A business that
offers comprehensive services on energy conservation to clients, who
in return will offer a part of their energy saving gains (saving on
utility bill, etc.)
has two forms: "Guaranteed
savings agreement" where customers
cover business costs and "Shared
savings agreement" where the ESCO
business covers business costs. These options enable service
provision according to customer needs.
A research estimates
its potential market size as 2,470 billion yen.
( Source: The ECCJ's ESCO Introduction Promotion Study Group Report
The market scale of
the ESCO business in the US in 2000 is approx. US$ 2 billion.
Support, in the
forms of partial subsidy for initial investments, low-interest
loans, etc., is extended to private enterprises and local
governments implementing the ESCO business.
A model ESCO project
will be introduced also at a national facility, i.e. METI building
from FY2004 onwards.