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This study presents a method to estimate the market investment potential for ESPC (energy-saving performance contracts) and annual blended energy savings remaining in buildings typically addressed by U.S. ESCOs (energy service companies). We define ESCOs as companies for whom performance-based contracting is a core business activity. The market potential analysis incorporates market penetration estimates provided by industry experts in late 2012, data on U.S. building stock typically addressed by ESCOs, and typical project investment costs from a database of 4000 þ projects. ESCO industry revenue growth significantly outpaced U.S. GDP (gross domestic product) growth during 2009e2011. We estimate that the remaining investment potential in facilities typically addressed by the ESCO industry ranges from ~$71 to $133 billion. Our analysis includes ESCO industry size and growth projections drawing on information from interviews with ESCO executives conducted in late 2012. The U.S. ESCO industry could grow in size from $6 billion in 2013 to ~$7.5 billion by 2014, but this growth is contingent on enabling policies. The U.S. ESCO industry is similar in size to the ESCO industries in Germany, France, and China. Our estimation approach could be adapted for other countries with the caveat that ESCO industry definitions and revenue reporting practices vary across countries. Published by Elsevier Ltd.

U.S. energy service companies (ESCOs) are very interested in expanding their businesses outside the U.S. Despite the needs of many countries for ESCO involvement, ESCOs face many challenges (i.e. marketing, financial, institutional, political and cultural impediments). Using Japan as an example, we present (i) impediments to the development of an ESCO industry, (ii) general guidance for helping Japan to develop its own ESCO industry, (iii) specific ESCO development strategies for Japan, and (iv) recommendations to U.S. companies considering joint ventures between U.S. ESCOs and Japanese companies.

Since the first oil crisis in the seventies, potentials for energy-efficiency improvements in the short and medium term have been studied extensively. Numerous analyses have indicated that energy-efficiency improvements of about 30–50% are technically feasible in industrialized countries over a period of one to two decades [ETSU, 1984; Maier, 1986; Lovins and Lovins, 1991; Beer et al., 1994].

Severe shortages of capital impose severe restraints on the implementation of cost-effective efficient lighting technologies in Eastern Europe. The article examines whether third-party finance provided by energy-service companies can help improve energy efficiency in lighting by providing the necessary capital and technical expertise. Twenty third-party-financed projects for street lighting efficiency improvements have already been undertaken in Hungary. The capabilities of existing and potential lighting energy service companies are examined. The potential role of other actors in the development of third-party finance for lighting efficiency in Hungary is also discussed. Those actors include banks, the European Community, and Western energy service companies.