Building Energy Conservation Initiative (BECI) Program
What is the BECI Program?
Established in April 1997, this program analyses State buildings for energy and resource
conservation opportunities. BECI utilizes a "paid from savings" procedure known
as "Performance Contracting." This allows agencies to perform energy retrofits
and building upgrades that would otherwise not be funded through capital appropriations,
providing the energy savings can pay for the project cost, as outlined in NH-RSA 21I.
The Governor's Office of Energy and Community Services (ECS) institutes
the study, along with the individual state agencies whose buildings are being evaluated.
This is done through a two-phase process.
First, a Request For Proposals (RFP) is issued to a pre-qualified group of
Energy Service Companies (ESCO) asking them to submit proposals based on a predetermined
list of Energy Conservation Measures (ECM). The
selected ESCO is then contracted to perform a detailed feasibility study (DFS).
The second phase of the BECI procedure, the actual construction project,
is based on the subsequent detailed feasibility study and guarantee included in that
study. This phase is negotiated with the contractor until the ten year payback can
What type of work will be performed
BECI is designed specifically for energy improving measures. A sample of those
improvements may include lighting upgrades; HVAC upgrades; domestic hot water systems;
energy management controls; water conservation measures; building envelope improvements;
and miscellaneous projects which the ESCO can prove are feasible within BECI. Click here for descriptions of these several energy
How is the ESCO Selected?
ECS and the state agency evaluate the proposals using a point system, and choose the best
plan for their specific needs. Each ESCO may have a different approach to achieve the
energy savings requested, but all proposals must show a positive cash flow within ten
The evaluation team scores each proposal using a point system based on six selection
criteria, and creates a short list of three contractors to be interviewed. Once the
evaluation team selects the successful ESCO, the Interagency Energy
Efficiency Committee (IEEC) must review and approve the proposal.
A Detailed Feasibility Study (DFS) is then prepared through negotiation
and discussions between the ESCO and the evaluation team. The final DFS and contract
approval must then come from IEEC and funding ultimately approved by the Governor and
Executive Council. Upon G&C approval the contract and associated financing becomes
How is the BECI Program Financed?
In May 2002, the State Treasurer secured a second financing package for this program for
up to $10 million, which will allow the State to undertake upcoming projects and draw
monies from that account as each RFP is completed.
The Master Lease Program (MLP) payments are then carried as line items in
each agency's utility budget. Since each actual utility cost has decreased, these savings
provide the funds for the new line item account. Under the current arrangement, savings
that exceed loan payments will revert to the state's general fund. The Treasury does not
consider a master lease additional debt; therefore, it has no negative impact on the
State's credit rating.
How are the BECI Savings verified?
Each contract includes instructions on the procedure needed to verify the savings
generated by these energy improvements. Since various buildings may include some, but not
all, of the suggested measures, a procedure of Measurement and Verification (M&V) is
unique to each energy improvement. The most common M&V procedures are "Stipulated
Savings", which are calculated upfront, and "Measured Savings" which
involve metering and sub metering.
ECS has asked the selected ESCO to provide separate pricing to perform
these tasks, based on the International Performance
Measurement and Verification Protocol (IPMVP). If savings fall short of the
"guaranteed savings" promised by the ESCO, they reimburse the State that
shortfall. The State agency can't lose!
BECI Current Status and Program
||# of Bldgs.
||RFP1 - NHTI (1)
||RFP2 - APS
||RFP3 - NHSLC
||RFP4 - NHTI (2)
||RFP5 - Admin Ser.
||RFP6 - NHCTC
||RFP7 - NH Courts
||RFP8 - DOT Sheds
||RFP9 - Corrections
||RFP10 - Army NG
||RFP11-14 - Misc.
* Figure is an
estimate only - Final cost and savings have not yet been determined
|ANNUAL ENERGY REDUCTION (RFP 1-5)
|Projected electrical savings
|Projected fuel oil savings
|Projected natural gas savings
|Projected propane savings
|Projected water savings
|Projected steam savings
|ENVIRONMENTAL IMPACT(Emission Reduction)
|Carbon dioxide (CO2) emissions:
|Sulfur dioxide (Sox) emissions:
|Nitrogen oxide (NOx) emissions:
* Figures are
estimates only - Final emissions have not yet been determined
For more information, contact:
Gary O'Connell, Energy Program Manager
Governor's Office of Energy and Community Services
Project / Building Energy
Conservation Initiative /
Energy Codes / Industrial Energy Efficiency
Program / Industries of the Future /
Million Solar Roofs Initiative / NH
ACTS / Rebuild New Hampshire / Renewable
Solar on Schools Program / State
Energy Emergency Planning /
State Heating Oil and Propane Program
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