The U.S. Federal Government and Department of Defense (DoD) are some of the nation’s largest consumers of energy, and EEI and our member electric companies are committed to helping them meet their evolving needs through strategic collaboration and partnerships. 

Our member electric companies serve more than 300 military installations nationwide and understand how essential these installations are to their local communities and America's national security. 

Electric companies have a long, successful history of working together with the federal government and military on energy resiliency solutions. As new threats and vulnerabilities to infrastructure emerge, it is critical for the DoD and electric companies to strengthen their relationships to resolve challenges inside and outside of the fence line.

EEI members are uniquely qualified to collaborate with the military by enhancing energy resiliency and reliability of installations and their surrounding communities. Recognizing the need for collaboration, EEI has signed Memorandums of Understanding (MOUs) with the Army, Navy, and Air Force to pursue joint resilience planning.

Key benefits of closely collaborating with electric companies include:

• Long-standing, trusted relationships with military customers.
• Expertise in identifying and address energy reliability and resiliency challenges. 
• Line-of-sight of surrounding infrastructure and thorough knowledge of electric systems that serve installations.
• Financial tools and authorizations that enables electric companies to fund comprehensive, holistic energy resiliency solutions.

DoD Energy Authorities

EEI members are key partners as DoD makes significant investments to increase the energy resilience of installations and facilities. These efforts can be supported by an array of contracting mechanisms, including:

• Appropriated Funding – Military Construction / Energy Resilience Conservation Investment Program (ERCIP)
• Power Purchase Agreements – (40 U.S.C. § 501 / FAR Part 41 Contract)
• Enhanced Use Leasing – (10 U.S.C. § 2667)
• Utility Energy Services Contract – (10 U.S.C. § 2913)
• Special Agreement Authority – (10 U.S.C. § 2922a)

GSA Areawide Public Utility Contracts

GSA has authority under 40 U.S.C. 501 and FAR Part 41 to procure utility services such as electricity for federal agencies and establish long-term (10-year) governmentwide contracts for utilities. In certain vertically integrated service territories, agencies can order services directly from the GSA areawide contract for their facility. Agencies can also leverage the areawide public utility contract to pursue UESCs.

GSA Areawide Contracts

Utility Energy Service Contracts (UESC)

Authorized by the Energy Policy Act of 1992, P.L. 102-486 (codified as 42 U.S.C. 8256), a Utility Energy Service Contract (UESC) is a contract between a federal installation and a utility for energy management services, including energy and water efficiency improvements and energy demand reduction. The improvements made by the utility are paid for by the installation out of its cost savings.