Navy Shore Energy

As fiscal pressures increase, and with utilities accounting for nearly one-third of its installation management costs—making it the largest expense of a $6.5 billion shore budget—the U.S. Navy has embarked on an aggressive approach to shore energy to ensure reliable energy to its task critical assets.
By Lt. Cdr. Marcel Duplantier, P.E., CEC, M.SAME, USN, Sandrine Schultz, CFM, and Capt. John Kliem, P.E., CEC, M.SAME, USN

Solar panels at The Sullivans Elementary School, Fleet Activities Yokosuka, Japan, are part of an integrated photovoltaic system estimated to contribute nearly $300,000 in annual energy savings at the installation. U.S. NAVY PHOTO BY MASS COMMUNICATION SPECIALIST 2ND MATTHEW R. COLE Photos courtesy WCC

In 2012, Commander, Navy Installations Command (CNIC), the U.S. Navy’s integrated shore command authority, implemented actions to meet the strategic energy goals of the Secretary of the Navy and the Chief of Naval Operations. CNIC’s shore energy program emphasizes a standardized approach that reduces consumption, optimizes and aligns shore energy investments and instills a culture of conservation through accountability and shore energy consumption transparency.

Every Navy installation is pursuing cost-effective energy projects to achieve shore energy goals by reducing consumption and focusing on integration of renewable and alternative energy sources when they make fiscal and operational sense.

The Navy has invested, each of the past three years, $300 million to increase the energy efficiency of its facilities and utilities. These investments are projected to save 5-million-MBTUs and reduce its utility bills by $100 million annually.

PORTFOLIO OPTIMIZATION

To increase efficiency opportunities, the Navy developed a comprehensive model to develop energy reduction targets for each of its 70 installations around the world. By creating targets, investment dollars can be focused on those installations and facilities that have the most energy to save.

We developed a model to establish consumption reduction goals for each of the Navy’s 70 installations based on their unique mission and geographical location.

The model presents the most cost-effective energy efficiency opportunities by analyzing relevant facility energy usage and real property data, then compares it to established facility energy usage benchmarks. The resultant efficiency goals aggregate to the region and Navy-wide levels to drive toward attainment of the service’s goal to reduce energy consumption by 50 percent by 2020.

DATA ANALYSIS

Existing data sources from the Navy’s facility management systems are used to create a building’s profile for the installation. Through iNFADS (the Navy’s real property database), facilities are profiled by asset class according to: the number of buildings per mission category; percentage of total buildings; average building age; and average size (ft²). Once real property information is compiled, facility-level energy consumption data is harvested from the Navy’s authoritative energy data stores: CIRCUITS and DUERS. Rigorous statistical analysis is conducted to fill in any data gaps, filter, and sort the data to evaluate its quality. Statistical modeling is used to determine the consumption and energy intensity of each facility on an installation where metered data is not available.

Benchmarks are then created based on ASHRAE Standard 90.1-2010, where each facility’s energy usage is compared against others in its building type category and climate zone. The energy reduction potential is the difference between actual consumption and the benchmark for a facility’s efficiency performance. For the common building types, industry-established benchmarks were used. Additional benchmarks were created for Navy-specific building types using statistical analysis based on their mission categories.

The transparency of this information is realized using the Navy’s GIS Mapping tools. The goals facility data is used to create a layer that shows every facility’s performance as compared to the ASHRAE Standard. This capability is referred to as the Navy Shore Geospatial Energy Module (NSGEM), which provides installation, region and Navy-wide shore energy dashboards as well as monthly facility level energy consumption by commodity.

NSGEM provides effective visualizations of energy consumption data so leaders, tenants, installation staff and building occupants have additional information to better manage their buildings’ energy requirements, as well as an understanding of where to modify operational behaviors and process changes to enable further energy reductions.

TURNING IDEAS INTO INVESTMENTS

To develop an energy investment plan focused on achieving its energy reduction goals, the Navy developed the Energy Return on Investment (eROI) tool to collect, validate and analyze energy projects. The eROI tool assists with the improvement of quality and accuracy of energy projects received from Navy installations and produces a final funded list of projects that optimizes impacts towards Navy energy goals.

Our energy audits provide valuable insight into identifying and prioritizing potential energy efficiency projects. These projects are then inputted into the eROI tool for funding consideration (as shown in the chart above).

The eROI tool provides a consistent, quantifiable approach to prioritize a portfolio of projects that create value, using criteria that includes “hard” benefits, such as cost savings, as well as “soft” benefits, like aligning projects to strategic energy objectives. These include maximizing financial benefits; minimizing shore energy consumptions; providing reliable energy to critical infrastructure; achieving regulatory compliance and stakeholders expectations; and developing enabling infrastructure.

Using a weighted-criteria approach, the eROI tool ultimately enables the Navy to rank and compare hundreds of energy projects submitted by installations, then invest in projects that will have the most impact to the established energy goals.

CHALLENGES AND SOLUTIONS

Constrained project development resources, particularly during project identification and refinement, have limited our energy reduction effectiveness. This led us to refine how we will push forward towards meeting our energy efficiency goal.

Among its overall energy efforts, the Navy also is refining its approach to energy contracting and leveraging industry partners, Energy Service Companies (ESCOs) and Utility Companies to the maximum extent possible. In February 2014, CNIC published a call for work that outlined the way ahead for significant investment in financed energy projects using a revitalized acquisition process. This approach leverages the experience of ESCOs and Utility Companies to develop innovative projects and make the best use of limited appropriated funds to achieve greater energy consumption reductions. Installations will issue a notice of opportunity allowing our partners to conduct an assessment of our facilities and help the Navy to develop financially sound investments.

The Navy will continue to utilize its energy tools to focus these efforts and future initiatives to ensure that our portfolio remains fiscally sound—because as our budgetary challenges increase, our energy demands remain as high as ever.


Lt. Cdr. Marcel Duplantier, P.E., CEC, M.SAME, USN, is Energy Project Manager, Sandrine Schultz, CFM, is Energy Program Manager, and Capt. John Kliem, P.E., CEC, M.SAME, USN, is Division Director, Base Operating Support Programs, Commander, Navy Installations Command. They can be reached at 202-433-2699, or This email address is being protected from spambots. You need JavaScript enabled to view it.; 202-433-6293, or This email address is being protected from spambots. You need JavaScript enabled to view it.; and 202-433-2705, or This email address is being protected from spambots. You need JavaScript enabled to view it., respectively.