An unprecedented funding scheme and initial convincing results
Saint-Denis, December 17, 2019 – The commune of Tain l’Hermitage (in the Drôme department) awarded SPIE CityNetworks and Mabboux Electricité the contract for the works to replace all its public lighting, with support from the engineering consultancy firm, EECI. An innovative and sustainable approach resulting from the strong political will of the municipality, whose inhabitants were able to see for themselves the significance of the project at the inauguration of the new equipment on 26 August and from the publication of the initial energy saving results.
The works began in July 2018 and saw the commune replace all of its public lighting and its traffic lights. The aims of the project were to replace the obsolete equipment in order to guarantee safety for users, to make energy savings by using LED technology, and, ultimately, to provide the commune’s inhabitants with quality lighting to highlight their environment. In total, 1226 light points were replaced with LEDs. The decision to lease the led equipment, with an option to buy, was a new and innovative funding channel for this type of contract, and Tain l’Hermitage is already reaping the rewards: a 160 kWh decrease in the commune’s energy bill from 2017 to 2018 followed up by achieving its 2019 contractual fixed target of making energy savings of 72%, the equivalent of almost 580 kWh.
“As a pioneer in this area, Tain l’Hermitage’s aim was to adopt a determined approach to meeting the three major challenges of climate change, the energy crisis and sustainable development,” explains the mayor of the commune, Xavier Angeli.
An unprecedented funding scheme through lease with option to buy
SPIE CityNetworks played a key role in the pre-contract consultation phase (March to September 2017) in establishing an analysis of the commune’s asset, designing the programme for investments, such as the energy saving investment, and exploring the best funding solutions. The final funding choice, involving a 90:10 split between lease with the option to buy and own funds, is an unprecedented scheme for this type of operation.
“Leasing with the option to buy is a new type of contract that allows public authorities to accelerate their projects; it represents another string on our elected representatives’ bow,” explains Thierry Coutant, Operations Director for South-East Infrastructure at SPIE CityNetworks. “This type of funding allows the commune to lease the equipment and see very quick returns on its investments. The energy savings made thanks to the new leased LED light points will allow us to fund the project in its entirety.”
The energy performance contract was awarded in February 2018 with a term of nine years. Around 15 people, split into five teams working in parallel, were required to carry out the field surveys, geolocation of the commune’s networks and renovation of the 1226 light points between July and the end of September 2018.
Thierry Coutant adds: “Once the works ended in mid-December 2018, we moved into the operation and maintenance phase. The results we have seen in the first year of operation confirm the savings commitments made in the contract. Further renovations are now scheduled over the next eight years. We are also putting in place a digital management system to monitor maintenance work, in coordination with the town’s municipal services.”
For this urban project, SPIE had to consider accessibility and security constraints by coordinating effectively with the town’s municipal services in order to keep the disturbance to inhabitants’ lives to an absolute minimum.
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