ESTA VIEWPOINT
For further information on ESTA visit www.estaenergy.org.uk
A platform for best practice Pioneering projects are helping develop new quality assessment tools for energy performance contracting. Nick Keegan looks at the potential to adapt them to the ‘new normal’
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t the time of writing we are approaching two months of lockdown, making me reflect on the impact this has had on the energy services contracts we work on at EEVS. Unsurprisingly, there have been challenges around how to adjust performance reporting to account for seismic changes in operations, and delays to construction works. Perhaps less anticipated though, were the opportunities it could bring for clients and energy services providers to work together and make the best of the situation. Some of the issues to be addressed include: • how can you best minimise energy use while maintaining essential services, and stay vigilant to ensure infrequent site use does not result in equipment being left on unnecessarily? and • how can you best make use of onsite generation when the energy profile has changed? These questions are not just relevant now but will also become acutely so as we move to the ‘new normal’. The key to being able to react and make the best of changing conditions is a strong working partnership built on well-aligned incentives, clear communication and transparency. This was also a key finding from pilot projects we have been working with to test new quality assessment criteria for energy efficiency services. Beyond the technical elements often seen to be of paramount importance, the secret to successful energy services contracting appears to be in the communication. At EEVS and in ESTA’s Energy Services Contracting group, we have been following the pan-European QualitEE project. This has established a set of quality assessment criteria for energy efficiency services at a European level, designed to form the backbone of quality assurance schemes, which can build trust and uptake of services. The assessment criteria are structured to follow the value chain from initial energy auditing, through construction, contract agreement, guarantees, O&M and performance measurement (M&V). It was recognised early on, however, that the energy services
South Cambridgeshire Council is aiming to cut the carbon emissions at its headquarters
markets around Europe have their nuances, and so some local refinement was necessary. We have had the chance to engage with two UK energy performance contracting projects. They have acted as pioneers to test these criteria and help us refine them for the UK context, while also evaluating the feasibility of auditing processes that will form the basis of a potential UK quality assurance scheme for energy performance contracting led by ESTA.
Energy performance contract The first of these projects is an energy performance contract between Dundee City Council and Vital Energi using the Scottish Non-Domestic Energy Efficiency Framework (NDEEF). This is a £1.8m investment in efficiency measures and on-site generation for three leisure centres, a community centre, art gallery, library, depot and car park. The contract is now concluded, having met its guaranteed savings in the first year after completion, as is the approach taken in the design and build variant of the NDEEF. This meant it was ideal to test the assurance processes for the proposed ESTA scheme, which will retrospectively assess sample projects from beyond the first savings verification point, to accredit energy performance contracting providers. Due to the success of this project additional phases of works are underway to support delivery of the council’s net-zero
Nick Keegan is chair of the ESTA Energy Services Contracting Group and director at EEVS Insight.
carbon targets. The second project is at an earlier stage, which allowed for testing in a ‘live’ environment. This is important, as alongside being a tool to support accreditation in the proposed ESTA scheme, the criteria can be used by clients and contractors for ongoing self-assessment. This project is an energy performance contract between South Cambridgeshire District Council and Bouygues Energies & Services using the RE:FIT framework (managed by Local Partnerships). Its ambition is to lead the way by going as far as possible in reducing the carbon emissions of the council’s headquarters within reasonable economic limits. The headline elements are a heat pump to decarbonise heating, and solar PV car ports fitted with EV charging to facilitate the transition to zero emissions transport. Working with the pilot projects revealed that organisational structure and communication procedures were critical to success and trust building. This means: clear reporting lines; regular and well-structured meetings; engagement with end users; transparent reporting and data exchange; and processes for change management. Among other areas of feedback, this has been used to inform the first draft of ESTA’s new “Quality Criteria for Energy Performance Contracting Services” that has been published at https:// estaenergy.org.uk/groups/escg/. Although consultation continues on these criteria and the proposed ESTA quality assurance scheme, this tool is now ready-to-use. Project stakeholders can use this as a self-assessment checklist throughout development, procurement and delivery. By publishing the first draft of these quality criteria ESTA aims to initiate an evolving platform for best practices freely available for consumers and suppliers, to offer a framework to build the strong working relationships needed to achieve the best energy outcomes. • To read more about the pilot projects visit https://qualitee.eu/gb/pilot-projects/ and to hear about the outcomes of the QualitEE project, join online events being held in three one-hour sessions 17-19th June. https://www.eventbrite.co.uk/o/ qualitee-project-18261210897
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