Report
Once the ESPC program is operational, the State Energy Office may be required by statute to report on its activities to the governor, legislature, or both. The State Energy Office could also consider doing this voluntarily to demonstrate the effectiveness of the ESPC program to school districts and other key decisionmakers. Reporting can take many forms, including formal reports, informal conversations, oral presentations, webinars, and case studies.
Even if reporting is not required for the program, the State Energy Office (or overseeing agency) could keep program data at hand to answer inquiries from the governor and legislature and could also consider creating a public-facing dashboard to illustrate the program’s value to the public/taxpayer. State Energy Offices could also consider tracking both annual and cumulative metrics; there should be an explanation for each metric tracked as to why the State Energy Office is tracking it. Monitoring and regularly analyzing program data is also important so State Energy Offices can evaluate and improve the program based on what the data is revealing. Data can also inform regulatory updates that may be needed to make the program more effective by revealing underlying trends from customers that highlight sticking points the program may need to adjust.
- Virginia used to require three years of M&V for its program, but when the State Energy Office’s data showed that customers were experiencing shortfalls in savings beyond the required M&V period, the state amended its enabling statute to require M&V for the life of the contract.
Is the State Energy Office required to report to external parties on the ESPC program?
The State Energy Office may be required to report to the governor, legislature, or other parties as specified in statute if the ESPC program is legislatively established. The State Energy Office may wish to provide reports to key stakeholders to drive interest in ESPC as well.
- New Mexico is required to provide an annual report to the governor and legislature about the ESPC program
- Virginia is required to provide reporting to the governor's office on a quarterly basis.
How frequently will the State Energy Office report performance metrics (if required)?
The State Energy Office could report on performance metrics to showcase the success of the program. Depending on its resources, the office could put out reports highlighting several metrics, including the ones in the table below. Alternatively, the State Energy Office could develop a dashboard that updates as projects are completed to show a live view of the impact of the program.
Performance Metrics
| |
Arkansas |
New Mexico |
Virginia |
| Total Projects Completed |
59 (since 2013) |
46 (since 2013) |
330 (since 2002) |
| K-12 projects completed |
9 |
6 |
130 |
| Total contract value |
$52 million |
$345 million |
$1.26 billion |
| GHG emissions reductions |
N/A |
N/A |
500,000 tons |
| Energy units saved |
N/A |
N/A |
473,134,668 kWh |
| Money saved |
$69.8 million |
$15.2 million |
N/A |
| Jobs created |
N/A |
N/A |
11,000 |
How should metrics be collected?
The State Energy Office could collect metrics from ESPC projects done at K-12 schools to provide support for the effectiveness of the program. Requiring ESCOs to use a specified software to input information from each project such as eProject eXpress can make tracking metrics easier as the software can generate custom reports for the metrics the State Energy Office wishes to highlight for key stakeholders. The State Energy Office could also reach out to school districts and obtain the data the districts themselves are collecting if the districts have the resources to do so.
- U.S. DOE offers an online training to help users of eProject eXpress operate the software. To access this training, please click here.
- ADEE collects financial metrics from its loan servicer, the Arkansas Development Finance Authority.
- In New Mexico, the ESCOs submit annual reports to EMNRD, which then uses those reports to compile data on the program.
- Virginia directly collects project metrics through its quarterly ESCO reporting document that is required for all pre-qualified ESCOs to submit. Additionally, the State Energy Office utilizes eProject eXpress to track M&V for the ease of the clients and tracks energy data across the state through its Energy Data Warehouse.
Who might provide the data to the State Energy Office?
State Energy Offices could either work to source the data for reports and dashboards from the school districts, or the ESCOs that implemented the ESPC projects at those school districts. Requiring a software program such as eProject eXpress as part of the contract with the ESCO can also make the data easy to access regardless of who may be inputting it into the system.
- In Arkansas, M&V data is supplied by the ESCO to both the Arkansas Energy Office and to the owner of the building. AEO has recently contracted with a third-party technical engineering firm to assist with technical reviews for the program, so the State Energy Office will also be receiving data from them moving forward.
- In New Mexico, the ESCOs provide data to the State Energy Office for its reports.
- Virginia prioritizes first party data delivery, thus communicating directly with ESCOs and clients engaged in projects to supply their data. The State Energy Office maintains specific metrics for tracking projects and stores this data in its historical project tracking system.
Who will be your audience for the report?
The State Energy Office can highlight various aspects of the report for different potential customer and stakeholder segments. While the state legislature or other oversight bodies should be the primary audiences for the report, other key audiences, like key school board members, superintendents, principals, financial and legal departments, or facility managers might also want to review the report to better understand how ESPC can help their schools. Also, ESPC program status and performance may be required to be publicly available, providing transparency on investments, benefits, and stewardship of taxpayer funds and public assets. Therefore, the State Energy Office can tailor the report to these audiences, using language and examples that are easily understood and remembered by them wherever possible.
- Arkansas does not publish any annual reports on its ESPC program. Instead, the State Energy Office will send out press releases highlighting individual project results.
- In New Mexico, the Governor, the legislature, and the ESCOs are the primary audiences for the ESPC program’s annual reports. To view New Mexico’s annual ESPC report, please click here.
- In Virginia, the State Energy Office delivers data to the Governor’s office but also delivers it to the legislature upon request. ESCOs and potential clients also routinely request historical data from the program. All historical project data is available upon request.
How is the audience going to learn about this report?
State Energy Offices can set up in-person or virtual meetings to go over the findings of the report and highlight program progress over time. They can also send copies of the report to key legislators, Governor’s advisors, and state agency/MUSH market leadership to ensure they are aware of the program’s operations.
- The New Mexico State Energy Office brought ESCOs and other key stakeholders together in the early 2000s to discuss challenges to the state’s ESPC program at the behest of the legislature. As a result of the meeting, the state’s program adopted the current price agreements and the use of third-party reviewers for IGA and M&V reports.
How can your office use reporting to evaluate the program’s effectiveness and use performance metrics to inform/improve the program and ensure it is aligned with the program’s original goals?
State Energy Offices can set up meetings with key stakeholders (school district personnel, ESCOs, legislators, Governor’s staff, etc.) to discuss the status of the program, trends in investments by school districts, and identify key challenges that are inhibiting further growth of the program. State Energy Offices can use this feedback, combined with an analysis of program metrics and data, to suggest and make key changes to the program to ensure it is continuing to meet the goals it was established under.
- New Mexico reviews trends in IGA development, project implementation progress, and problems reported and resolved as well as the reports submitted to them by ESCOs to keep themselves informed of issues or trends in ESPC. New Mexico is also specifically studying report for microgrid and combined heat and power projects to better understand what barriers are occurring for those projects and how the parties are resolving those issues. The State Energy Office uses this data to examine options to advise the legislature on adjusting the enabling statute and funding options.