Energy Performance Contracting Plus (EPC+)

Energy Performance Contracting (EPC) is generally looked upon favorably, but its implementation can be complicated and lengthy. The reason lies mainly in the procurement law provisions and the long-term and complex contracts, which impede a real breakthrough in the spread of the EPC methodology. The other main barriers for the implementation of EPC in SMEs are: • The transaction costs for procuring energy services are too high • Investments and project sizes are too small • It is difficult to obtain financing for such small projects • High costs for guarantees, measurement and verification procedures The ultimate goal of the EPC+ project is to reduce transaction costs of energy service packages drastically so that smaller investments and projects in SMEs become possible for companies offering energy services. This can only happen if both the technical solutions as well as the contractual issues of energy services are highly standardized. The energy services offered can be either partly or wholly financed with innovative financing solutions, or may be more service-oriented solutions with guaranteed energy performances. The major outputs of the project include: (1) the development of commercial, standardized energy service packages for SMEs in each participant country. Each participant country will develop energy service packages that suit the specific and particular requirements of their country. These will include a standardized technical solution for a specific market sector, a model contract and, where possible, a financing solution. (2) the implementation of pilot projects for the EPC+ packages in each participant country (3) the set-up and management of clusters of companies (SPINS) in each participant countries. These clusters will offer energy services to the SME market. (4) the training of these clusters of companies in each participant country and (4) the development of an international e-market for energy service providers.