Licensing is the process of certifying the proficiencies and capabilities of companies by a trusted authority. The Saudi Energy Efficiency Center (SEEC) is the regulator for companies performing energy efficiency related activities in the Kingdom of Saudi Arabia. Out of its fiduciary duties, SEEC has developed a licensing scheme for companies operating in the energy efficiency sector which aims to:
SEEC is the entity responsible for licensing companies intending to perform energy efficiency related services in the building and industry sector. Since the activities cover different segments of the energy efficiency value chain, different types of companies could perform them. For this reason, SEEC has defined three types of companies that typically perform those activities.Moreover, SEEC will rely on companies’ previous experience to judge on the quality of their services. Companies with enough past experience will apply for a full license. However, for companies that have a robust financial structure and appropriate qualifications to deliver high quality energy projects but do not have the required record of accomplishment of project delivery in the Kingdom to obtain full licensing can apply for a provisional license.
SEEC has defined three types of licenses, one for each type of company:
· Audit Companies: An energy audit company is a company that identifies operational and equipment improvements that will save energy, reduce energy costs, and lead to higher performance.
Any company performing at least one of the following activities will be required to get an audit company license:
· Energy Service Companies (ESCO): An energy service company is a company dedicated to the provision of energy efficient technology and services including financing, design, implementation and management of projects while providing financial guarantees for its services. A core part of its energy efficiency services business is energy savings performance contracting.
Any company that is categorized as an energy audit company and/or performs at least one of the following activities will be required to obtain an ESCO license:
Note: an ESCO license includes by nature the energy audit license.
· Energy Engineering Companies: An energy engineering company is a company that reviews the design or performance of new or existing industrial plants and drives energy cost reductions.
Any company performing at least one of the following activities in the industrial sector will be required to get an energy engineering firm license: