Common Contracts
2 similar Energy Service Agreement contracts
ENERGY SERVICE AGREEMENTS (ESAs)Energy Service Agreement • October 29th, 2015
An Energy Service Agreement (ESA) is a pay-for-performance, off-balance sheet financing solution that allows customers to implement energy efficiency projects with zero upfront capital expenditure. Through the ESA, the ESA provider pays for all project development and construction costs. Once a project is operational, the customer makes service charge payments for actual realized savings. The price per unit of savings is a fixed output-based charge that is set at or below a customer’s existing utility price, resulting in immediate reduced operating expenses.
ENERGY SERVICE AGREEMENTS (ESAs)Energy Service Agreement • October 29th, 2015
An Energy Service Agreement (ESA) is a pay-for-performance, off-balance sheet financing solution that allows customers to implement energy efficiency projects with zero upfront capital expenditure. Through the ESA, the ESA provider pays for all project development and construction costs. Once a project is operational, the customer makes service charge payments for actual realized savings. The price per unit of savings is a fixed output-based charge that is set at or below a customer’s existing utility price, resulting in immediate reduced operating expenses.
