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A tool for partnerships between Federal agencies and their franchised or serving utilities. With a UESC, the utility typically arranges financing to cover the capital costs of the project. Then the utility is repaid over the contract term from the cost savings generated by the energy efficiency measures. With this arrangement, agencies can implement energy improvements
with no initial capital investment; the net cost to the Federal agency is minimal, and the agency saves time and resources by using the one-stop shopping provided by the utility.

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Last Updated: July 31, 2017