DOD |

Issues & Policy

Department of Defense & Federal Government

Overview

The U.S. Department of Defense (DoD) is the nation’s largest energy consumer, and EEI recognizes the importance of strategic collaboration and electric company partnerships to meet its evolving energy needs. Our member companies serve over 280 military installations nationwide and understand the importance of what those installations mean to their local communities and our nation’s security and well-being.

Trusted Energy Partnerships

$3.3 Billion

UESC Energy Projects

Over 2,000 Utility Energy Service Contracts completed by EEI member companies with the DoD and federal government.

Energy Resiliency

Protecting National Security

Members are actively working with DoD installations to ensure energy security and energy resiliency.

500 MW

Renewable Energy

EEI member companies have implemented over 500 MW of renewable energy at DoD installations.

Long-Standing Partnerships Provide an Energy Resilient and Secure Future

Recognizing that the DoD relies on commercial power to perform its important missions within the U.S., and that the homeland U.S. is no longer a safe sanctuary; EEI members are uniquely qualified to collaborate with the military by enhancing energy resiliency and reliability with “inside the fence” solutions.

Electric companies have a long, successful history of working together with the federal government and military on energy resiliency solutions. As new threats and vulnerabilities to infrastructure emerge, it is critical for the DoD and federal government to strengthen their relationships with their electric companies to resolve challenges inside and outside of their control. Key benefits of closely collaborating with electric companies:

Long-standing, trusted relationships with our military customers.
Expertise in identifying and address energy reliability and resiliency challenges. Energy resiliency is in our DNA.
Line-of-sight of surrounding supply infrastructure: thorough knowledge of electric systems that serve installations.
Financial tools and authorizations that enables electric companies to fund comprehensive, holistic energy resiliency solutions.

DoD & Federal Installations Served by EEI Member Companies

One-Stop Shop - Utility Energy Service Contracts (UESC)

Authorized by the Energy Policy Act of 1992, P.L. 102-486 (codified as 42 U.S.C. 8256), a Utility Energy Service Contract (UESC) is a contract between a federal installation and a utility to undertake energy and water efficiency and renewable energy projects. The improvements made by the utility are paid for by the installation out of its cost savings. This allows agencies to implement energy improvements with no initial capital investment. The agency can save time and money by using this “one-stop-shop”. These partnerships will be even more important in the future as energy security concerns increase and federal budgets decrease. DoD installations can and should take advantage of these programs if their local utility offers them.

Utility Energy Service Contracts for Federal Agencies

Company Highlights

Hawaiian Electric and the U.S. Army at Schofield Barracks

Hawaiian Electric Company (HECO) and the U.S. Army partnered with the local government and state regulators on a comprehensive grid resiliency project at Schofield Barracks on Oahu. This triple-win project provides benefits to HECO, all customers on Oahu, and our nation’s security.

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El Paso Electric and the U.S. Air Force at Holloman AFB

El Paso Electric (EPE) collaborated with Holloman Air Force Base (AFB) and the New Mexico Public Regulation Commission to develop EPE’s first renewable energy project on a military installation. A key driver for the Air Force was gaining more diverse, resilient energy sources that can complement and enhance Holloman’s mission assurance plans. The project also meets its renewable energy goals.

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Arizona Public Service and the U.S. Marine Corps at MCAS Yuma

The U.S. Marine Corps partnered with Arizona Public Service (APS) on a rate-based 25-megawatt (MW) microgrid at Marine Corps Air Station (MCAS) Yuma. The microgrid provides reliable, backup power that enhances energy resiliency and security for MCAS Yuma and other APS customers.

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Dominion Energy & the U.S. Army at Fort Belvoir

Dominion Energy leveraged their expertise and strong long-term relationships with Department of Defense installations to significantly improve the reliability, energy resiliency, and operations at Fort Belvoir using a Utilities Privatization (UP) contract. Dominion Energy currently has more than 10 UP contracts with military installations.

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Public Service Company of Oklahoma and the U.S. Army at Fort Sill

Collaborating with the U.S. Army’s Office of Energy Initiatives (OEI), the Public Service Company of Oklahoma (PSO) entered into a land use agreement to develop a comprehensive energy resiliency project. Pending state regulatory approval, construction is expected to commence in 2021. The U.S. Army and PSO signed a lease in June 2020 that grants 81 acres of U.S. Army land for PSO to construct, own, operate, and maintain a 36 MW natural gas fired reciprocating internal combustion engine (RICE) power plant and up to a 14 MW solar array.

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