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Through an Energy Services Agreement (ESA), savings generated pay for the retrofit investments while building owner continues to pay historical, adjusted baseline energy costs.


  • Building owner pays the Partnership its baseline historical energy bills, which are adjusted for actual changes in weather utility rate and occupancy/usage. Energy usage in tenant space can be measured and passed through directly.
  • The Partnership pays, as agent, the actual lowered utility bills on behalf of owner.


  • The Partnership analyzes each building, then oversees the purchase and installation of agreed optimal energy efficiency equipment and performance monitoring services.
  • The installed Active Energy Management controls and software manages the performance of the installed equipment to ensure the forecast savings are achieved.


  • At the end of the contract term, building owner retains the equipment installed and resumes paying the lowered energy bills.
  • How it Works: The graph below summarizes how the ESA model works financially for both the building owner and the partnership:


  • Before ESA, the building owner pays at existing, higher baseline level.
  • During ESA, the building owner pays the Partnership the equivalent of or slightly lower than the historical baseline, which reflects what energy service costs would have been without retrofit.
  • The difference between the historical baseline and new energy service cost post-retrofit pays for the retrofit investment.
  • After ESA, the building owner keeps the equipment and benefits from full utility cost reduction.