Energy Savings Performance Contracts (ESPCs)
- Government partners with private sector companies and utilities to install energy and water conservation measures without the need for upfront appropriations.
- Private sector companies take on the performance risk of the equipment and obtain competitive financing from a third-party lender.
- Agency pays them back over time from the energy and water savings associated with the more efficient equipment.
- Provides a solution to more immediately upgrade aging infrastructure and critical building systems when appropriations are not readily available.
VA awarded $356 million of energy performance contracts from 2012 to 2016
- Approximately $26 million in annual savings for VA
- Addressing infrastructure and building system needs at 42 VA medical centers across the country
- Reduced energy usage by an average of 26% and water usage by an average of 18%
- Ingenuity and large impact in leveraging energy and related savings to finance the critical replacement of a central boiler plant
- Projected to save $817,000 annually in natural gas and electricity costs
- Recognition from White House and Department of Energy
This page may contain links to pages and/or documents outside the Department of Veterans Affairs Domain. These are annotated as shown below. We hope your visit was informative.
U.S. Federal/Military/State Government Sites — You will leave the Department of Veterans Affairs web site by accessing links annotated with this graphic.
Non-Government Sites — You will leave the Department of Veterans Affairs web site by accessing links annotated with this graphic. VA does not endorse and is not responsible for the content of the linked web site.