Guaranteed Energy Savings Program (GESP)
What is Performance Contracting?
Energy Savings Performance Contracting (ESPC) is a performance-based procurement and financing mechanism that leverages maintenance, operations, and utilities savings achieved through the installation of energy efficiency and renewable energy measures, to finance the cost of the facility retrofit and renewal project, with no bonding or raising taxes.
What is the Guaranteed Energy Savings Program?
The Guaranteed Energy Savings Program (GESP) promotes awareness and implementation of energy efficient and renewable energy measures in public facilities to provide millions of dollars in annual energy savings in Minnesota. To do this, GESP supports you every step of the way. GESP can help you:
- Solicit and award site-specific requests for proposals from pre-qualified Energy Service Companies (ESCOs) to perform Energy Savings Performance Contracting (ESPC) services
- Evaluate the technical and financial feasibility of ESCO proposals
- Negotiate and award work order contracts to pre-qualified ESCOs under the GESP Master Contract to implement energy conservation measures
- Offer project management oversight of ESPC projects
- Provide technical assistance to ensure the ESPC Measurement and Verification Plan is properly performed throughout the performance period of the contract
What Can You Do with GESP?
Whether you’re a county, city, school district or any other form of local government, there are improvements that you can make to your facilities to save energy and save money.
| High-Potential Facilities:
|| Possible Projects:
The Benefits of Bundling
GESP allows you to bundle projects so that low-hanging fruit can finance deeper retrofits without impacting your budget. Learn more about how to bundle projects, as well as the potential savings of different types of energy efficiency upgrades. Bundling projects in and between the types of facilities below is a benefit of GESP. These projects were not completed with GESP, but they provide insight into how to bundle energy conservation measures, as well as the potential costs, savings, and paybacks of upgrades, in and between multiple facilities.
- City of New Ulm Wastewater Treatment Plant
- City of Elk River Ice Arena
- City of Chisago Community Center
- City of Hutchinson Wastewater Treatment Plant
Need more ideas of energy efficiency upgrades or clean energy projects in Cities, Counties, or Schools to bundle? Check out the Local Government Energy Action Blog Posts Here.
GESP Project Development Process
Below are six steps for Guaranteed Energy Savings Program (GESP) participants and the estimated amount of time for each. The process is then further detailed in the second graphic (click here to see larger version).
Ready To see if GESP is a good fit for your local government?
Step 1. Compile a list of your city, county, or school’s public buildings and the annual utility costs for those buildings.
Step 2. Be ready to talk about you local government’s buildings goals, needs, and issues. Need help? Briefly answer the Qualifying Questions.
Step 3. Call us:
Clean Energy Resource Teams
Get details & join the program:
Energy Information Center
MN Department of Commerce
651-539-1882 or 1-800-657-3710
You can also download a PDF of the GESP process.
This project was made possible by a grant from the U.S. Department of Energy and the Minnesota Department of Commerce.