20 year deal will create energy savings of $3.7 million per year once all phases completed.OTTAWA, Jan. 21, 2014 /CNW/ - A recently signed 20-year Energy Services Contract (ESCO) between Algonquin College and Siemens Canada means Algonquin College'sOttawa campus will use less energy and produce fewer greenhouse gas emissions, cut its non-critical maintenance debt (also known as 'deferred maintenance') by up to one-half, and provide new research opportunities for Algonquin College students. "It gives me great pleasure to sign this landmark agreement, which we believe to be an innovative guaranteed energy savings contract," says Algonquin College President Kent MacDonald. "When we issued the Request for Proposals, we had a goal of making our Ottawa campus more energy and water efficient, reducing our greenhouse gas emissions, and creating new, sustainability-related applied research opportunities for our students. This project will do all this, and more. We are thankful for the long-standing relationship between Siemens and Algonquin, and the innovative and creative minds at Siemens who have made this agreement possible." "Siemens and Algonquin College have been working together on a variety of projects for the past 25 years, and we are pleased to be selected as Algonquin's partner for this Energy Services Contract," says Robert Hardt, President and CEO, Siemens Canada. "This contract will showcase how Siemens' innovative and sustainable building technology solutions drive economical and ecological sustainability, while also furthering learning opportunities for Algonquin College students. We look forward to collaborating with Algonquin to the mutual benefit of all stakeholders and the environment." This ESCO project is the second energy performance savings contract for Algonquin College, with this project branded as "ESCO 2". It is of a larger scale than the first undertaking in 2007. This multi-phase project is examining renewable energy opportunities, power generation retrofits, and various other energy efficient renovations with a target of projected energy savings and revenue of $3.7m annually once all phases have been completed. The first phase contracted to Siemens will offer an estimated annual savings of close to a million dollars. These savings will be used to pay for the renovations that Siemens is installing. These upgrades will clear up as much as 50% of Algonquin College's current deferred maintenance, and consolidate several mechanical rooms that are spread across many older buildings. The power generation elements of the project have the potential to offer the College significant advantages, energy self-sufficiency and risk management in the event of a power outage. Energy savings will also be generated through College-wide sustainability education and awareness activity coordinated by a Siemens Sustainability Coordinator resource, working closely with the College's Sustainable Algonquin Steering Committee over a five-year term. The majority of upgrades will be carried out through non-peak periods over the next two years to minimize disruption to classes and normal College activities.