These guidelines offer step-by-step guidance specific to projects developed under Texas Government Code Section 2166.406, the enabling legislation of ESPCs for State Agencies.Īlthough developed for State Agencies, the guidelines provide a structure that can also be used by other public entities including K-12 schools and local governments.
Source: US Department of Energy – Office of Energy Efficiency and Renewable Energy.[/expand Energy Savings Performance Contracting Guidelines for State AgenciesThe State Energy Conservation Office, in collaboration with energy service companies and end-users, developed Energy Savings Performance Contracting Guidelines for State Agencies.
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Measurement and verification of the measures is performed on an ongoing basis to ensure the savings are being met. If the project moves forward to the implementation stage, the ESCO guarantees the performance savings from installed measures. The ESCO performs an investment-grade energy audit of city facilities, identifies energy and water saving measures, and creates a proposal from those audit findings. Under the ESPC model, cities partner with an energy services company (ESCO). Though often thought of as a financing mechanism, ESPC’s can be financed through a number of routes including LoanSTAR, tax-exempt lease purchase agreements, and self-financing. Energy Service Performance Contracting (ESPC) enables local governments to procure energy and water efficiency with zero upfront capital and repay the loan through utility cost savings.
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