Skip to main content

How to Report the Savings from Your EPC Project

How to Report the Savings from Your EPC Project


Reading Time: 12 minutes
Key Takeaway: Clear and accurate reporting of energy savings from EPC projects ensures transparency, validates performance, and builds confidence for stakeholders, investors, and regulators.

Summary Box

  • EPC savings must be measured and reported correctly.

  • Independent verification strengthens credibility.

  • Proper reporting helps in financial, regulatory, and operational decision-making.

  • Following a structured methodology prevents disputes and ensures transparency.

Introduction 

Problem: Many building owners and project managers struggle to accurately report energy and cost savings from their EPC (Engineering, Procurement, and Construction) projects. Inaccurate or inconsistent reporting can lead to misunderstandings, mistrust, and even disputes with contractors, financiers, or regulators.

Agitation: Without clear reporting, owners cannot prove that the project delivered promised energy reductions or cost savings. Misreported data can result in financial loss, poor decision-making, and credibility issues. Stakeholders may question the project’s effectiveness, leading to conflicts or compliance issues.

Solution: That’s why it’s essential to understand “How to Report the Savings from Your EPC Project". A structured, transparent approach ensures all energy savings are measured, verified, and communicated clearly — giving owners confidence in their investment and helping stakeholders make informed decisions.

How to Report the Savings from Your EPC Project

Reporting EPC project savings is a critical step to demonstrate the value of energy efficiency investments. Understanding How to Report the Savings from Your EPC Project ensures transparency, accountability, and stakeholder confidence.

1. Understanding EPC Savings

EPC savings come from:

  • Reduced energy consumption

  • Lower utility costs

  • Improved operational efficiency

  • Enhanced equipment performance

Owners need to measure, validate, and report these savings to prove project success.

2. Importance of Accurate Reporting

  • Builds stakeholder trust

  • Supports financial and regulatory compliance

  • Enables data-driven decision-making

  • Prevents disputes or misunderstandings

Accurate reporting demonstrates that the project delivers real value.

3. Establish a Measurement and Verification (M&V) Plan

Before reporting, a solid M&V plan is crucial:

  • Defines what will be measured

  • Establishes baseline energy use

  • Sets measurement methods and frequency

  • Identifies responsibilities

  • Outlines calculation formulas

Following a standardized M&V plan ensures consistency and credibility.

4. Key Steps in Reporting EPC Savings

Step 1: Gather Data

  • Meter readings and energy bills

  • Equipment runtime logs

  • Operational schedules

  • Weather or occupancy adjustments

Step 2: Compare Against Baseline

  • Identify pre-project energy consumption

  • Compare actual usage after retrofit or upgrade

  • Adjust for external factors like weather or occupancy changes

Step 3: Calculate Savings

  • Energy savings = Baseline energy – Post-project energy

  • Cost savings = Energy savings × unit price of energy

  • Report in kWh, GJ, or other relevant units

Step 4: Verify Data

  • Ensure accuracy of meters and data collection

  • Validate calculations against standards (IPMVP, ASHRAE)

  • Cross-check anomalies or outliers

Step 5: Document and Summarize

  • Create a clear report with charts, tables, and narratives

  • Highlight key savings and performance metrics

  • Explain assumptions and adjustments

5. Reporting Formats

  • Executive summary for stakeholders

  • Detailed technical report for engineers

  • Visual dashboards for quick insights

  • Periodic updates for investors or regulatory bodies

Choosing the right format improves clarity and understanding.

6. Independent Verification

  • Engaging an ITA (Independent Technical Advisor) adds credibility

  • ITAs review M&V plans, validate calculations, and confirm savings

  • Independent verification prevents disputes and enhances confidence

7. Common Mistakes in EPC Reporting

  • Ignoring baseline adjustments

  • Using inaccurate or incomplete data

  • Failing to explain assumptions

  • Reporting inconsistent units

  • Overestimating savings

Avoiding these ensures credibility and transparency.

8. Reporting Frequency

  • Monthly or quarterly reports during project execution

  • Annual summaries for long-term projects

  • Final project report upon completion

  • Regular updates support continuous monitoring and verification

9. Tools and Software for Reporting

  • Energy management software

  • Sub-metering systems

  • Data logging tools

  • Reporting dashboards

  • Automated alerts for anomalies

Technology makes reporting easier, faster, and more accurate.

10. Communicating Savings to Stakeholders

  • Present clear visuals and summaries

  • Explain assumptions and methodology

  • Highlight achieved savings versus targets

  • Address challenges or deviations transparently

  • Provide actionable recommendations

Clear communication ensures stakeholders understand and trust the results.

11. Integration with Financial Reporting

  • Align energy savings with cost savings in budgets

  • Highlight ROI and payback periods

  • Include verified savings in performance-based contracts

  • Support internal and external audits

Integration with finance strengthens project justification and decision-making.

12. Risk Management in Reporting

  • Identify potential errors or gaps in measurement

  • Adjust for operational or environmental changes

  • Use verification to mitigate disputes

  • Document all assumptions and corrections

Proper risk management ensures accurate and defensible reporting.

13. Compliance with Standards

  • Follow IPMVP, ASHRAE, or local standards

  • Ensure energy savings are verifiable and transparent

  • Meet regulatory or contractual reporting requirements

Compliance strengthens credibility and minimizes legal risk.

14. Case Examples

  • Commercial office retrofit: Reporting reduced energy consumption by 25% and verified cost savings of $50,000 annually.

  • Industrial plant upgrade: M&V plan highlighted improved equipment efficiency, saving 1,200 MWh per year.

  • Hospital energy efficiency project: Verified reduction in utility bills and carbon footprint.

These examples show the importance of structured reporting.

15. Best Practices

  • Start with a robust M&V plan

  • Maintain accurate and complete data logs

  • Use standardized calculation methods

  • Engage independent verification where possible

  • Communicate clearly with stakeholders

  • Update reports regularly

Following these practices ensures confidence and transparency.

16. Benefits of Proper Reporting

  • Demonstrates project success and credibility

  • Supports investor confidence and future funding

  • Reduces risk of disputes with contractors

  • Enables data-driven decisions for operational improvements

  • Provides documented evidence for regulatory compliance

17. Post-Project Monitoring

  • Continue periodic M&V after project completion

  • Track savings against long-term projections

  • Adjust operations or maintenance strategies

  • Report findings to owners and stakeholders

Ongoing monitoring sustains project benefits and confirms ROI.

18. Key Takeaways

  • Accurate reporting proves the value of EPC projects

  • Independent verification strengthens trust

  • Standardized methods prevent disputes

  • Clear communication ensures stakeholders understand results

  • Regular monitoring maximizes long-term benefits

Conclusion — Final Paragraph with Call to Action

Understanding How to Report the Savings from Your EPC Project is essential to validate energy reductions, demonstrate financial returns, and maintain stakeholder confidence. By following a structured approach, using verified data, and engaging independent oversight, owners can ensure their projects deliver measurable, credible savings. For professional guidance on reporting EPC project savings and maximizing transparency and accuracy, WhatsApp or call 0133006284 today to get expert support from Techikara Engineering Sdn Bhd. 

Comments

Post a Comment

Popular posts from this blog

The Ultimate Guide to the EECA 2024: What Every Malaysian Business Needs to Know.

      https://www.techikara.com/ The Ultimate Guide to the EECA 2024: What Every Malaysian Business Needs to Know Estimated reading time: 10 minutes   K ey takeaways:   ●       New Regulations for Major Energy Users: The Energy Efficiency and Conservation Act (EECA) 2024 now requires businesses in Peninsular Malaysia and Labuan that use 21,600 gigajoules (GJ) or more of energy annually to comply with new regulations. This includes appointing a Registered Energy Manager (REM), implementing a formal Energy Management System (EnMS), and conducting regular energy audits. ●       Mandatory Requirements for Office Buildings: Initially, the Act targets office buildings with a Gross Floor Area (GFA) of 8,000 square meters and above. Owners or managers of these buildings must apply for and display an official energy intensity label, which rates the building's ef...
Post a Comment
Read more

Energy Efficiency Improvement Plan

What is an Energy Efficiency Improvement Plan? An Energy Efficiency Improvement Plan is a strategic framework designed to reduce energy consumption, lower costs, and enhance sustainability. It involves assessing current energy usage, identifying inefficiencies, and implementing targeted improvements. Key Steps in Developing an Energy Efficiency Improvement Plan: Conduct an Energy Audit:  Assess current energy consumption patterns to identify areas of inefficiency. Set Energy Efficiency Goals:  Establish clear, measurable objectives for reducing energy use and improving sustainability. Identify and Implement Solutions:  Develop and execute strategies such as upgrading to energy-efficient equipment, optimizing HVAC systems, and automating energy management. Monitor and Evaluate Performance:  Track energy usage over time, analyze results, and make necessary adjustments for continuous improvement. Employee Engagement and Training:  Educate staff on energy-saving pra...
Post a Comment
Read more

How to Develop an Effective Energy Management Strategy for Your Company

  https://www.techikara.com/ How to Develop an Effective Energy Management Strategy for Your Company Reading Time: Approximately 7-8 minutes Key Takeaway: As a corporate leader or facility manager in Malaysia, you're facing increasing energy costs and, critically, new compliance requirements under the Energy Efficiency and Conservation Act (EECA) 2024. Simply reacting to high bills or fixing one-off problems isn't enough anymore. What you need is a structured, long-term plan to control your energy use – in other words, an effective energy management strategy. But where do you start? How do you move beyond quick fixes to truly embed energy efficiency into your company's DNA? This article will guide you on How to Develop an Effective Energy Management Strategy for Your Company, showing you how a systematic approach not only reduces costs and strengthens sustainability efforts but also ensures you meet your legal obligations and stay competitive in Malaysia's evolvin...
Post a Comment
Read more