Energy performance contract: ENGIE guarantees the extent of savings
Energy-saving is a must these days. But managing energy consumption by buildings is a real environmental and financial challenge for public and private owners alike. To improve occupant comfort and lower energy consumption, ENGIE offers its customers the energy performance contracts through its subsidiary ENGIE Cofely. These contracts are even recognised as benchmarks in the domain.
What is an energy performance contract?
An energy performance contract (EPC) is a commitment made by an energy service company (ESCO), in this case ENGIE Cofely, to lower a building’s energy consumption. What’s so special about this type of contract? A commitment by ENGIE Cofely to achieve results, with the company paying penalties if it underperforms and receiving bonuses if it overperforms.
How does it work?
ENGIE Cofely shares with its customers its know-how, technical expertise, financing solutions and long-standing experience in optimising energy consumption. It also takes charge of the project from start to finish, i.e.
- analyses consumption;
- comes up with suitable solutions for improving a building’s energy performance;
- carries out work to improve a building’s energy performance;
- maintains installations so that it can guarantee the energy performance agreed on at the outset.
An energy saving of 30%
For Rekem Psychiatric Centre, for example, the first EPC in the public sector in Flanders, ENGIE Cofely has pledged to cut its customer’s energy bill by 30%. In all, this represents an annual saving of 978 tonnes of CO2.
3,350 fewer tonnes of CO2 per year
In the RenoWatt project in the province of Liège, 3,350 tons of CO2 will be saved every year thanks to measures taken by ENGIE Cofely in 27 schools, Huy’s regional hospital complex, sports infrastructure and swimming pools and various administrative buildings.
What does the programme include? Work to Improve the performance of heating, ventilation, electricity, lighting and renewable energy equipment and also of the building itself (better insulation, glazing and roofing), plus maintenance on installations for at least 10 years.
These are contracts of an unprecedented scope in Wallonia. At the 51 sites involved, ENGIE Cofely has pledged to lower customers’ energy bills, sometimes by more than a third, depending on the buildings’ specific characteristics.
Customised financing solutions
In many EPCs, the work carried out is financed by the service provider (i.e. ENGIE Cofely), which earns off the energy savings achieved. This is the case with the Rekem Psychiatric Centre, the De Nekker recreation centre and various buildings in the province of Antwerp. For the EPCs concluded in the province of Liège, investments have been agreed to by Huy Hospital, the municipal authorities and the province via RenoWatt, a project supported by the Economic Redeployment Group, the Walloon Region and the European Union.
A win-win operation
“Working with our customers in an active way to improve energy management is our core business”, says Stan de Pierpont, Managing Director of ENGIE Cofely. “We’re happy to see more and more energy performance contracts being concluded. For our customers, they represent a real opportunity to achieve energy savings without having to invest a penny. For ENGIE Cofely, this is an opportunity to consolidate its standing as a key player in the energy transition”.