ABSTRACT
The achievement of the Council’s 1995 energy efficency objectives will require investments on a level far greater than that which is currently taking place. The potential market within the Community for third party financing services has been estimated at 86 billion ECU. The size of this potential market should act as sufficient incentive for the creation of ESCOs but this has so far not been the case. The paper describes several Novel Financing Mechanisms, the barriers to innovative energy efficiency financing in the European Community, what actions the Commission has taken to promote the use of third party financing and the special merits of third party financing for cogeneration projects.
