LANSING, Mich., April 4, 2012/PRNewswire/ -- Building improvements and efficiency measures to reduce operating costs are nearly complete at the Parnall Correctional Facility as a result of the energy savings performance contract (ESPC) awarded to Energy Systems Group (ESG) last year. ESG has announced that the comprehensive energy infrastructure improvements, lighting retrofits, heating and cooling system upgrades, and water conservation measures implemented at the Parnall Correctional Facility will result in total life cycle savings of over $30 million.

The ESPC project implemented by ESG equates to direct savings to Michigantaxpayers and presents several positive implications for the State of Michiganon the fronts of sustainability, strategic energy independence and reduced utility consumption.

As a result of this innovative partnership, Parnall's utility costs will be reduced by about 40 percent and water consumption costs will be reduced by more than $2 million, over the 10-year term of the ESPC contract. ESG guarantees the savings will meet annual payments to cover the $12.89 millionproject costs. This project has also created jobs with more than 48,760 man hours for skilled construction workers.

"Performance contracts may be one way to revolutionize how we manage our buildings in Michigan," commented State Representative Joe Haveman, who chairs the Department of Corrections Subcommittee of the Michigan House Appropriations Committee. "By leveraging private sector expertise, which is able to guarantee savings, we should be able to make our buildings more efficient without spending additional taxpayer funds. Reducing costs in the Department of Corrections and other departments is what reinventing Michiganis all about."

MichiganGovernor Rick Snyderhas repeatedly acknowledged that reinvesting in Michigan's infrastructure is essential to growing Michigan's economy and enhancing its quality of life. Underlining its commitment to achieving these goals, ESG brings years of experience in ESPC success for numerous Michigancustomers in the government, education, healthcare and commercial sectors.

"As financial burdens continue to weigh heavily on the State of Michigan, ESG offers solutions that have the potential to save our state millions of dollars each year and eliminate needless spending," said Jeffry Durham, ESG regional director. "Our team is proud to provide positive economic solutions that enable state agencies to replace old equipment with improved technologies, save taxpayer dollars with infrastructure improvements and create skilled trade construction jobs."

Energy Systems Group (ESG) is an award-winning energy services company that specializes in delivering sustainable energy solutions which allow building owners to maximize energy efficiency and operational performance, while reducing their carbon footprint. Through its core business of performance contracting, ESG provides customers with innovative energy efficiency technologies and long-term financing solutions for modernization of their facilities and energy infrastructure.www.energysystemsgroup.com.

CONTACTS
Jeffry Durham, Energy Systems Group | Tel: (734) 260-7320 | E-mail: jdurham@energysystemsgroup.com

SOURCE Energy Systems Group