With an effective date of August 7, 2012, the U.S. Engineering & Support Center in Huntsville Alabama (CEHNC) recently published its much-anticipated formal Request for Proposals (RFP) related to $7 billion in renewable energy contracts over the next 10 years. CEHNC is acting as the contractor for the U.S. Army Energy Initiative Task Force (AEITF), which is responsible for managing the procurement of renewable energy generated on or near land controlled by DOD.
The AEITF’s program was developed in response to a National Defense Authorization Act that requires Department of Defense (DOD) facilities to derive at least 25 percent of the electricity they consume from renewable energy by 2025, and a DOD “Net Zero Energy” initiative, which challenges DOD installations to produce more energy than they consume, with emphasis on the use of renewable energy and alternative fuels.
The RFP solicits bids from renewable developers to establish their qualifications – on a technology-specific basis – to furnish services under a Power Purchase Agreement (PPA) or contract equivalent. CEHNC intends to award indefinite delivery/indefinite quantity (IDIQ) contracts to all responsive bidders, which will enable them to bid for specific projects proposed by the AEITF.
It should be noted that responses to the RFP will require that the respondent provide a specific maximum per-kWh price at which it is willing to develop, operate and maintain renewable energy facilities to sell electricity to Army installations, exclusive of incidental costs such as interconnection costs or land-use fees.
Questions regarding the RFP are due August 24, 2012 via http://www.projnet.com. (The Projnet Key is O1A13I-WGR9HU.) Proposals are due at 2 p.m. CST October 5, 2012. In addition, a pre-proposal conference will be held prior to the October 5 deadline. It is tentatively scheduled to be held in Chicago, Illinois, but no date has been set.