
Sustainable Energy Services Agreement (SESA)
Category: Energy Supply
The Sustainable Energy Services Agreement (SESA) is a pay-for-performance, climate-positive financing solution that allows colleges and universities to implement multi-measure energy efficiency (EE) and clean energy projects with zero upfront capital expenditure. Similar in structure to a power purchase agreement (PPA), the SESA is a flexible way to improve operations, save energy and money by consolidating upgrades into one simplified contract.
Benefits
- No upfront costs: Retrofits are financed by a third-party asset owner (SESA provider) who is paid based on measured savings
- Off-balance sheet solution preserves debt capacity
- SESA projects bring immediate savings and can reduce your carbon footprint by thousands of metric tons
- The SESA is a flexible solution that can fund any type of asset that saves electricity, natural gas, fuel oil and water. EE, Solar, battery storage, and EV chargers can be built into a single SESA project.
Challenges
- Project development can be complex, take time to implement and involve multiple stakeholders on campus
- Market confusion and lack of awareness about “as a service” offering

Impacts
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GHG Impact
Large
More InfoSESA projects bundle measures to drive deeper energy savings, delivering large GHG reductions.
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Economic Impact
Net Savings
More InfoCash flow positive, off-balance sheet and no upfront costs.
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Feasibility
Doable
More InfoSESA contractual model works in every state and is best suited for campuses with approximately 1,000 students or more.
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Timeline
< 1 year
More InfoThe development timeline varies from 6 to 12 months depending on the project scope.
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Maintenance
Low / None
More InfoSelected maintenance services are typically included in SESA projects based on what works best for a campus and its facility team.
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Publicity
That's really cool
More InfoSESA projects create and encourage multiple opportunities for publicity and engagement (learning opportunities) with students.