636-(38)

II SÉRIE-A — NÚMERO 35

Article 5

Strategies and policy aims

Contracting Parties shall formulate strategies and policy aims for improving energy efficiency and thereby reducing environmental impacts of the energy cycle as appropriate in relation to their own specific energy conditions. These strategies and policy aims shall be transparent to all interested parties.

Article 6 Financing and financial incentives

1) Contracting Parties shall encourage the implementation of new approaches and methods for financing energy efficency and energy-related environmental protection investments, such as joint venture arrangements between energy users and external investors (hereinafter referred to as «third party financing*).

2) Contracting Parties shall endeavour to take advantage of and promote access to private capital markets and existing international financing institutions in order to facilitate investments in improving energy efficiency and in environmental protection related to energy efficiency.

3) Contracting Parties may, subject to the provisions of the Energy Chater Treaty and to their other international legal obligations, provide fiscal or financial incentives to energy users in order to facilitate market penetration of energy efficiency technologies, products and services. They shall strive to do so in a manner that both ensures transparency and mirumizes the distortion of international markets.

Article-7

Promotion of energy efficient technology

1) Consistent with the provisions of the Energy Charter Treaty, Contracting Parties shall encourage commerce! trade and cooperation in enr-rgy efficient and environmentally sound technologies, energy-related services and management pratices.

2) Contracting Parties shall promote the use of these technologies, services and management practices throughout the energy cycle.

Article 8 Domestic programmes

1 ) In order to achieve the policy aims formulated according to article 5, each Contracting Party shall develop, implement and regulary update energy efficiency programmes best suited to its circumstances.

2) These programmes may include activities such as the:

a) Development of long-term energy demand and supply scenarios to guide decision-making;

b) Assessment of the energy, environmental and economic impact of actions taken;

c) Definition of standards designed to improve the efficiency of energy using equipment, and efforts to harmonize diese internationally to avoid trade distortions;

d) Development and encouragement of private initiative and industrial cooperation, including joint ventures;

e) Promotion of the use of the most energy efficient technologies that are economically viable and environmental sound;

f) Encouragement of innovative approaches for investments in energy efficiency improvements, such as third party financing and co-financing;

g) Development of appropriate energy balances and data bases, for example with data on energy demand at a sufficiently detailed level and on technologies for improving energy efficiency;

h) Promotion of the creation of advisory and consultancy services which may be operated by public or private industry or utilities and which provide information about energy efficienty programmes and technologies, and assist consumers and enterprises;

0 Support and promotion of cogeneration and of measures to increase the efficiency of district heat production and distribution systems to buildings and industry;

j) Establishment of specialized energy efficiency bodies at appropriate levels, that are sufficiently funded and staffed to develop and implement policies.

3) In implementing their energy efficiency programmes, Contracting Parties shall ensure that adequate institucional and legal infrastructures exist.

PART m International cooperation

Article 9 Areas of cooperation

Tru cooperation between Contracting Parties may take any approp. iatc form Areas of possible cccpi,r,"tion are listed in ihe annex.

PART rv

Administrative and legal arrangements

Article 10

Role of the Charter Conference

1) All decisions made by the Charter Conference in accordance with this Protocol shall be made by only those Contracting Parties to the Energy Charter Treaty who are Contracting Parties to this Protocol.

2) The Charter Conference shall endeavour to adopt, within 180 days after the entry into force of this Protoco/, procedures for keeping under review and facilitating the implementation of its provisions,, including reporting requirements, as well as for identifying areas of cooperation in accordance with article 9.

Article 11

Secretariat and financing

1) The Secretariat established under article 35 of the Energy Charter Treaty shall provide the Charter Conference with all necessary assistance for the performance of its duties under this Protocol and provide such other services in support of the Protocol as may be required from time to time, subject to approval by the Charter Conference.