U.S. Department of Energy - Energy Efficiency and Renewable Energy

Federal Energy Management Program

Utility Energy Service Contracts

UESC Samples and Templates
Samples and templates are available in the UESC Guide to help contracting officers implement task orders for UESCs under existing General Services Administration areawide contracts.

UESC Training

$2 Billion Commitment Includes UESCs
Read the full memorandum and the Office of Management and Budget guidance on qualifying.

UESC Reporting
Find legislation and Office of Management and Budget (OMB) guidance on reporting to the Federal Energy Management Program and OMB.

Utility energy service contracts (UESCs) offer Federal agencies an effective means to implement energy-efficiency, renewable-energy, and water-efficiency projects.

Under 42 U.S.C. 8256, Federal agencies are authorized and encouraged to participate in energy-efficiency, water-conservation, and electricity-demand programs offered by gas, water, or electric utilities. In a UESC, the utility will provide the analysis, design, and installation and when necessary, arrange financing. Agencies may implement a UESC with no initial capital investment or may use appropriated funds strategically to maximize the impact of their projects.

Section 432 of 42 U.S.C. 8253 authorizes agencies to combine appropriations and financing. When a project is financed, the financed amount is repaid over the contract term from cost savings generated by the project.

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