Types of Energy Efficiency Services
The EPC provider guarantees the achievement of the contracted level of savings of energy, and/or related costs, and bears contractually agreed risks of technical implementation and operation. According to the Energy Efficiency Directive, “EPC means a contractual arrangement between the beneficiary and the provider of an energy efficiency improvement measure, verified and monitored during the whole term of the contract, where investments (work, supply or service) in that measure are paid for in relation to a contractually agreed level of energy efficiency improvement or other agreed energy performance criterion, such as financial savings.”
Note: The energy efficiency measures as above may be also based on low or no up-front investment. EPC may also include additional services related to efficient energy supply.
”ESC means a contractual arrangement for the efficient supply of energy. ESC is contracted and measured in Megawatt hours (MWh) delivered”. (This definition is a simplified version of IEA DSM Task force 16 definition).
Energy performance operational contracting (OC) is a type of EPC without major investments and is here included under the term Energy Performance Contracting.
Integrated energy contracting (IEC) means a combination of energy efficiency measures with energy supply contracting typically with short term ‘operational verification’ rather than ongoing measurement and verification.