Measurement & Verification: Tapping into ARRA Stimulus Funds

The American Recovery and Reinvestment Act of 2009 (ARRA) offers $20 billion for energy efficiency programs, creating unprecedented opportunity for energy service companies (ESCOs). State and federal energy efficiency programs are expanding to improve residential, institutional, government, commercial and industrial facilities nationwide.

This expansion opens broad new markets for ESCOs to weatherize, upgrade lighting, replace underperforming fans and motors, install energy efficient heating and cooling systems and provide other energy performance services. Federal facilities, in particular, will undergo extensive modernization through $9 billion in stimulus money. As a result, the door opens wide for energy saving performance contracting, since this is an approach already favored by federal agencies.

As the market grows for energy efficiency, so does demand to measure and verify energy savings, while always an important part of energy efficiency performance contracts, measurement has become more critical as government agencies require renewed accountability for money spent.

Data loggers play a key role in providing verification. By measuring electricity use, heat, lighting, carbon dioxide and other parameters, these powerful, battery-operated devices provide fine-tuned building and equipment analysis.

This paper details new energy efficiency programs from the ARRA (more commonly called federal stimulus funds), explains why measurement is increasingly important, and discusses ESCOs’ use of energy saving data loggers.