place of investment Budapest, 11th District, Municipality of Újbuda
installed capacity (kw/mw) 20 kW
project cost (gross, in HUF) 26.6 million HUF
project type Cooperative
number of users of generated energy 70 persons
type of energy resource replaced electricity
start of operation 2007. December / 2008. March
INVESTOR Zsombolyai Realestate Development Ltd.
ownership structure 100% municipal
time for the authorization 4 months
contractor Mészáros Court-House Ltd.
THE PROJECT

Following the reconstruction of the municipality establishments in 2007, based on the data of consumption collected during, a detailed energy audit was carried out in order to maintain the buildings economically and to reduce the operative costs. Our county has a great advantage in terms of sunny hours, 2150 hours/year. During the examined period the electricity costs were extremely high, so a decision was made to make us of solar energy. The energy produced by the photovoltaic system gives 15–20% average of the total electricity need of the municipality buildings, and it reduces the consumption grown by the air-conditioning. The system was integrated to the roof (150 m² surface of PV panels) to serve as shades at the same time, thus reducing the need for air-conditioning to a great extent, giving more chance for saving costs, by contributing with 8–10% to the returns. The photovoltaic panels were put into operation in December 2007, the inauguration took place in March 2008.

TECHNOLOGYCAL ASPECTS


The Japanese photovoltaic system can work with a capacity of 20kW and has an area of 150 m². The poly-crystal moduls linked into a grid are fixed on the roof in a way that they can be released if needed. The produced energy according to the measurements is 21 417 kWh / year. The system got connected to the grid of the Electricity Company. The lifetime of the installed technology is expected to be 45–50 years. A 10-year guarantee is given for the PV-panels (90%), 20-year guarantee with 85% for the capacity, 5-year guarantee for replacing the inverters, and last a 24-month guarantee for the works and other elements secured by the contractor. The maintenance is the responsibility of the Mészáros Court-House Building-maintenance and Realestate development Ltd.

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ECONOMIC ASPECTS

The investment was financed within the framework of a lease-contract signed with the Impuls-Leasing Hungária Group. The duration of the lease and the installments are the same with the calculated period of the investment return. The contractor realized that the PV-panels is a great subject for lease, while it is of stable value increasing the value of the real estate as well. The return on investment is pre-calculated to be 15-20 years. In 2008, when starting the operation in 2 million HUF saving was reached. The electricity bill and the service fee for using the mains was 50% less than the other municipality building with the same energy demand.

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SOCIAL EFFECTS

New-Buda Municipality is the first in Hungary applying solar energy for electricity production in its office building. Thanks to the continuous interest of the media the project has been followed with great interest. There are visitors every week from other municipalities to take a view of the photovoltaic system. In April 2009 during the Renexpo fair and conference a press conference was held on the site of the project for the professionals. The operational data, the produced energy and the replaced amount of CO2 can be found on the website of Mészáros Court-House.

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ENVIROMENTAL EFFECTS

The investment contributes to the reduction of greenhouse gas emission with 18–20 tons of CO2 per year. Nevertheless this environmental effect does not add up the data on the returns (under today’s economic conditions) one single coin (HUF).

DIFFICULTIES, PROBLEMS

The most serious problem during the fulfillment of the investment was the authorization process, since such sizes of solar energy fields are not common in Hungary.
The electricity service company, despite its supportive attitude, struggled with administrative difficulties because of the liberalized service system.

FOLLOW UP

In the spring of 2009, another building of the Municipality in Zsombolya Street No. 4 was reconstructed and a similar photovoltaic system with 144 panels of a size 5 m² with 20 kW was placed on the roof and connnected to the grid. The innovation costs more than 30 million HUF with 47% funding from the KMOP 3.3.3 call for proposals. The start of operation was organized on 16'th April, the same day with the professional day of Renexpo fair. The municipality further plans to install solar panels on roofs facing the South of its older establishments.

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FURTHER INFORMATION


Investor:
Mr.Tibor Molnár
ZSOMBOLYAI Realestate Development Ltd.
Tel: +36-1- 464-7964

Contractor:
Mr. György Mészáros
Mészáros Court-House Ltd.
Tel: +36-30-9640-352
www.udvar-haz.hu

www.ujbuda.hu

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Examples to Follow - Successful and Sustainable Energy Investments in the Central-Eastern and South-Eastern European Region - Energia Klub
2009