Every business is different and the ways each business can save energy are different too. If you’re looking to save energy on equipment that’s specific to your premises, then the Measurement and Verification (M&V) method can be a great option to measure and verify the energy savings from changes to the energy infrastructure of a specific facility.

In technical speak, an M&V activity is where energy savings are calculated by a model which compares energy use before to energy use after the upgrade. This allows you to claim incentives by calculating the energy saved from a specific upgrade or range of upgrades to your facilities.

Projects that might be carried out using the method include:

  • industrial and commercial refrigeration and boilers
  • upgrades to energy-intensive facilities such as hospitals
  • manufacturers
  • data centres
  • upgrades using solar
  • switching to low-emission fuels.

You may be eligible for the M&V method if:

  • your site is non-residential, or your project relates only to the central services of a multi-unit residential building
  • your project will result in lower greenhouse gas emissions.

Typical steps involved if you’re thinking about the M&V method:

  • Step 1: Identify areas around your facility where you could reduce energy consumption, or conduct an energy audit.
  • Step 2: Involve an accredited provider. They will guide you through the process, including preparing all paperwork and calculating the project’s energy savings.
  • Step 3: Get pre-approval and approval from the Essential Services Commission (ESC) for your project.
    Note: You must get approval to participate in the VEU program before picking up any tools or purchasing equipment, otherwise the project is automatically ineligible.
  • Step 4: Implement your project.
  • Step 5: Post-project verification of savings. Once the project has been implemented, the accredited provider will begin to collect data, typically over the next 12 months, and then submit an impact report to the ESC.
  • Step 6: Recoup project costs. The accredited provider facilitates the creation of VEECs, which are sold, generating revenue to recoup some of your project costs.

Find out more about the M&V method.

Page last updated: 22/12/22