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Energy Saving Performance Contracting (ESPC) has become a widely accepted procurement method to develop and implement projects to conserve energy and water resources. In the public sector in Oregon, ESPC is enabled through ORS 279A.065 (2). These contracts are exempted from competitive bidding requirements by ORS 279C.335 (1) (f). The rules for implementation of an ESPC are contained in OAR 137-049-0600 to 0690. An ESPC is defined as follows:
Energy Saving Performance Contract (or "ESPC") means a Public Improvement Contract between a Contracting Agency and a Qualified Energy Service Company for the identification, evaluation, recommendation, design and construction of Energy Conservation Measures, including a Design-Build Contract, that guarantees energy savings or performance.
As discussed in OAR 137-049-0680 (2), benefits of ESPC may include:
(a) Obtaining integrated Personal Services and Work
(b) Obtaining an Energy Savings Guarantee
(c) Integrating Technical Energy Audit and Project Development Plan phases into the design and construction phase
(d) Reducing the risk of design flaws, misunderstandings and conflicts
(e) Obtaining innovative design solutions
(f) Integrating cost-effective Energy Conservation Measures (ECMs) that pay for themselves through savings
(g) Obtaining design, development, implementation and an Energy Savings Guarantee of ECMs implemented as part of a remodel
(h) Satisfying local energy efficiency design criteria