Engineering Risk Management Planning in Energy Performance Contracting in China

AbstractThe main purpose of this article is to define engineering risk existing in the process of the development of Energy Performance Contracting (EPC) and to provide a system and quantitative evaluation method to reduce engineering risk of EPC. We systematically studied the engineering risk existing in EPC: the political and legal risk, market risk, technology risk, management risk, financial risk, project quality risk and client risk. By using the mature ideas, tools, and technology of risk management - experts’ marking methods and synthetic evaluation method based on fuzzy theory, the target system of evaluation on EPC is discussed, qualitative and quantitative risk evaluation is conducted, and the guiding ideas and the model are provided. At last, by putting forward the corresponding measures for the EMC to control risk in the operation, this article provides reference point for the risk management planning of EPC