[Code of Federal Regulations]
[Title 48, Volume 1]
[Revised as of October 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 48CFR23.204]

[Page 451]
 
            TITLE 48--FEDERAL ACQUISITION REGULATIONS SYSTEM
 
                CHAPTER 1--FEDERAL ACQUISITION REGULATION
 
PART 23_ ENVIRONMENT, ENERGY AND WATER EFFICIENCY, RENEWABLE ENERGY 
TECHNOLOGIES, OCCUPATIONAL SAFETY, AND DRUG-FREE WORKPLACE--Table of Contents
 
     Subpart 23.2_ Energy and Water Efficiency and Renewable Energy
 
Sec.  23.204  Energy-savings performance contracts.

    (a) Section 403 of Executive Order 13123 of June 3, 1999, Greening 
the Government through Efficient EnergyManagement, requires an agency to 
make maximum use of the authority provided in the National Energy 
Conservation Policy Act (42 U.S.C. 8287) to use an energy-savings 
performance contract (ESPC), when life-cycle cost-effective, to reduce 
energy use and cost in the agency's facilities and operations.
    (b)(1) Under an ESPC, an agency can contract with an energy service 
company for a period not to exceed 25 years to improve energy efficiency 
in one or more agency facilities at no direct capital cost to the United 
States Treasury. The energy service company finances the capital costs 
of implementing energy conservation measures and receives, in return, a 
contractually determined share of the cost savings that result.
    (2) Except as provided in 10 CFR 436.34, ESPC's are subject to 
subpart 17.1.
    (c) To solicit and award an ESPC, the contracting officer--
    (1) Must use the procedures, selection method, and terms and 
conditions provided in 10 CFR part 436, subpart B; at http://
www.eren.doe.gov/femp/resources/legislation.html; and
    (2) May use the ``Qualified List'' of energy service companies 
established by the Department of Energy and other agencies.