Energy Efficiency & Performance Contracting Support
Please be aware that effective October 01, 2021, DMME will officially be re-named Virginia Energy. Due to this name change, the regulations that pertain to ESPC projects, which can be found under Title 11 (11-34.1-4), will be transitioned to a new section of the Virginia Code. On October 01, the ESPC code will be located within Title 45.2, Chapter 17 (45.2-17.02-04). This change will have no effect on Virginia's ESPC program for State Agencies with optional use for public bodies nor on the support provided by Virginia Energy.
Any state agency may enter into an energy performance-based contract with an energy performance contractor to significantly reduce energy costs of a state facility through one or more energy conservation or operational efficiency measures.
An energy savings performance contract (ESPC) is an agreement between a contractor, most often an energy services company, or ESCO, and a customer to perform as a condition of payment. Performance in this context means meeting a guaranteed level of energy savings.
ESCOs are essentially design-build general contractors combined with a diagnostic front end and a guaranteed-savings back end. They should provide, by some combination of in-house staff and subcontracts, all the labor, materials, equipment, and subcontractor management. If they do that well, they need little supervision. That being said, DMME can serve as an experienced and trusted third-party advisor to state agencies and local governments considering entering into an EPC.
Energy Performance Contracting (EPC) is primarily equipment replacement to provide energy savings and installation of building control systems to control energy consumption, which are defined as maintenance projects. They are impacted by the Virginia Uniform Statewide Building Code. State agencies shall comply with the Construction and Professional Services Manual (CPSM) for all design and construction work under this contract. Other public bodies must comply with their local building codes.
Click here for a current list of Energy Services Companies, all of which are pre-approved to serve all public bodies in Virginia that use the state performance contract.
For more information on energy performance contracting, please contact:
Technical Support/Project Review
Lead – Charlie Barksdale
Email – Charlie.Barksdale@dmme.virginia.gov
Energy Marketing Specialist - Nick Polier
Email – Nick.Polier@dmme.virginia.gov