Guidance on Utility Rate Estimations and Weather Normalization in Performance Contracts

Document explains how to use estimated energy and water rates and normalized weather da ta in determining payments under an ESPC or UESC.

Federal Energy Management Program

March 19, 2024
minute read time

Document explains how to use estimated energy and water rates and normalized weather data in determining payments under a federal energy savings performance contract (ESPC) or utility energy service contract (UESC). This is the U.S. Department of Energy's official guidance for agencies in determining energy and water escalation rates for ESPCs and UESCs. 

The 2024 guidance supersedes 2013 and 2019 Guidance on Utility Rate Estimations and Weather Normalization in an ESPC, which are no longer in effect. 

Archived Guidance