Private (commercial, industrial) and public (local authority) buildings are subject to numerous obligations regarding energy consumption reduction. One of the most effective tools for meeting these obligations is the Energy Performance Contract (EPC). Powesco, a global operator in the energy transition, offers its own performance guarantee contract based on the ESCO model. Discover everything you need to know about this innovative system!
What is an Energy Performance Contract (EPC)?
CPE is the acronym for Energy Performance Contract.
According to the European Directive of the European Parliament and of the Council of 25 October 2012, an EPC is: “a agreement between the beneficiary and the supplier improvement measureenergy efficiency, verified and monitored throughout the term of the contract, under which investments (works, supplies or services) in that measure are remunerated according to a level of energy efficiency improvement that is contractually defined or another agreed energy performance criterion, such as savings ”.
Who are the stakeholders in the Energy Performance Contract?
The CPE is a contract concluded between:
- on the one hand, a beneficiary : a company or community represented by a project owner who carries out the project;
- and on the other hand, an operator specializing in energy efficiency: ESCO (energy services company) or SOTI (third-party investment operating company)
It commits both parties to making investments that will lead to a reduction in the building's energy consumption. The operator is compensated based on a portion of the energy savings achieved. The beneficiary, for their part, benefits from the financing of the work and its implementation.
What are the objectives of the Energy Performance Contract?
The EPC, or performance guarantee contract, addresses several key issues:
- reduction of primary or final energy consumption;
- reduction of greenhouse gas emissions ;
- increase in the share ofrenewable energy in energy production.
Powesco's solar subsidiary helps you to size, finance and install photovoltaic panels on your roof or parking lots.
What is the duration of the energy performance contract?
There is currently no duration for a Power Performance Contract (PPC). The contract can be signed for a few years or it can commit both parties for 20 years. Each operator is therefore free to propose its own terms depending on the nature of the project. The more ambitious the project, the longer the commitment period generally is.
Why enter into an Energy Performance Contract?
The energy efficiency guarantee contract is a valuable and reliable tool for reducing energy bills, accelerating the ecological transition and complying with the law.
Comply with regulations thanks to the CPE
The Energy Performance Contract (EPC) allows companies to meet their obligations . For example, the tertiary sector decree stemming from the ELAN requires existing tertiary buildings larger than 1,000 square meters to progressively reduce their final energy consumption. Thanks to the EPC and its performance-based obligation, obligated parties are assured of complying with current legislation.
Powesco helps you meet the obligations of the Tertiary Decree by implementing tailor-made energy efficiency solutions
Reduce your energy bills with the CPE
The building sector in France consumes 43% of total final energy. With the continued rise in energy prices , this overconsumption inevitably translates into higher energy bills. Energy Performance Contracts (EPCs) help identify priority investments to achieve substantial energy savings at the building level.
The CPE: an accelerator of the energy transition
Energy efficiency is synonymous with decarbonization, in other words, reducing greenhouse gas emissions. By signing an energy performance contract, you contribute to accelerating the building's energy transition and reducing its carbon footprint.
Request your carbon footprint assessment from Act4Transition, the Powesco subsidiary that helps you reduce your carbon footprint.
The performance-guaranteed contract: the assurance of achieving results
Finally, the Energy Performance Contract (EPC) is a reliable and secure tool because it is based on a guarantee of results. The project owner is thus assured of:
- mastering one's deadlines, budget, and objectives;
- minimize risks or harm.
In the event of overperformance, the profits are shared between the holder and the buyer according to a distribution defined prior to the contract.
Conversely, in the event of underperformance, failure to meet objectives and commitments, the client is generally fully compensated and indemnified by the CPE holder for the damages caused.
What is the content of the Energy Performance Contract?
The content of the CPE varies depending on the operator. However, the following services are generally included.
Energy audit
Before financing any work, services, or supplies to improve a building's energy performance, it is essential to assess existing equipment and processes through an energy audit. This provides decision-making support for defining energy reduction targets, budget, and action plan.
Powesco's design office can help you, in particular, with:
- design the layout ;
- calculate the potential for energy savings;
- to carry out implementation studies
Financing and execution of the works
An energy audit helps to identify the work to be carried out in order to achieve energy saving reduction objectives.
The most common ones are:
- building envelope insulation;
- installation of equipment powered by renewable energies such as rooftop photovoltaics;
- Optimization of energy systems: relamping, maintenance;
Powesco specializes in building management systems (BMS): we help you design, carry out and finance work to optimize the consumption of your technical equipment.
To begin this work, the project owner must first find a way to finance. Powesco helps you make this investment through a service contract. Then, we support you throughout the construction process through management and project oversight.
Energy performance monitoring
Finally, the EPC includes a service to monitor energy savings achieved after the work is completed. These measures ensure that the objectives set out in the contract are met or being achieved.
As such, Powesco has its own Energy Management System (EMS). Our tool calculates the building's energy consumption in real time, monitors the evolution of energy efficiency, and suggests avenues for continuous improvement to achieve the set performance levels.
sources :
https://www.banquedesterritoires.fr/sites/default/files/2018-11/Cerema%20fiche%204.pdf
