The first EPC for relighting was signed by a Flemish SME in January 2017. The contract was developed specifically for SMEs under the project iSave, commissioned by the Flanders Innovation & Entrepreneurship Agency (VLAIO). It includes several innovations to make EPC more accessible for SMEs.
Thanks to an Energy Performance Contract (EPC) the SME receives a guarantee on the final energy consumption and quality of the products delivered. On January 27, 2017, the first EPC contract of this kind was signed in Flanders.
By working with an energy performance contract the SME is sure to get what is promised: both energy consumption and quality of the light are guaranteed through this contract. The ESCO first installed a test setup to ensure that the amount of light and quality meets the expectations. The relighting will yield an annual saving of 67% on the electricity consumption of the lighting.
An energy performance contract is fundamentally different from a traditional contract for installation or services. It gives the customer a contractual warranty about the energy consumption and the quality of the installation. Traditionally, an installer actually only guarantees the operation of the lighting system.
EPC contracts are often complex and difficult to negotiate, the projects have a long duration and the follow up is time consuming. Innovative concepts such as simplified M&V (measurement and Verification), smart and simple bonus/malus requirements and a short contract duration were implemented to make the contract suitable for application in an SME context.
The development of the energy performance contract was part of the iSave project. In this project, a number of SMEs with an interest in energy saving projects received intensive guidance and support.