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May 14th Energy Sustainability Contract Connections
                             Douglas Waters PE,CEM,REP
                                 Director Project Execution Teams
                                   Energy Initiatives Task Force




                                  Assistant Secretary of the Army (Installations, Energy & Environment)

Energy Initiatives Task Force                                                                             1
Impacts to U.S. Army’s Energy




                                Assistant Secretary of the Army (Installations, Energy & Environment)

Energy Initiatives Task Force         UNCLASSIFIED                                                      2
The need for energy security is
                             increasing




                                Assistant Secretary of the Army (Installations, Energy & Environment)
Energy Initiatives Task Force            Unclassified                                                   3
Army Energy Consumption & Investment

            United States                    Federal Government                                   DoD                      U.S. Army


                                        1%                                       80%                             23%



            Facilities                                                                             24%
            Vehicles & Equipment                                35%                                                                     42%
            (Tactical & Non-tactical)                 65%                                   76%                                58%

    U.S. = 98,079 Trillion Btu
    Fed Gov = 1,108 Trillion Btu                                                             Army FY13 Energy Budget
    DoD = 819 Trillion Btu
    U.S. Army = 189 Trillion Btu                                                                                    Utilities Services Program - O&M
                                                                                     $406

Sources: Energy Information Agency, 2010 Annual Energy Review;         $161                                         Energy Program / Utilities
Agency Annual Energy Management Data Reports submitted to           $50                                 $1,053      Modernization - O&M
DOE's Federal Energy Management Program (Preliminary FY2010)
                                                                                                                    Energy Conservation Investment
                                                                              $343
                    FY11 Stats                                                                                      Program (ECIP) - OSD/MILCON
                                                                                                                    Power and Energy Related Core
               $3.7B Liquid Fuel Costs
                                                                                                                    Science & Technology - RDT&E
            • $1.3B Facility Energy Costs                                                                           Power and Energy Related
     • +1B Increase in Fuel Costs over FY11                                                                         Acquisition
                                                                 Assistant Secretary of the Army (Installations, Energy & Environment)
        Energy Initiatives Task Force                                     Unclassified                                                           4
                                                                                                                       4
ARMY ENERGY GOALS &
                                    ACCOMPLISHMENTS

Summary of Energy Goal Accomplishments

         Factor             FY11         Goal                                 Trend
 Efficiency (BTU/SqFt)    11.80%         18%    ● Energy Efficiency improving, Congressional Goal 3% per year from 2003
 Budget (Commodity)       $1.3 Billion          ● Cost slightly rising
 Total Consumption        69.5 Trillion BTU     ● Consumption decreasing
 Renewable Sources        0.50%          5%     ● Missed mandate, Reqmt jumps to 7.5% in FY13 & 25% in FY2025

• Statutes, Executive Orders, Policies
  – Energy Policy Act 2005: Sets efficiency goal at 2% per year; sets renewable energy at 3% FY08-09; 5% FY10-12; 7.5% FY13 out
  – Executive Order 13423: raised efficiency goal to 3% per year
  – Energy Independence and Security Act 2007: codified 3% efficiency goal; set water and petroleum goals 20% reduction by 2020,
      eliminate use of fossil fuel in buildings (heating & power) by 2030
  – Executive Order 13514: reduce emission of greenhouse gas by 34% by 2020 (directly related to ability to reduce energy use)
  – NDAA 2007 DOD Goal: expands renewable energy goal for the Services to 25% by 2025
  – Army Energy Security Implementation Strategy (Jan 2009) consolidates energy, water, environmental goals and mandates, sets
      metrics and milestones, combines operational and installation energy goals.




                                                 Assistant Secretary of the Army (Installations, Energy & Environment)

 Energy Initiatives Task Force                          UNCLASSIFIED                                                        5
MD ARMY INSTALLATIONS ENERGY REVIEW


                  MD Installations:
                  Aberdeen Proving Grounds, Adelphi Laboratory Center, Fort
                  Detrick, Fort George Meade, MD Army National Guard Facilities


                         Cost      Consumption MWH    ENERGY Consumed in BBTUs
   Electricity       $46.7 Million     547,000+
   Thermal           $20.3 Million                 2,500+
   Total             $67 Million                   4,000+
   Renewable Sources $0.00                         0




                                      Assistant Secretary of the Army (Installations, Energy & Environment)

Energy Initiatives Task Force               UNCLASSIFIED                                                      6
Army Energy Outlook
    Path to 25% Renewable Energy by 2025 - Notional
                                                                                  Energy Efficiency Gains
                                                                                  funded by appropriated
                                                                                  funding, ESPC, UESC

                                                                                  Traditional Energy
                                                                                  Renewable Energy
                                                                                  Requires leverage of private sector funding, EUL, PPA


                                                                                                                                          NDAA 2010:
                                                                                                                                          25% by 2025


                                             % Renewable Energy of Total Energy
   Major Issues
                                                                                                      Renewable Energy
   • Declining Budgets
                                                                                            EP Act 2005
   • Specialized Expertise                                                                 7.5% by 2013

   • Enterprise Strategy
                                                                                                     Army Progress .5% in 2011



                                                                                    *47,876 MWh of renewable generation in FY2011 from 168 different projects
                                      Assistant Secretary of the Army (Installations, Energy & Environment)

Energy Initiatives Task Force               UNCLASSIFIED                                                                                                    7
Army Renewable Energy NOT New
             GOLD: Existing Project                           TOTAL PROJECTS = 168
             BLUE: Planned Project                            47,900 MWh of renewable generation in FY2011
             GREEN: Development or Testing Project            Source 2011 Army Energy Management Report




                                                                                                            Fort Drum, NY
                                                                                                             (Solar Wall)

Hawthorne Army Depot, NV     Tooele AD, UT
   (Geothermal Power)        (Wind Power)
                                                                                Fort Knox, KY
                                                                             (Ground Source Heat
  Fort Irwin, CA                                                              Pumps, Shale Gas)
  (Solar Power)                    Fort Carson, CO                                                       Fort Bragg, NC
                                   (Solar PV Array)                                                     (LEED Platinum)
                                                                  Fort Sill, OK
                                                            (Micro-grid Field Demo)
                                                                                 Fort Jackson, SC
                                             Fort Bliss, TX
                                                                                    (Fuel Cells)
                                        (Geothermal Well Tests)
             Fort Huachuca, AZ
                (Rooftop PV)




                                             Assistant Secretary of the Army (Installations, Energy & Environment)

   Energy Initiatives Task Force                      UNCLASSIFIED                                                     8
EITF
        Energy Initiatives Task Force (EITF) established by the Secretary of the
        Army on September 15, 2011.

        EITF serves as the central management office to
        implement cost-effective, large-
        scale, renewable energy projects on Army
        installations, leveraging private sector financing.

        Features:
        Large-scale renewable energy projects
        • Greater than 10MW
        • Will coordinate with installations for 1-10MW
          opportunities
        • Will use land-use and third-party financing
          authorities: EUL, easement, ESPC, PPA and
          UESC

                                 Assistant Secretary of the Army (Installations, Energy & Environment)

Energy Initiatives Task Force          UNCLASSIFIED                                                      9
EITF Organization
                                                                          Executive Director

                                                                              John Lushetsky


                                                                                                                                          Heidi Hansen
                                                                                                                                    Office of General Counsel



         Planning Division                                                Execution Division                                    Outreach Division

       Kathleen Ahsing, Director                                           Alan King, Director                                Alan King, Interim Director
              Ned Shepherd                                                   Douglas Waters
            LTC Kevin Lovell                                                     Erich Kurre


                                                                                Partnerships




        National Renewable Energy Lab       U.S. Army Corp of Engineers   Defense Logistical Command   Department of Energy          Pacific Northwest National Lab




       Savannah River National Laboratory    Department of Air Force          Department of Interior   Department of Navy


                                                                  Assistant Secretary of the Army (Installations, Energy & Environment)
Energy Initiatives Task Force                                                 UNCLASSIFIED                                                                            10
Acquisition Process
        The EITF is developing a multi-pronged acquisition approach
        that will provide required flexibility.

        We will:
        •    Utilize multiple contracting offices, potentially including the Army Corps of
             Engineers and Defense Logistics Agency, as well as DOE power marketing
             administrations (e.g., WAPA, BPA, TVA).
        •    Explore collaborations with utilities, municipalities, counties and states.
        •    Investigate the advantages of partnering with other military services.
        •    Consider regional approaches that could benefit multiple installations.




                                     Assistant Secretary of the Army (Installations, Energy & Environment)
Energy Initiatives Task Force              UNCLASSIFIED                                                      11
Opportunity Assessments

      WA


     OR
                                                                                      NY

                                                                                 PA        Fort Bliss, TX
                                                 IA
       NV                                                                                  Fort Bragg, NC
                                                                              MD           Fort Carson, CO
                 UT                                        IL                              Fort Detrick, MD
                                CO
CA                                   KS                                                    Fort Drum, NY
                                                                                           Fort Hunter Liggett, CA
                                                                                           Fort Irwin, CA
                                                                              NC           Fort Lewis, WA
                AZ                         OK                                              Fort Riley, KS
                                NM                                                         Fort Sill, OK
                                                                                           Hawthorne Army Depot, NV
                                                                                           Iowa Army Ammo Plant, IA
                                                                                           Kahuku Training Area, HI
                                     TX                                                    Letterkenny Army Depot, PA
                                                                                           Oregon Army National Guard, OR
                                                                                           Parks Reserve Forces Training Area, CA
                                                                                           Rock Island Arsenal, IL
                                                                                           Sierra Army Depot, CA
                     HI                                                                    Tooele Army Depot, UT
                                                                                           Watervliet Army Depot, NY
                                                                                           West Point (U.S. Military Academy), NY
                                                                                           White Sands Missile Range, NM
                                                                                           Yuma Proving Ground, AZ



                                          Assistant Secretary of the Army (Installations, Energy & Environment)
Energy Initiatives Task Force                     UNCLASSIFIED                                                         12
Working with the EITF

        Industry
               • Joint U.S. Army and U.S. Air Force Renewable Energy
                 Industry Day, June 2012, Washington, DC

               • GovEnergy, August 19-22 in St. Louis, MO

               • Industry Days at select Installations, TBD


        Installations
               • The EITF will actively work with installations to screen and
                 provide feedback on renewable energy project opportunities
                 based on an enterprise-wide approach.



                                  Assistant Secretary of the Army (Installations, Energy & Environment)

Energy Initiatives Task Force           UNCLASSIFIED                                                      13
Follow the EITF


                                 www.armyeitf.com

                          Facebook @
                US Army Energy Initiatives Task Force

                                Twitter @ ARMYEITF

                LinkedIn Group @ www.LinkedIn.com


                                   Assistant Secretary of the Army (Installations, Energy & Environment)

Energy Initiatives Task Force            UNCLASSIFIED                                                      14
AMERICA’S ARMY:
THE STRENGTH OF THE NATION




   ARMY STRONG

                                Assistant Secretary of the Army (Installations, Energy & Environment)
Energy Initiatives Task Force           UNCLASSIFIED                                                    15

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Doug waters army presentation

  • 1. May 14th Energy Sustainability Contract Connections Douglas Waters PE,CEM,REP Director Project Execution Teams Energy Initiatives Task Force Assistant Secretary of the Army (Installations, Energy & Environment) Energy Initiatives Task Force 1
  • 2. Impacts to U.S. Army’s Energy Assistant Secretary of the Army (Installations, Energy & Environment) Energy Initiatives Task Force UNCLASSIFIED 2
  • 3. The need for energy security is increasing Assistant Secretary of the Army (Installations, Energy & Environment) Energy Initiatives Task Force Unclassified 3
  • 4. Army Energy Consumption & Investment United States Federal Government DoD U.S. Army 1% 80% 23%  Facilities 24%  Vehicles & Equipment 35% 42% (Tactical & Non-tactical) 65% 76% 58% U.S. = 98,079 Trillion Btu Fed Gov = 1,108 Trillion Btu Army FY13 Energy Budget DoD = 819 Trillion Btu U.S. Army = 189 Trillion Btu Utilities Services Program - O&M $406 Sources: Energy Information Agency, 2010 Annual Energy Review; $161 Energy Program / Utilities Agency Annual Energy Management Data Reports submitted to $50 $1,053 Modernization - O&M DOE's Federal Energy Management Program (Preliminary FY2010) Energy Conservation Investment $343 FY11 Stats Program (ECIP) - OSD/MILCON Power and Energy Related Core $3.7B Liquid Fuel Costs Science & Technology - RDT&E • $1.3B Facility Energy Costs Power and Energy Related • +1B Increase in Fuel Costs over FY11 Acquisition Assistant Secretary of the Army (Installations, Energy & Environment) Energy Initiatives Task Force Unclassified 4 4
  • 5. ARMY ENERGY GOALS & ACCOMPLISHMENTS Summary of Energy Goal Accomplishments Factor FY11 Goal Trend Efficiency (BTU/SqFt) 11.80% 18% ● Energy Efficiency improving, Congressional Goal 3% per year from 2003 Budget (Commodity) $1.3 Billion ● Cost slightly rising Total Consumption 69.5 Trillion BTU ● Consumption decreasing Renewable Sources 0.50% 5% ● Missed mandate, Reqmt jumps to 7.5% in FY13 & 25% in FY2025 • Statutes, Executive Orders, Policies – Energy Policy Act 2005: Sets efficiency goal at 2% per year; sets renewable energy at 3% FY08-09; 5% FY10-12; 7.5% FY13 out – Executive Order 13423: raised efficiency goal to 3% per year – Energy Independence and Security Act 2007: codified 3% efficiency goal; set water and petroleum goals 20% reduction by 2020, eliminate use of fossil fuel in buildings (heating & power) by 2030 – Executive Order 13514: reduce emission of greenhouse gas by 34% by 2020 (directly related to ability to reduce energy use) – NDAA 2007 DOD Goal: expands renewable energy goal for the Services to 25% by 2025 – Army Energy Security Implementation Strategy (Jan 2009) consolidates energy, water, environmental goals and mandates, sets metrics and milestones, combines operational and installation energy goals. Assistant Secretary of the Army (Installations, Energy & Environment) Energy Initiatives Task Force UNCLASSIFIED 5
  • 6. MD ARMY INSTALLATIONS ENERGY REVIEW MD Installations: Aberdeen Proving Grounds, Adelphi Laboratory Center, Fort Detrick, Fort George Meade, MD Army National Guard Facilities Cost Consumption MWH ENERGY Consumed in BBTUs Electricity $46.7 Million 547,000+ Thermal $20.3 Million 2,500+ Total $67 Million 4,000+ Renewable Sources $0.00 0 Assistant Secretary of the Army (Installations, Energy & Environment) Energy Initiatives Task Force UNCLASSIFIED 6
  • 7. Army Energy Outlook Path to 25% Renewable Energy by 2025 - Notional Energy Efficiency Gains funded by appropriated funding, ESPC, UESC Traditional Energy Renewable Energy Requires leverage of private sector funding, EUL, PPA NDAA 2010: 25% by 2025 % Renewable Energy of Total Energy Major Issues Renewable Energy • Declining Budgets EP Act 2005 • Specialized Expertise 7.5% by 2013 • Enterprise Strategy Army Progress .5% in 2011 *47,876 MWh of renewable generation in FY2011 from 168 different projects Assistant Secretary of the Army (Installations, Energy & Environment) Energy Initiatives Task Force UNCLASSIFIED 7
  • 8. Army Renewable Energy NOT New GOLD: Existing Project TOTAL PROJECTS = 168 BLUE: Planned Project 47,900 MWh of renewable generation in FY2011 GREEN: Development or Testing Project Source 2011 Army Energy Management Report Fort Drum, NY (Solar Wall) Hawthorne Army Depot, NV Tooele AD, UT (Geothermal Power) (Wind Power) Fort Knox, KY (Ground Source Heat Fort Irwin, CA Pumps, Shale Gas) (Solar Power) Fort Carson, CO Fort Bragg, NC (Solar PV Array) (LEED Platinum) Fort Sill, OK (Micro-grid Field Demo) Fort Jackson, SC Fort Bliss, TX (Fuel Cells) (Geothermal Well Tests) Fort Huachuca, AZ (Rooftop PV) Assistant Secretary of the Army (Installations, Energy & Environment) Energy Initiatives Task Force UNCLASSIFIED 8
  • 9. EITF Energy Initiatives Task Force (EITF) established by the Secretary of the Army on September 15, 2011. EITF serves as the central management office to implement cost-effective, large- scale, renewable energy projects on Army installations, leveraging private sector financing. Features: Large-scale renewable energy projects • Greater than 10MW • Will coordinate with installations for 1-10MW opportunities • Will use land-use and third-party financing authorities: EUL, easement, ESPC, PPA and UESC Assistant Secretary of the Army (Installations, Energy & Environment) Energy Initiatives Task Force UNCLASSIFIED 9
  • 10. EITF Organization Executive Director John Lushetsky Heidi Hansen Office of General Counsel Planning Division Execution Division Outreach Division Kathleen Ahsing, Director Alan King, Director Alan King, Interim Director Ned Shepherd Douglas Waters LTC Kevin Lovell Erich Kurre Partnerships National Renewable Energy Lab U.S. Army Corp of Engineers Defense Logistical Command Department of Energy Pacific Northwest National Lab Savannah River National Laboratory Department of Air Force Department of Interior Department of Navy Assistant Secretary of the Army (Installations, Energy & Environment) Energy Initiatives Task Force UNCLASSIFIED 10
  • 11. Acquisition Process The EITF is developing a multi-pronged acquisition approach that will provide required flexibility. We will: • Utilize multiple contracting offices, potentially including the Army Corps of Engineers and Defense Logistics Agency, as well as DOE power marketing administrations (e.g., WAPA, BPA, TVA). • Explore collaborations with utilities, municipalities, counties and states. • Investigate the advantages of partnering with other military services. • Consider regional approaches that could benefit multiple installations. Assistant Secretary of the Army (Installations, Energy & Environment) Energy Initiatives Task Force UNCLASSIFIED 11
  • 12. Opportunity Assessments WA OR NY PA Fort Bliss, TX IA NV Fort Bragg, NC MD Fort Carson, CO UT IL Fort Detrick, MD CO CA KS Fort Drum, NY Fort Hunter Liggett, CA Fort Irwin, CA NC Fort Lewis, WA AZ OK Fort Riley, KS NM Fort Sill, OK Hawthorne Army Depot, NV Iowa Army Ammo Plant, IA Kahuku Training Area, HI TX Letterkenny Army Depot, PA Oregon Army National Guard, OR Parks Reserve Forces Training Area, CA Rock Island Arsenal, IL Sierra Army Depot, CA HI Tooele Army Depot, UT Watervliet Army Depot, NY West Point (U.S. Military Academy), NY White Sands Missile Range, NM Yuma Proving Ground, AZ Assistant Secretary of the Army (Installations, Energy & Environment) Energy Initiatives Task Force UNCLASSIFIED 12
  • 13. Working with the EITF Industry • Joint U.S. Army and U.S. Air Force Renewable Energy Industry Day, June 2012, Washington, DC • GovEnergy, August 19-22 in St. Louis, MO • Industry Days at select Installations, TBD Installations • The EITF will actively work with installations to screen and provide feedback on renewable energy project opportunities based on an enterprise-wide approach. Assistant Secretary of the Army (Installations, Energy & Environment) Energy Initiatives Task Force UNCLASSIFIED 13
  • 14. Follow the EITF www.armyeitf.com Facebook @ US Army Energy Initiatives Task Force Twitter @ ARMYEITF LinkedIn Group @ www.LinkedIn.com Assistant Secretary of the Army (Installations, Energy & Environment) Energy Initiatives Task Force UNCLASSIFIED 14
  • 15. AMERICA’S ARMY: THE STRENGTH OF THE NATION ARMY STRONG Assistant Secretary of the Army (Installations, Energy & Environment) Energy Initiatives Task Force UNCLASSIFIED 15