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Installation Energy
On-Site Distributed Energy Resources

The DoD is committed to increasing on-site, distributed energy generation on military installations for the purpose of ensuring energy resilience and mission assurance. This will be achieved through the pursuit of cost-effective, technology-neutral solutions that meet critical mission requirements across DoD installations.

DoD Energy Authorities

  • Appropriated Funding – MILCON / Energy Conservation Investment Program (ECIP)
  • Power Purchase Agreements – (40 U.S.C. § 501 / FAR Part 41 Contract)
  • Enhanced Use Leasing – (10 U.S.C. § 2667)
  • Energy Savings Performance Contract (ESPC) – (42 U.S.C. § 8287 / 10 U.S.C. § 2913)
  • Utility Energy Services Contract – (10 U.S.C. § 2913)
  • Special Agreement Authority – (10 U.S.C. § 2922a)

Approval Levels for Energy Projects

Vehicle Approval Level
Appropriated Funding Military Service or in the case of ECIP, OSD and Congressional
Power Purchase Agreements (FAR Part 41 contracts) Military Service
Enhanced Use Leasing OSD (for projects that include land with an annual fair market value of $750K+ requires OSD Energy Certification
Energy Savings Performance Contract Military Service
Energy Service Agreements (ESPCs combined with ESA/PPA) OSD, OMB review
Utility Energy Service Contract Military Service
2922a Special Agreement Authority OSD