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Utility Energy Services Contracts

Utility energy service contracts (UESCs) offer Federal agencies an effective means to implement energy efficiency, renewable energy, and water efficiency projects.

In a UESC, a utility arranges financing to cover the capital costs of the project, which are repaid over the contract term from cost savings generated by the energy efficiency measures. With this arrangement, agencies can implement energy improvements with no initial capital investment. The net cost to the Federal agency is minimal, and the agency saves time and resources by using the one-stop shopping provided by the utility.

This section outlines utility energy service contracts as well as information and resources available to Federal agencies and their serving utilities. This information includes:

• Types of Contracts: Typical contract and model agreements to expedite UESC project development and contract negotiations.

• Laws and Regulations: Enabling legislation and executive orders encouraging Federal agencies to conduct UESCs, as well as legal opinions and guidance.

• Getting the Best Value: Lessons learned and other resources to help Federal agencies get the best value and results from UESC project investments.

• Federal Utility Partnership Working Group (FUPWG): Working group overview, member and partner contacts, and meeting notes.

• Case Studies: Federal agency success stories outline energy management projects financed through UESCs.

• Resources: Publications, related documents, software, and training offered by FEMP for Federal agencies and utility partners.

• Contacts: FEMP and U.S. Department of Energy (DOE) national laboratory contacts available to help Federal agencies and utility partners with UESC implementation.