Energy Savings Performance Contracts

Floor Speech

Mr. WELCH. Mr. Speaker, the Federal Government spends more than $6.5 billion on energy costs every year to heat, cool, and power roughly 500,000 buildings and facilities.

Currently, the administration is auditing Federal agencies for cost savings and has found billions of dollars that are available in savings.

Here's how they work:

Energy savings performance contracts allow a public-private partnership where the Federal agency contracts with an energy service company to conduct energy audits and design and implement energy-saving improvements. There is no cost to the taxpayer. The payment to the contractor comes from savings that are reaped down the line.

It's a win-win-win for the taxpayer, the economy, and the environment. ESPCs lead to local, nonexportable jobs. In fact, every million dollars of ESPC contracting results in the creation of 10 local jobs. ESPCs have already proven themselves to drastically reduce carbon emissions and water usage at Federal facilities.

This is something we can and should do together: save money, create jobs, and improve the environment.

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