An ESCO is an Energy Services Company that audits, designs, installs, finances and provides maintenance to businesses who wish to improve energy efficiencies in order to reduce costs and increase profitability. The ESCO-Client agreement is for a set period of time, where the client uses the guaranteed savings gained to repay the initial capital expenditure.
According to NAESCO (National Association of Energy Service Companies), an ESCO will generally provide clients with the following services:
Energy audit of the client’s commercial premises or industrial plant
From the results of the audit, design a plan for energy improvements offering guaranteed energy savings to the client over a set period of time
Arrange a financial plan where the client pays for the capital outlay directly from the savings achieved over the agreed period
Project manage the implementation/retrofit of the premises.
Provide a maintenance plan for the duration of contract
After retrofit, measure and verify that the client is achieving the energy savings that were guaranteed.
ESCOs will primarily reduce client’s energy consumption by upgrading or installing new high efficiency systems such as LED Lighting, HVAC, CHP, more efficient boilers, improved building fabric and centralized energy management systems. The main differentiator between ESCOs and other energy efficiency contractors is the guarantee of energy savings which is specified as part of the terms of an Energy Performance Contract (EPC).
Employing the services of an ESCO provides businesses with the following advantages:
Guaranteed Energy Savings Over an Agreed Period of Time
No Up-Front Capital Expenditure Required
Full Project Management of Installation
Lowers Exposure to Energy Price Increase Risk
Full Maintenance for Duration of Contract
Reduction of Carbon Footprint
If you would like to know more about ESCOs and how Glas Eireann Solutions can help your business achieve substantial energy savings, please visit www.glaseireann.com or call +353 61 633298 today.