Appendix B 347
EMS or Energy Management System—A computer that can be pro-
grammed to control and/or monitor the operations of energy consum-
ing equipment in a facility.
Energy Performance Contract—A contract between two or more parties
where payment is based on achieving specified results; typically, guar-
anteed reductions in energy consumption and/or operating costs.
Energy Savings—Actual reduction in electricity use (kWh), electric
demand (M), or thermal units (Btu).
ESPC or Energy Savings Performance Contract—A term used in the
United States equivalent to Energy Performance Contract.
ESCO or Energy Services Company—A firm which provides a range of
energy efficiency and financing services and guarantees that the speci-
fied results will be achieved under an energy performance contract.
M&V or Measurement & Verification—The process of determining
savings using one of the four IPMVP Options.
Metering—Collection of energy and water consumption data over time
at a facility through the use of measurement devices.
Monitoring—The collection of data at a facility over time for the pur-
pose of savings analysis (i.e., energy and water consumption, tempera-
ture, humidity, hours of operation, etc.)
M&V Option—One of four generic M&V approaches defined herein for
energy savings determination.
Post-Retrofit Period—Any period of time following commissioning of
the ECM.
R2-R Squared (see Appendix B)
Regression Model—Inverse mathematical model that requires data to
extract parameters describing the correlation of independent and de-
pendent variables