Short description of the overall project

The development objective of Second Energy Efficiency Project for Montenegro is to improve energy efficiency in health sector buildings, and to develop and demonstrate a sustainable financing model. This project has three components. 1) The first component, Energy Efficiency (EE) investments in health sector buildings, aims to support: (i) EE investments in selected state‐owned public health sector facilities, for which achieved energy cost savings will be captured and reinvested using an energy savings capture model; (ii) related technical services, including energy audits, designs, technical revision, works supervision, technical and social monitoring before and after the EE building renovations, and issuance of energy performance certificates for all retrofitted facilities; and (iii) installation of energy consumption monitoring equipment in health sector buildings. 2) The second component, Technical assistance, aims to finance activities to enhance local EE capacity related to: (i) the development of a long‐term sustainable EE investment framework; (ii) the preparation, implementation and maintenance of EE investments; and (iii) implementation of gender‐informed communication and awareness raising campaigns. 3) The third component, Project implementation support, aims to support the effective implementation and management of the project and its reflows from captured energy cost savings, including: (i) PIU staff expected to consist of a PIU manager and a technical EE expert; (ii) lump sum payments to the government’s Technical Service Unit (TSU) responsible for procurement and financial management functions; (iii) project‐related operating costs; and (iv) financial audits.