Solar Energy in the Military

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The Pew Charitable Trusts reports that Department of Defense (DoD) clean energy investments increased 300 percent between 2006 and 2009, from $400 million to $1.2 billion. Projections for 2030 are set …

The Pew Charitable Trusts reports that Department of Defense (DoD) clean energy investments increased 300 percent between 2006 and 2009, from $400 million to $1.2 billion. Projections for 2030 are set to eclipse $10 billion annually, with an overall target of obtaining 25 percent of the DoD's energy from renewable sources by 2025.

The presenters of this webinar, both retired U.S. military officers now active in solar energy, are uniquely qualified to provide insights into the DOD's strategic vision for solar energy and its tactical implementation of that vision.

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  • Scheduled time (:00) – Welcome to $WebinarTitle. We have several people still joining the audio portion of the webinar, so we’ll get started in a couple minutes.[Start recording]Start + :02 – Hello I’m Rick Borry and will be your host today. Before we get started, I have a few housekeeping notes. This webinar is XX minutes long. All participants are muted, but if you have trouble hearing the audio, you can send a text chat to me via the chat dialog in the lower right corner of your viewer window. Also, if you have any questions you can send those to me via text chat at any time. I will collect all questions and ask them of the presenter at the end of the session. The webinar is being recorded, and it will be posted online along with a copy of the slides later today.Today’s webinar is “Solar Energyin the Military”. This webinar is part of the Principal Solar Institute webinar series, for professional installers, developers, owners, and operators of solar systems. We thank XX and YY for sponsoring this webinar. [Host should go on mute]
  • It is important to understand where solar fits in the DOD vision for investment.This Penn State Energy Pyramid is being used by some DOD organizations as a method to determine the priority of investment in energy programs. When this energy model is used, renewable energy, including solar, is normally considered after investments in 1) Energy Conservation, 2) Energy Efficiency, and 3) shifting Energy demand.
  • This chart shows how the DOD consumes energy for facilities by component for FY 2010.
  • This chart shows the current production of renewable energy at military. Notice that they are many renewable energy systems in place other than solar.
  • This charts show how the DOD is doing as of FY10 in meeting their energy goals. In the area of producing renewable energy as a portion of total facilities energy consumption, the DOD goal was 10% and they achieved 9.6%. Note that the Navy is leading the way and exceeding their goals.
  • The Dept of the Navy is the second largest fuel user in the DoD, consuming about 4,200,000 gals/day. (About 75% of all fuel products are transported by sea)By 2012, create a "Green Strike Group" composed of nuclear vessels and ships powered by biofuels; By 2015, reduce petroleum use in the 50,000 commercial ground vehicle fleet by 50 % by phasing in hybrid fuel and electric vehicles; Produce at least half the shore-based energy requirements from renewable sources, such as solar, wind and ocean generated by the base; and by 2020, ensuring at least 40 percent of the Navy's total energy consumption comes from alternative sourcesThe Navy just signed deals to buy 450,000 gallons of biofuels — arguably the biggest purchase of its kind in U.S. government history. The purchase is a significant step for Navy Secretary Ray Mabus’ plans to transform the service into an energy-efficient fleet. But at approximately $15 per gallon — nearly four times the price of traditional fuel — the new fuels won’t come cheap.The $12-million purchase, expected for months, will all be used this summer off the coast of Hawaii. There, supersonic F/A-18 jets will launch from the deck of an aircraft carrier, powered by fuels fermented from algae. A 9,000-ton destroyer and a cruiser will join it on a voyage across the Pacific, using fuel made from fats and greases. (The carrier itself runs on nuclear power.) It’ll be the first demonstration of the so-called “Great Green Fleet” — an entire aircraft-carrier strike group relying on alternative energy sources.
  • 84% of Air Force energy use is aviation fuel – 2.5 Billion gal/year. Increase non-petroleum-based fuel use by 10% per year in the motor vehicle feet By 2016, be prepared to cost competitively acquire 50% of the Air Force’s domestic aviation fuel requirement via an alternative fuel blend in which the alternative component is derived from domestic sources produced in a manner that is greener than fuels produced from conventional petroleumTest and certify all aircraft and systems against 50/50 alternative fuel blend by 2011Increase the number of flexible fuel systemsIdentify/develop privately financed/operated energy production on Air BasesIncrease facility renewable energy at annual targets, 5% by FY2010, 7.5% by FY2013, 25% by FY2025—50% of increase must come from new renewable sources
  • Increase non-petroleum-based fuel use by 10% per year in the motor vehicle feet Identify/develop privately financed/operated energy production on BasesIncrease facility renewable energy at annual targets, 5% by FY2010, 7.5% by FY2013, 25% by FY2025—50% of increase must come from new renewable sources
  • Partnerships are key to success on renewable energy projects. We will use a variety of contract vehicles that include:Power Purchase Agreements which allow utilities to produce power on-base and sell the energy to the military; Utility Energy Services Contracts which allow utilities to provide energy efficiency improvements to the Air Force and are then paid back from the energy cost savings;Energy Savings Performance Contracts which are signed with outside companies who pay to make energy saving enhancements to buildings and then receive reimbursement based on the future cost savings of the project;Enhance Use Leasing which allows the Air Force to lease its land to third parties who build renewable energy generation facilities;And the Energy Conservation Investment Program which is managed by OSD to fund efforts to reduce facility energy and water consumption and expand renewable energy generation.Many of the recent military construction projects include a renewable energy component.
  • SAN MATEO, Calif., and NEW YORK—Nov. 30, 2011—SolarCity and Bank of America Merrill Lynch today announced that they have agreed to terms on financing for SolarStrong, SolarCity’s ambitious five-year plan to build more than $1 billion in solar power projects for privatized U.S. military housing communities across the country. partner with the country’s leading privatized military housing developers to install, own and operate rooftop solar installations and provide solar electricity at a lower cost than utility power. expected to create up to 300 megawatts of solar generation capacity that could provide power to as many as 120,000 military housing units. SolarStrong would be the largest residential solar photovoltaic project in American history.
  • [Unmute Host]* Have 2-3 planted questions ready. Have discussion and Q&A.Conclude – That concludes today’s webinar – thank you for attending. Once again we thank our Sponsors XXX and YYY. Please be sure to click on their logos from the Webvent page and learn more about them, or arrange a follow-up call if interested. The webinar was recorded and will be posted online along with a copy of the slides later today. You can also check our events calendar and register for future webinars of interest.[Stop Recording][Mute everyone][Leave Webex open for about 5 minutes in case people are writing down contact information, etc.][ After 5-15 minutes, the recording will be available on Webex. Change the title and description, remove all modules from view (participants, etc.) and then select “Partial Recording” to truncate the start and finish parts that don’t apply to someone viewing a recording.][Post recording URL at Webvent and send archive email][Post slides][Post discussion Q&A][Post transcription, if available]

Transcript

  • 1. Principal Solar Institute Solar Energy in the Military Brig Gen (ret) Becky Halstead Col (ret) David McNeil CEO / Founder President, Hannah Solar STEADFAST Leadership Government Services Rick Borry, Ph.D. Managing Director Principal Solar Institute We will begin at 11:00am Central Time. You should hear music now.
  • 2. Principal Solar Institute U.S. Department of Defense Takes Aggressive Lead as Early Adopters of Solar Energy Becky Halstead, Advisor to Principal Solar Becky is a retired U.S. Army Brigadier General. She serves on the Board of Advisors for Principal Solar. Becky is the CEO of her own leadership consultancy company, STEADFAST Leadership.
  • 3. “Framing DoD’s Role” Tradition of accelerating technological innovation Laboratory of Innovation and initiatives From aviation to computing to GPS, and now renewable energy space – From 2006 to 2009, clean energy investments increased 300%; 400M to 1.2B – 2025 Target Goal: 25% energy from renewables – Created the “Zero Energy Environment” initiative
  • 4. Major Strategic Point of Interest DoD’s strategic focus on efficiencies gained from a greater reliance on solar energy technologies has the potential to: – create energy independence, – shrink risks for our military personnel in the field, – reduce the DoD’s carbon footprint, and – drive clean energy innovation for the entire nation!
  • 5. Two Critical ChallengesEnergy Usage – FY09, $13.2B on fixed installations, equipment and vehicle fuelsStrategic Vulnerability – Climate change – Oil dependence – Heavy reliance on fragile electricity grid
  • 6. Finding Solutions-- Driving InnovationDoD’s Environmental Security Technology Certification Program (ESTCP) – 27 test bed projects – Reduce $4B costsSPIDERS (Smart Power Infrastructure Demonstration for Energy Reliability and Security) – 3 phase, $30M multi-agency project
  • 7. DoD Distributed Energy Sourcesand ProgramsMojave and Colorado deserts – 7K MW of solar energy could be generated – Creates strategic potential for private developersMilitary Programs – Enhanced Use Lease (EUL) Saving – Clean Energy Initiatives Fuel, • Marine Corps—forward operating bases SAVES LIVES! • Navy “GREAT GREEN FLEET” by 2016
  • 8. Being Part of the Solution—Investment OpportunitiesBudget for energy security initiatives--risen from $400M to $1.2B, past 4 yearsThere are challengesDoD’s Investment Strategy: – Reduce demand for traditional energy – Increase supply of renewable and other alternative energy sources
  • 9. Closing CommentsDoD’s energy plans are designed to: – Strategically maximize performance and personnel safetyDoD is the SINGLE largest consumer in U.S.Strategic POTENTIAL for private sector financing, research, technology and business practices “Mission First, People Always!”
  • 10. Principal Solar Institute How the Department of Defense Vision for Solar Energy Is Being Implemented Dave McNeil, CEO, Hannah Solar Government Services, LLC Dave is a retired U.S. Army Colonel. He founded and manages an engineering company that designs, constructs, and maintains solar photovoltaic systems. His company current holds contracts for the construction of solar photovoltaic systems for the Army, Navy, Marines and NASA.
  • 11. Penn State Energy PyramidWhere does solar fitin DOD’s Plan?
  • 12. DoD Energy Consumption By Component The Rest of DoDSource: DoD Annual Energy Management Report - FY2010
  • 13. Current RE Production Air Force Army Navy
  • 14. 2012 - "Green Strike Group" composed of nuclear vessels and ships powered by biofuels• 2015 – 50% reduction of petroleum in NTVs w/ hybrid fuel and electric vehicles• Half the shore-based energy requirements from renewable sources• 2020- 40 percent of the Navys total energy consumption comes from alternative sources
  • 15. 2016 - 50% of the Air Force’s domestic aviation fuel is alternative fuel blend RE Targets - 5% by FY2010, 7.5% by FY2013, 25% by FY2025
  • 16. Army Energy Task Force to spend $8.7B over 10 years RE Targets - 5% by FY2010, 7.5% by FY2013, 25% by FY2025
  • 17. DOD Vision for Energy SecuritySpecified Tasks Renewable Energy Consumption Goals: – 2010 5% – 2013 7.5% – 2025 25% – 2050 50% Energy Efficiency Goals (relative to 2003) – 2015 30% Reduction Deploy 3 GW of renewable energy by 2025
  • 18. Available DOD Contract Vehicles E-Purchase Power Agreements (PPAs): 40 USC 501 (for purchase of power) Utility Energy Services Contract (UESC): 10 USC 2913 (for purchase of RE generation) Energy Savings Performance Contract (ESPC): 42 USC 8287 (for purchase of RE generation) Enhanced Use Lease (EUL): 10 USC 2667 (for 3rd party construction of RE) Energy Conservation Investment Program (ECIP): annual NDAA,OSD managed (for Government owned RE generation) New Military Construction (for Government owned RE generation)
  • 19. SolarCity & SolarStrong • Five-year plan • $1 billion in solar power projects • Privatized U.S. military housing • Partner with privatized military housing • Install, own and operate rooftop solar installations and provide solar electricity at a lower cost than utility power. • Expected to create up to 300 megawatts of capacity • 120,000 military housing units. • SolarStrong would be the largest residential solar photovoltaic project in American history.
  • 20. Conclusion The DOD is expected to significantly invest in renewable energy over the next several years. There will be many opportunities to participate in the renewable projects for the DOD. You must understand contract vehicles that the DOD will use to achieve their renewable energy goals to know how your organization can participate in those various contract vehicles.
  • 21. Questions and Discussion Please enter your questions into the Chat window Brig Gen (ret) Becky Halstead Col (ret) David McNeil CEO / Founder President, Hannah Solar STEADFAST Leadership Government Services Rick Borry, Ph.D. Managing Director Principal Solar Institute