US Navy Signs USD 500 Million Solar Energy Contract

Naval Facilities Engineering Command (NAVFAC) Pacific awarded a $500 million maximum, indefinite-delivery, indefinite-quantity (IDIQ) multiple award contract (MAC) to Island Pacific Energy LLC, Pacific Energy Solutions LLC, and Photon Finance LLC, Aug. 19.

The MAC contract will be used for the purchase of reliable, locally generated power from Solar Power Generation Systems (SPGS) at military installations in the state of Hawaii. Military services in Hawaii are working together to reduce energy consumption derived from fossil fuels and increase energy consumption from renewable energy sources.

“The Solar MAC initiative will help meet the energy security goals of our President, Secretary of Defense and Secretary of the Navy,” said Rear Adm. Dixon R. Smith, commander, Navy Region Hawaii and Naval Surface Group Middle Pacific. “As good stewards of the environment — and good neighbors here in Hawaii — our Navy will be contributing even more towards statewide sustainment and energy conservation goals that benefit everyone, military and civilian.”

Work will be performed at the following military installations – Joint Base Pearl Harbor-Hickam, Marine Corps Base Hawaii, Schofield Barracks, Wheeler Army Airfield, Tripler Army Medical Center, Fort DeRussy, Asia Pacific Center for Strategic Studies, Naval Computer and Telecommunications Area Master Station, Naval Magazine West Loch, the Pacific Missile Range Facility on Kauai, and the Army Reserve Center on Maui.

The work to be performed provides for installation of SPGS on roofs, parking shade structures and vacant parcels of land. The installations will purchase solar alternating current (AC) power only, and will not construct, own or maintain any generation assets. The SPGS will be financed, constructed, owned, operated, maintained, and repaired by the successful companies who were awarded a contract as part of this solicitation.

This initiative is one of many throughout the Navy and Marine Corps which will enable the Department of the Navy to achieve Secretary Ray Mabus‘ energy goals to improve our energy security and efficiency afloat and ashore, increase our energy independence, and help lead the nation toward a clean energy economy.

“The Navy is committed to expanding our use of alternative sources of energy, so we are pleased to announce that these companies will play an important role in helping us reach the goals of the Department of Navy and the other Services,” said NAVFAC Pacific Vice Commander Capt. Paul Fuligni. “The Secretary of the Navy has directed that 50 percent of total energy consumption will come from alternative sources by 2020, and this solar energy contract will help us achieve that goal.”

The contract was competitively procured via the Navy Electronic Commerce Online website with 13 proposals received. The term of the contract is not to exceed 60 months, with an expected completion date of Aug. 2016.

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Source: navy, August 23, 2011;