Your Alternative Financing Questions Answered

November 11, 2003

There are 96 energy service companies (ESCOs) listed on DOE's Qualified List of Energy Service Companies. Did DOE sign umbrella contracts with all of them? What is the difference between "qualified ESCOs" and ESCOs that are allowed to propose Super Energy Savings Performance Contract (ESPC) request for proposals?

Not all the ESCOs on the DOE qualified list were awarded contracts with DOE. Solicitations were issued for the various umbrella contracts (known as indefinite-delivery, indefinite-quantity–IDIQ contracts). Companies interested in responding to the solicitation were required to be on the DOE prequalified list.

In response to the solicitations, DOE received a large number of proposals. The number varied depending on the region or technology the solicitation addressed. Contracts were awarded to the best qualified of those contractors.

More about Super ESPCs and the qualified list of ESCOs is available at the FEMP Super ESPC web site at

FEMP Focus featured an article about DOE's Qualified List of Energy Service Companies and what it means to be an ESCO in the August 2002 Issue.

Who is responsible for providing an ESPC project's financing insurance, and how is the amount of insurance coverage determined?

The contractor (ESCO) is responsible for submitting proof of insurance within 15 days after the delivery order award or acceptance of the design and construction package, after which the agency contracting officer issues a notice to proceed with design, and the ESCO begins the work specified in the delivery order.

The amount of the insurance coverage and the terms would be dictated by the requirement of the financing party, the contracting officer, and ultimately the ESCO. As suggested in Request for Proposal (RFP) H.16, the required coverage may vary from project to project.

What questions do you need answered? FEMP wants to provide the most useful information possible, but we need your help to achieve this! Please submit your questions via e-mail to Tatiana Strajnic of FEMP at