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Kurashiki-Style ESCO Business

127% of the proposed energy savings achieved, with improvements being extended to other public facilities

As a result of a series of measures, the amount of primary energy savings has far exceeded the figure quoted by Azbil to the city, amounting to 127%. Based on this result, Kurashiki has developed an ESCO business for other public facilities and started providing service. A consortium of four companies, including Azbil and Kuraray Techno, continues to be involved and is achieving results. Moreover, preparations are now underway for the implementation of a third ESCO project.

“Through collaboration in the ESCO business, I could see firsthand Azbil’s energy conservation capabilities and know-how. The strengthening of our partnership with Azbil is a major advantage for Kuraray Techno. In the future, we hope to bring both energy efficiency and comfort to the facilities we operate here,” says Mr. Nakatatsu.

“Kurashiki is expected to continue working on new ESCO projects in order to accelerate facility management measures. In the future, hand in hand with Azbil, regardless of whether the context is public or private, we hope to meet the customers’ needs for energy efficiency and expansion of building equipment or operation and management,” says Kuraray’s Deputy General Manager Satoshi Akita.

Kurashiki Fire Department Joint Government Building (left) and Kojima Fire Department (right). Patrol inspections once a month and remote monitoring are done.

Kurashiki Fire Department Joint Government Building (left) and Kojima Fire Department (right). Patrol inspections once a month and remote monitoring are done.

glossary

*1 ESCO (energy service company) project
A project in which an energy service company guarantees a certain level of energy savings through the provision of comprehensive services for the reduction of energy consumption in a factory or building. There are two types of contract. Guaranteed savings contract: The facility owner bears the project costs and the energy service company guarantees the energy savings. Shared savings contract: The energy service company bears the project costs and the customer pays a fee for the energy savings and other services.
*2 Support for business energy efficiency improvement projects
A subsidy system to help businesses introduce equipment that is recognized as having significance for government policy because it uses advanced technology, is effective for saving energy, or is cost effective, as judged by the Sustainable Open Innovation Initiative (SII), which reviews energy efficiency plans submitted by the business.
*3 Building Energy Management System (BEMS)
A system that automates energy efficiency monitoring and control of all energy-consuming equipment in buildings, factories, district heating and cooling plants, etc., and minimizes the energy consumption of all associated buildings.

This case study was published in the 2021 No.1 issue of the azbil Group's corporate magazine, azbil.