This document reports on the evaluation of the relevance of Community funding to local and regional energy agencies commissioned by EACI and carried out by Matrix Insight and Ecologic Institute as independent evaluators. The study addresses five main research questions: 1. Is there a need for more IEE funded energy agencies? 2. How do EU agencies contribute to EU policy? 3. How should energy agencies be funded in future (short and long term)? 4. Is the 3 year work programme of activities proposed by IEE still appropriate for energy agencies? 5. What administrative / legal structure(s) is (are) best for providing energy agency services?