Project Financing

Guaranteed Energy Savings Agreement (GESA) is a vehicle to decrease growing utility costs. This is accomplished through a progressive contracting process that enables mass upgrades of building components such as lighting, HVAC, and water, among others to be replaced through a budget neutral process. These upgrades play an important role in significantly reducing energy usage, which results in decreased utility spending to operate the project. Each state has different regulations regarding their guaranteed energy savings programs.

Benefits: Performance-based procurement and financing mechanism that leverages energy and operational savings achieved through the installation and implementation of energy efficient and renewable energy equipment measures.

Energy as a Service (EaaS) payments are based on a measured quantity of energy (kilowatt-hours of electricity) saved. This enables customers to treat energy efficiency as a resource to fund facility improvements and to eliminate costly maintenance associated with outdated equipment. The EaaS is a “pay for performance model” where the finance partner takes on the project risk, while the customer only pays for the actual realized savings. The EaaS method is different than other forms of financing since it delivers an ongoing service beyond just installing new equipment and is off-balance sheet. An EaaS agreement typically covers project costs and ongoing performance risk including full-service maintenance and monitoring.

Benefits: Off-balance sheet, no up-front cost, pay for performance, ongoing maintenance and monitoring.

On-Bill Financing (OBF) allows eligible commercial customers to obtain 0% interest loans for a wide variety of energy projects. Best of all, with OBF, the loan is paid back based on the monthly energy savings via installments on the customer’s monthly energy bill. The loan is engineered and verified by the utility company to ensure “bill neutrality”, meaning the customer will not be charged more than the monthly energy savings during the loan term. After the loan is repaid, any energy savings that results from the new energy efficiency equipment will translate into lower utility costs.

Benefits: 0% interest, easy qualification process, no-upfront cost, bill neutrality.

An energy savings performance contract is a turn-key service that provides customers with a set of energy efficient technologies and upgrades that are implemented and paid for, either in full or partially, using the utility savings generated by these measures. Our approach to performance contracting involves providing an energy efficient design, guaranteed utility savings, and reliable financial analyses combined with a project delivery system that is unparalleled in the industry. The energy efficient design ensures that your building maximizes its performance and minimizes its operating cost and environmental impact.

Benefits: Completed project that uses energy efficient systems to improve thermal comfort and indoor air quality, while reducing energy consumption and costs, which then leads to reduced operating costs.

A Capital or Operating Lease is like a bank loan. In most cases the capital lease agreement allows for a monthly payment that is less than the projected monthly energy savings, creating a positive cashflow. Under terms of the capital lease, you own the energy efficient equipment for most legal and accounting purposes and as such, you must declare the equipment as an asset and the pre-determined lease payments as a liability. During the duration of the loan term, the finance company secures the loan using the equipment as collateral and releases this encumbrance at the end of the term.

Benefits: No-upfront cost, quick approval process, low minimum finance amounts.

The Solar Power Purchase Agreement (PPA) allows for a zero upfront cost solar installation. The power purchase provider maintains ownership of the system and is responsible for monitoring and maintaining the system to ensure power production is maximized with the solar project. The PPA acts like a second utility company, providing clean renewable energy at a cost-per-kilowatt hour that is less than the existing utility company providers.

Benefits: No-upfront cost, quick approval process, low minimum finance amount.

Our team is continually searching for utility rebates and incentives to help offset energy project costs for our customers. Understanding the nuances of how the incentive programs operate and requirements to ensure our projects qualify for the maximum incentives is part of the value offered by our team. In most cases, we will handle all the utility approval, pre- and post-inspection, and invoicing requirements, and even take payment directly from the utility company, reducing the overall project cost. Whether you have one site or dozens, we will ensure that you capture the most funding available by utilities programs large and small.

SitelogIQ prides itself on helping our customers find and manage alternative ways to fund projects and have helped customers target state or federal grant programs that help with the overall funding of a project. We have experience writing grants and advocating for their award. Our team assists with identifying funding strategies, grant writing, application and documentation verification, and post-award administration to ensure compliance, support progress reporting, and assists with appropriate grant close-out documentation.

Benefits: Fills project funding gaps, provides additional resources toward funding project goals, reduces capital costs.