Washington State is a leader in Energy Savings Performance Contracting (ESPC), a system that encourages collaboration from the beginning of the design process to hold down energy usage. McKinstry VP of energy and facility solutions Ash Awad, who’s a specialist in ESPC, tells us why.

1) The state encourages energy efficiency. Leading states like Washington have active energy efficiency policies that promote energy projects, plus a robust pool of grant and rebate dollars to help schools, hospitals, cities and agencies pay for these projects, Ash explains (he’s snapped here with Gov Inslee (left) and Avista CEO Scott Morris). The state also has utility conservation and energy code programs that value energy efficiency in buildings through incentives. In other states, the strength and quality of energy efficiency program varies. Seattle-based McKinstry provides energy services in nearly half of the states nationwide; most recently Nevada licensed it to do ESPC there.

2) There’s room for growth in the private sector. Although most ESPC work is done in the public sector, Ash sees opportunities for growth in the private commercial sector. Commercial owners, especially those who lease their buildings, have been reluctant to take on projects with longer paybacks. “We’re working to educate property owners on the positive financial implications of performance contracting--lower operating costs, a more sustainable building that's attractive to tenants, and savings that are guaranteed by the contractor,” he says. Ash is with King County Executive Dow Constantine, when McKinstry recognized King County as a Champion of Sustainability at a Seahawks game.

3) Washington already boasts successful green contracting. ESPC has historically been used as a tool to help meet the needs of a retrofit market, but in recent years contractors have focused on using it for design/build construction projects locally with “stunning success,” Ash says, such as at The Bullitt Center and Stone34, which were collaborative project approaches (though not ESPC) that incorporate long-term performance, like design-build with guaranteed outcomes. “We expect to see the market for efficiently designed, built and optimized buildings continue to grow—both through ESPC as well as other kinds of design/build,” he says.