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Detailed contract energy management
2019-04-20

EPC (Energy Performance Contracting): Energy-saving service company (ESCO) and energy-using units agree on energy-saving targets for energy-saving projects in contract form. Energy-saving service companies provide necessary services to energy-using units to achieve energy-saving goals. The unit pays the energy-saving service company's investment and its reasonable profit energy-saving service mechanism with energy-saving benefits.


 


In the past, it was widely called EMC in China (this is the old name, and it has been in line with international standards in the national standards of **, called EPC-Energy Performance Contracting). This marketization mechanism began to develop in western developed countries in the 1970s. A new energy-saving mechanism based on market operation.


 


The essence is the energy-saving business method of paying the full cost of energy-saving projects with reduced energy costs. This energy-saving investment method allows customers to upgrade their plants and equipment with future energy-saving benefits to reduce operating costs; or energy-saving service companies provide energy-saving services to customers by committing to energy-saving benefits of energy-saving projects or contracting overall energy costs. The national standard for contract energy management is GB/T24915-2010 "Technical Specifications for Contract Energy Management". The state supports and encourages energy-saving service companies to carry out energy-saving services under the contract energy management mechanism, enjoying financial incentives, business tax exemption, VAT exemption and enterprises. Income tax is exempt from three reductions and three preferential policies.


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