3 Steps to Maximizing Your Return on Performance Contracting
Maximum energy savings, utility incentives and quality; minimum, reasonable cost
Energy savings performance contracting (PC) enables building owners to use future energy savings to pay for up-front costs of energy saving projects, eliminating the need to dip into capital budgets.
- Creates a clear scope of work, and a fair and competitive procurement process,
- Uses a design and construction process that delivers the maximum in energy savings, utility incentives, and quality, at the lowest reasonable cost
- Performs independent measurement and verification
The best approach is to independently develop a clear scope of work and RFP that are based on the life-cost of your facilities, and will result in apples-to-apples proposals. If an ESCO develops the scope or RFP, it’s important to include a review by an independent energy consultant prior to issuance. Independent reviews of the proposals received should result in a ranking of best value, with negotiations beginning with the top ranked ESCO. Note: some state statutes require review by a licensed professional engineer or architect.
Step 2 in the series will arrive in a few weeks.