June 03, 2014, ARLINGTON, Va. – Following a comprehensive energy audit, the Army National Guard Readiness Center is scheduled to receive a $20 million Energy Savings Performance Contract that will pay for itself over the next 20 years.
An ESPC is an agreement between a federal agency and an energy service company that allows federal agencies to complete energy-savings projects without up-front costs. In exchange for not having to pay for upgrades and equipment, the federal agency agrees to pay the company a share of the savings resulting from the energy efficiency improvements.
“The benefit to using the energy savings performance contract is that it will allow us to complete energy-saving upgrades to (the readiness center) without up-front capital costs or use of appropriated funds,” said Army Maj. Sergio Molina, branch chief, Army National Guard contracting at the National Guard Bureau.
Mike Trexler, facility manager at the readiness center, said that the ESPC was developed by the Department of Energy and that under this program, the contractor incurs all the costs associated with implementing energy saving devices and upgrades. He said that without the contract, an estimated $20 million – $30 million would need to be paid up front.
Under this agreement, the 21-year-old readiness center will have most of its original equipment replaced, and the heating, ventilation and air conditioning system is among the first areas that will be upgraded, said Molina.
Other upgrades are part of this contract as well.
“They’re going to retrofit most of the lights,” Trexler said adding that the lamps and related equipment will be upgraded with new energy efficient lamps. Additionally, occupancy sensors will also be added so that lights will automatically turn on and off in offices.
Even with the update to the HVAC system, the larger savings will come from yet another source.
“The biggest saving is the information technology systems,” said Trexler, adding that personal computers will be switched out with thin client computers. “Thin clients use a fraction of the energy,” said Trexler, adding that server upgrades will also be done that will reduce energy costs.
The construction upgrades are expected be begin this summer and last about 21 months.