Department of Defense Installation Energy Program
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1 Department of Defense Installation Energy Program Ms. Lisa A. Jung Deputy Assistant Secretary of Defense, Installation Energy Office of Assistant Secretary of Defense Energy, Installations & Environment April 11, 2017
2 Installation Energy is Energy that Powers Our Military Installations DoD s Built Infrastructure DoD Building Stock Over 572,000 total assets 277,000 buildings Over 2.2 billion square feet 160,000 non-tactical vehicles $3.7B annual energy cost is single largest base operating cost Energy resilience of our military bases is paramount to mission assurance 2
3 Installation Energy Security Resiliency Efficiency Using the minimal amount needed Available, reliable, quality power to support critical mission loads On-site Distributed Generation Access to on base power when needed 3
4 Energy Efficiency (EE) New Construction USGBC LEED Silver, ASHRAE +30%, etc. Unified Facilities Criteria draws on ASHRAE / 90.1 Retrofits Energy efficiency improvements to existing buildings Funding: SRM, Energy Resilience and Conservation Investment Program, Energy Savings Performance Contracts and Utility Energy Service Contracts Information Management Metering/Meter Data Management Systems Benchmarking Lighting Replacement Building Envelope Installation Energy Plans Holistic view of energy requirements Daylighting DoD energy efficiency efforts contribute to energy security and resilience reduces base and critical energy loads and lowers DoD operating costs. Energy Exchange : Federal Sustainability for the Next Decade4
5 DoD Installation Energy Costs vs Consumption FY DoD has reduced its installation energy consumption by ~16% since FY2005, avoiding more than $5.25 billion in energy costs (FY16 dollars). 5
6 On-Site Distributed Energy (DE) Adding distributed energy sources on-site (renewable Schofield Barracks, HI 50MW Biofuel/Multifuel Plant (under construction) MCAS Miramar Landfill Gas Facility and alternative energy) can enhance energy security DoD has broad alternative financing authorities (e.g., 10 USC 2922a, FAR Part 41, EUL, etc.) 3rd party financed projects must have a business case Energy security/resilience elements: infrastructure upgrades, microgrid capabilities, storage Fort Detrick, MD 15MW Solar Array Services leveraging third party financing to develop cost effective projects. When economically feasible, projects enhance energy security and resilience. 6
7 DoD Energy Resilience (ER) Policy Drivers Multiple requirements through FY2017 NDAA; DoD Instruction (updated 16 Mar 2016), Installation Energy Management, Energy Resilience Title 10, Section 2925(a) (modified thru FY2016 NDAA); ASD(EI&E) Memorandum on Power Resilience; Unified Facilities Criteria (such as Electrical Series) DoD Policy Initiatives FY 2016 Utility Outages 2% 15% Act of Nature Equipment Failure 39% 45% Planned Maintenance DoDI change on energy resilience (complete) Other Ensures performance against existing requirements Encourages cost-effective solutions to improve mission assurance Utility disruption data is required under Implementing guidance Title 10, United States Code, section 2925(a) Operations, maintenance, and testing (OM&T) (complete) Disruption data informs on-going metrics Energy resilience, mission integration, metrics (in-progress) guidance Budgetary execution Details on OASD(EI&E) Energy Resilience Initiatives: Business case analyses (BCA) framework (MIT-LL) to prioritize budget resources or alternative financing projects for energy resilience (complete) Rating alternative financing projects to accelerate adoption of energy resilience projects Defense Energy Resilience Bank (DERB) (in-progress) DoD energy resilience is the ability to prepare for and recover from energy disruptions Energyinstallations. Exchange: Federal Sustainability for the Next Decade7 that impact mission assurance on military
8 Challenges Installation Energy Plan Holistic plan for all energy requirements: EE, DE and ER Includes financing strategy: appropriated and alternative financing requirements Should integrate appropriated funding requirements into PPBE process Energy Resilience Understanding critical missions to quantify critical loads Assessing availability/reliability of distribution and energy systems Structuring cost effective energy resilience projects with financing strategy Financing energy projects Limited appropriated funds: SRM, ERCIP, MilCon Prioritizing projects in the PPBE process Making the business case for alternative financing Over leveraging concerns with ESPC/UESCs OSD is addressing these challenges through collaboration with Services and Defense Agencies to develop installation energy guidance. 8
9 Questions? 9
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