Jargon in our industry is confusing. Many people use different words for the same concepts. I will define the jargon used here.
|Adjusted Baseline||See Baseline.|
|Base Year||Represents period of time before the installation of the ESP, from which utility bills are used to establish a Baseline, often using regression analysis.|
|Baseline||How much energy would have been used by the building, had there been no ESP. This is called Adjusted Baseline by EVO. Traditionally ESCO people have called it Baseline, but this is changing and they are using Adjusted Baseline now more than ever.|
|Baseline Modification||When the client does something that interferes with the accuracy of using utility bills to track savings, ESCOs make Baseline Modifications to account for it. For example, if the client installs a solar PV system after an ESP has reached its performance period, then the solar PV system is going to dramatically increase perceived energy savings. As a result, a baseline modification is assigned to the meter to adjust the Baseline usage so that Baseline – Actual again represents a good estimate of savings, as it did before the solar PV system was installed. EVO calls this a non-routine adjustment.|
|ESCO||Energy service company. The company that installs and tracks the energy ESP.|
|ESP||Energy savings project|
|ESPC||Energy savings performance contracting|
|EVO||Efficiency Valuation Organization, an international non-profit advisory body that produces the IPMVP, the International Performance Measurement and Verification Protocol.|
|Metrix||Utility bill analysis software that performs regression analysis on weather or other variables. This software is used by ESCOs to estimate energy savings for ESPs.|
|Non-Routine Adjustment||See Baseline Modification.|
|Option C||Option C is a newer platform of utility bill analysis software, which performs regression analysis on weather or other variables. This software is used by ESCOs to estimate energy savings for ESPs.
Option C is also a type of M&V analysis as described by the EVO, ASHRAE and FEMP Guidelines. Option C is also called “Whole Building” analysis and estimates utility savings at the meter level. In this paper, Option C refers to the software described in the prior paragraph.
|Performance Period||This is the period of time in which the ESP is supposed to be saving energy. All of the energy savings technologies have already been installed and the M&V professional is now tracking energy and cost savings during this period.|
|Stipulated||When applying utility rates to the energy savings equation, you can use the current utility rate, or you can use some past rate. Or you can use some rate that is explicitly listed in the agreement between the Client and the ESCO. Stipulated refers to a rate that is explicitly listed in the agreement or contract. It typically is a simplification of the actual utility rate which might be complex.|
|TOU||Time of Use. This is a term associated with the time electricity is used. When there are TOU periods, you will see On Peak, Off Peak, and possibly Mid Peak, Shoulder, or Part Peak periods. Each of these time periods has its own $/kWh and/or $/kW associated with it.|