As the largest consumer of energy in the world, the Department of Defense has a long way to go before becoming a sustainable operation.
But a recent push to purchase 3 gigawatts (GW) of locally generated renewable energy is opening up billions of dollars in market opportunities -- and it's not just energy companies that stand to benefit. Companies that can finance these deals also stand to carve out a substantial piece of this pie.
The military's goal? To become more energy independent.
“By diversifying our installation energy sources to include sustainable, reliable energy, we improve our ability to fulfill our mission during energy interruptions and to better manage price volatility,” said Katherine Hammack, U.S. Assistant Secretary of the Army for installations, energy & environment.
Plans are underway for the Army, Navy and Air Force to each deploy 1 GW of renewable energy on U.S. bases by 2025, an effort announced in April. The 3 GW goal is tied to a 2007 DOD initiative to source 25 percent of its energy from renewables by 2025.
It’s one of the largest commitments to clean energy in history, according to the White House.
Three gigawatts are equivalent to the amount needed to power 750,000 homes, said Hammack.
The military will purchase the power generated through privately owned solar, wind, geothermal or biomass facilities under power purchase agreements.
Companies can build their facilities on military bases or on some of the 16 million acres of military land recently opened for renewable energy development. They will be expected to own and maintain the facilities, as well as arrange private sector financing for its construction and operation.
One aim of the effort is to develop energy security on U.S. military bases, according to DOD spokeswoman Lt. Col. Melinda Morgan.
"Together with smart microgrid and storage technologies, renewable and other forms of on-site energy will allow a military base to maintain its critical operations 'off-grid' for weeks or months if necessary,” said Morgan.
Photo of radar on military base provided by l. akhundova via Shutterstock
Next page: Noteworthy opportunities for experienced developers, investors
Are Chinese PV panels our
Are Chinese PV panels our military's best idea for sustainabile defense? Pretty funny or sad. I would think small modular reactors would be best in war zones. For one these would provide much smaller target.
I think the US Military has
I think the US Military has been doing this for a while but just didn't have the press coverage. Traditionally they have been big supporters on Innovation from within the US. Wish other militaries were the same:)
They really weren't,
They really weren't, especially as they were sent into two more wars, till this Administration, not to mention in the decades prior to, the special interests had effectly blocked the whole growth of the innovative industries here, especially alternatives, for some forty years and at the same time started sending our once envied innovative trades to those who envied!
In addition to the benefits
In addition to the benefits of the military becoming more energy independent and efficient, injecting $7B in the renewable energy market in the US is going to do 2 things to the industry: lower the prices because of the volume, and increased competition which fosters innovation.
There's also a large number of jobs that will be created, and an education system that will have to move fast to deliver the qualified workers needed.
Absolutely, Bernard. I was
Absolutely, Bernard. I was also curious about the number of jobs these opportunities might create, and asked Assistant Secretary Katherine Hammack about this during the press conference. She noted that there hasn't been an analysis done - so no range of numbers just yet.
The economics of renewable
The economics of renewable fuels has to be there for it to succeed.
This country is not in a position to pay the prices quoted for bio-diesel or other fuels.
Thanks for your comment. The
Thanks for your comment. The Army's $7B will be paying for renewable energy used to produce electricity only.
Once we get the military to
Once we get the military to start following the alternative energy movement it will roll. Just think about the communications industry in the 80 and 90's. Once the broke up the bell companies that had all the power over price and was a huge monopoly, the US had a HUGE economic growth. Once we can break up these Huge oil industries that are lobbying like crazy to stop all the development of alternative energy, we will once again have huge growth and stop sending our money to countries that want to kill us.
We are in a new war, a war to save our planet. Even if we think it is not happening when evidence shows we are having issues. It is our patriotic duty to try to rebuild and make the US less dependent on oil and clean energy.
What would have happened if we did not have the patriots that said the British are coming. Or someone smart enough to say you know that Hilter guy is not good.
We have to look around and say wow look at all the trees we are burning down in the rainforest. Look at all the ice melting. Wow that does sound good. Maybe I should stop thinking about politics and think. I want to help my planet.