An EPC firm is a form of contracting agreement within the construction and energy industries. EPC firms, otherwise known as EPC contractors, can provide their clients with comprehensive services for energy projects, making them the only partner a client would need throughout a projects entirety.
What does an EPC firm do?
EPC stands for engineering, procurement and construction. These are all important processes when it comes to energy projects. The engineering processes and services provided by EPC firms or contractors involve comprehensive energy audits and designing energy models to ensure accurate calculations for the project. Project engineering can involve technical evaluations, DC engineering, AC engineering, storage scaling, grid integration and interconnection, cost analysis, return analysis and project management.
The procurement process begins after energy solutions have been agreed upon. The project management staff of an EPC will then begin purchasing equipment for development. Along with procurement of equipment, this process can involve selecting subcontractors, insurances, guarantee management, cost analysis, logistics and project management.
Construction services to integrate energy systems into a facility will begin once the equipment arrives. In addition to coordinating and supervising the construction process, this phase involves interconnection of systems, risk management, quality control and project management.
What capabilities you should look for in an EPC firm:
There are five things all qualified EPC firms have in common aside from engineering, procurement and construction capacities. These capabilities are outlined below.
1. Energy audits
Energy audits involve a comprehensive assessment of your facility, looking into which areas can be improved in order to lower energy costs and increase efficiency and sustainability. Utility bills, company history, thermal boundaries, lights, mechanical systems and renewable energy systems are all evaluated during an audit. Gathering data through an audit is a crucial part of the engineering phase. This data allows engineers to design energy solutions to fit a facilities unique specifications.
2. In-house engineering and design
In-house engineering and design capacities make the energy project easier to coordinate without having to dictate an energy audit or design and engineering plan to an outside hire. With all energy project capabilities housed under one roof, the engineering and design staff can easily coordinate with the client, construction team and project managers.
3. Construction team on staff
Similar to having an in-house engineering and design team, it also streamlines a project when there is a construction team on staff. This again makes coordination between the client, engineering and design team and the EPC firm easier and therefore makes for a smoother project overall.
4. Performance guarantees
Energy system performance guarantees ensure that the facilities energy output and savings match was was promised at the beginning of the project. It is important to make sure that the EPC can offer a contractual performance guarantee in order to keep them accountable.
5. Financial and funding analyses
EPC firms should be knowledgeable in a range of financial and funding options and be able to provide their client an analysis of their finances in order to find an ideal option. Some financing options include C-PACE Financing, Managed Energy Service Agreements (MESAs), Energy Service Performance Contracts (ESCOs), PPAs, rebates, federal and state tax credits, USDA REAP grants and loans, and traditional bank loans. Several of these options even involve no-out-of-pocket expense.
Interested in working with an EPC firm?
EnergyLink is an EPC contractor with deep industry knowledge that allows us to provide customized turnkey energy solutions while maintaining time constraints and budget. Consistently focusing on new product innovations enables our team to deliver the most effective energy solutions to our customers. Our goal is to find appropriate energy solutions that will maximize utility savings and have a lasting impact on the environment. Click the button below to start the process or speak to an expert at (866) 218-0830.