Energy Savings Agreement

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• Mar 6, 2022
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As our world continues to experience the effects of climate change, more and more people are becoming mindful of their carbon footprint. One effective way to reduce energy usage and save both money and the environment is through an energy savings agreement.

An energy savings agreement, or ESA, is a contract between a client and an energy services company that provides energy efficiency upgrades and maintenance for the client’s building or facility. These agreements are typically long-term, ranging from three to 20 years, and involve ongoing services to ensure continued energy savings.

The benefits of an ESA are numerous. Firstly, an ESA provides immediate cost savings. Energy-efficient upgrades can significantly reduce energy costs, and the monthly payments for the agreement are only a fraction of the potential savings. This allows businesses and organizations to allocate more budget to other areas, such as staffing or marketing.

Moreover, an ESA provides long-term savings. Energy-saving measures are maintained throughout the life of the contract, which means that clients can expect consistent savings year after year. Additionally, most ESAs include performance guarantees, meaning that the energy services company is held accountable for the energy savings promised in the contract.

Another advantage of an ESA is that it helps to reduce carbon emissions. By using less energy, businesses and organizations can reduce their carbon footprint and do their part to combat climate change. This is especially important for companies that are looking to improve their environmental standing to appeal to eco-conscious consumers.

An ESA can also improve the comfort and productivity of employees. Upgrades such as improved lighting and temperature control can create a more comfortable and productive work environment, ultimately benefiting the organization.

In conclusion, an energy savings agreement is a valuable investment for any business or organization looking to save money, reduce carbon emissions, and improve the overall sustainability of their operations. By partnering with an energy services company, clients can expect long-term energy savings and ongoing maintenance and upgrades to keep their energy usage efficient.