Army Guide: Developing Renewable Energy Projects by Leveraging the Private Sector

Posted: November 6, 2014 - 19:00 / DOD / Reports

This Guide outlines practices, processes, and relevant Army regulations, approvals, and notifications necessary to advance a privately-financed energy generation project from concept to execution. When initiating privately-financed projects, the Army forms relationships with project developers, utilities, and the renewable energy industry. Leveraging these relationships leads to the identification, development, financing, construction, and operation of renewable energy projects that serve Army energy demand as well as local energy markets.

Developing privately-financed energy generation projects differs from developing projects using appropriated funding sources such as Military Construction. It also differs from other third party finance models such as energy savings performance contracts and utility energy savings contracts. The project development model unique to the Office of Energy Initiatives (OEI):

  1. Leverages private financing for energy generation (vs. efficiency) projects 
  2. Conducts early stage due diligence to minimize project development risk for both the Army and the developer 
  3. Obtains approvals and providing notifications specific to long-term contract authorities used forenergy projects. 

This document is based on the experiences gained by the Energy Initiatives Task Force (EITF) and adopted by the OEI, and is meant to inform and educate both internal and external stakeholders developing renewable energy generation projects on Army lands or serving Army energy demand.