EXECUTIVE SUMMARY The objective of this work was to determine the realization rate of energy and cost savings from the U.S. Department of Energy's (DOE's) Energy Savings Performance Contract (ESPC) program based on information reported by the energy services companies (ESCOs) that are carrying out ESPC projects at federal sites. Information was extracted from 172 measurement and verification (M&V) reports to determine reported, estimated, and guaranteed cost savings and reported and estimated

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... ergy savings for the previous contract year. For all 172 projects, there was sufficient information to compare estimated, reported, and guaranteed cost savings. For this group, the total estimated cost savings for the reporting periods addressed were $298.4 million, total reported cost savings were $296.1 million, and total guaranteed cost savings were $274.4 million. This means that, on average, • ESPC contractors guaranteed 92.0% of the estimated cost savings • projects reported achieving 99.2% of the estimated cost savings • projects reported achieving 107.9% of the guaranteed cost savings. For all 172 of the projects examined, there was sufficient information to compare estimated and reported energy savings. Based on site energy, estimated savings for those projects for the previous year totaled 12.382 million MMBtu, and reported savings were 12.077 million MMBtu, 97.5% of the estimated energy savings. For 169 of the projects examined there was sufficient information to calculate source energy savings. Based on source energy, total estimated energy savings for the 169 projects were 20.799 million MMBtu, and reported savings were 20.322 million MMBtu, 97.7% of the estimated energy savings. 1