Energy Savings, Building Upgrades Are Part of New Program at University of Arkansas

FAYETTEVILLE, Ark. – The University of Arkansas has awarded a $20.9 million contract to Energy Systems Group of Evansville, Ind., to design and install facility improvements that reduce energy consumption and address deferred maintenance issues in 56 buildings on the Fayetteville campus. The contract marks the first phase of a campuswide energy savings and facility modernization program. The energy performance agreement between ESG and the university guarantees that energy savings over a 13-year period will cover the cost of building improvements. ESG will reduce the university’s total annual energy consumption on campus by 30 percent.

ESG will make key energy conservation improvements to the buildings over a two-year period, beginning in early 2009. Renovations will include the installation of more efficient lighting, heating and cooling systems, water conservation equipment, and installation of a solar-powered heater for the swimming pool in the Health, Physical Education and Recreation Building.

In addition, ESG will work with university relations to provide a campuswide communications campaign about initiatives to save energy. The Razors EDGE program will provide students, faculty and staff with timely information regarding construction schedules, program benefits and training on use of the new equipment and controls.

“This partnership between ESG and the University of Arkansas underlines our commitment to sustainability and green environmental initiatives,” said Chancellor G. David Gearhart. “It is a definite plus that ESG is able to guarantee that these improvements will pay for themselves, and, in the long term, save money for both the university and the Arkansas taxpayers.”

“The University of Arkansas has taken an exceptional step toward significantly increasing comfort and building functionality throughout its Fayetteville campus, while improving work and learning environments,” said Jim Adams, ESG president. “Lower energy consumption will also reduce the university’s carbon footprint thus advancing the university’s sustainability initiatives.”

About Energy Systems Group

Energy Systems Group is an award-winning energy services company operating from 15 offices in the Midwest, Mid Atlantic and Southern United States. ESG’s core business of Performance Contracting uses energy efficiency, technology, and long term financing to help building owners modernize their facilities. Renewable Energy solutions and assets are adding a whole new dimension to ESG’s growth. ESG is a wholly owned subsidiary of Vectren Corporation (NYSE:VVC). To learn more about ESG, visit www.energysystemsgroup.com.

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