US Army set for milestone energy contract

The US Army is preparing to use a Multiple-Award Task Order Contract (MATOC) to leverage USD7 billion in private sector investment to generate 2.5 million megawatt hours of power annually towards the service's goal of meeting 25 per cent of its energy requirements through renewable technologies by 2025.

This would mark the most expansive use of a MATOC within the US government to date.

The army's Energy Initiatives Task Force (EITF), which opened for business a year ago, has worked with the US Army Corps of Engineers over the past six months to develop a MATOC request for proposals (RfP).

When awarded, the MATOC will be the central instrument for the EITF to buy USD7 billion in secure and reliable, renewable and alternative energy through power purchase agreements (PPAs) or other contractual mechanisms with terms of up to 30 years, army energy officials told reporters during a 15 March briefing.

Through awards under the MATOC, the service will enter into agreements to buy power from qualified developers of renewable energy plants on army installations or on nearby federal lands. The developers will then build and operate the facilities using private sector financing. Projects may be located within any property under the control of the US government for the duration of contract performance.

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