The U.S. Army Engineering and Support Center, Huntsville, awarded a $24 million Energy Savings Performance Contracting task order contract Sept. 30 to upgrade water and energy infrastructure at Corpus Christi Army Depot, Texas.
The task order, awarded to Siemens Government Technologies Inc., provides for upgrades to lighting and the aging infrastructure at the depot. The construction phase is expected to take 18 months. The period of performance under the task order is 20 years.
The energy conservation measures to be performed will improve the lighting at approximately 30 facilities across the installation affecting 2 million gross square feet of manufacturing, assembly and support structures. Other infrastructure upgrades, together with the lighting improvements, will result in a total energy reduction at the installation of nearly 20 percent and overall energy cost reductions of 14 percent.
An ESPC is a partnership between the Army and an energy service contractor, in this case, Siemens. Working with the garrison, the ESCO provides the capital and expertise to make comprehensive energy and water efficiency improvements on facilities or implements new renewable energy capabilities and maintains them in exchange for a portion of the generated savings. An ESPC is one of the acquisition vehicles an installation can use to meet the Army’s 30 percent energy and 15 percent water reduction goals without upfront capital costs. Actual energy cost savings pay for the ESPC efforts on a yearly basis.
The ESCO performs operations and maintenance on major systems, allowing limited Public Works maintenance resources to be spent on other activities. Implementation and development costs are financed for up to 25 years. These third-party financed agreements allow the facility to focus appropriated funds on mission critical requirements.
The energy and water savings are guaranteed by Siemens and will support the Army’s efforts to meet its White House mandate as outlined in Executive Order 13693 that federal facilities reduce their energy consumption by 2.5 percent per year and potable water consumption by 2 percent per year by fiscal year 2025. The U.S. Army Corps of Engineers has been one of the most active users of ESPCs in the federal government. The cost of the project is being funded by energy savings generated through the energy conservation measures.
The Huntsville Center’s ESPC process is recognized throughout the federal government as an efficient and streamlined acquisition process.
Release no. 16-007