July 2010: The International Energy Agency’s (IEA) Demand Side Management Programme (DSM) has released a synopsis of the final report of its Competitive Energy Services (i.e. energy-contracting) project.

The DSM report addresses the need to improve the record of energy conservation efforts. It describes the results of a three-year project, including summaries of key methodological results in terms of: new Energy Contracting models; calculation tools for estimating savings; financing options; comparisons of building refurbishment options; and residential sector opportunities. Additionally, it summarizes case studies of national implementation activities in Austria, Belgium, Finland, India, Japan and the Netherlands.

The report’s main findings include that, although Energy Contracting can be highly beneficial in terms of energy and cost savings, the interdisciplinarity (technical, economical, financial, organizational and legal), and general complexity create barriers for successful implementation. General lessons drawn from the research for better developing energy service markets include: recognizing the value of independent market facilitators; incorporating energy efficiency in energy contracting projects; and giving priority to the development of projects in end-use sectors of public institutions, the tertiary sector, trade and industry, and housing. [IEA DSM Website][IEA DSM Publications Website]