Structured Financing for Building Owners

Energy-as-a-Service (EaaS), ESAs & PPAs

Benefits

How can a different approach to financing help your business?

High initial costs can hold you back from making infrastructure improvements. With rising demans to meet regulatory requirements and sustainability goals, you need the right guidance to navigate financial roadblocks and operational challenges.

Solutions

Types of structured financing.

Trane's structured financing solutions help you create a better business, building and planet.

Energy-as-a-Service (EaaS) and Decarbonization-as-a-Service provide a flexible and comprehensive solution to support your energy or carbon reduction goals. 

In this model, the equipment or energy infrastructure installed as part of your project is owned by a third party, and you pay for the output (whether that’s energy, emissions reduction or some other outcome). This lets you focus on your core operations while enjoying guaranteed runtime, output and performance.

 

Benefits:

  • Performance Guarantees
    Ensure desired outcomes without risk.
  • Flexible Structure
    Pay based on energy output or other performance-based metrics.
  • Financial Flexibility
    Can be structured as non-debt instruments for off-balance sheet treatment.

Power Purchase Agreements (PPAs) offer a cost-effective way to access clean, renewable energy. With a PPA, you don’t have to manage the installation or operation of the energy system so you can focus on your business. 

The energy system is owned and managed by a third party, and you pay for the electric output at a predetermined rate that’s likely lower than your traditional utility rates.

Energy Service Agreements (ESA)

Like traditional performance contracts, Energy Service Agreements (ESAs) provide a reliable way to manage and maintain energy systems. With an ESA, Trane takes care of the ongoing operations so you can focus on the business at hand. You then repay our services with the savings generated by your equipment improvements.

Benefits of Energy Service Agreements (ESA)

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