Leadership

The State of Nevada has enabling legislation that covers Guaranteed Energy Savings Performance Contracting (GESPC) in four public market sectors: state agencies, local units of government, universities, and K-12 school districts. One statue covers state agencies, municipalities/counties and universities, and a separate statue covers K-12.  The length of contracts must not exceed 15 years.

The legislation allows for a scope of work that includes the use of operational savings, future cost avoidance, use of water savings, renewables, behavioral training and allows capital funds to be added as buy-down. 

The statue requires the energy service company (ESCO) provide an energy savings guarantee and an annual reconciliation statement to the end-user that documents through a prescribed Measurement and Verification protocol the annual energy savings achieved versus the guarantee. The M&V report is required through the length of the contract.

In the past there have been many examples of public entities that use the GESPC process to finance and procure energy savings equipment for facilities:

2015 • Clark County School District, Nevada's largest school district contracted two ESCOs to complete work on 50 schools. Work included energy, water, and maintenance cost-saving equipment and services.

2015 • Carson City implemented a GESPC in 500,000 square feet of facilities. "The city has very limited funding for capital improvements," said Tom Grundy, Sr. Project Manager, Public Works Department. "This approach helps us achieve sustainability goals."

2014 • The Truckee Meadows Water Reclamation Facility (TMWRF) entered a $24 million ESPC for improvements to keep the integrity of the plant and lower energy, chemical and operational costs. The GESPC made TMWRF 45 percent energy independent, saving more than $1.1 million in energy, chemical and operational costs per year

2012 • The City of Henderson received the Energy Project of the Year in Region V for its city-wide, multi-phase guaranteed energy savings performance contract (GESPC). The award was conferred from the Association of Energy Engineers (AEE). The $23 million GESPC was implemented in 2006 and is a combination of energy conservation and operational savings measures that is saving the city just over $2 million annually in energy costs.

Program

There is a program administrator and the administrators services are extended to local units of government.

The state program uses a set of standardized instruments for use with GESPC for state facilities and a separate set for local units of government.  No modifications to the documents are allowed.

ESC Chapter

The Nevada Energy Services Coalition (ESC) Chapter was formed in 2012. The Chapter is currently meets quarterly or when need and provides outreach and education efforts and events for end-users.

The State recognizes projects upon contract signing.

Nevada Guaranteed Energy Savings Performance Contracting

Category Details  

State Program Website

http://energy.nv.gov/Programs/Performance_
Contracting_Programs/

Yes

Applicable Sectors

State
Local (cities and counties)
University
K-12
One for all market sectors

Yes
Yes
Yes
Yes
No

Enabling Legislation

Nevada Revised Statutes 332 and 333A

 

Statue requires a savings guarantee

 

Yes

Contract Term

Must not exceed 15 years

 

 

Scope of Work enabled by legislation

All measures that pay for themselves
Operational savings
Future cost avoidance
Water savings
Renewables
Behavioral Training
Buy down
Discrete list

No
Yes
Yes
Yes
Yes
Yes
Yes
No

Excess Savings Retained by End-user

 

No

Executive Order (link)

 

No

State Program Administrator

 

Yes

State program provides support to local units of government

 

Yes

Reporting Requirements for projects

To authority other than end-user
End-User receive M&V reports through the end of project

Yes
Yes

ESC Chapter

Years in Existence: 5 years
Meets

Yes

Standardized instruments for use with GESPC

RFQ to prequalify providers
Evaluation guide for providers to state's program
Standardized contract set for state buildings
Standardized contract set for local government
Process for instrument modification
Posted on a publicly available website

Yes
Yes
Yes
Yes
No
No

Pre-qualified providers list

RFQ to prequalify providers
Secondary Selection Process

Yes
Yes

Building energy utilization benchmarking

State
K-12
Community Colleges
University
Cities
Counties

No
No
No
No
No
No

Recognition/Awards for Outstanding Projects

Recognition upon contract signing

Yes