INTRODUCTION TO ENERGY SERVICES
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This document provides definitions and descriptions of energy services from various sources. It discusses how energy services are commonly defined as the benefits provided by energy through conversion and use of technology, and what is demanded by and delivered to consumers. It also defines energy service companies (ESCOs) which contract to supply energy services through performance-based contracting linked to energy cost savings. Examples of ESCO definitions from the US, Thailand, and common ESCO activities like auditing, retrofitting and performance contracting are also presented, as well as charts showing jobs created in commercial/institutional and industrial energy efficiency services sectors.
![DEFINITIONS IN LITERATURES
▪ Work pertaining to Energy Service Companies (ESCOs), or companies that contract with consumers
to supply energy services rather than billing directly for energy used. 40 of 185 studies (22%) in the
Content Analysis(CA) were coded as making significant reference to this.
▪ Work in the general domain of international development, where the phrase ‘modern energy services’
is commonly employed,‘access to energy services is a prerequisite to the achievement of all eight
MDGs [Millennium Development Goals]’. 33 studies (18%) were coded this way in the CA.
▪ Energy modelling studies which attempt to understand the role of ‘energy service demands. 10
studies (5%) were given this code.
▪ Work related to understanding energy efficiency or the rebound effect, where definition of the inputs
and outputs under consideration is important.This theme was more diffuse and not specifically coded
for, but 34 studies (18%) mention the term ‘rebound’.
▪ Other kinds of study, especially social science work which aims to emphasize social drivers for
energy use.This was not specifically coded for.
Energy services: A conceptual review ,Michael James Fell,2016](https://image.slidesharecdn.com/introductiontoenrgyservices-211015062401/85/INTRODUCTION-TO-ENERGY-SERVICES-3-320.jpg)
INTRODUCTION TO ENERGY SERVICES
- 1. INTRODUCTION TO ENERGY SERVICES By ZAINI ABDUL WAHAB Energy Management System Expert-UNIDO
- 2. ENERGY SERVICES DEFINITIONS ▪ Circular definitions:The services provided by energy without additional explanation • the services that energy and energy appliances provide ▪ The thing that is actually delivered to or demanded by the ultimate consumer • a measure of the service actually provided to ultimate consumers by their own use of energy • Technical definitions: Being the result of conversion of energy or combining its use with technology of some kind • the physical benefit, utility or good derived from a combination of energy with energy efficient technology and/or with action (The EU Energy Efficiency Directive 2006/32/EC) ▪ Some general of specific ‘measure’ of service • common and more technical definition of transport energy services are distances travel Energy services: A conceptual review ,Michael James Fell,2016
- 3. DEFINITIONS IN LITERATURES ▪ Work pertaining to Energy Service Companies (ESCOs), or companies that contract with consumers to supply energy services rather than billing directly for energy used. 40 of 185 studies (22%) in the Content Analysis(CA) were coded as making significant reference to this. ▪ Work in the general domain of international development, where the phrase ‘modern energy services’ is commonly employed,‘access to energy services is a prerequisite to the achievement of all eight MDGs [Millennium Development Goals]’. 33 studies (18%) were coded this way in the CA. ▪ Energy modelling studies which attempt to understand the role of ‘energy service demands. 10 studies (5%) were given this code. ▪ Work related to understanding energy efficiency or the rebound effect, where definition of the inputs and outputs under consideration is important.This theme was more diffuse and not specifically coded for, but 34 studies (18%) mention the term ‘rebound’. ▪ Other kinds of study, especially social science work which aims to emphasize social drivers for energy use.This was not specifically coded for. Energy services: A conceptual review ,Michael James Fell,2016
- 4. THEMES COMMON TO VARIOUS UNDERSTANDINGS OF ENERGY SERVICES ▪ They provide ‘benefits’ to people ▪ They are services provided by energy ▪ They are what is actually demanded by and delivered to the consumer ▪ They result, at least in part from energy conversion in combination with technology (and some definitions only consider them to be energy services when energy is a major input in the provision of a service) 136 M.J. Fell / Energy Research & Social Science 27 (2017) 129–140
- 5. WHAT IS ESCO? • An entity that implements energy efficiency services for an installation or a facility. • An ESCO develops, designs, builds and finances projects (any or all of these services), that save energy, reduce energy, operations and maintenance costs at their customers' facilities. • An ESCO acts as a project developer for a comprehensive range of energy saving measures and assumes the technical and performance risks associated with a project. An ESCO may have the capacity to undertake Energy Performance Contracting. Source: MAESCO
- 6. ESCO DEFINITION:USA ❑Energy service companies (ESCOs) develop, design, build, and fund projects that save energy, reduce energy costs,& decrease operations & maintenance costs at their customers' facilities. • distinguished from other firms that offer energy-efficiency improvements in that they use the performance-based contracting methodology • the company's compensation is directly linked to the actual energy cost savings Source: U.S Department of Energy DOE Qualified List of ESCOs in accordance with the Energy Policy Act of 1992 and 10 C.F.R. 436. Companies approved for the DOE Qualified List of ESCOs may compete for energy savings performance contracts(ESPCs) with federal agencies.
- 7. ESCO DEFINITION:THAILAND ESCO or ESCo) is a commercial business providing a broad range of comprehensive energy solutions including… … designs and implementation of energy savings projects, energy conservation, energy infrastructure outsourcing, power generation & energy supply, arrange financing for projects and risk management for which performance contract & measurement & verification is a core part to ensure that the project technical performance is fully guaranteed during the contract period Source: Thai ESCO Association
- 8. COMMON ACTIVITIES IN ENERGY SERVICES ENERGY SERVICES Technical Energy Auditing Energy Efficiency Optimization Energy Efficiency Retrofitting M&V Non-Technical Financing Management & Project Consultancy Training Supply Chain Supplying Energy Performance Contracting(EPC)
- 9. JOBS CREATED IN ENERGY EFFICIENCY SERVICES SECTOR: COMMERCIAL & INSTITUTIONAL Source: Ernest Orlando Lawrence ,Berkeley National Laboratory,2010
- 10. JOBS CREATED IN ENERGY EFFICIENCY SERVICES SECTOR : INDUSTRIAL Source: Ernest Orlando Lawrence ,Berkeley National Laboratory,2010
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