Frequently Asked Questions
The following information is designed to help answer some of the basic questions regarding Energy Systems Group and our industry. If you need additional information or have other questions not answered here, please feel free to contact us via e-mail or phone.
Q: What is performance contracting?
A: Performance contracting allows for the use of existing budgets to fund or help fund needed facility improvements from operational and utility savings. The capital improvements and all associated costs are financed over a period of time allowing for immediate implementation of improvements and a guarantee of the annual utility and operational savings. The performance contract offers a building owner a no-risk approach to facility improvements.
Q: What is an Energy Services Company (ESCO)?
A: An ESCO is a company that typically offers performance contracting or energy services and regularly works along with their clients to develop and implement long-term energy-efficient facility improvements, which provide guaranteed energy and operational savings and are implemented most often through an energy performance contract.
Q: What is an Energy Services Provider (ESP)?
A: An ESP or Energy Services Provider is a company that offers all the same services as an ESCO and has the additional expertise to provide energy supply through the development and implementation of build/own/operate distributed generation, cogeneration, or combined heat and power (CHP) projects; the arrangement of supply on a consulting basis; or the firm contracting of energy supply.
Q: What is an Energy Performance Contract (EPC)?
A: Energy Performance Contracting (EPC) is a straight-forward concept in which a building (one or many) owner enters into a contract with an Energy Services Company (ESCO) to perform specific improvements and enhancements to the facilities and uses the future energy savings of these improvements to finance the project costs.
Q: Who can use Energy Performance Contracting and when is it a good option?
A: Any agency or building owner can utilize EPC to implement energy efficiency upgrades in their facilities. In addition, developing a viable EPC depends on a number of factors relating to the facilities to be upgraded. EPC works best in facilities with inefficient energy systems, long building lifetimes, centralized locations, a need for on-site energy production or a need to develop improvements without impacting existing budgets and capital structures. An EPC suitability audit from an accredited ESCO would be the first step in understanding if an EPC would work for your circumstance.
Q: How do we know if an ESCO is accredited?
A: The National Association of Energy Services Companies (NAESCO) is an accreditation body for Energy Services Companies and Energy Services Providers. Their process for accreditation is rigorous and well established. Only the top level companies achieve accreditation from NAESCO. Energy Systems Group is an accredited Energy Services Provider which is the highest level of accreditation from NAESCO and is achieved by only a select few companies providing performance contracting and energy services. To learn more about the accreditation process, follow this link to: NAESCO
Q: We can implement energy conservation projects ourselves. What value does ESG provide?
A: ESG has found that even with the best intentions, building owners cannot focus on their core business and the continual needs of their facilities. Building owners often view the facility operations and the related energy cost as a "cost of doing business". At ESG we can provide needed facility improvements and reduce the "cost of doing business" by focusing on engineered solutions that will provide improved facilities, and reduced utility and operational cost with a performance guarantee. Our implementation process focuses on minimal disruption at your core business and minimal involvement of your staff, allowing you to continue to focus on your core business while we focus on ours.
Q: Our Facility is not regionally located near any of your offices. Can ESG still help us?
A: Yes! ESG is centrally located in the United States with several offices throughout the Midwest, Southeast and Mid-Atlantic states. From many of our locations we can deploy to projects throughout the country and provide a cost-effective project for our clients. ESG has proposed and implemented projects across the United States, and we look forward to continuing our growth throughout the country. Contact any one of our offices for further information.
Q: Why should we choose Energy Systems Group?
A: ESG brings a team of professionals to every project along with a proven track record of performance. Our team is dedicated to provide our clients with proven engineered solutions that solve problems. Our dedication is best proven through our staff training and ongoing measurement and verification process that is provided on every guaranteed performance contract.
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