News Release Archive
SUPPLY/SERVICES--ENERGY PERFORMANCE CONTRACT ------------------------------------------------------------ Supply and Services Minister Gerald O'Malley has announced the signing of the first energy services contract between the province and the private sector. Mr. O'Malley said the province has signed a seven-year agreement with Landis and Gyr Powers to provide energy management services at the Maritime Museum of the Atlantic and the Public Archives of Nova Scotia in Halifax. The minister said Landis and Gyr will invest $185,000 in mechanical and electrical systems. Another $188,000 will be spent on energy monitoring, project management and invested in training government employees to operate the systems at the end of the contract. Mr. O'Malley said the real bonus for the province is the guaranteed annual savings of $49,370 over the life of the contract. If savings are less than that amount, the difference will be paid by Landis and Gyr. He said other benefits to the province include job creation, lower operating costs, reduced environmental impact because of reduced energy consumption, upgraded facilities and reduced financial technical risk. Under the contract, Landis and Gyr Powers will design, finance and install retrofits or other energy saving measures at the two locations. Energy costs over a recent 12-month period will be used as the basis for comparison. The company will take their costs and profits from the savings that are realized. Landis and Gyr will maintain and upgrade the system throughout the contract. At the end of the contract, government will inherit two state-of-the-art energy management systems, employees trained to operate and maintain them, and significantly reduced energy costs. Mr. O'Malley said this is an example of the government working closely with the private sector to deliver a service more efficiently and at a lower cost. "The government is committed to working with private industry in any case where it's possible," he said. "In these situations we all win. Government costs are reduced, while industry can grow and create jobs." Landis and Gyr Powers was chosen from three energy performance contractors that submitted proposals. While this is the first energy performance contract signed directly between the province and the private sector, others are in place with school boards, universities and hospitals. -30- Contact: David MacNeil 902-424-2933 trp Dec. 13, 1995