Performance Contracts

Performance Contracting is a way to reduce energy use and cost, renew facilities and building systems without expending capital funds. Under an Energy Savings Performance Contract, an energy services company (ESCO) such as CEG pays all costs involved in identifying, installing, operating and maintaining new or upgraded energy-efficient equipment. The ESCO is compensated by receiving a share of the cost savings resulting from these improvements over a set term. At the end of the Energy Savings Performance Contract, the Customer owns all of the improvements and receives all of the continuing savings.