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

Fifth Annual Energy Workshop

NCPPP & ADCAmanda Simpson

Executive Director, Army EITF

16 September 2014

UNCLASSIFIED

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

2

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

3

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

4

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

5

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

6

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

7

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

Established by the Secretary of the Army on September 15, 2011.

Mission: The Energy Initiatives Task Force (EITF) serves as the central management office to strengthen Army energy security through the planning and execution of renewable energy projects using third-party financing.

• Projects equal to or greater than 10 MW• Solar, Wind, Biomass and Geothermal technologies• Natural gas can be used in combination with renewables to

solve intermittency and improve energy reliability• Will use existing DoD land-use and third-party financing

authorities

As directed by the Secretary of the Army, the EITF will become the Office of Energy Initiatives (OEI) on October 1, 2014, an enduring organization within the Office of the Assistant Secretary of the Army (Installations, Energy and Environment) (ASA(IE&E)).

Army Energy Initiatives Task Force

The OEI’s projects will help ensure the Army’s goal to deploy 1 GW of renewable energy projects by 2025

8UNCLASSIFIED

Secretary of the ArmyJohn M. McHugh

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

A Balanced Enterprise Approach

Securing Army Installations with energy

that is clean, reliable, and affordable

Creating a balanced pipeline of opportunities serving three driving principles

• Surety (access)• Survivability (resilience)• Supply (alternative resources)• Suf f iciency (adequacy for missions)• Sustainability

Energy Security

Mandates Economic Benefits• NDAA - 25% by 2025• EPAct - 7.5% renewable electricity

consumption by 2013• EO 13514 - 34% GHG reduction by 2020• Climate Action Plan - 20% renewable electricity

consumption by 2020

• In-kind revenue• Reduced/stable energy bills• Cost avoidance

Price Stability

InstallationEnergy

24x7 supply for critical assets

Life Cycle Costs

Deployment Speed

Capac

ity F

acto

r

9UNCLASSIFIED

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

• GSA Areawide Contracts (40 USC 501) Can be executed quickly

10-year term; Army never failed to renew

Used with an easement (10 USC 2668)

• Renewable Energy Service Agreements (PPAs) (10 USC 2922a On land under jurisdiction of the Secretary, or on private land

Up to 30-year term

• Enhanced-Use Leases (10 USC 2667) Advantageous when off-site market but no Army market. Requires provision of cash or in-kind consideration

Enabling Authorities

10

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

Current Portfolio

11

By Capacity(502 MW*)

11; 42%

6, 23%

9, 35%

By Count(26 Projects)

184 MW 37%

156 MW 31%

162 MW 32%

By Command(26 Projects)

Projects by location

GSA Areawide PPA EUL

77%

8%15%

IMCOM AMC ARNG

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

Army Large-Scale Renewable Energy Projects

Installation Project Status:Construction Contracts and AgreementsProject Assessment & Validation

HI

AK

Tooele Army Depot

Ft. Huachuca Ft. Stewart

Yakima Training Center

Schofield Barracks

Redstone Arsenal

Ft. Bliss

Ft. Irwin

Ft. Detrick

Location: Ft. Irwin, CAProject: 15 MW SolarBusiness/Acquisition Model: Competitive PPA through DLA

Location: Ft. Detrick, MDProject: 15 MW SolarBusiness/Acquisition Model: PPA Notice of Intent to Award to Ameresco Inc.

Location: Ft. Drum, NYProject: 28 MW BiomassBusiness/Acquisition Model: PPA Notice of Intent to Award to ReEnergy Holdings LLC

Location: Schofield Barracks, HIProject: 50 MW BiodieselBusiness/Acquisition Model: Lease with HECO

Ft. Drum

Ft. Hood

Ft. Bragg

Ft. Greely

Location: Ft. Huachuca, AZProject: 18 MW SolarBusiness/Acquisition Model: GSA Areawide Contract through TEP Location: Redstone Arsenal, AL

Project: 25 MW Renewable CHPBusiness/Acquisition Model: Competitive PPA through HNC

Aberdeen Proving Ground

Ft. Pickett

Ft. Meade

Location: Ft. Stewart, GAProject: 18 MW Solar Business/Acquisition Model: Competitive lease in conjunction with the GA Power Advanced Solar Initiative (ASI)

Ft. Gordon

Ft. Benning

12UNCLASSIFIED

Location: Ft. Benning, Ft. Gordon, Ft. Stewart, GAProject: 90 MW SolarBusiness/Acquisition Model: GSA Areawide Contract through GA Power

Camp Parks

JFTC Los Alamitos

Camp Roberts

Contributing >30% Towards Army’s 1 GW Goal

Location: Redstone Arsenal, ALProject: Up to 18000 MW hours/ year SolarBusiness/Acquisition Model: MATOC PPA

Location: Ft. Hood, TXProject: Offsite Wind, Onsite SolarBusiness/Acquisition Model: Competitive PPA through DLA

Anniston Army Depot

Ft. Rucker

Ft. Devens

Camp Edwards

Location: Tooele Army Depot, UTProject: Wind/SolarBusiness/Acquisition Model: Competitive Lease

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

13

– Public-private and public-public-private partnerships with Industry and governments

– Bridge the gaps to find the right solutions

– Understand our needs and bring us capabilities

– Help us continue to provide innovative solutions

Opportunities for Collaboration

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

AMERICA’S ARMY:THE STRENGTH OF THE NATION

14

ARMY STRONG