Pepco Energy Services, Inc. (Pepco Energy), a wholly owned subsidiary of Pepco Holdings, Inc., has received a five-year $5 billion master indefinite delivery indefinite quantity (IDIQ) energy savings performance contract (ESPC) from the Golden, Colorado Contracting Office of US Department of Energy (DOE). Pepco Energy conducts comprehensive energy audits and identifies improvements that will save energy at government facilities.
The contract also contains an option for two three-year extensions for a potential 11-year contract, if both options are exercised.
ESPC contracts enable federal agencies to complete energy projects for their facilities nationally and internationally without up-front capital costs. The award was based on Pepco Energy’s demonstrated capabilities to provide energy projects to federal agencies.
ESPC under IDIQ is a partnership between the Federal Government and Pepco Energy. In consultation with agency customers, Pepco Energy designs and constructs projects that meet the agency’s needs and arranges financing to pay for it. These improvements are projected to generate savings sufficient to pay for the project over the term of the contract. After the contract ends, all additional cost savings accrue to the agency.
‘This is an important, strategic move by the Federal Government at a time when we must find as many ways as we can to conserve energy and take steps to reduce the impact of that energy use on our environment. We look forward to saving the federal government even more energy and money while helping the environment through future energy efficiency projects,’ said John Huffman, president and chief operating officer of Pepco Energy.
Accredited by the National Association of Energy Service Companies (NAESCO), Pepco Energy has completed energy savings performance contracts for many federal, state and local government entities. Pepco Energy Services has served over 30 Federal customer agencies which include Andrews Air Force Base, the National Institutes of Health, the Military District of Washington, and the General Services Administration. These projects have incorporated co-generation, photovoltaic systems, and geothermal heat pumps, as well as other traditional energy conservation measures.