Energy as a Service is an off-balance sheet financing vehicle that allows building owners to implement energy efficiency projects with no upfront capital outlay.
An Energy Services Agreement (ESA) generates savings through the implementation of Energy Conservation Measures (ECM) and services, and is cash flow positive from day one. Zero capital expenditure from the customer is required. The ESA provider pays for project development, construction, and maintenance costs. Once the upgrades are complete, the customer makes monthly service payments, based on guaranteed energy savings.
The energy efficiency upgrades made possible by the ESA model, generate an immediate reduction in operating expenses, and can significantly improve the sustainability scores and overall resiliency of a building.
Gotham 360 takes a comprehensive look at a building's energy profile - starting with an analysis of the total annual utility spend (electricity, natural gas, #2 fuel oil). We then conduct a free on-site evaluation of the building's mechanical systems (lighting, boilers, chillers, HVAC, pumps, motors, automation controls, etc.)
The combined utility and mechanical analysis allows us to create a list of recommended upgrades for the building - Energy Conservation Measures (ECM's). Along with this list of ECM's, we provide a total cost for the upgrades and guaranteed annual energy savings.
The cost of the upgrades are guaranteed (no change orders or additional costs to the building owner once the price is agreed upon). Likewise, the stated annual energy savings are also guaranteed.
If the building owner doesn't want to capitalize the upgrades (or only wants to cover a portion of the upgrades out of pocket) the guaranteed energy savings are used to offset the cost of the project.
Rather than requiring an upfront payment of the total project bill, the customer pays an annual service fee, and only for actual savings delivered. The annual service fee (paid monthly) is performance-based, meaning if the guaranteed savings aren't delivered, the customer is refunded the shortfall.