# Presentation: 259479

## DOI Facility Energy Management

- DOI Business Conference
- April 2, 2008
- Mary Heying
- Office of Acquisition and Property Management
- Carl Leetham
- Bureau of Reclamation

**	****  ****U.S. Department of the Interior****	****  Office of Acquisition & Property Management**

## Agenda

- Organization
- Why Bother with Energy Management?
- Promoting Energy Management
- How to Fund Energy Projects and Reduce Costs
- Questions
- Contact Information

- April 2, 2008

## DOI Organization

**Office of Acquisition and Property Management**
- Debra E. Sonderman - Director

**Facility and Property Management**
- Michael Keegan – Associate Director

**Acquisition & Financial Assistance**
- Melodee Stith – Associate Director

** **Asset Management
-  5 Year Plan/Deferred Maintenance
-  Real Property
-  Personal Property
-  Museum Property
-  Quarters
-  Fleet Management
-  **Energy Management**
-  Space Management

** **Grants/Financial Assistance
-  Contracting Officers Warrant System
-  Acquisition Career Mgmt System
-  Integrated Charge Card
-  Strategic Sourcing
-  JWOD
-  Debarment and Suspension

**DAS – Business Management and Wildland Fire**
- Nina Rose Hatfield

**AS – Policy, Management and Budget**
- James E. Cason
- Senior Official Energy, Environmental, Transportation

- April 2, 2008

## Bureau Organization

- Departmental Energy Conservation Committee

- April 2, 2008

## Why Bother with Energy Management?

- Why Bother with Energy Management?

- Laws/Mandates
- Saves Money (Cost Avoidance)
- Right Thing to Do

- April 2, 2008

## Laws & Mandates

**Energy Policy Act of 2005**
- Public Law 109-58, August 8, 2005
**OMB Energy Management Scorecard**
- January 2006
**Executive Order 13423** – Strengthening Federal Environmental, Energy, and Transportation Management – January 24, 2007
**Energy Independence & Security Act of 2007**
- Public Law 110-140, December 19, 2007

- April 2, 2008

## EPAct 2005

**Sec 102 – Energy Reduction** – Beginning in FY2006, 2% annual reduction relative to the FY2003 baseline, 20% reduction by 2015
**Sec 103 – Electric Metering** – Meter all appropriate federal buildings by 2012
**Sec 104 – Procure Energy Efficient Products** – All energy consuming products must be ENERGY STAR or Federal Energy Management Program Designated
**Sec 109 - Federal Building Performance Standards** –
- Effective Jan 3, 2007, new building designs to be 30% below ASHRAE or IECC, if cost effective
- Sustainable design principles to siting, design & construction of all new and replacement buildings
**Sec 203 – Renewable Energy Consumption** – RE as a percent of facility electricity use shall be no less than:
- 3% - FY2007 - FY2009
- 5% - FY2010 – FY2012
- 7.5% - FY2013 and beyond

- April 2, 2008

## EO 13423 

- EO 13423

**Greenhouse Gas Emissions/Energy Reduction** – Beginning in FY2006, 3% annual reduction in energy intensity relative to FY2003 baseline, 30% reduction by 2015
**Renewable Energy Consumption** – At least 50% of the statutorily required RE consumed must come from new renewable sources
- New RE Sources = RE placed into service after January 1, 1999
**Water Conservation** – Beginning FY2008, 2% annual reduction relative to FY2007 baseline, 16% reduction by 2015
**High Performance and Sustainable Buildings** –
- New Buildings and Major Renovations - Comply with the Guiding Principles for Federal Leadership in High Performance & Sustainable Buildings MOU
- Existing Buildings – By 2015, 15% of existing inventory incorporates the sustainable practices of the Guiding Principles
**Building Metering – **As practicable, install metering devices for potable water and thermal energy.

- April 2, 2008

## EISA 2007 

- EISA 2007

**Sec 431 - Energy Reduction** – 3% annual reduction in energy intensity relative to FY2003 baseline, 30% reduction by 2015
**Sec 532 - Renewable Energy **– If LCC effective, at least 30% of the hot water demand shall be met by solar hot water heaters
**Sec 433 – Building Performance** – Beginning FY2010, new building designs consume 55% less fossil fuel generated energy, 100% reduction by 2030
**Sec 434 – Building Metering** – By Oct 2016, meter all appropriate buildings for natural gas and steam
**Sec 432 – Energy & Water Efficiency Measures**** – **Conduct energy and water evaluations in 25% of facilities annually.  Implement improvements within 2 years, if LCC
**Sec 435 – Leasing** – Beginning 2011, no Federal agency shall enter into a contract to lease space in a building that has not earned the Energy Star label
**Sec 514 – Energy Saving Performance Contracts** – Permanent authorization, combine appropriated funds and financing, DOE will establish a training program for Contracting Officers

- April 2, 2008

## Saves Money 

- Saves Money

- If DOI maintained FY2005 consumption levels between FY2005 – 2007, we would have spent $15M **more** in facility energy costs in FY2007!  ***Energy Conservation Pays!***

- April 2, 2008

## Right Thing to Do! 

- Right Thing to Do!

**Reduces Greenhouse Gas Emissions**** **
- Primary energy type used by DOI facilities is purchased electricity
- Nearly 50% of the electricity generated in the U.S. is produced by coal-fired power plants
- Improving the energy efficiency of DOI facilities will reduce associated CO2 emissions
- Installing on-site renewable energy systems directly off-sets CO2 emissions and reduces our dependence on fossil fuels

- April 2, 2008

##  Promoting Energy Management 

-  Promoting Energy Management

- Awareness & Training
- Employees and Facility Managers
- Utility Bills/Contracts – (FAR Part 41)
- How much are you paying annually?
- Over $100K – GSA Areawide Utility Contract or Competitive Solicitation for Utility Services
- Establish a utility services contract for facilities in deregulated electricity states
- Texas, Illinois, Michigan, Ohio, Pennsylvania, Maryland, Delaware, New Jersey, New York, Connecticut, Rhode Island, Massachusetts, New Hampshire, Maine
- Energy Audits
- Servicing utility company may provide no cost or low cost energy audits
- Energy Service Contractor
- Purchasing – (FAR Part 23.203)
- Energy Star
- Federal Energy Management Designations

- April 2, 2008

## Promoting Energy Management (cont’d)

- Promoting Energy Management (cont’d)

- No Cost/Low Cost High Return on Investment Initiatives
- Turn off lights and office equipment when not in use
- Replace conventional light bulbs with compact fluorescent bulbs
- Install occupancy sensors in conference room, kitchens, copy room, restrooms
- Set thermostats to 68 degrees in the winter and 78 degrees in the summer
- Install programmable thermostats
- Retrofit lighting systems
- Conduct regular maintenance on energy systems
- Install faucet aerators
- Investigate process changes
- Design High Performance, Sustainable Buildings which includes Renewable Energy
- Renovate Existing Buildings with High Performance and Sustainable Features

- April 2, 2008

## Funding & Reducing Costs 

- Funding & Reducing Costs

- Appropriations/Deferred Maintenance/Cyclic Maintenance
- Utility Provided Energy Efficiency Funds, Rebate Programs, and Demand Response
- DOE FEMP lists EE funds by State available to Federal customers http://www1.eere.energy.gov/femp/program/utility/utilityman_energymanage.html
- Alternative Financing
- Energy Savings Performance Contracts
- Utility Energy Service Contracts

- April 2, 2008

## ESPC & UESC 

- ESPC & UESC

- Reallocates utility payments
- Pays for project
- Achieves energy savings and cost avoidance

- During
- Contract

- After
- Contract

**Energy Cost Savings**

**Utility  Bill**

- $

**Utility  Bill**

- Before
- Contract

- Payment

- April 2, 2008

## ESPC & UESC

- ESPC (Energy Savings Performance Contracts)
- Zero up-front capital costs
- Contract with an Energy Service Company
- Conduct an audit, design & install improvements, guarantee savings
- Contract period NTE 25 years
- Larger projects or bundling of smaller projects [minimum project cost - $1 million]
- UESC (Utility Energy Service Contracts)
- Zero up-front capital costs
- Contract with the facility servicing Utility Company
- Conduct an audit, design & install improvement, no guaranteed savings
- Contract period generally 10 years
- Small to large projects – flexibility in scope and size

- April 2, 2008

## Questions

- Questions ??

- April 2, 2008

## Contact Information 

- Contact Information

- Mary Heying
- Office of Acquisition and Property Management
- 202-208-4080
- _[Mary_Heying@ios.doi.gov](mailto:Mary_Heying@ios.doi.gov)_
- Carl Leetham
- Bureau of Reclamation
- 303-445-2044
- _[cleetham@do.usbr.gov](mailto:cleetham@do.usbr.gov)_

- April 2, 2008