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North America Energy Saving and Performance Contracting Growth Opportunities
Energy Efficiency Policies to Create Growth Pipeline for Resilient Building and Clean Energy Strategies
01-Nov-2023
North America
Market Research
PF5F-01-00-00-00
EN_2023_274
Buildings are becoming more energy-intensive and with features like electric vehicle charging adding to the existing load, the need to reduce energy consumption acquires an even greater importance. Energy saving and performance contracting (ESPC) is one way to achieve energy efficiency. In that sense, North America has been the second-largest market behind China for ESPC.
The North American ESPC market witnessed a drop in its growth rate in 2021 and 2022. This can be attributed to the policy changes in the US government and delayed legislation in Canada. The public sector was the most affected but the decline in growth rate was offset by huge investments in the industrial and commercial segments, which focused on improving the standards and safety of buildings after COVID.
Frost & Sullivan estimates that the market will grow by 5.9% between 2022 and 2028. Key growth drivers in the North American ESPC market include aging infrastructure needing upgrades, rising electricity costs, rising fossil fuel usage, building 2030 and 2050 energy targets to achieve net zero energy buildings, and financing options that reduce the capital expenditure burden on customers. Growth restraints include irregular policy changes, reduced government funding for public projects, contractual complexities, and project delays due to external factors such as supply chain disruptions, delays in approvals, and natural calamities.
This study segments the market based on customer sector and energy conservation measures. By customer sector, the study analyzes federal, state/municipal, K-12 schools, tertiary education (universities), healthcare, public housing, and industrial and commercial. By energy conservation measure, the study analyzes lighting, heating, ventilation, and air conditioning (HVAC); building automation and controls (BACs); building envelope, water conservation, renewable energy, and others (including CHP and microgrids).
Reformation of energy efficiency policies, analytical platforms that complement hardware solutions, and a focus on health and well-being inside buildings along with energy efficiency will be critical to the future growth prospects of this market.
Author: Dennis Marcell Victor
Why is it Increasingly Difficult to Grow?
The Strategic Imperative 8™
The Impact of the Top 3 Strategic Imperatives on the North American Energy Savings and Performance Contracting Industry
Growth Opportunities Fuel the Growth Pipeline Engine™
Scope of Analysis
Scope of Analysis (continued)
Market Segmentation
Market Segmentation (continued)
Key Competitors
Key Competitors (continued)
Global Energy Efficiency Investments
Financing for Energy Efficiency Projects
Global Status of Building Energy Codes in 2022
Measures Improving Energy Efficiency in Buildings
Growth Metrics
Growth Drivers
Growth Driver Analysis
Growth Driver Analysis (continued)
Growth Restraints
Growth Restraint Analysis
Growth Restraint Analysis (continued)
Forecast Assumptions
Revenue Forecast
Revenue Forecast by Country
Revenue Forecast Analysis
Revenue Forecast by Contract Type
Revenue Forecast Analysis by Contract Type
Revenue Forecast Analysis by Contract Type (continued)
Revenue Forecast by Customer Sector
Revenue Forecast by ECM
Revenue Forecast Analysis by Customer Sector and ECM
Competitive Environment
Revenue Share of Top Participants
Revenue Share Analysis
Revenue Share Analysis (continued)
Growth Metrics
Revenue Forecast
Revenue Forecast by Customer Sector
Revenue Forecast by ECM
Revenue Forecast Analysis
Growth Metrics
Revenue Forecast
Revenue Forecast by Customer Sector
Revenue Forecast by ECM
Revenue Forecast Analysis
Growth Opportunity 1: Energy-efficiency Regulatory Policy Reform
Growth Opportunity 1: Energy-efficiency Regulatory Policy Reform (continued)
Growth Opportunity 2: Analytics and Software Platforms to Complement Hardware Oriented Energy Contracts
Growth Opportunity 2: Analytics and Software Platforms to Complement Hardware Oriented Energy Contracts (continued)
Growth Opportunity 3: Efficiency-as-a-service for Smaller Energy Savings and Performance Projects
Growth Opportunity 3: Efficiency-as-a-service for Smaller Energy Savings and Performance Projects (continued)
Growth Opportunity 4: Combining Health and Wellness Offerings with Existing Building Solutions
Growth Opportunity 4: Combining Health and Wellness Offerings with Existing Building Solutions (continued)
List of Companies in ‘Others’
Your Next Steps
Why Frost, Why Now?
List of Exhibits
List of Exhibits (continued)
Legal Disclaimer
List of Figures
- Investment in Energy Efficiency, Electrification, and Renewables for End Uses by Sector, Global, 2022
- Investment Spending on Energy Efficiency and Electrification by Region, Global, 2022
- Status of Building Energy Codes, Global, 2022
- Factors Contributing to Energy Efficiency Improvement in Buildings, Global, 2022
- Energy Service and Performance Contracting Market: Growth Metrics, North America, 2022–2028
- ESPC Market: Growth Drivers, North America, 2023–2028
- ESPC Market: Growth Restraints, North America, 2023–2028
- ESPC: Revenue Forecast, North America, 2020–2028
- ESPC: Revenue Forecast by Country, North America, 2020–2028
- ESPC: Revenue Forecast by Contract Type, North America, 2020–2028
- Government Investment in Energy Efficiency and Renewable Energy, By Funding Mechanism, United States, 2015–2022
- ESPC: Revenue Forecast by Customer Sector, North America, 2020–2028
- ESPC: Revenue Forecast by ECM, North America, 2020–2028
- ESPC: Competitive Environment, North America, 2022
- ESPC: Revenue Share of Top Participants, North America, 2022
- EPC: Growth Metrics, North America, 2022
- EPC: Revenue Forecast, North America, 2020–2028
- EPC: Revenue Forecast by Customer Sector, North America, 2020–2028
- EPC: Revenue Forecast by ECM, North America, 2020–2028
- ESC: Growth Metrics, North America, 2022
- ESC: Revenue Forecast, North America, 2020–2028
- ESC: Revenue Forecast by Customer Sector, North America, 2020–2028
- ESC: Revenue Forecast by ECM, North America, 2020-2028
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