What ESCO means?
Energy Service Company abbreviation is used with connection with business model based on sharing benefits from improved energy efficiency between BMS provider and property owner.
The enterprise receives the offer of comprehensive energy solutions service i.e. preparation and implementation of an energy savings projects, retrofitting, energy conservation, energy infrastructure outsourcing which are provided by the specialized, ESCO entity.
The repayment of the investment generated from the savings is shared to cover entry investments and ESCO operating costs. After the completion of the contract, the entrepreneur becomes fully beneficiary of the profits, such as the reduction of the energy costs minus current ESCO operating costs.