DND aims for energy efficiency at seven military bases
As part of the Government of Canada’s commitment to grow our economy by making significant new investments in green infrastructure and clean technologies, the Department of National Defence (DND) has launched a new Energy Performance Contract program to enhance the energy efficiency of Canadian Armed Forces bases across Canada. When the first seven contracts in this new program are completed, DND expects to generate up to $14 million in savings annually, and to reduce total greenhouse gas emissions by 30,000 tonnes over the life of these projects.
“These green initiatives at Canadian Armed Forces bases demonstrate this government’s commitment to work towards a low-carbon, climate-resilient economy," said Defence Minister Harjit Sajjan. "While bringing significant savings to taxpayers, these initiatives will reduce greenhouse gas emissions and energy consumption, and take action against climate change.”
The Government of Canada will procure the services of energy service companies to carry out the energy retrofit projects at no cost to DND or the taxpayer, and at limited risk to the Crown. The companies will themselves invest between $5 million and $25 million per project and will then be repaid over a 5- to 15-year period directly from the savings realized by the reduction in energy use. Therefore, DND will get improved energy efficiency at no net cost to the Government of Canada and, after the payback period, realize a significant saving in annual energy cost.
Five contracts have already been launched (Greenwood, Cold Lake, Esquimalt, Trenton, and Shilo), and one has been awarded (for DRDC Valcartier). The contract for Alert is scheduled to be launched later this year.
In the case of Canadian Forces Station Alert, located in the austere environment of the high Arctic, energy efficiency measures could result in a 20 percent reduction in heating fuel consumption, and a significant reduction in greenhouse gas emissions.
These Energy Performance Contracts will leverage private sector innovation to implement a range of conservation measures, including lighting upgrades, the modernization of heat sources and controls, and improvements to buildings. In some cases, it could include more capital-intensive measures that have the most potential to reduce greenhouse gases and energy costs, including replacing or upgrading central heating plants and heat recovery loops.
DND’s Energy Performance Contract program was first established in 1993 to take aggressive action to reduce the Department’s spending on energy and to reduce greenhouse gas emissions. Over the last 20 years, DND has completed 25 Energy Performance Contracts to enhance the energy efficiency of its infrastructure portfolio.
DND is working in collaboration with Defence Construction Canada and Public Services and Procurement Canada to procure the services of energy services companies. Energy Performance Contracts are an effective approach to reducing the energy consumption of infrastructure and are financed by the savings generated — at no net additional cost to DND. DND currently spends more than $170 million each year on energy for infrastructure.