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Federal Performance Contracting

Energy Savings Performance Contracting Program

The BCSE works to accelerate federal performance contracting through support of the Energy Savings Performance Contracting (ESPC) program. Federal Performance Contracting provides an innovative opportunity for government agencies to save money and energy. Through ESPCs, private sector companies finance and install new energy efficient equipment in Federal buildings and by law the total cost is guaranteed to be covered by the savings on utility bills.

ESPCs have proven to be a highly successful tool to encourage energy efficiency in federal buildings, without imposing associated costs on the taxpayer. In fact, the federal government uses ESPC for almost 40 percent of its energy infrastructure upgrades. According to the Office of the Secretary of Defense, in 2003, 70 percent of energy infrastructure improvements were implemented through ESPCs. In addition to improving efficiency and saving taxpayer dollars, ESPC retrofits can stave-off years of deferred maintenance at federal facilities.

To advance the use of Federal Performance Contracting the Business Council for Sustainable Energy formed the Federal Performance Contracting Coalition (FPCC) in the late 1990s. The FPCC was instrumental in securing a ten-year reauthorization of the ESPC program as part of the Energy Policy Act of 2005.

The FPCC is currently focused on accelerating the pace, easing the approval process and increasing the number of federal performance contracts with the federal government.

2017 FPCC members include AECOM, Ameresco, CEG Solutions, Constellation Energy Services, Energy Systems Group, Honeywell, Johnson Controls Goverment Systems, LLC, Lockheed Martin Services, Inc., NORESCO, LLC, Schneider Electric Buildings Americas, Inc., Siemens Government Technologies, Inc., Soutland Energy and Trane U.S., Inc.

For more information, please contact the Council or visit the website of the Federal Performance Contracting Coalition.