Guidelines for ESPC Savings and Payments

FEMP created the following guides for incorporating savings strategies into energy savings performance contract (ESPC) payments.

Federal Energy Management Program

July 16, 2025
Estimated Read Time   min

FEMP created the following guides for incorporating savings strategies into energy savings performance contract (ESPC) payments.

Resources

Practical Guide to Savings and Payments in FEMP ESPC Task Orders

Details acceptable savings for funding ESPC payments to the contractor.

Guidance on New Construction under an Energy Savings Performance Contract

Discusses when new construction may be included in an ESPC.

Guidance on the Statutory Definition of Energy/Water Conservation Measures (ECMs) for ESPCs, and Determining Life Cycle Cost-Effectiveness for ESPCs with Multiple or Single ECMs

Clarifies how an ESPC can consist of a single ECM (such as a combined heat and power plant). 

Potential for the Use of Energy Savings Performance Contracts to Reduce Energy Consumption and Provide Energy and Cost Savings in Non-Building Applications

Provides information on the use of energy savings performance contracts in non-building applications.