set to increase even further, due to population and economic growth. In fact, global energy demand is forecast to increase 47% in the next 30 years.
 
This paper aims to set the basis for the development of an ESCO market in Lebanon in the coming years. This is done by identifying building blocks and analyzing best practices and trends, both at the international level, and specifically the MENA region, focusing on the UAE, Saudi Arabia, Morocco, and Oman. It also dives into the nascent ESCO market in Lebanon, through the dissection of the current legal and institutional frameworks, before proposing concrete recommendations at the policy, technical, and financial levels.



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Research Team

Authors 

Ahmed Samir: Managing Director, Clean Energy Business Council (CEBC) 

Celine Yazbek: Researcher, American University of Beirut-Issam Fares Institute (AUB-IFI)

Hadil Borji: Researcher, AUB-IFI Mariam Tawakol: Research and Operations Associate, CEBC

Mahdy Darwish: Energy Efficiency Intern, CEBC 

Marc Ayoub: Energy Researcher/Associate Fellow, AUB-IFI

Reviewers 

Dr. Aram Yeretzian: Assistant Professor, Architecture and Design, American University of Beirut

Henrique Pereira: Chief Executive Officer, Taka Solutions Rachid Hamida: Vice President – Energy & Performance, Enova




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