Stage 3: Detailed appraisal
In Stage 3 you will finalise the form of contract or guarantee and appraise the financial outcome from your perspective.
At the end of this stage you will:
- have a project plan, and an organisation and reporting system in place
- have assembled your technical file and have gathered detailed baseline data for use in procurement
- know how the contract will be structured, understand what the cash flows to your organisation are likely to be, and have completed a risk assessment
- have performed a detailed financial analysis
- be ready to proceed to procurement, and have secured the appropriate approvals to do so.
The host organisation may establish an internal governance team, and use the Project Assistance Gratns (available via SEAI) to secure project management and other resources in order to advance the project. For the public sector, SEAI recommends no involvement of ESCOs during this stage, as to do so risks undermining the public procurement process. Private sector organisations may already have selected their ESCO at this stage - if so, Stage 3 becomes the IGA for the project. SEAI Project Assistance Grants will cover the cost associated with Stage 3 (technical and baseline file, Stage 3 workbook etc.) but does not cover the ESCO's design or costs associated with putting a commercial bid together. If an ESCO is not selected then the information gathered here can be used during the procurement / selection of an ESCO - see BOMA model.
If EPC is the selected route, then consult the Energy Performance Contracts Handbook for more detailed guidance on the process. If LESC is the selected route, consult the Local Energy Supply Contracts guidance.
Project Assistance Grants are available for Detailed Appraisal and Procurement (Stages 3 and 4) to help host organisations progress financially viable energy efficiency projects that are proposed for implementation through the EPC or EPRP procurement routes.
For EPRP contracts, a Project Assistance Grant is available up to 75% of eligible costs to a max of €15,000 (€20,000 total costs) for Product, Service or Works Identification & Viability.
For EPC contracts, a Project Assistance Grant is available up to 75% of eligible costs to a max of €37,500 (€50,000 total costs) for Tender preliminaries & Procurement.
See the Support and guidance page and the Guide to Project Assistance Grants under the National Energy Services Framework V1 6th June 2014.pdf (615.4 KB) for support available for Stage 3
Guidance and Documentation
The following Guidance, Support and Documentation is available to help you develop stage 3 your project:
Common to all energy contracting options
If you selected EPRP
If you selected EPC
If you selected LESC
|Where a public sector organisation has a Sanctioning Authority, approval is essential prior to proceeding to Tender (in Stage 4), at a minimum host organisation Board approval will be required.|