Energy Performance Contracting (EPC) is an agreed arrangement between the facility owner and Energy Services Company (ESCO), whereby a partnership is established to effectively design and accelerate Energy and Water Conservation Measures (EWCMs) through alternative financing mechanisms in existing facilities to save energy. The EPC is preceded by a Detailed Facility Study (DFS) that nominates individual ECMs and WCMs along with financial measures such as Return on Investment (ROI), Simple Payback (SPP) and Internal Rate of Return (IRR) along with a performance guarantee.
The advantages of an EPC are many. Some of them include:
- Simplicity of using a single source provider
- Reduced operating costs;
- Overall improvement to the facility;
- Guaranteed performance
- Value engineered solutions
- Environmental benefits
- Complete accountability for the duration of the contract
- Solutions to specific needs
- Improved indoor air quality; and many others
Under an EPC, Conservia offers the following services.
- A Detailed Facility Study (DFS) of your facility
- Design and specifications for energy and water conservation measures (EWCMs)
- Project implementation including programming and project management
A M&V Plan would form an integral part of the DFS and will remain in force for the entire duration of the EPC and the performance period following project implementation, commissioning, witness testing and acceptance.