San Francisco based, Metrus Energy has announced its first deal in Connecticut: the Efficiency Services Agreement project with Bristol Hospital.
Scheduled to begin the second or third week of February 2018, and to end in January of next year, the $4.1 million efficiency-as-a-service project will involve construction to the hospital’s main campus and at the Ingraham Manor nursing facility, said a press releasefrom Shaw PR.
CEO and founder, BobHinkle, started Metrus in 2009 as a way to treat energy efficiency as a resource, which Hinkle says is a lot more cost effective.
To offer energy efficiency as a service, Hinkle and Metrus developed the ESA; Efficiency Services Agreement. The premise of the ESA is that the customer, in this case Bristol Hospital, doesn’t pay any of the upfront costs. Instead, Metrus will fund 100 percent of the project by working with a lender. For this ESA, the lender is New Resource Bank.
In order for Metrus to fund the entire project upfront, they essentially work with the contractor, Ingersoll Rand and Trane, to identify what areas of the hospital can be upgraded. Once those areas have been identified, Metrus will own the equipment that has been used for the duration of the ESA. Bristol Hospital will then work with Metrus to determine how much they are saving on their utility bill, and Metrus will be paid accordingly from the realized savings, Hinkle explained.
At the end of the ESA, Hinkle explained, the equipment can be purchased by the hospital for less than the original price, or, the hospital can ask to have the ESA extended.
“It’s really a win-win for everyone involved,” said Chris Boyle, the director of Public Relations and Marketing for Bristol Hospital.