Energy Service Companies (ESCOs)FREQUENTLY ASKED QUESTIONS
Can't I just make these improvements myself?Sure. But ESCOs are energy efficiency professionals - their expertise across a spectrum of facilities and efficiency measures guarantees that you get the most cost-effective energy efficiency program for your business or facility - and that you maximize your energy- and cost-savings. Or use an equipment contractor or consulting firm?What sets ESCOs apart from other firms that offer energy efficiency services, like equipment contractors or consulting firms, is the concept of performance contracting. When an ESCO undertakes a project, its compensation, and often the project's financing, is directly linked to the amount of energy that is actually saved. What are the energy efficiency measures that an ESCO might look to implement?ESCO projects are comprehensive, meaning that the ESCO employs a wide array of cost-effective measures to achieve energy savings. These measures often include some variation of the following: high-efficiency lighting; high-efficiency heating and air conditioning equipment; energy-efficient motors and variable speed drives; and centralized energy management systems. What if my project is too small to attract an ESCO?There are many options available should your energy efficiency project be too small to warrant the involvement of an ESCO. Lighting suppliers and contractors, HVAC contractors, and others can provide you with the materials and expertise you need to make retrofits that will improve one or more aspects of your facility's operation. On the other hand, consider aggregating a number of smaller efficiency projects, so that you can capitalize on the benefits of taking an integrated approach to energy efficiency. Will the ESCO take care of my equipment once it is installed or if I have a breakdown?Most performance contract projects include the maintenance of all or some portion of the new energy efficiency equipment over the life of the contract. Your ESCO in most cases will fold these maintenance costs into the overall cost of the project, thus giving you the benefit of reduced maintenance costs in addition to reduced energy costs. Is training available for my staff?Most ESCOs include specialized staff training in their performance contracts, so that you and your staff understand how your energy efficiency measures work and can maintain them at the end of the contract period. |
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