Project Development Process: Overview

Project development process - overview

Developing and delivering an energy efficiency or energy supply investment project consists of a number of Stages. Stages 1 and 2 are essential in order to establish the objectives and determine the feasibility of the project before you decide how you are going to deliver it. However, you should ensure at the outset that energy contracting is, in principle, acceptable to your organisation.

At the end of Stage 2 you will select which contract route is best suited to your project and this will determine your specific activities in subsequent stages.

During Stage 3 you will establish how the contract is going to be structured, financed, and procured, and analyse the project financials in detail.

Note that the traditional contract route – design, build, payment – which alternatively may be selected from Stage 3, is not documented on this website.

Energy contracting - 5 stage process

*BOMA model: Building Owners and Managers Association Energy Performance Contracting model.

The Handbooks describe the 5 stages in detail and has associated workbooks to help you prepare projects using a number of contracting arrangements;

Should you decide to implement an energy efficiency project using an energy contracting arrangement, after securing internal approval, there are a number of contract types which you may choose (for more on the 3 different contract types see Energy contracting - the Basics):

Energy Contract Types

Support available

SEAI support programmes, such as the Large Industry Energy Network (LIEN), the Public Sector programme, and the SME programmes, can assist organisations to identify energy efficiency projects, provide an indication as to their viability and advise on the different contract types (or routes to implementation).

Additional support, referred to as ‘Project Assistance Grants’, is available from SEAI for public and private sector organisations that are committed to procuring and implementing comprehensive EPC and EPRP projects in 2014 and 2015.

For further information see the Guide to Project Assistance Grants under the National Energy Services Framework V1 6th June 2014.pdf and Support, Guidance and Documentation.

Guidance and documentation

SEAI has developed a suite of tender and guidance documents to help you implement the energy contracting process – see Support & Guidance or the Project Stages

Why use energy contracting?

An important benefit of energy contracting is the transfer of technical energy performance risk from the host organisation to the ESCO. See Basics for more information.

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