Application of energy performance contracting in the greener government buildings program in Victoria: incentives, barriers and strategies

Zhang, G, Xiaohua, J and Khalfan, M 2014, 'Application of energy performance contracting in the greener government buildings program in Victoria: incentives, barriers and strategies', in Shen, Li Yin ; Ye, Kunhui ; Mao, Chao (ed.) Proceedings of the 19th International Symposium on Advancement of Construction Management and Real Estate (CRIOCM 2014), Chongqing China, 7-9 November 2014, pp. 341-356.


Document type: Conference Paper
Collection: Conference Papers

Title Application of energy performance contracting in the greener government buildings program in Victoria: incentives, barriers and strategies
Author(s) Zhang, G
Xiaohua, J
Khalfan, M
Year 2014
Conference name CRIOCM 2014
Conference location Chongqing China
Conference dates 7-9 November 2014
Proceedings title Proceedings of the 19th International Symposium on Advancement of Construction Management and Real Estate (CRIOCM 2014)
Editor(s) Shen, Li Yin ; Ye, Kunhui ; Mao, Chao
Publisher Springer
Place of publication Germany
Start page 341
End page 356
Total pages 16
Abstract The Victorian Government, through its Department of Treasury and Finance's (DTF) Greener Government Buildings (GGB) Program, has been delivering energy saving and facility improvement projects across the State's departments and agencies since 2009. The majority of these projects are being delivered through Energy Performance Contracting (EPC), where efficiencies created eventually re-pay the investment in the projects. The EPC market in Australia and the Energy Service Companies (ESCOs) which contract through the model is underdeveloped, in comparison to other markets. While the GGB program has been a driving force for many ESCOs entering the Victorian market, the difference in development and experience, coupled with the altered environment in which the GGB program operates means that there is a degree of uncertainty in many aspects of operating EPCs in Victoria. These uncertainties can lead to inefficiencies in delivering EPCs which may affect the decision to proceed, as well as project success. This paper seeks to understand the GGB program in the context of EPCs globally, the challenges that it faces and how they are being approached through the three main themes: (1) the incentives to stakeholders (clients and ESCOs) to be involved in the program; (2) barriers to the EPC and ESCO industry in Victoria; (3) strategies that have been adopted throughout projects, and the effect this has had on project success and stakeholder collaboration.
Subjects Building Construction Management and Project Planning
Keyword(s) Energy performance contracting Energy service company Asset management Greener government buildings Victoria
DOI - identifier 10.1007/978-3-662-46994-1_29
Copyright notice © Springer-Verlag Berlin Heidelberg 2015
ISBN 9783662469941
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