Energy Servicing Companies (ESCO’s)

Abstract

The ESCO concept was originated in France before world war-2 when engineer’s evolved this mechanism as a means to provide expert services to reduce heating bills of property owners and occupiers that could be paid from savings.  India’s energy intensity is very high, which is 4.5 times that of Japan, 2.5 times of USA and 1.3 times that of Singapore. For reducing its energy intensity substantially, India needs to implement the proposed “National Response Plan” very aggressively. As it has been proven in many developed countries, the Energy Service Companies (ESCOs) are well equipped for achieving energy efficiency (EE) in all potential sectors. ESCOs can help Indian industry too become cost competitive in the global marketplace. Energy services companies (ESCOs) can help Indian industry to reduce its energy costs significantly and become cost competitive in the global marketplace, while at the same time reducing the risk of projects “going wrong”.