White House Issues Executive Order on Efficient Federal Operations
Performance contracts can be used to achieve energy and cost savings.
Concerns over continuity of operations, sustainability goals, regulatory compliance, severe weather events and rising energy costs are transforming the way federal agencies think about their energy needs. Energy is no longer a line item expense, rather it is becoming part of a long-term resiliency strategy.
Large organizations with mission-critical functions are moving away from the traditional Energy-as-a-Commodity model, where electricity is typically purchased and delivered by a regulated utility via the grid, to a more modern and robust Energy-as-a-Service (EaaS) model.
The EaaS model supports a national trend toward in-house and expertise-driven energy management, which improves integration with distributed generation and energy storage assets, management of the energy load and interaction with the grid. EaaS provides government agencies with a future-ready solution for maintaining continuity of operations regardless of grid operations, by moving the electricity generation onsite in customized designs that enable cost-effective secure and resilient energy systems.
EaaS also empowers federal agencies with the flexibility to make choices regarding:
• Diversification of their energy portfolio
• Environmental impact of their energy use
• Ownership and scalability of energy generation assets
• Dependence on the grid and/or their own distributed generation assets
• Redundancy and resiliency
• Pricing and financing
• Bill issuance and consolidation
This increased flexibility makes an organization’s energy operations more efficient, more sustainable and smarter.
EaaS, or what WGL Energy Systems (WGL Energy) calls Distributed Impact™, is an approach to energy management that helps federal agencies turn energy from an expense into an asset.
Distributed Impact™ draws from resources across the energy spectrum, combining electricity and natural gas with technologies like solar, CHP and fuel cells, along with wind power and energy efficiency. It allows large organizations to manage and integrate traditional and renewable energy resources, along with demand-side management technologies, with battery storage and/or fuel cells. Inherent in the Distributed Impact™ approach is an additional layer of resilience and security to the grid, which ensures continuity of operations through energy assurance, further minimizing financial and economic risk to the organization.
WGL Energy’s approach to energy management considers adaptable distributed generation capabilities that enable organizations, campuses and eco-districts to “plug and play,” or integrate and package diverse energy solutions. Multiple options are tailored to serve a specific entity’s needs around energy assurance and can operate with or independent from the grid.
Longer-term planning for natural disasters, seasonal shifts in load demands, regulatory changes, greenhouse gas (GHG) emission standards and economic pressures help to ensure the bottom line spend of a federal agency, institution, joint military base, campus or community can remain fixed over time.
New information technologies, such as smart meters, or predictive analytics, provide the means for managing energy in a fundamentally different and more holistic manner than in the past.
The benefit of the Energy-as-a-Service approach is these integrated energy solutions can provide maximum impact with little to no upfront investment by the customer.
EaaS, or Distributed Impact™, is a transformative model for helping federal agencies navigate fluctuating energy markets, preserve capital through the efficient allocation of energy dollars, stay connected in times of crisis and achieve their sustainability objectives.
Click here to learn more about Distributed Impact™ and how to achieve energy resilience with EaaS.
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