ENERGY SOURCE

Defense Logistics Agency Energy

April 2013
2 www.energy.dla.mil

Front cover graphic by: Idella Fletcher and Jonathan Stack

Back cover: Idella Fletcher

Commander

Air Force Brig. Gen. Giovanni Tuck

Deputy Commander

Mike Scott

Chief of Staff

Army Col. Peter Crean

Public Affairs Officer

Irene Smith

Editor

Jonathan Stack

Writing Staff

Terry Shawn

Susan Lowe

Christopher Goulait

Layout/Design

Idella Fletcher

Address correspondence to:

ATTN: DLA Energy-DCA

8725 John J. Kingman Rd.

Suite 4950

Fort Belvoir, VA 22060-6222

Commercial: 703-767-4108

Address email to:

EnergySourceMagazine@dla.mil

Energy Source is an official publication distributed by and for the Defense Logistics Agency Energy and fuel-oriented clientele. Contents of this publication are not 

necessarily the official views of, or endorsed by, the U.S. government, Department 

of Defense, Defense Logisitics Agency or Defense Logistics Agency Energy. Energy 

Source is prepared by desktop publishing applications. Photos not 

credited are coutesy of DLA Energy sources.

from the commander

Energy Source

This edition’s theme of warfighter support is an easy 

one for us at DLA Energy because we support the 

warfighter with everything we do, on all fronts. 

From our business units to our regional offices, we bring 

strength through collaboration.

Collaboration is key to supporting our warfighters, and 

it’s why our organization is oriented to be customer-facing 

and supplier-facing. Backing the structure of DLA Energy, 

we also have our liaison officers and quality assurance 

representatives tied directly to the regions and our 

customers to give assistance. 

Every corner of the agency is dedicated to warfighter 

support. Helium efforts through our Aerospace Energy 

office have been huge to the Army to help get aerostats 

up in the air and give persistent surveillance and 

reconnaissance for our troops in the Middle East. Our 

Direct Delivery team can go into a country right now, set 

up a contract and get that region the fuel the combatant 

commands need to be successful. And you can’t get past 

our Bulk petroleum units’ missions; it’s the biggest thing 

we do to fuel the forces. We’re also helping out with 

installations’ energy needs, along with so much more.

Continuing improvements to our service support are 

coming through “10 in 5” efforts where we’re working 

with the rest of DLA to save $10 billion over five years and 

give it back to 

the warfighter. 

Along with 

keeping 

resources where 

they need to 

be, our regional 

commanders 

make sure we’re 

in step with all 

combatant commander operating plan requirements. The 

joint staff is helping prioritize our aid to each of those 

commanders.

Prioritizing support is also important with the subject of 

sequestration on the table. Everything will be looked at 

from the point of view of mission impact. Our processes 

might change with the majority of our folks working only 

80 percent of the time they normally would be, but we’re 

going to keep making sure requirements are met.

Speaking of meeting requirements, hats off to Deputy 

Commander Mike Scott, Executive Advisor Kathryn 

Fantasia and the rest of our leadership team for holding 

down my job while performing their own during my recent 

five-week CAPSTONE leadership training. Supporting the 

warfighter isn’t hinged on me or any other individual, but 

on a process. It’s through that flexible process that I know 

we’re going to keep our aid to the military services going, 

even through sequestration.

Brig. Gen. Giovanni K. Tuck, USAF

Defense Logistics Agency Energy
Energy Source l April 2013 3

4 Army

8 Navy

14 Marine Corps

18 Air Force

22 Coast Guard

26 Okinawa - DLA Energy’s New Mission

28 DLA Energy Restructures

31 One Face

Warfighter Support

CONTENTS Energy

We Are DLA

Army Private 1st Class Quinton Rivers conducts a fuel filter effectiveness test during the 21st Theater Sustainment 

Command fuel readiness training hosted at the DLA Energy Europe and Africa’s petroleum lab in Kaiserslautern, 

Germany, Nov. 29-30. Photo by Army Staff Sgt. Darius Andrus
4 www.energy.dla.mil

Warfighter Support

ARMY

4 www.energy.dla.mil

Warfighter Support

The Defense Logistics Agency Energy is 

responsible for providing fuel to all the military 

services, and the Army Petroleum Center is the 

agency’s gateway to offering that support to the Army. 

APC provides direction for fuel quality issues 

and provides technical guidance on equipment, 

infrastructure and quality control to assist units in 

managing fuels operations, and is the service control 

point for all DLA Energy-related support issues to the Army. 

“We serve as the Army’s [petroleum] service control point, and 

validate Army requirements worldwide,” said Army Col. Keith 

Sylvia, APC commander.

APC personnel validate the Army’s facility and maintenance 

requirements, and are also in charge of the Army’s fuel quality 

program. They provide support to the Army warfighter, Sylvia said

The center represents the Army’s interest in the bulk fuel 

supply chain, and basically serves as the Army’s liaison to 

DLA Energy, said David Corbin, APC deputy director. 

When personnel from an Army location send a 

requirement to the petroleum center, APC personnel 

will ensure it’s valid, and then will approve and submit 

it to DLA Energy.

This allows for the DLA Energy workforce to not 

have to worry about checking, and know it’s a valid 

requirement, Sylvia said. 

“We coordinate to make sure everyone’s needs are 

met,” he added. “Sometimes we might ask DLA for 

something that isn’t actually achievable and have 

to adjust to meet everyone’s needs.” 

Corbin said they aren’t just coordinating the 

fuel, but also the mode of delivery and hours of 

delivery. 

“We work with the individual Army customer 

By Jonathan Stack and Susan Lowe
Energy Source Energy Source ll April 2013 April 2013 55

SUPPORT

to make sure it’s a logical and valid package,” he said.

The center provides support to customers in more than 

280 Army locations inside and outside the continental 

U.S.

“DLA Energy is the authorized provider of fuel and in 

most cases provides the fuel once the Army Petroleum 

Center validates a requirement,” Sylvia said. 

He said DLA Energy provides 50 percent of the fuel in 

Afghanistan, and NATO provides the other 50 percent. In 

Europe and South America, all the Army’s requirements 

are met by DLA. In the U.S. the majority of the fuel needs 

are met by DLA. 

In addition to petroleum 

products, DLA Energy 

provides Army warfighters 

with coal, natural gas and 

helium. 

“Also, some of our locations 

have turned to DLA Energy 

as the provider of their 

electricity,” Sylvia said.

DLA Energy has made 

great strides in supporting 

the Army in these energy 

performance contracts, 

Corbin said.

Energy savings performance contracts require energy 

service companies to install and finance projects 

that increase customers’ energy efficiency and water 

conservation at no direct cost to the customers.

“As part of the requirement, the energy service company 

identifies improvements that will save energy and related 

operations and maintenance costs for a federal agency 

customer, such as an Army installation,” said Cindy 

Obermeyer, DLA Energy Installation Energy contracting 

officer. “The energy service company guarantees that the 

energy improvements proposed will result in a specified 

level of annual energy-cost savings to the federal agency 

or installation customer.” 

Obermeyer said the savings from an energy savings 

performance contract are guaranteed to be enough to let 

a customer pay the energy service company for its work 

over the term of the contract, which will not exceed 25 

years.

“The Energy Savings Performance Contract branch 

has awarded more than $430 million in energy savings 

contracts for the Defense Department, primarily for the 

Army,” Obermeyer said.

DLA Energy has also played 

a big role in assisting the 

Army in utility privatization, 

Corbin said. 

DLA Energy’s Utility 

Services business unit, in an 

environment where there 

is insufficient funding to 

upgrade and modernize The 

Army’s utility infrastructure, 

is responsible for awarding 

services contracts to 

commercial companies to 

which the services have 

conveyed their utility 

infrastructure. DLA Energy is the executive contracting 

agent for the Army’s utility privatization programs.

Under these contracts, the new system owner is required 

to provide safe and reliable utility services and must 

upgrade, maintain and operate the system in accordance 

with commercial standards, said Jacob Moser, former 

director of DLA Energy Utility Services. This allows the 

military services to concentrate on core missions. 

“By conveying ownership of the system to another entity, 

utility privatization leverages the expertise and capital 

of the commercial sector and the installation’s role 

“The agency’s name has changed, 

people have changed and processes 

have changed, but DLA’s core 

mission hasn’t changed – provide 

energy solutions to the warfighter, 

and APC’s core mission hasn’t 

changed.”

Army Col. Keith Sylvia

Army Petroleum Center commander
6 www.energy.dla.mil

Warfighter Support

transitions from being the system owner to a customer 

purchasing utility services,” Moser said. “By privatizing 

the infrastructure, the services are able to obtain safe 

and reliable utility services across modernized utility 

systems.” 

Utility privatization greatly increases the reliability of 

utility services provided via the privatized utility system, 

which is critical to supporting military missions and 

providing essential services to military service personnel, 

Moser said. 

Utility system deficiencies can degrade system reliability, 

threaten mission readiness and potentially compromise 

energy security, he added. 

Moser said under utility privatization, ownership and 

responsibility of utility systems are conveyed to utility 

companies, which then bring the systems up to industry 

and regulatory standards.

“We contract with the new system owner for 50 years to 

provide utility services at a cost; while higher than that 

expended prior to privatization, it is lower than if the 

government retained and maintained the systems to the 

same standard,” Moser said.

The decision to privatize a system is based on the results 

of an economic analysis, which compares the 50-year 

proposal price to an estimate of what it would cost if 

the government upgraded, maintained and operated 

the system in accordance with industry and regulatory 

standards, Moser said.

 “A utility system is only privatized when the government 

cost estimate to upgrade, maintain and operate the 

system in accordance with industry and regulatory 

standards is greater than the costs of privatization,” he 

added.

An example of a utility privatization contract in action 

was the restoration of power by Dominion Virginia Power 

to Fort Belvoir, Va., after severe storms swept through 

the Army post June 29, 2012.

A utility privatization contract had been awarded to 

Dominion Virginia Power in September 2006 to, in part, 

deal with emergency situations just like this.

Warfighter Support

A soldier refuels 

his mine resistant 

ambush protected 

vehicle during 

a convoy break 

in Afghanistan. 

DLA Energy 

provides the Army 

with petroleum, 

coal, natural 

gas and helium, 

among other 

energy products. 

Photo by Army 

Sgt. Kimberly 

Trumbull
Energy Source l April 2013 7

Under this contract, Dominion Virginia Power’s 

responsiblity is to provide operation, maintenance, 

renewals, replacements and capital upgrades for the Fort 

Belvoir electrical distribution system to meet federal, 

state and local laws and regulations for 50 

years.

Sylvia said DLA Energy and APC have 

been working together in some capacity for 

more than 40 years, and there have been 

a lot organizational changes at the agency, 

but there hasn’t been an impact on support to the Army 

warfighter.

“The agency’s name has changed, people have changed 

and processes have changed, but DLA’s core mission 

hasn’t changed – provide energy solutions to the 

warfighter, and APC’s core mission hasn’t changed,” he 

said.

Sylvia added that both organizations are a powerful 

resource for the Army customer, and if they continue to 

work transparently and come up with solutions together, 

the partnership will remain great. 

“We look forward to working through some tough 

challenges together,” he said.

Editor’s note: An excerpt of a news article, titled 

Defense Logistics Agency Energy supports Army’s 

efficiency projects, from the DLA Today website 

was used for this article. 

A soldier pours a fuel sample into a machine in his lab in 

Kosovo, that tests the flash point of the fuel. DLA Energy 

provides 50 percent of the fuel in Afghanistan, and 100 percent 

of the requirements in Europe and South America. Photo by 

Army Sgt. Jerry Boffen
8 www.energy.dla.mil

Warfighter Support

8 www.energy.dla.mil

NAVY

I

t’s no secret Defense Logistics Agency Energy 

supports the Navy with traditional petroleumbased fuels, but as the service’s requirements for 

alternative fuels grows, so does the agency’s support. 

“The Navy has always considered DLA Energy a partner,” 

said Lynda Turner, the alternative fuel logistics lead 

with the Naval Supply Systems Command Energy office. 

“Serving as the Department of Defense energy procurement 

agency, DLA Energy continues to help us shape our 

alternative fuel requirements to meet our objectives.”

DLA Energy Strategic Energy Analyst Jeanne Binder said 

the agency coordinates with the Navy on several fronts: the 

development of their specifications and requirements, awarding 

contracts to meet their requirements, providing quality assurance 

support for products provided under the contracts and support in 

coordinating deliveries and transportation.

She explained DLA Energy coordinates with several Navy 

offices to ensure their alternative fuel requirements are 

met.

On the policy side, the organization works with the 

Deputy Assistant Secretary of the Navy Energy office 

to understand the service’s high level goals and 

objectives, she said. The partnership also helps 

provide guidance and support on procurement 

and logistics processes to help determine what is 

feasible, as well as allows coordination between 

the Navy and DLA Energy business units to make 

communication easier.

Day-to-day alternative fuels support to the 

Navy goes through the Naval Supply Systems 

Command Energy office.

The NAVSUP Energy office works with DLA 

Energy on many of the same points as the 

DASN Energy office, but at the working 

level, Binder said. They develop and execute 

plans and efforts related to procurement 

and logistics, which are needed to support 

By Christopher Goulait

Warfighter Support
Energy Source l April 2013 9

SUPPORT

Energy Source l April 2013

specific efforts to meet the Navy’s goals.

Dan Baniszewski, DLA Energy Quality/Technical Support 

office’s Product Technology and Standardization division 

chief, said his office also works with the Naval Air Systems 

Command and Naval Sea Systems Command to establish 

alternative fuels specifications, feedstock requirements and 

other technical language related to the overall feedstock to 

fuel conversion process and final fuel composition.

Cooperation between the organizations is needed to support 

Secretary of the Navy Ray Mabus’ goal of improved energy 

security through operating the “Great Green Fleet” on a blend 

of biofuel and petroleum by 2016 and achieving 50 percent of 

total energy consumption from 

alternative sources by 2020, 

Turner said.

Many smaller tasks lead up to 

reaching those goals, she said, 

and that’s where DLA Energy 

comes into the process. 

After the Navy develops the 

requirements for alternative 

fuels, DLA Energy’s quality/

technical and contracting teams 

assist.

Turner said the Navy develops 

a “requirements document” 

that includes the non-petroleum fuel specification, volumes, 

delivery locations and dates. This document is prepared in 

collaboration with DLA Energy, relying on the organization’s 

logistics expertise every step of the way.

Baniszewski said the agency’s role involves working with 

potential alternative fuel suppliers to establish specifications, 

feedstock conversion process requirements, volumes 

and delivery schedules that are needed for a successful 

solicitation.

DLA Energy also helps put Navy requirements into the 

proper contractual language, which will ultimately help in 

obtaining a successful contract, Turner said.

Having a relationship with alternative fuel industry contacts 

helps ensure the success of those contracting packages as 

well, Baniszewski said.

“DLA Energy also uses its contacts and connections within 

the alternative fuels industry to disseminate knowledge of 

current solicitations to enable as many potential suppliers as 

possible to submit offers,” he said.

After reaching suppliers and receiving their offers, the 

DLA Energy Quality/Technical Support office acts as the 

principle technical evaluator during the offer evaluation 

phase to determine if a 

supplier can meet the 

specification, feedstock, 

conversion technology 

pathway, production and 

delivery requirements of the 

solicitation. The office also 

provides support via pre-award 

surveys.

Turner said the Navy and the 

DLA Energy teams remain in 

close coordination throughout 

the entire process, no matter 

the scope or scale of the 

requirements. 

The partnership is there whether it’s developing a 

requirements document for a product from a new nonpetroleum source, to be used for testing and certification, 

larger volumes required for an operational demo, or an 

eventual operational procurement. 

In any situation, DLA Energy contributes their knowledge 

of market availability to the development of a request for 

proposal and finally to the signing of a contract, Turner said.

“Ultimately, a success for the Navy and DLA Energy results in 

the Department of Defense being one step closer to meeting 

federal energy policies,” she said.

“Representatives from DLA Energy 

are members of some of our Navy 

working groups, to include the newly 

formed Great Green Fleet 2016 

Task Force. Without the continued 

Navy and DLA Energy partnership, 

meeting our service goals would be 

challenging.”

Linda Turner

Naval Supply Systems Command Energy
10 www.energy.dla.mil

Warfighter Support

However, Turner said to remember the alternative fuels 

industry is still young and procuring a product that is not yet 

an industry standard for testing can be challenging because of 

issues of availability, cost, delivery, storage and more.

Baniszewski related the comparatively unknown processes 

involved with alternative fuels to those of the well-established 

petroleum-based products. 

“Normally during the offer evaluation process, in-depth 

reviews of fuel production processes are not required, but for 

the ‘new’ alternative fuels required by the Navy, DLA Energy 

had to perform in-depth research related to the feedstocks 

and conversion technologies involved for each offeror to 

determine their validity in accordance with the solicitation 

requirements,” he said.

Binder said the “new” fuel procured for the Navy’s 

certification and demonstration efforts doesn’t fit into what 

is currently allowed in their military specifications for JP5 jet 

fuel and F76 marine diesel fuel, so draft specifications had to 

be used for procurements.

“These procurements were not part of the regular bulk fuels 

procurement program; each buy is a separate action based 

on the Navy’s requirement,” she said. “The Defense Working 

Capital Fund did not pay for the fuel. Most of the funding was 

provided by the Navy with the Energy Readiness Program 

providing a small amount of DLA research and development 

funds.”

Differences between traditional support and alternative 

fuels support extend past the fuel itself when unique 

transportation requirements arise to get the product to the 

Navy’s testing locations, Baniszewski said.

“Deliveries were made via tank truck, and since the fuel is 

for research and development purposes, each truck had 

to be evaluated for the last product carried and cleaning 

procedures to ensure the R&D fuel was not contaminated,” 

he said.

From research to delivery, DLA Energy coordinated four 

different varieties of alternative fuels for the Navy since 

fiscal year 2009, Binder said. They are a Fischer-Tropsch 

F76 equivalent known as FT F76, a hydro-treated renewable 

marine diesel fuel known as HRD76, a hydro-treated 

Warfighter Support
Energy Source l April 2013 11

renewable jet fuel called HRJ5, and a direct sugar to 

hydrocarbon equivalent of F76 called DSH76.

DLA Energy supported the Navy’s testing and 

demonstration with 20,000 gallons of FT F76 and 41,500 

gallons of HRJ5 in fiscal 2009. Then, in fiscal 2010, 150,000 

gallons of HRJ5 were exercised as a part of the existing fiscal 

2009 contract. Following that, in fiscal 2012 the largest 

single procurement of alternative fuels was arranged for 

350,000 gallons of HRD76, along with 100,000 gallons 

more of HRJ5 and a new procurement of 15,000 gallons 

of DSH76 with two options for 25,000 gallons that haven’t 

been exercised yet, Binder said.

These fuels were used for different purposes in the service’s 

qualification process. 

In the case of the HRD76 and HRJ5 from fiscal 2012, fuel 

was used for demonstration purposes during the 2012 Rim 

of the Pacific exercise in preparation for use using during 

the Great Green Fleet events, explained Navy Fuels Lead 

Rick Kamin.

Kamin said the fuel used for the Great Green Fleet 

demonstration fit into the fourth stage of a four-phase 

qualification process. The first phase started in the 

laboratory to look at chemical and physical properties, 

moved on to compatibility of materials like components, 

propulsion systems and distribution systems in the second 

phase, and continued with smaller platform trials in the 

third phase.

“The fourth phase comes down to fleet operability and 

making sure the fuels work out in the real world, and that’s 

really what the goal of the RIMPAC Great Green Fleet 

biofuels testing was,” Kamin said.

“Objectives were simple and twofold,” he continued. 

“First was to do a full, end-to-end logistics distribution 

infrastructure evaluation. From the supply point onshore 

to when the end user burned the fuel in their propulsion 

system, we evaluated the entire process. The only way you 

can really see if it will work in the field is to actually use it in 

the field.”

The fuel used for the alternative fuels portion of the exercise 

Secretary of the Navy 

Ray Mabus and Chief 

of Naval Operations 

Adm. Jonathan 

Greenert arrive at 

the Great Green Fleet 

demonstration in a 

MH-60S Seahawk 

helicopter using a 

biofuel blend during 

the Rim of the Pacific 

2012 exercise. The 

Defense Logistics 

Agency Energy 

contracted for the 

single largest biofuels 

procurement to date in 

support of the exercise. 

Photo by Navy Petty 

Officer 3rd Class Ryan 

J. Mayes
12 www.energy.dla.mil

Warfighter Support Warfighter Support

was a 200,000 gallon blend of 50 percent traditional JP5 and 

50 percent HRJ5 for jet fuel, along with a 700,000 gallon 

blend of 50 percent traditional F76 and 50 percent HRD76 

for ships’ propulsion, Kamin said. The biofuels were derived 

from 90 percent waste oil and 10 percent algal oil.

Obtaining this fuel and in these amounts offered some 

unique challenges, Binder said.

She explained that procurements needed for the Navy’s Great 

Green Fleet demonstration required finding sources capable 

of producing the large quantities needed by the required 

delivery date, while having competition throughout the 

procurement process.

Banizewski added feedstock and sustainability restrictions 

were also a point that needed to be re-evaluated to meet the 

Navy’s other requirements for these procurements.

Even after awarding the contract, Binder said the process for 

these biofuels needed attention to ensure fuel quality and 

make sure delivery schedules could be met. The concerns of 

Congress also had to be addressed for this batch of biofuels.

But Kamin summarized that by the end of the demonstration, 

everyone who was involved was in total agreement that the 

fuel was an acceptable drop-in replacement. 

The results came as no surprise to him, as he said the Navy 

did a lot of tests leading up to this, and it’s what was expected.

“The bottom line is that there were no operational impacts,” 

Kamin said.

Biofuel undergoes its initial inspection as it’s loaded into the aircraft carrier USS Nimitz during a replenishment at sea with Military 

Sealift Command’s fleet replenishment oiler USNS Henry J. Kaiser. Nimitz on-loaded 200,000 gallons of a jet fuel blend of traditional 

petroleum and biofuel contracted by the Defense Logistics Agency Energy in preparation of the Great Green Fleet demonstration 

during Rim of the Pacific 2012 exercise. Photo by Navy Petty Officer 2nd Class Robert Winn
Energy Source l April 2013 13

On the heels of what is being considered a 

successful demonstration of alternative fuel, the 

Navy is still looking forward to the next steps 

it will be taking with DLA Energy to assist with 

upcoming goals.

Turner acknowledged the clear increase in demand for alternative 

fuels for the Navy, and said she’s confident that DLA Energy will be 

fully engaged to support any new requirements.

“Representatives from DLA Energy are members of some of our 

Navy working groups, to include the Fuels Requirements and 

Acquisition Working Group of the newly formed Great Green 

Fleet 2016 Task Force,” Turner said. “Without the continued Navy 

and DLA Energy partnership, meeting our service goals would be 

challenging.”

She said the Navy will continue to work in close cooperation with 

DLA Energy in the field of alternative fuels as it strives toward 

meeting the SECNAV goal that states by 2020 50 percent of all 

Department of the Navy energy consumption will come from 

alternative sources.

“It is tough to say how our working relationship will change,” 

Turner said. “Using the past as a predictor of the future, I fully 

expect that our relationship will evolve as the alternative fuels 

industry and standards move forward through the various 

challenges and obstacles that we are bound to face.”

Defense Logistics Agency Energy-procured biofuel is 

tested as it’s loaded into the aircraft carrier USS Nimitz 

during a replenishment at sea with Military Sealift 

Command’s fleet replenishment oiler USNS Henry J. 

Kaiser. This is a portion of the 900,000 gallons of blended 

jet and marine diesel fuel used during the Navy’s Great 

Green Fleet demonstration in the Rim of the Pacific 2012 

exercise. Photo by Navy Petty Officer 2nd Class Robert 

Winn
14 www.energy.dla.mil

Warfighter Support

14 www.energy.dla.mil

MARINE

Defense Logistics Agency Energy 

supports the Marine warfighter in 

many ways – apart from providing 

comprehensive energy solutions amounting 

to approximately $64 million in fiscal 2012, the 

organization’s workforce provides year-round support 

as members of the Headquarters Marine Corps 

Management Assist Visit program.

The purpose of the MAV program is to ensure 

installation fuel facilities are in compliance with all 

Department of Defense, secretary of the Navy, Marine 

Headquarters, Naval Supply Systems Command and DLA 

guidelines regarding fuel operations. The program also 

ensures the readiness, effectiveness and efficiency of Marine 

fuel facilities; assesses the quantity, quality and management 

of resources available to perform assigned missions and provides 

assistance and training to fuel activities where appropriate. The 

intent of this program is to evaluate/assist each installation every 

three years, and at least one installation will be visited each 

quarter. 

 “Due to the requirement to thoroughly review the individual 

units’ physical infrastructure, policies, procedures and daily 

operations, these inspections cannot be made via telecom 

or other electronic media,” according to the Marine 

Corps’ announcement of the fiscal year 2013 MAV 

schedule was released in September 2012. 

The MAV team will physically evaluate all Marine 

facilities. As of March 2013, Marine Corp Air 

Station Beaufort, S.C.; Marine Corp Air Station 

Miramar, Calif.; Mountain Warfare Training 

Center Bridgeport, Calif.; Marine Corp Air 

Station New River, N.C.; and Marine Corp Base 

Okinawa, Marine Corp Air Station Iwakuni 

and Camp Fuji, Japan, have been inspected 

by the team. Marine Corp Base Camp 

Pendleton, Calif.; Marine Corp Logistics Base 

Albany, Ga., and Blount Island Command 

Jacksonville, Fla., are scheduled to be visited 

before the end of the fiscal year. 

The MAV teams are made up of 

By Terry Shawn

Warfighter Support
Energy Source Energy Source l April 2013 l April 2013 1515

SUPPORT

representatives of the HQMC Fuel Liaison Office, NAVSUP 

Energy and DLA Energy. Marine Chief Warrant Officer 

Oliver Ezell, HQMC fuel liaison officer, serves as the 

team leader with Marine Master Gunnery Sgt. Alvin 

Patton serving as inspector. The 12-person team includes 

sustainment restoration modernization engineers, 

environmental engineers, contract specialists, management 

specialists and auditors. Ezell compared the team’s visit 

to a trip to a one stop, full-service auto oil change station 

where multiple technicians address and evaluate each of the 

customer’s car needs.

“This collection of personnel on the team pays huge 

dividends,” Ezell said. “When an installation has a problem 

or needs to address a concern, the appropriate person is 

right there as a MAV team 

member, to facilitate the 

appropriate action.”

HQMC officially sanctioned 

the Fuel MAV program in 

April 2012. It has become 

an effective evaluation tool, 

after it was determined 

regular inspections by a 

qualified team could evaluate 

and address various aspects 

of a facilities operation, 

policies and training. The 

MAV program could have 

been effective in preventing 

incidents such as the 75,000 gallon fuel release in Yuma, 

Ariz., in 2011 had the program been in place, said Ezell. 

The cause of that fuel release was due to a leak in the 

cathodic protection of the pipe that was exposed to dry, arid 

conditions in the deserts of Arizona, Ezell explained. 

“The MAV team provides guidance and helps the visited 

sites to identify any petroleum, oil and lubricants duties that 

may have been overlooked or neglected,” said DLA Energy 

MAV Teammember Michael Downs. “The team helps to 

ensure efforts are undertaken to fix deficiencies so that the 

installation can provide clean, dry fuel to where it's needed, 

when it's needed.”

The most recently completed visit was to Marine Corp 

Base Okinawa where DLA Energy Pacific at Japan Deputy 

Director Geoffrey Connell participated as a team member 

on inspections of Defense Fuel Support Points Iwakuni and 

Camp Fuji in January.

As the DLA Energy Pacific representative on the team, 

Connell realized very quickly his ideal role was to act as an 

enabler, he said.

“Toward that goal, I engaged with each of the team members 

and helped them understand the history behind many of the 

unique processes in Japan, which helped them provide more 

focused advice to our customer," Connell added.

Connell, a 10-year DLA 

Energy employee, has served 

on numerous Air Force and 

DLA management assistance 

visits and inspection 

teams, but this was his first 

experience with a Marine 

Corps sponsored MAV.

"This first ever United States 

Marine Corps-sponsored 

management assistance 

visit provided our [Marine] 

DFSPs a great opportunity 

to improve their internal 

processes," Connell said.

During these visits, the team inspects and evaluates a 

number of areas such as the organization’s fuel operations, 

accounting, bulk storage, rail heads, piers and wharfs, 

quality surveillance, laboratory, training, safety, security and 

environment. 

The MAV team, with DLA Energy representatives, evaluate 

administration and inventory management operations; 

inspect and evaluate tanks, that store DLA’s capitalized 

product, retail gas stations, parking, hot pits used for 

refueling aircraft, the fixed pressurized system of hydrants 

to refuel aircraft and general aircraft refueling. The MAV 

“The MAV team provides guidance 

and helps the visited sites to identify 

any petroleum, oil and lubricants 

duties that may have been overlooked 

or neglected. The team helps to 

ensure efforts are undertaken to fix 

deficiencies so that the installation can 

provide clean dry fuel to where it’s 

needed, when it’s needed.”

Michael Downs. 

DLA Energy MAV team member 
16 www.energy.dla.mil

Warfighter Support Warfighter Support

team and DLA Energy personnel also evaluate maintenance 

practices and reparis.

The scheduling process begins in June when the Marine Fuel 

LNO submits recommended MAV sites and general dates to 

NAVSUP Energy. The list is reviewed and then sent to DLA 

Energy for consideration. In August, DLA Energy initiates 

internal coordination with the Navy and Marine Corps to 

determine if sites will fit into the schedule.

The schedule is then submitted in September for approval 

by NAVSUP Energy and the HQMC Fuel LNO. HQMC then 

issues an official message announcing the upcoming MAV 

inspection schedule for the fiscal year. Units included in that 

schedule are contacted to coordinate the specific dates of the 

MAV. 

Two months prior to the MAV, the units submit a selfassessment to the LNO, which is then forwarded to all MAV 

inspectors. This thorough evaluation proved to be a valuable 

measurement tool for Marine Chief Warrant Officer Marvin 

Holcomb. 

“The MAV was very in-depth and covered many areas I 

was not even aware of until I started reading through and 

conducting my internal inspection,” said Holcomb.

With actual DLA Energy representatives coming down to 

conduct the inspection, it gave the responsible officer and 

his staff, the ability to identify to DLA on-site issues the 

organization was having, Holcomb said.

“They provided on-site recommendations to certain 

conditions that proved to be very useful to our daily mission 

requirements,” he added.

One of the last steps in the process occurs one week before 

the visit when a final teleconference is conducted to answer 

any questions pertaining to the self-assessment and complete 

any required logistical requests or support. An electronic 

MAV in-brief is then sent to the unit with specifics tasks to be 

accomplished during the upcoming visit.

One of the challenges the MAV team encounters is the 

perception by the installation that the visit is designed to 

point out what is wrong or flawed with their operations, 

Downs said. 

“Not many people welcome outsiders to ‘get in their 

business,’ however, we are genuinely there to help by 

providing guidance, our personal insights and expertise to 

keep the fuels mission running as it should,” he added.

Three weeks after the week-long visit is completed, the final 

results are released. After the units receive the official results, 

the unit’s command must submit a corrective action report to 

HQMC within 30 days. 

The Marine Corp Air Station New River Fuels division 

Three large silos contain and store fuel aboard Marine Corps 

Air Station Miramar, Calif. The fuel distribution system supplies 

the air station as a whole with fuel for aircraft, tactical vehicles 

and Defense Department vehicles. Members of the Marine Corps 

Management Assist Visit program ensure the service’s fuel facilities 

are in compliance with fuel operation guidelines. Photo by Marine 

Cpl. Jamean Berry
Energy Source l April 2013 17

employees continue to work with DLA Energy representatives 

from the inspection team since their inspection in October to 

complete tasks and projects still active today, Holcomb said.

“The Marine Corps looks at DLA Energy's support of the 

Marine Corps' Fuel Management Assistance Visit program as 

a sterling example of the selfless, ongoing commitment that 

DLA demonstrates in its executive agency role to improve 

services' fuel provision and operations at all levels from the 

strategic through individual installation and tactical fuel 

support,” said HQMC Deputy Commandant, Installations 

and Logistics, Engineer Advocate office, Mike Boyd.

The DLA Energy personnel support to the MAV program 

is a testimony to DLA's drive to go above and beyond to 

support the customer at every level, innovatively partnering 

to providing the critically enabling fuel support needed 

every day to continue to train and operate in the Marine 

expeditionary role to be most ready when the rest of the 

nation is not, he added.

The MAV team, 

which includes DLA 

Energy employees, 

inspects and evaluates 

maintenance, repairs 

and all fuel servicing 

operations at each 

Marine fuel facility 

every three years, such 

as this E85 ethanol 

fuel station at Marine 

Corps Base Hawaii. 

Photo by Marine 

Lance Cpl. Reece 

Lodder 
18 www.energy.dla.mil

Warfighter Support

18 www.energy.dla.mil

AIR FORCE

Warfighter Support

The Air Force’s mission is to fly, fight and win ... in air, 

space and cyberspace. 

In order to ensure mission success, the Air Force looks to the 

Defense Logistics Agency Energy for fuel support. 

“We are the largest customer of DLA Energy, accounting for 60 to 

65 percent of sales,” said Air Force Petroleum Agency Director of 

Operations Mike Nelson. “More than 70 percent of the JP8 jet fuel 

purchased by DLA Energy is used by the Air Force.”

In 2012, the Air Force spent approximately $8.4 billion for 

petroleum products, making it the largest consumer in the 

Department of Defense. The Air Force annually uses approximately 

2.5 billion gallons of fuel, resulting in the service’s second-highest annual 

operations and budgetary expense.

AFPA is the service’s single point of entry for operational issues to DLA 

Energy. 

DLA Energy personnel work with members of AFPA to ensure the 

warfighter receives the fuel requirements needed to perform mission 

functions. 

“Air Force [personnel] will call us for a critical resupply shortage and 

we in return will contact DLA Energy to execute an emergency spot 

buy,” Nelson said. 

AFPA members can help arrange for a contract and procure the 

fuel in one day, he said.

“As the single point of contact for the warfighter, and a direct 

line of communication to the Air Force, the Air Force Petroleum 

Agency is a vital partner to DLA Energy’s mission,” said DLA 

Energy Director of Customer Operations Air Force Col. Steve 

Kephart. “If you have an Air Force energy or fuel-related issue, 

you know exactly who to turn to.”

As a service control point, AFPA provides the warfighter and 

space launch activities technical support and specialized 

capabilities in petroleum, propellants, cryogenics, chemicals and 

gases for all aerospace vehicles, systems and equipment. Another 

role is coordinating policies with the Air Force and helping 

prioritize most urgent operational needs.

AFPA has always been DLA Energy’s point of entry, however, 

By Irene Smith
Energy Source l April 2013 19

their role expanded. The service petroleum agency became 

the Air Force’s sole fuels manager Oct. 1, because of the 

Installation Support Centralization initiative. 

Installation Support Centralization is an Air Force initiative 

to become more efficient and eliminate duplicate work 

performed by the different major commands.

“The concept is simple ... Centralize installation support 

for specific functions and quit repeating essentially the 

same process 11 times at 11 different MAJCOMs,” Nelson 

said. “[Installation Support Centralization] moves most 

installation support functions from MAJCOMS to centralized 

agencies, and as a result of these changes, AFPA is now the 

focal point for Air Force fuels management.” 

The petroleum 

agency first received 

the directive for the 

initiative 15 months 

prior to going into 

effect, and personnel 

began working on 

the plan to pick up 

the workload for 11 

MAJCOMs. They 

worked with more 

than 100 installations 

spread across 12 time 

zones and 3,200 

personnel who issued 2.4 billion gallons of fuel in 2012.

“We were determined that our No. 1 job was to give the best 

support possible to the airmen receiving, storing and issuing 

the fuel powering the Air Force’s mission,” Nelson said. “All 

the hard work to become more efficient would be fruitless if 

support to the warfighter lagged.”

The AFPA team works for their customer – airmen doing the 

real work in the field, he said. 

“They are the only reason we are here,” Nelson added. 

Every week there is a service control point meeting at the 

DLA headquarters building with DLA Energy to discuss fuel 

issues. 

“It’s a great opportunity to have the senior leaders from 

each service and DLA Energy in the same room together 

discussing issues openly and frankly,” said Air Force Col. 

Carmen Goyette, AFPA commander. “The meetings facilitate 

direct communication and reduce fog and friction.”

Kephart said it is a great benefit to have the AFPA as the 

single point of contact to the service because it helps the two 

agencies gain synergy.

Recently, the AFPA’s newly implemented initiative was put 

to the test. Goyette was a month into the Installation Support 

Centralization transition when Hurricane Sandy struck the 

East Coast in October. 

“Hurricane Sandy 

tested the operations 

cell’s readiness 

to support the 

warfighter,” Goyette 

said. “During 

Hurricane Sandy, 

the operations cell 

seamlessly expanded 

to 24/7 operations 

and handled a diverse 

set of tasks, from 

determining fuel 

inventory status 

and fueling equipment readiness at key recovery hubs to 

providing instructions for converting diesel trucks to gasoline 

service, no challenge was too large.” 

Goyette said she is very proud of her team and how they 

responded during the crisis. 

“Responding to Hurricane Sandy was a good initial test, and 

we learned we have a little work to do on better defining roles 

to ensure smooth team work and partnering with MAJCOMs’ 

staffs when we are responding to emergency situations,” she 

added. “In the end, the airman on the ground, providing fuel 

to emergency responders, got the support they needed, and 

that was the most important part.” 

The initiative expanded AFPA’s mission while streamlining 

Energy Source l April 2013 19

SUPPORT

“As the single point of contact for the 

warfighter, and a direct line of communication 

to the Air Force, the Air Force Petroleum 

Agency is a vital partner to DLA Energy’s 

mission. f you have an Air Force energy or fuel 

related issue, you know exactly who to turn to.” 

Air Force Col. Steve Kephart

DLA Energy Director of Customer Operations 
20 www.energy.dla.mil

Warfighter Support

processes and eliminating 

duplicate efforts. 

“The end result has been excellent 

support to the warfighter – the 

airman doing the everyday job of 

fueling the world’s premier Air 

Force,” Goyette said. 

The benefits from the partnership 

between DLA Energy and 

AFPA go beyond meeting fuel 

requirements and initiatives 

– they also include service 

programs. 

One program beneficial to both 

agencies is the Fuel System Icing 

Inhibitor Reduction program. 

AFPA’s Science & Technology 

division chemists and fuel 

personnel at Wright-Patterson 

Air Force Base, Ohio, have spent 

nearly a decade studying fuel 

system icing inhibitors, FSII, 

and the possibility of reducing its 

usage in aviation turbine fuel. FSII 

is a mandatory additive to aviation 

fuels that stops ice from forming 

in fuel lines, and has the added 

benefit of inhibiting microbial 

growth in fuel. 

“The limits for FSII use have 

remained unchanged since its use 

began in the early 1960’s, even 

though the primary fuel used by 

the Air Force has transitioned 

from JP4 to JP8 and the chemical 

used as a FSII has changed,” 

said Ben Curtis, AFPA Science & 

Technology division chief. 

The Air Force introduced FSII into 

jet fuel after the loss of a B-52 aircraft in a crash attributed to 

ice formation.

After the petroleum agency funded research to evaluate the 

necessity of additives used in JP8 for potential savings, in 

2004 it recognized the use of FSII could be reduced and not 

impact airworthiness. In 2006, DLA Aviation funded further 

research.

Testing proved FSII specification limits could be safely 

lowered from 0.1 percent to 0.07 percent on receipt and 

aircraft use limits being lowered from 0.07 to 0.04 percent 

without affecting airworthiness. 

Warfighter Support

An airman checks for fuel system inhibitors with a refractometer. The Air Force Petroleum Agency 

has spent a decade studying fuel styem incing inhibitor and the possibility of reducint its usage in 

aviation turbine fuel. Photo by Air Force photo by Airman 1st Class Jason Epley
Energy Source l April 2013 21

“It’s been a long, drawn-out process to reduce the levels of 

FSII,” Curtis said. “As the Defense Department can easily 

consume 2 billion gallons of JP8 annually, lowering FSII 

concentrations slightly could amount to large savings.”

Curtis said in addition to substantial procurement savings, 

there will be savings from the reduced logistical footprint, the 

shipping, handling and storage of more than 2,000 drums in 

the area of responsibility. 

DLA Energy purchased 

more than 2.3 million 

gallons of FSII to add 

to JP8 in 2011. The 

lower FSII limit is 

expected to save $5.3 

million annually.

“DLA Energy buys the 

fuel and implements 

the lower limits and 

updates contract 

clauses to ensure we 

get the amount we 

need,” Curtis said. 

“DLA Energy has a lot 

to do with implementation of the FSII program.”

In a fiscally constrained environment, we can always fall 

back on the beneficial relationship between DLA Energy and 

AFPA, Kephart said.

EDITOR’S NOTE: Air Force Capt. Tim Peedin, Mike 

Nelson, Ben Curtis, Cheryl McCormick and Don 

Brown, Air Force Petroleum Agency employees, 

contributed to this article.

An airman uses a pipe wrench to attach a refueling nozzle to a new fuel hose. The hose and nozzle will 

then be put back onto a refueling truck that will be used to fuel aircraft. DLA Energy supplied the Air 

Force with 2.5 billion gallons of fuel in fiscal year 2012. Photo by Air Force Senior Airman Elizabeth 

Rissmiller
22 www.energy.dla.mil

Energy

COAST GUARD

22 www.energy.dla.mil

Each day, more than 35,000 active-duty members 

of the Coast Guard provide a federal law 

enforcement presence over the entire U.S.-

exclusive economic zone, covering nearly 3.4 million 

square miles of ocean, and it relies on fuel from Defense 

Logistics Agency Energy to accomplish this vast 

mission. 

Kathryn Fantasia, then-director of DLA Energy’s direct 

delivery fuels, explained the organization provides 

fuel to the Coast Guard through its Posts, Camps and 

Stations Program, which provides diesel, heating oil and 

gasoline to fixed facilities such as Coast Guard stations. 

Story by Amanda Neumann, DLA Public Affairs

Energy
Energy Source l April 2013 23

SUPPORT

Energy Source l April 2013 23

A coast guardsman prepares for helicopter training with an MH-65 Dolphin helicopter. DLA Energy provides the Coast 

Guard more than 27.7 million gallon of fuel overall. Photo by Coast Guard Petty Officer 3rd Class Sabrina Laberdesque
24 www.energy.dla.mil

Energy

“Right now, we have 50 contracts,” she said. “The numbers 

can change if a contract expires. As they expire, we award 

new contracts, so those numbers do vary over the purchase 

program. But each contract is usually three years long.”

With 225 items under PC&S contracts, each specific to a 

location and a type of fuel, DLA Energy provides the Coast 

Guard more than 27.7 million gallons of fuel overall. Many 

stations request different types of fuel, which vary due to 

where it is being delivered, Fantasia said.

“For example, under the Posts, Camps and Stations Program, 

the CG requires ground fuels delivered. Ground fuels are 

commercially available fuels, like gasoline and diesel,” 

Fantasia said. “Depending on the delivery location, the types 

of diesel can vary due to seasonal temperature variations.”

DLA Energy also provides the Coast Guard with significant 

quantities of military-specification fuels, said Bruce Blank, 

deputy director of Supplier Operations for Acquisition. 

“We supply the Coast Guard with a variety of militaryspecification fuels under our bulk programs as well,” he said. 

“F76 is a ship’s propulsion fuel that the Navy also uses. We 

buy that in large quantities, store it and distribute it out to 

our customers because it is a unique product. JP5 is used 

for shipboard use on carriers. It has a high flash point so it’s 

a safer fuel. JP8 is the land-based jet fuel that the Air Force 

A Coast Guard Cutter Bertholf helicopter fuel team conducts a hot refuel while a Kodiak-based air station HH-65 Dolphin helicopter 

continues to run. The Coast Guard relies on fuel from DLA Energy to accomplish the mission of providing a federal law enforcement 

presence across nearly 3.4 million square miles of ocean. Photo by Coast Guard Petty Officer 3rd Class Charly Hengen
Energy Source l April 2013 25

and the other services use. 

It’s much like commercial jet 

fuel, but it has some slightly 

different refined aspects to it 

and additives.”

In 2012, DLA Energy sold 

more than 24 million 

gallons of fuel to the Coast 

Guard under the Bulk Fuels 

Program, the majority being 

fuels used on vessels and 

aircraft, Blank said. Another 

initiative, DLA Energy’s Ships’ 

Bunkers Program, consists 

of 23 contracts spanning 

six countries. The program 

allows Coast Guard vessels to 

purchase fuels at authorized 

ports for contract prices and 

provided more than 38.8 

million gallons of fuel to the 

Coast Guard in fiscal 2012.

“We contract at different ports 

around the world and put 

specific quantities of fuel on 

contract,” Fantasia said. “The 

Coast Guard is an authorized 

customer, so if they have a 

vessel that needs commercialgrade fuel, they would go to that 

port, utilize our contract and 

purchase fuel at our contract 

price. That’s typically marine gas oil, which is the commercial 

equivalent to F76.”

Another similar program is the Into-Plane Program, Fantasia 

said.

“We have contracts at commercial airports around the world, 

and the Aviation Into-plane Reimbursement card is an 

ordering mechanism for pilots to refuel at those airports,” 

she said. “The aircraft can land, they can use the card with 

our contractor and they can purchase jet fuel for their aircraft 

at commercial airports. They can also use it where we have 

merchant agreements with non-contract locations to do what 

we call a local purchase of jet fuel. It’s like a normal credit 

card.”

Through a combination of both contract and non-contract 

purchases, the Coast Guard purchased 

more than 7.8 million gallons of fuel 

in fiscal 2012 though the Into-Plane 

Program.

“The difference between the two is in the contract’s pricing,” 

Fantasia said. “If DLA Energy solicits an award to contract at 

an airport, it’s cheaper. Non-contract is when we don’t have a 

contract and it’s considered a local purchase.”

By purchasing fuel through programs the other military 

services already use, DLA Energy is able to charge the Coast 

Guard the cheaper Defense Department prices, Fantasia 

said.

“We treat the Coast Guard as a Defense Department 

customer in that they get the DoD standard price,” she 

said. “Non-DoD customers are charged a cost-plus price, 

which includes a fee. A lot of different elements go into our 

standard price, but it mainly includes the cost of products 

and any overhead. Since they’re not charged a fee, they can 

use the fuel programs just like any of the other services do.” 

An MH-65 Dolphin helicopter crew hoists a Coast Guard 

rescue swimmer during helicopter training. DLA Energy sold 

more than 24 million gallons of fuel to the Coast Guard under 

the Bulk Fuels Program, the majority being fuels used on 

vessels and aircraft. Photo by Coast Guard Petty Officer 3rd 

Class Sabrina Laberdesque
26 www.energy.dla.mil

We Are DLA

The Defense Logistics Agency Energy officially 

assumed strategic bulk fuel and quality control 

missions on Okinawa, Japan, March 15.

After a 30-month transition process, DLA Energy assumed 

the former mission of the Army’s 505th Quartermaster 

Battalion in support of Department of Defense activities on 

the island through its new DLA Energy Pacific at Okinawa 

office.

DLA Energy Pacific Commander Navy Capt. Kevin 

Henderson said that the Army decided to remove the 505th 

Quartermaster Battalion from its force structure in 2009, and 

asked DLA Energy to assume its petroleum mission. 

Based on DLA Energy’s bulk petroleum executive agent role 

and overall economic benefits, the organization agreed to 

take on the responsibility.

DLA Energy Pacific at Okinawa Deputy Director Ed Guthrie 

explained the support will remain the same, even though the 

operations have changed hands.

“The mission of the 505th Quartermaster Battalion was to 

provide strategic bulk fuels in support of all DoD activities on 

Okinawa, which will stay the same after the transfer to DLA 

Energy.” Guthrie said.

Guthrie said the new location is staffed by two military 

employees, 23 government employees and 103 foreign 

national employees. The office is also assisted by two 

government DLA Information Operations employees and five 

government DLA Installation Support employees.

Keith Stedman, DLA Energy Defense Fuel Support Point 

Management business unit deputy director, said having 

the operations commanded and staffed by DLA Energy 

personnel and supplemented by the Japanese national 

workforce is a first for DLA Energy. 

Henderson said while the staffing of the new responsibility 

is unique, the workforce’s overall DFSP experience in the 

region also plays a role.

“For many years, DLA Energy has directly funded service-run 

DFSPs as well as funded government and contractor-owned, 

contractor-operated DFSPs,” Henderson said. “However, 

Okinawa

DLA Energy’s new mission...

By Christopher Goulait

(Left) Navy Capt. Henderson, DLA Energy Pacfic commander, 

and Marine Maj. John Fitch, new DLA Pacific at Okinawa 

commander, symbolically reopen the fuel gate at Defense 

Fuel Support Point Okinawa, Japan, during the assumption 

of mission ceremony March 15. DLA Energy assumed the 

Army’s 505th Quartermaster Battalion’s former petroleum 

responsibilities of Defense Department activities on Okinawa. 

Photo by Robert Tate
Energy Source l April 2013 27

this is the first time ever that DLA employees will actually 

perform day-to-day DFSP operations, including receipt, 

storage, inventory accounting, quality management, 

maintenance and issue of product.”

“While this is precedent-setting for DLA Energy, it is 

important to know that DLA Energy Pacific employees 

have vast experience operating DFSPs around the world as 

civil servants and active duty military for all four services,” 

he said.

Stedman added that DLA Energy is now also responsible 

for the maintenance of the fuel facilities as well as the 

quality of the fuel that is issued to the island’s primary 

customers at Kadena Air Base and the Marine Corps Air 

Station at Futenma.

Enhancing DLA Energy’s relationship with those and all 

Okinawa customers is one way in which the transition 

affects DLA Energy’s customer support to the region, 

Guthrie said. DLA Energy is working with customers to 

maintain clear and open lines of communication to have 

a direct involvement approach to meeting each of the 

military services’ energy needs in the region.

Enhancing support to Okinawa also strategically supports 

the overall DLA Energy Pacific mission, Henderson said.

“DLA Energy Pacific has been working to strategically 

position fuel and infrastructure to support U.S. Pacific 

Command’s warfighters,” he said. “The Okinawa bulk fuel 

mission is a very important piece of that strategic plan and 

a natural fit for DLA Energy and the Pacific region.”

A natural fit still required planning and coordination to 

effectively transfer, Stedman explained.

“DFSP Management was the DLA lead for this mission up 

to the point when the DLA Energy and the DLA director 

approved the mission transfer,” he said. “The decision 

process was supported by a business case analysis. DLA 

Energy Pacific took the lead at that point and drove the 

mission transfer to completion.”

Guthrie said when DLA Energy’s Pacific region took 

the lead, it used an integrated process team to ensure a 

seamless transfer. The overall IPT included leadership 

from a Council of Colonels, who were assisted by three 

action officers and 10 smaller IPTs representing subject 

matter experts from DLA Energy and various PACOM 

units. Each IPT developed its own plan of action and 

milestones to manage timelines and integrate processes 

between teams.

“All of this work equates to a smooth and seamless transfer 

of mission from the 505th Quartermaster Battalion over to 

DLA Energy, while not affecting the service being rendered 

to the warfighters,” Guthrie said.

Marines with aircraft rescue and firefighting extinguish a fuel fire during fuel pit fire training on Marine Corps Air Station 

Futenma in Okinawa, Japan. These and other exercises on Okinawa will be supported by the Defense Logistics Agency Energy 

after assuming the strategic bulk fuel and quality control missions from the 505th Quartermaster Battalion March 15. Photo by 

Marine Lance Cpl. Alyssa Gunton
28 www.energy.dla.mil

We Are DLA

DLA Energy restructures...

Modernizing Supply 

Chain Management 

By Terry Shawn

The Defense Logistics Agency Energy is being 

restructured to align the primary-level field activity 

under the Enterprise Business System Energy 

Convergence supply chain. 

The reorganization is directed by General Order No. 05-12, 

signed by DLA Vice Director Edward Case June 29, 2012.

“Our new organizational construct is designed to strengthen 

relationships with our customers and suppliers, and better 

align us with the underlying business processes at the core 

of DLA's EBS, a SAP-based Enterprise Resource Planning 

environment,” said DLA Energy Deputy Commander 

Michael Scott. 

The EBS program modernizes and refines the Agency’s 

supply chain management capabilities by replacing aging 

technology legacy systems, improving customer support 

and providing better access to DLA’s portfolio of business 

systems and process.

"This particular re-org is a part of a much bigger and broader 

initiative for DLA Energy personnel that can be summed 

up as ‘EBS Energy Convergence,’” said Michael Broderick, 

director of DLA Energy’s Business Process Support 

directorate. “We in DLA Energy are converging with EBS.” 

The reorganization transforms the enterprise into a left, 

customer-facing structure, and a right, supplier-facing 

structure, in sync with the core tenets of Business Systems 

Modernization, the precursor of EBS, Broderick explained.

 

“The rationale is to have very specific organizations that 

would have very specific focus on the key elements of DLA's 

overall business,” he said. 

In addition to the inherent structural composition of the 

new organizational design, it has been proven that those 

organizations who structure themselves in alignment to the 

underlying business processes of the specific ERP have the 

greatest chance for optimal success, Scott explained. 

“Our new organizational construct has been specifically 

tailored to align with the DLA EBS environment, to 

generate an optimal transition to the new ERP 

environment,” he said.

The customer and supplier alignment founded 

in the Directorate of Customer Operations and 

Directorate of Supplier Operations is 

designed to provide enhanced and 

dedicated support to our customer 

and supplier base, Scott said.

The first release for Energy 

Convergence was Oct. 24, 2011. 

For this release, DLA Energy 

moved all of its non-petroleum 

business units to EBS using the 

functionality that exists in EBS plus 

what eProcurement adds to the system, 

Broderick explained. 

The Energy Convergence release involved 

about 340 people within DLA Energy who work 

with procurement, order management, inventory 

management, finance, technical/quality and planning. 

They are using the same procurement functionality as DLA 

Aviation, Broderick said.
Energy Source l April 2013 29

The General Order creates the positions of director of the 

Procurement Process Support directorate; director of the 

Business Process Support directorate; director of the Supplier 

Operations directorate and the director of the Customer 

Operations directorate to be established and aligned under the 

DLA Energy commander.

Douglas Smith, newly appointed director of the Procurement 

Process Support directorate, sees the incorporation of Energy 

Convergence functionality into EBS as a big move forward for 

DLA Energy and the agency. 

“Energy Convergence and the 

implementation of our nonpetroleum business was a big step, 

but the introduction of 

the additional 

EC 

functionality will have an impact on all of DLA Energy,” Smith 

explained.

“In the procurement area, we will be adapting our processes to 

get our mission accomplished and in the process, putting into 

place contracts that significantly increases the dollar amount 

and the number of transactions flowing through EBS,” Smith 

said. 

Air Force Col. Steve Kephart, DLA Energy Customer 

Operations director agreed.

“We’re the last primary-level field activity to enter into the 

Enterprise Business solution and energy convergence effort. ... 

We are coming in line with the other PLFAs,” Kephart said. 

The former DLA Energy Operations director 

reflected on his new responsibilities 

under the reorganization. 
"A huge part of customer service is supplying the customer 

with the right item, in the right place, at the right time. In 

the case of CL III petroleum commodities, this is having the 

right quantity of clean, dry, on-specification commercial or 

military spec petroleum commodities," Kephart said.

Getting to the right quantity involves getting an accurate 

demand or requirement signal from the customer base, 

Kephart added. 

Once the new EBS system 

is finally in place and there 

are demand planners on 

the customer side feeding 

the demand signal to the 

acquisition side [of supplier 

operations], Kephart expects 

there to be a better handoff 

than before.

“Getting accurate customer 

demand forecasts and pushing 

the demand planning accuracy as high as we can will make 

our acquisitions that much better because we're buying 

exactly what the customer requests/needs, a necessity in our 

current fiscally constrained budget environment,” Kephart 

explained.

In the restructuring, Gabby Earhardt, former DLA Energy 

director of Procurement Process Support Directorate, was 

named DLA Energy’s Supplier Operations director, replacing 

Mark Iden who recently retired from the agency. 

The transition should be transparent to both the supplier and 

customer base, Earhardt explained. 

“Both should see a continuation of exceptional support from 

the DLA Energy team. Our success has always been the 

result of solid communication and strong team work within 

the Energy team,” Earhardt said. 

The proposed December 2012 Rollout 1 involving DLA 

Energy Pacific at Alaska has been postponed to ensure the 

adequacy of the test window for post-delivery code fixes and 

to provide sufficient time for 

training.

Kephart speculates that other 

growing pains may come from 

resistance to change and the 

challenge of the unknown 

during the reorganization and 

the EBS Energy Convergence 

alignment. 

“There’s not going to be a flip of 

a switch and expect Alaska to 

go 100 percent with no issues,” 

Kephart said. “It’s going to take being able to work with the 

system we have – while still understanding that this is the 

mission we’re building.” 

If this were simply an organization restructuring, it would 

be nothing more than a small blip on the screen as people 

adjusted to a new structure, Broderick said. 

“It is an exciting time to be part of DLA Energy,” Scott 

said. “Major transformational initiatives, such as Energy 

Convergence, will provide the systems and processes to 

further enhance our capabilities to execute our mission, and 

provide new and valuable skills to our workforce.” 

30 www.energy.dla.mil

“Major transformational initiatives, 

such as Energy Convergence, will 

provide the systems and processes 

to further enhance our capabilities 

to execute our mission, and provide 

new and valuable skills to 

our workforce.”

Michael Scott

DLA Energy deputy commander

The Defense Logistics 

Agency Energy 

reorganization transforms 

the agency into a left, 

customer facing structure, 

and a right, supplier facing 

structure, in sync with the 

core tenets of Business 

Systems Modernization, 

the precursor of Energy 

Business System. 

Graphic by 

Jonathan Stack
Energy Source l April 2013 31

Job: I review 

 operational plans, 

 compute bulk fuel 

requirements using 

Defense Logistics Agency’s Integrated Consumable Items Support System and operational plan 

Timed Phased Force Deployment Data, and develop 

petroleum logistics support 

plans. 

Energy experience: I have a master’s in 

Petroleum Management from Kansas University, 

and 36 years of Defense Department experience 

including 29 years service as a Navy Supply Corps officer with tours that included 

fuel officer at Naval Supply Depot Subic Bay, Philippines, Logistics Operations and 

Plans officer at CTF-73 in Singapore, Logistics director on the U.S. 7th Fleet staff in 

Japan, then-Defense Energy Support Center Pacific region commander and deputy 

N4 and Ordnance Logistics director on the Pacific Fleet Staff in Hawaii.

Challenges and rewards of the job: I have a fabulous job in DLA, working 

alongside the warfighters. Closing the gap between requirements and capabilities 

is always challenging and the Pacific Command J4 relies on me to provide advice 

on the most optimal solutions for petroleum logistics support. I enjoy working 

with the Joint Staff leaders, our DLA Energy expert professionals and the outstanding staff in the Joint Petroleum Office. It is a daily challenge in the dynamic 

Pacific theater mostly made up of oceans and seas to ensure the right quality fuel 

is delivered on time and at the best cost to support the warfighters. 

A memorable mission: Operating the Navy’s second busiest ocean fuel terminal at NSD Subic Bay, Philippines in the 1980’s was the best job I ever had and I 

did it with the most dedicated fuel professionals on the planet. In my current job, 

I take pride in: the improvements I spearheaded for ICIS, the comprehensive 2018 

PACOM Petroleum Storage and Distribution Strategic Plan developed in 2008 and 

recently publishing a Logistics Supportability Analysis development process that 

can be used by incumbents in a combatant commander petroleum logistics 

planning role.

Future Plans: I will continue working at DLA Energy Pacific until retiring in 

2021. My wife and I plan to move to the mainland at that time to go back to my 

roots as a small town farm boy from upstate New York, but I will have to include 

those winter trips to Florida because I’m just getting too old for the cold weather! 

Dave “Stick” Douglas

DLA Energy Liason 

Officer to U.S. Pacific Command

One Face

The face of the Defense Logistics Agency Energy...
DLA DIRECTOR’S 

2013 PRINCIPLES

We are living in historic times ... doing things we’ve 

never done before ... make some history yourself.

Push for smart things to do ... don’t wait for the 

requirement ... or for folks to ask.

No one knows this stuff better than us ... act like it.

I trust you ... prioritize, do it your own way but get it 

done or ensure it gets done.

This is your time ... do big things and make it 

better. If not you, who? If not now, when?

Relationships are key ... build them and use them.

Take care of one another.

Keep promises.

www.energy.dla.mil