Study On The Value Of The Energy Service Companies Promoted By Energy Performance Contracting

As a new business model, energy performance contracting (EPC) is an effective wayof energy-saving and emission reduction proved by the successful practice in Westerndeveloped countries, as well as accord with the current needs of the sustainabledevelopment of economy and society. Our government introduced EPC into our countryin1990s, after more than10years’ of policy promotion and market cultivation, EPC hasgradually developed in our country, forming an emerging industry form——the energyconservation service industry, with EPC as the business model and ESCO(EnergyService Companies) as the representative. At present, the governments, scholars andcompanies have agreed that EPC will play an important role for our country’s energyconservation and environmental protection as well as the sustainable development. But inpractice, the development of EPC is not well, partly because of the inadequateimplementation of government policies, a more important reason lies in the insufficientunderstanding of the essence of EPC, especially for ESCO, it cannot recognize the valueadded by the implementation of EPC objectively. Most of the current studies are basedon the theoretical analysis, there has been little empirical research conducted by scholarsfor this issue.This article makes an empirical study on the effect of EPC to improve theenergy-saving service value using the method of event study. First of all, it starts with thegeneration and nature of EPC, defines the connotation of energy-saving service value,puts forward a management framework for the energy-saving service value, and clarifiesthe whole process of innovation-appreciation-share for energy-saving service value inthe EPC activities. And then with the listed ESCO as the study object, this paper studiesthe influence of EPC model on the short-term market reaction and long-term businessperformance of the listed ESCO. On the basis of empirical studies, combined with themanagement framework of energy-saving service value, this paper puts forward a“four-wheel drive” management framework for EPC, making the targetedrecommendations for the development of EPC, to play full of its potential for energy conservation and emissions reduction, and achieve the sustainable development ofeconomy and society.