Alliance Comments in Support of DOD ESPC Financing

Feb 25, 2014

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By allowing third parties to finance energy-efficiency projects through monthly savings on their utility bills, Energy Service Performance Contracts (ESPCs) provide an innovative tool to allow Federal agencies to pay for today’s facility upgrades with tomorrow’s energy savings. In this way, ESPCs allow the Federal government to improve its energy use without placing any cost on taxpayers. Unfortunately, the Department of Defense (DOD) does not believe that it can apply ESPCs to fund energy-saving CHP and WHP projects on military property due to military construction funding constraints. Today, the Alliance sent letters to members of the House and Senate Armed Services Committee urging them to eliminate the barriers that are preventing DOD from using ESPCs to finance these worthwhile projects. You can read the Alliance letters here (House) and here (Senate).

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