CHAPTER 173 - ENERGY SECURITY
Title 10 > CHAPTER 173
Sections (27)
§ 2911 Energy policy of the Department of Defense
(a) General Energy Policy.— The Secretary of Defense shall ensure the readiness of the armed forces for their military missions by pursuing energy security and energy resilience.
(b) Authorities.— In order to achieve the policy set forth in subsection (a), the Secretary of Defense may— establish metrics and standards for the assessment of energy resilience; require the Secretary of a military department to perform mission assurance and readiness assessments of energy power systems for mission critical assets and supporting infrastructure, applying uniform mission standards established by the Secretary of Defense; require the Secretary of a military department to establish and maintain an energy resilience master plan for an installation; authorize the use of energy security and energy resilience, including the benefits of on-site generation resources that reduce or avoid the cost of backup power, as factors in the cost-benefit analysis for procurement of energy; and in selecting facility energy projects that will use renewable energy sources, pursue energy security and energy resilience by giving favorable consideration to projects that provide power directly to a military facility or into the installation electrical distribution network.
(c) Energy Performance Goals.— The Secretary of Defense shall submit to the congressional defense committees the energy performance goals for the Department of Defense regarding transportation systems, support systems, utilities, and infrastructure and facilities. The energy performance goals shall be submitted annually not later than the date on which the President submits to Congress the budget for the next fiscal year under section 1105 of title 31 and cover that fiscal year as well as the next five, l0, and 20 years. The Secretary shall identify changes to the energy performance goals since the previous submission. The Secretary of Defense shall include the energy security and resilience goals of the Department of Defense in the report submitted under section 2925(a) of this title for fiscal year 2018 and every fiscal year thereafter. In the development of energy security and resilience goals, the Department of Defense shall conform with the definitions of energy security and resilience under this title. The report shall include the amount of critical energy load, together with the level of availability and reliability by fiscal year the Department of Defense deems necessary to achieve energy security and resilience.
(d) Energy Performance Master Plan.— The Secretary of Defense shall develop a comprehensive master plan for the achievement of the energy performance goals of the Department of Defense, as set forth in laws, executive orders, and Department of Defense policies. The master plan shall include the following: A separate master plan, developed by each military department and Defense Agency, for the achievement of energy performance goals. The use of a baseline standard for the measurement of energy consumption by transportation systems, support systems, utilities, and facilities and infrastructure that is consistent for all of the military departments. A method of measurement of reductions or conservation in energy consumption that provides for the taking into account of changes in the current size of fleets, number of facilities, and overall square footage of facility plants. Metrics to track annual progress in meeting energy performance goals. A description of specific requirements, and proposed investments, in connection with the achievement of energy performance goals reflected in the budget of the President for each fiscal year (as submitted to Congress under section 1105(a) of title 31 ). The up-to date list of energy-efficient products maintained under section 2915(e)(2) of this title . Not later than 30 days after the date on which the budget of the President is submitted to Congress for a fiscal year under section 1105(a) of title 31 , the Secretary shall submit the current version of the master plan to Congress.
(e) Special Considerations.— For the purpose of developing and implementing the energy performance goals and energy performance master plan, the Secretary of Defense shall consider at a minimum the following: Opportunities to reduce the current rate of consumption of energy, the future demand for energy, and the requirement for the use of energy. Opportunities to enhance energy resilience to ensure the Department of Defense has the ability to prepare for and recover from energy disruptions that affect mission assurance on military installations. Opportunities to implement conservation measures to improve the efficient use of energy. Opportunities for the high-performance construction, lease, operation, and maintenance of buildings. Cost effectiveness, cost savings, and net present value of alternatives. The value of diversification of types and sources of energy used. The value of economies-of-scale associated with fewer energy types used. The value of the use of renewable energy sources. The potential for an action to serve as an incentive for members of the armed forces and civilian personnel to reduce energy consumption or adopt an improved energy performance measure. Opportunities for improving energy security for facility energy projects that will use renewable energy sources. Opportunities to leverage financing provided by a non-Department entity to address installation energy needs. The reliability and security of energy resources in the event of a military conflict. The value of resourcing energy from partners and allies of the United States.
(f) Selection of Energy Conservation Measures.— For the purpose of implementing the energy performance master plan, the Secretary of Defense shall provide that the selection of energy conservation measures, including energy efficient maintenance, shall be limited to those measures that— are readily available; demonstrate an economic return on the investment; are consistent with the energy performance goals and energy performance master plan for the Department; and are supported by the special considerations specified in subsection (c).
(g) Goal Regarding Use of Renewable Energy To Meet Facility Energy Needs.— It shall be the goal of the Department of Defense— to produce or procure not less than 25 percent of the total quantity of facility energy it consumes within its facilities during fiscal year 2025 and each fiscal year thereafter from renewable energy sources; and to produce or procure facility energy from renewable energy sources whenever the use of such renewable energy sources is consistent with the energy performance goals and energy performance master plan for the Department and supported by the special considerations specified in subsection (c). To help ensure that the goal specified in paragraph (1)(A) regarding the use of renewable energy by the Department of Defense is achieved, the Secretary of Defense shall establish an interim goal for fiscal year 2018 for the production or procurement of facility energy from renewable energy sources. The Secretary of Defense shall establish a policy to maximize savings for the bulk purchase of replacement renewable energy certificates in connection with the development of facility energy projects using renewable energy sources. Under the policy required by subparagraph (A), the Secretary of a military department shall submit requests for the purchase of replacement renewable energy certificates to a centralized purchasing authority maintained by such department or the Defense Logistics Agency with expertise regarding— the market for renewable energy certificates; the procurement of renewable energy certificates; and obtaining the best value for the military department by maximizing the purchase of renewable energy certificates from projects placed into service before January 1, 1999 . The centralized purchasing authority shall solicit industry for the most competitive offer for replacement renewable energy certificates, to include a combination of renewable energy certificates from new projects and projects placed into service before January 1, 1999 . Subparagraph (B) does not prohibit the Secretary of a military department from entering into an agreement outside of the centralized purchasing authority if the Secretary will obtain the best value by bundling the renewable energy certificates with the facility energy project through a power purchase agreement or other contractual mechanism at the installation. Nothing in this paragraph shall be construed to authorize the purchase of renewable energy certificates to meet Federal goals or mandates in the absence of the development of a facility energy project using renewable energy sources. This policy does not make the purchase of renewable energy certificates mandatory, but the policy shall apply whenever original renewable energy certificates are proposed to be swapped for replacement renewable energy certificates.
(h) Promotion of On-Site Energy Security and Energy Resilience.— Consistent with the energy security and resilience goals of the Department of Defense and the energy performance master plan referred to in this section, the Secretary concerned shall consider, when feasible, projects for the production of installation energy that benefits military readiness and promotes installation energy security and energy resilience in the following manner: Location of the energy-production infrastructure on the military installation that will consume the energy. Incorporation of energy resilience features, such as microgrids, to ensure that energy remains available to the installation even when the installation is not connected to energy sources located off the installation. Reduction in periodic refueling needs from sources off the installation to not more than once every two years. Using amounts made available for military construction projects under section 2914 of this title , the Secretary of Defense shall carry out at least four projects to promote installation energy security and energy resilience in the manner described in paragraph (1). At least one project shall be designed to develop technology that demonstrates the ability to connect an existing on-site energy generation facility that uses solar power with one or more installation facilities performing critical missions in a manner that allows the generation facility to continue to provide electrical power to these facilities even if the installation is disconnected from the commercial power supply. At least one project shall be designed to develop technology that demonstrates that one or more installation facilities performing critical missions can be isolated, for purposes of electrical power supply, from the remainder of the installation and from the commercial power supply in a manner that allows an on-site energy generation facility that uses a renewable energy source, other than solar energy, to provide the necessary power exclusively to these facilities. At least two projects shall be designed to develop technology that demonstrates the ability to store sufficient electrical energy from an on-site energy generation facility that uses a renewable energy source to provide the electrical energy required to continue operation of installation facilities performing critical missions during nighttime operations. The authority of the Secretary of Defense to commence a project under this paragraph expires on September 30, 2025 . In this subsection, the term “microgrid” means an integrated energy system consisting of interconnected loads and energy resources that, if necessary, can be removed from the local utility grid and function as an integrated, stand-alone system.
(i) Assessment of Life-cycle Costs and Performance of Potential Energy Resilience Projects.— Subject to the availability of appropriations, the Secretary of Defense shall develop and institute a process to ensure that the Department of Defense, when evaluating energy resilience measures, uses analytical tools that are accurate and effective in projecting the costs and performance of such measures. Analytical tools used under paragraph (1) shall be— designed to— provide an accurate projection of the costs and performance of the energy resilience measure being analyzed; be used without specialized training; and produce resulting data that is understandable and usable by the typical source selection official; consistent with standards and analytical tools commonly applied by the Department of Energy and by commercial industry; adaptable to accommodate a rapidly changing technological environment; peer reviewed for quality and precision and measured against the highest level of development for such tools; and periodically reviewed and updated, but not less frequently than once every three years.
(j) Aggregate Energy Conservation Measures and Funding.— To the maximum extent practicable, the Secretary concerned shall take a holistic view of the energy project opportunities on installations under the jurisdiction of such Secretary and shall consider aggregate energy conservation measures, including energy conservation measures with quick payback, with energy resilience enhancement projects and other projects that may have a longer payback period. In considering aggregate energy conservation measures under paragraph (1), the Secretary concerned shall incorporate all funding available to such Secretary for such measures, including— appropriated funds, such as— funds appropriated for the Energy Resilience and Conservation Investment Program of the Department; and funds appropriated for the Facilities Sustainment, Restoration, and Modernization program of the Department; and funding available under performance contracts, such as energy savings performance contracts and utility energy service contracts.
§ 2912 Availability and use of energy cost savings
(a) Availability.— An amount of the funds appropriated to the Department of Defense for a fiscal year that is equal to the amount of energy cost savings realized by the Department, including financial benefits resulting from shared energy savings contracts entered into under section 2913 of this title , and, in the case of operational energy, from both training and operational missions, shall remain available for obligation under subsection (b) or (c), as the case may be, for that fiscal year and the succeeding fiscal year, without additional authorization or appropriation.
(b) Use.— Except as provided in subsection (c) with respect to operational energy cost savings, the Secretary of Defense shall provide that the amount that remains available for obligation under subsection (a) and the funds made available under section 2916(b)(2) of this title shall be used as follows: One-half of the amount shall be used for the implementation of additional energy resilience, mission assurance, weather damage repair and prevention, energy conservation, and energy security measures, including energy resilience and energy conservation construction projects, at buildings, facilities, or installations of the Department of Defense or related to vehicles and equipment of the Department, which are designated, in accordance with regulations prescribed by the Secretary of Defense, by the head of the department, agency, or instrumentality that realized the savings referred to in subsection (a). One-half of the amount shall be used at the installation at which the savings were realized, as determined by the commanding officer of such installation consistent with applicable law and regulations, for— improvements to existing military family housing units; any unspecified minor construction project that will enhance the quality of life of personnel; or any morale, welfare, or recreation facility or service.
(c) Use of Operational Energy Cost Savings.— The amount that remains available for obligation under subsection (a) that relates to operational energy cost savings realized by the Department shall be used for the implementation of operational energy initiatives. The Secretary of Defense shall design operational energy initiatives under paragraph (1) to advance the objectives of the Department in the areas of energy resilience and fuel efficiency. Operational energy initiatives carried out under paragraph (1) may directly contribute to enhanced mission and combat capabilities, fund operational environment training activities, or establish programs to incentivize demonstrable reductions in energy expenditures within the department, agency, or instrumentality credited with achieving the energy cost savings under subsection (a).
(d) Treatment of Certain Financial Incentives.— Financial incentives received from gas or electric utilities under section 2913 of this title shall be credited to an appropriation designated by the Secretary of Defense. Amounts so credited shall be merged with the appropriation to which credited and shall be available for the same purposes and the same period as the appropriation with which merged.
(e) Transfer of Amounts.— Not later than 60 days after being notified of amounts described in subsection (a) that remain available for obligation, the Secretary of Defense shall transfer such amounts to other funding accounts of the Department of Defense if the purpose for which such amounts will be used is a purpose specified in subsection (b) or (c). Amounts transferred to a funding account of the Department under paragraph (1) shall be available for obligation for the same period as amounts in that account. At the end of each fiscal year, the Secretary of Defense shall submit to Congress a report detailing any funds transferred pursuant to paragraph (1) during that fiscal year, including a detailed description of the purpose for which such amounts have been used.
(f) Operational Energy Cost Savings Defined.— In this section, the term “operational energy cost savings” means the monetary savings achieved through measures to reduce energy expenditures relative to the amount that would have been necessary to sustain an equivalent level of capability in the absence of such measures.
§ 2913 Energy savings contracts and activities
(a) Shared Energy Savings Contracts.— The Secretary of Defense shall develop a simplified method of contracting for shared energy savings contract services that will accelerate the use of these contracts with respect to military installations and will reduce the administrative effort and cost on the part of the Department of Defense as well as the private sector. In carrying out paragraph (1), the Secretary of Defense may— request statements of qualifications (as prescribed by the Secretary of Defense), including financial and performance information, from firms engaged in providing shared energy savings contracting; designate from the statements received, with an update at least annually, those firms that are presumptively qualified to provide shared energy savings services; select at least three firms from the qualifying list to conduct discussions concerning a particular proposed project, including requesting a technical and price proposal from such selected firms for such project; and select from such firms the most qualified firm to provide shared energy savings services pursuant to a contractual arrangement that the Secretary determines is fair and reasonable, taking into account the estimated value of the services to be rendered and the scope and nature of the project. In carrying out paragraph (1), the Secretary may also provide for the direct negotiation, by departments, agencies, and instrumentalities of the Department of Defense, of contracts with shared energy savings contractors that have been selected competitively and approved by any gas or electric utility serving the department, agency, or instrumentality concerned.
(b) Participation in Gas or Electric Utility Programs.— The Secretary of Defense shall permit and encourage each military department, Defense Agency, and other instrumentality of the Department of Defense to participate in programs conducted by any gas or electric utility for the management of energy demand or for energy conservation.
(c) Acceptance of Financial Incentive, Goods, or Services.— The Secretary of Defense may authorize any military installation to accept any financial incentive, goods, or services generally available from a State or local government or gas or electric utility, to adopt technologies and practices that the Secretary determines are in the interests of the United States and consistent with the energy performance goals for the Department of Defense.
(d) Agreements With Gas or Electric Utilities.— The Secretary of Defense may authorize the Secretary of a military department having jurisdiction over a military installation to enter into agreements with gas or electric utilities to design and implement cost-effective demand and conservation incentive programs (including energy management services, facilities alterations, and the installation and maintenance of energy saving devices and technologies by the utilities) to address the requirements and circumstances of the installation. If an agreement under this subsection provides for a utility to advance financing costs for the design or implementation of a program referred to in that paragraph to be repaid by the United States, the cost of such advance may be recovered by the utility under terms no less favorable than those applicable to its most favored customer. Subject to the availability of appropriations, repayment of costs advanced under paragraph (2) shall be made from funds available to a military department for the purchase of utility services. An agreement under this subsection shall provide that title to any energy-saving device or technology installed at a military installation pursuant to the agreement vest in the United States. Such title may vest at such time during the term of the agreement, or upon expiration of the agreement, as determined to be in the best interests of the United States.
§ 2914 Military construction projects for energy resilience, energy security, and energy conservation
(a) Project Authorization Required.— The Secretary of Defense may carry out such military construction projects for energy resilience, energy security, and energy conservation as are authorized by law, using funds appropriated or otherwise made available for that purpose.
(b) Submission of Project Proposals.— As part of the Department of Defense Form 1391 submitted to the appropriate committees of Congress for a military construction project covered by subsection (a), the Secretary of Defense shall include the following information: The project title. The location of the project. A brief description of the scope of work. The original project cost estimate and the current working cost estimate, if different. Such other information as the Secretary considers appropriate. In the case of a military construction project for energy conservation, the Secretary also shall include the following information: The original expected savings-to-investment ratio and simple payback estimates and measurement and verification cost estimate. The most current expected savings-to-investment ratio and simple payback estimates and measurement and verification plan and costs. A brief description of the measurement and verification plan and planned funding source. In the case of a military construction project for energy resilience or energy security, the Secretary also shall include the rationale for how the project would enhance mission assurance, support mission critical functions, and address known vulnerabilities.
(c) Alternative Funding Source.— In addition to the authority under section 2805(c) of this title , in carrying out a military construction project for energy resilience, energy security, or energy conservation under this section, the Secretary concerned may use amounts available for operation and maintenance for the military department concerned if the Secretary concerned submits to the congressional defense committees a notification of the decision to carry out the project using such amounts and includes in the notification— the current estimate of the cost of the project; the source of funds for the project; and a certification that deferring the project pending the availability of funds appropriated for or otherwise made available for military construction would be inconsistent with the timely assurance of energy resilience, energy security, or energy conservation for one or more critical national security functions. A project carried out under this section using amounts under paragraph (1) may be carried out only after the end of the seven-day period beginning on the date on which a copy of the notification described in paragraph (1) is provided in an electronic medium pursuant to section 480 of this title . The maximum aggregate amount that the Secretary concerned may obligate from amounts available to the military department concerned for operation and maintenance in any fiscal year for projects under the authority of this subsection is $100,000,000.
(d) Relation to Certain Other Authorities.— A project under this section may include— activities related to a utility system authorized under subsections (h), (j), and (k) of section 2688 or section 2913 of this title , notwithstanding that the United States does not own the utility system covered by the project; and energy-related activities included as a separate requirement in an energy savings performance contract (as defined in section 804(3) of the National Energy Conservation Policy Act ( 42 U.S.C. 8287c(3) )).
(e) Incorporation of Cybersecurity Supply Chain Risk Management Tools and Methods.— The Secretary of Defense shall incorporate into covered projects cybersecurity supply chain risk management tools and solutions to provide continuous analysis, monitoring, and mitigation of cyber vulnerabilities. In carrying out the requirements of paragraph (1), the Secretary of Defense shall consider, to the maximum extent practicable, the following: The adoption of commercially available cybersecurity supply chain risk management tools and solutions. The inclusion of existing databases on cyber vulnerabilities when selecting such tools and solutions. The need for such tools and methods to provide continuous analysis, monitoring, and mitigation of cyber vulnerabilities in covered projects. Beginning with fiscal year 2026, documentation for any new requirements for cybersecurity supply chain risk management in annual guidance for covered projects that is submitted along with the annual budget request of the President submitted pursuant to section 1105 of title 31 . In this subsection, the term “covered project” means a project connected to a Department of Defense Information Network for which funds are made available under this section.
(f) Application to Military Construction Projects.— This section shall apply to military construction projects covered by subsection (a) for which a Department of Defense Form 1391 is submitted to the appropriate committees of Congress in connection with the budget of the Department of Defense for fiscal year 2023 and thereafter.
§ 2915 Facilities: use of renewable forms of energy and energy efficient products
(a) Use of Renewable Forms of Energy Encouraged.— The Secretary of Defense shall encourage the use of energy systems using solar energy or other renewable forms of energy as a source of energy for military construction projects (including military family housing projects) and facility repairs and renovations where use of such form of energy is consistent with the energy performance goals and energy performance master plan for the Department of Defense developed under section 2911 of this title and supported by the special considerations specified in subsection (e) of such section.
(b) Consideration During Design Phase of Projects.— The Secretary concerned shall require that the design for the construction, repair, or renovation of facilities (including family housing and back-up power generation facilities) requires consideration of energy systems using solar energy or other renewable forms of energy when use of a renewable form of energy— is consistent with the energy performance goals and energy performance master plan for the Department of Defense developed under section 2911 of this title ; and supported by the special considerations specified in subsection (e) of such section. The Secretary concerned shall require that contracts for construction resulting from such design include a requirement that energy systems using solar energy or other renewable forms of energy be installed if such systems can be shown to be cost effective.
(c) Determination of Cost Effectiveness.— For the purposes of this section, an energy system using solar energy or other renewable forms of energy for a facility shall be considered to be cost effective if the difference between (A) the original investment cost of the energy system for the facility with such a system, and (B) the original investment cost of the energy system for the facility without such a system can be recovered over the expected life of the facility. A determination under paragraph (1) concerning whether a cost-differential can be recovered over the expected life of a facility shall be made using the life-cycle cost methods and procedures established pursuant to section 544(a) of the National Energy Conservation Policy Act ( 42 U.S.C. 8254(a) ).
(d) Exception to Square Feet and Cost Per Square Foot Limitations.— In order to equip a military construction project (including a military family housing project) with heating equipment, cooling equipment, or both heating and cooling equipment using solar energy or other renewable forms of energy or with a passive energy system using solar energy or other renewable forms of energy, the Secretary concerned may authorize an increase in any otherwise applicable limitation with respect to the number of square feet or the cost per square foot of the project by such amount as may be necessary for such purpose. Any such increase under this subsection shall be in addition to any other administrative increase in cost per square foot or variation in floor area authorized by law.
(e) Use of Energy Efficient Products in Facilities.— The Secretary of Defense shall ensure, to the maximum extent practicable, that energy efficient products meeting the requirements of the Department of Defense are used in construction, repair, or renovation of facilities by or for the Department carried out under chapter 169 of this title if such products are readily available and their use is consistent with the energy performance goals and energy performance master plan for the Department developed under section 2911 of this title and supported by the special considerations specified in subsection (e) of such section. The Secretary of Defense shall prescribe a definition of the term “energy-efficient product” for purposes of this subsection and establish and maintain a list of products satisfying the definition. The definition and list shall be developed in consultation with the Secretary of Energy to ensure, to the maximum extent practicable, consistency with definitions of the term used by other Federal agencies. The Secretary shall modify the definition and list of energy-efficient products as necessary to account for emerging or changing technologies. The list of energy-efficient products shall be included as part of the energy performance master plan developed pursuant to section 2911(d)(2) of this title . In determining the energy efficiency of products, the Secretary shall consider products that— meet or exceed Energy Star specifications; or are listed on the Federal Energy Management Program Product Energy Efficiency Recommendations product list of the Department of Energy.
§ 2916 Sale of electricity from alternate energy and cogeneration production facilities
(a) The Secretary of a military department may sell, contract to sell, or authorize the sale by a contractor to a public or private utility company of electrical energy generated from alternate energy or cogeneration type production facilities which are under the jurisdiction (or produced on land which is under the jurisdiction) of the Secretary concerned. The sale of such energy shall be made under such regulations, for such periods, and at such prices as the Secretary concerned prescribes consistent with the Public Utility Regulatory Policies Act of 1978 ( 16 U.S.C. 2601 et seq.).
(b) Except as provided in paragraph (3), proceeds from sales under subsection (a) shall be credited to the appropriation account currently available to the military department concerned for the supply of electrical energy. Subject to the availability of appropriations for this purpose, proceeds credited under paragraph (1) may be used to carry out military construction projects under the energy performance plan developed by the Secretary of Defense under section 2911(c) 1 of this title, including minor military construction projects authorized under section 2805 of this title that are designed to increase energy conservation. In the case of proceeds from a sale of electrical energy generated from any geothermal energy resource— 50 percent shall be credited to the appropriation account described in paragraph (1); and 50 percent shall be deposited in a special account in the Treasury established by the Secretary concerned which shall be provided directly to the commander of the military installation in which the geothermal energy resource is located to be used for— military construction projects described in paragraph (2) that benefit the military installation where the geothermal energy resource is located; or energy or water security projects that— benefit the military installation where the geothermal energy resource is located; the commander of the military installation determines are necessary; and are directly coordinated with local area energy or groundwater governing authorities.
(c) Before carrying out a military construction project described in subsection (b) using proceeds from sales under subsection (a), the Secretary concerned shall notify Congress of the project, the justification for the project, and the estimated cost of the project. The project may be carried out only after the end of the 14-day period beginning on the date the notification is received by Congress in an electronic medium pursuant to section 480 of this title .
§ 2917 Development of geothermal energy on military lands
(a) Development Authorized.— The Secretary of a military department may develop, or authorize the development of, any geothermal energy resource within lands under the Secretary’s jurisdiction, including public lands, for the use or benefit of the Department of Defense if that development is in the public interest, as determined by the Secretary concerned, and will not deter commercial development and use of other portions of such resource if offered for leasing.
(b) Consideration of Energy Security.— The development of a geothermal energy project under subsection (a) should include consideration of energy security in the design and development of the project.
§ 2918 Fuel sources for heating systems; prohibition on converting certain heating facilities
(a) The Secretary of the military department concerned shall provide that the primary fuel source to be used in any new heating system constructed on lands under the jurisdiction of the military department is the most cost effective fuel for that heating system over the life cycle of the system. The Secretary of Defense shall prescribe regulations for the determination of the life-cycle cost effectiveness of a fuel for the purposes of paragraph (1).
(b) The Secretary of a military department may not convert a heating facility at a United States military installation in Europe from a coal-fired facility to an oil-fired facility, or to any other energy source facility, unless the Secretary determines that the conversion— is required by the government of the country in which the facility is located; or is cost-effective over the life cycle of the facility.
§ 2919 Department of Defense participation in programs for management of energy demand or reduction of energy usage during peak periods
(a) Participation in Demand Response or Load Management Programs.— The Secretary of Defense, the Secretaries of the military departments, the heads of the Defense Agencies, and the heads of other instrumentalities of the Department of Defense are authorized to participate in demand response programs for the management of energy demand or the reduction of energy usage during peak periods conducted by any of the following parties: An electric utility. An independent system operator. A State agency. A third party entity (such as a demand response aggregator or curtailment service provider) implementing demand response programs on behalf of an electric utility, independent system operator, or State agency.
(b) Treatment of Certain Financial Incentives.— Financial incentives received from an entity specified in subsection (a) shall be— received as a cost reduction in the utility bill for a facility; or deposited into the fund established under subsection (c) for use, to the extent provided for in an appropriations Act, by the military department, Defense Agency, or instrumentality receiving such financial incentive for energy management initiatives.
(c) Energy Savings Financial Incentives Fund.— There is established in the Treasury a fund to be known as the “Energy Savings Financial Incentives Fund”. The Fund shall consist of any amount deposited in the Fund pursuant to subsection (b)(2) and amounts appropriated or otherwise made available to the Fund by law.
§ 2920 Energy resilience and energy security measures on military installations
(a) Energy Resilience Measures.— The Secretary of Defense shall, by the end of fiscal year 2030, provide that 100 percent of the energy load required to maintain the critical missions of each installation have a minimum level of availability of 99.9 percent per fiscal year. The Secretary of Defense shall issue standards establishing levels of availability relative to specific critical missions, with such standards providing a range of not less than 99.9 percent availability per fiscal year and not more than 99.9999 percent availability per fiscal year, depending on the criticality of the mission. The Secretary may establish interim goals to take effect prior to fiscal year 2025 to ensure the requirements under this subsection are met. The Secretary of each military department and the head of each Defense Agency shall ensure that their organizations meet the requirements of this subsection. The Secretary shall establish internal processes to support coordination with external regulatory and planning entities involved in grid reliability, transmission infrastructure, and long-term energy planning, in order to assess and mitigate risks to defense-critical installations, advance the energy security objectives of the Department, and comply with statutory mandates under this section. Coordination under paragraph (5)— shall include identification of mission-critical loads and infrastructure dependencies and load profiles at or near military installations; and may include consultation with relevant Federal and non-Federal entities.
(b) Planning.— The Secretary of Defense shall require the Secretary of each military department and the head of each Defense Agency to plan for the provision of energy resilience and energy security for installations. Planning under paragraph (1) shall— promote the use of multiple and diverse sources of energy, with an emphasis favoring energy resources originating on the installation such as modular generation; promote installing microgrids to ensure the energy security and energy resilience of critical missions; and favor the use of full-time, installed energy sources rather than emergency generation.
(c) Development of Information.— The planning required by subsection (b) shall identify each of the following for each installation: The critical missions of the installation. The energy requirements of those critical missions. The duration that those energy requirements are likely to be needed in the event of a disruption or emergency. The current source of energy provided to those critical missions. The duration that the currently provided energy would likely be available in the event of a disruption or emergency. Any currently available sources of energy that would provide uninterrupted energy to critical missions in the event of a disruption or emergency. Alternative sources of energy that could be developed to provide uninterrupted energy to critical missions in the event of a disruption or emergency.
(d) Testing and Measuring.— The Secretary of Defense shall require the Secretary of each military department and head of each Defense Agency to conduct monitoring, measuring, and testing to provide the data necessary to comply with this section. Any data provided under subparagraph (A) shall be made available to the Assistant Secretary of Defense for Sustainment upon request. The Secretary of Defense shall require that black start exercises be conducted to assess the energy resilience and energy security of installations for periods established to evaluate the ability of the installation to perform critical missions without access to off-installation energy resources. A black start exercise conducted under subparagraph (A) may exclude, if technically feasible, housing areas, commissaries, exchanges, and morale, welfare, and recreation facilities. The Secretary of Defense shall— provide uniform policy for the military departments and the Defense Agencies with respect to conducting black start exercises; and establish a schedule of black start exercises for the military departments and the Defense Agencies, with each military department and Defense Agency scheduled to conduct such an exercise on a number of installations each year sufficient to allow that military department or Defense Agency to meet the goals of this section, but in any event not fewer than five installations each year for each military department through fiscal year 2032. Except as provided in clause (ii), the Secretary of each military department shall, notwithstanding any other provision of law, conduct black start exercises in accordance with the schedule provided for in subparagraph (C)(ii), with any such exercise not to last longer than five days. The Secretary of a military department may conduct more black start exercises than those identified in the schedule provided for in subparagraph (C)(ii).
(e) Contract Requirements.— For contracts for energy and utility services, the Secretary of Defense shall— specify methods and processes to measure, manage, and verify compliance with subsection (a); and ensure that such contracts include requirements appropriate to ensure energy resilience and energy security, including requirements for metering to measure, manage, and verify energy consumption, availability, and reliability consistent with this section and the energy resilience metrics and standards under section 2911(b) of this title .
(f) Exception.— This section does not apply to fuels used in aircraft, vessels, or motor vehicles.
(g) Report.— If by the end of fiscal year 2027, the Secretary determines that the Department will be unable to meet the requirements under subsection (a), not later than 90 days after the end of such fiscal year, the Secretary shall submit to the Committees on Armed Services of the Senate and House of Representatives a report detailing— the projected shortfall; reasons for the projected shortfall; any statutory, technological, or monetary impediments to achieving such requirements; any impact to readiness or ability to meet the national defense posture; and any other relevant information as the Secretary considers appropriate.
(h) Definitions.— In this section: The term “availability” means the availability of required energy at a stated instant of time or over a stated period of time for a specific purpose. The term “black start exercise” means an exercise in which delivery of energy provided from off an installation is terminated before backup generation assets on the installation are turned on. Such an exercise shall— determine the ability of the backup systems to start independently, transfer the load, and carry the load until energy from off the installation is restored; align organizations with critical missions to coordinate in meeting critical mission requirements; validate mission operation plans, such as continuity of operations plans; identify infrastructure interdependencies; and verify backup electric power system performance. The term “critical mission”— means those aspects of the missions of an installation, including mission essential operations, that are critical to successful performance of the strategic national defense mission; may include operational headquarters facilities, airfields and supporting infrastructure, harbor facilities supporting naval vessels, munitions production and storage facilities, missile fields, radars, satellite control facilities, cyber operations facilities, space launch facilities, operational communications facilities, and biological defense facilities; and does not include military housing (including privatized military housing), morale, welfare, and recreation facilities, exchanges, commissaries, or privately owned facilities. The term “energy” means electricity, natural gas, steam, chilled water, and heated water. The term “installation” has the meaning given the term “military installation” in section 2801(c)(4) of this title .
§ 2921 Energy efficiency targets for data centers
(a) Covered Data Centers.— For each covered data center, the Secretary of Defense shall— develop a power usage effectiveness target for the data center, based on location, resiliency, industry standards, and best practices; develop a water usage effectiveness target for the data center, based on location, resiliency, industry standards, and best practices; develop other energy efficiency or water usage targets for the data center based on industry standards and best practices, as applicable to meet energy efficiency and resiliency goals; identify potential renewable or clean energy resources, or related technologies such as advanced battery storage capacity, to enhance resiliency at the data center, including potential renewable or clean energy purchase targets based on the location of the data center; and identify any statutory, regulatory, or policy barriers to meeting any target under any of subparagraphs (A) through (C). The Secretary of Defense shall ensure that targets developed under paragraph (1) are consistent with guidance issued by the Secretary of Energy. In this subsection, the term “covered data center” means a data center of the Department of Defense that— is one of the 50 data centers of the Department with the highest annual power usage rates; and has been established before the date of the enactment of this section.
(b) New Data Centers.— Except as provided in paragraph (2), in the case of any Department of Defense data center established on or after the date of the enactment of this section, the Secretary of Defense shall establish energy, water usage, and resiliency-related standards that the data center shall be required to meet based on location, resiliency, industry and Federal standards, and best practices. Such standards shall include— power usage effectiveness standards; water usage effectiveness standards; and any other energy or resiliency standards the Secretary determines are appropriate. The Secretary may waive the requirement for a Department data center established on or after the date of the enactment of this section to meet the standards established under paragraph (1) if the Secretary— determines that such waiver is in the national security interest of the United States; and submits to the Committee on Armed Services of the House of Representatives notice of such waiver and the reasons for such waiver.
§ 2922 Liquid fuels and natural gas: contracts for storage, handling, or distribution
(a) Authority To Contract.— The Secretary of Defense and the Secretary of a military department may each contract for storage facilities for, or the storage, handling, or distribution of, liquid fuels or natural gas.
(b) Period of Contract.— The period of a contract entered into under subsection (a) may not exceed 5 years. However, the contract may provide options for the Secretary to renew the contract for additional periods of not more than 5 years each, but not for more than a total of 30 years.
(c) Option To Purchase Facility.— A contract under this section may contain an option for the purchase by the United States of the facility covered by the contract at the expiration or termination of the contract, without regard to subsections (a) and (b) of section 3324 of title 31 , and before approval of title to the underlying land by the Attorney General.
§ 2922a Contracts for energy or fuel for military installations
(a) Subject to subsection (b), the Secretary of a military department may enter into contracts for periods of up to 30 years— under section 2917 of this title ; and for the provision and operation of energy production facilities on real property under the Secretary’s jurisdiction or on private property and the purchase of energy produced from such facilities.
(b) A contract may be made under subsection (a) only after the approval of the proposed contract by the Secretary of Defense.
(c) The costs of contracts under this section for any year may be paid from annual appropriations for that year.
(d) The Secretary concerned shall ensure energy security and energy resilience are included as critical factors in the provision and operation of energy production facilities under this section.
§ 2922b Procurement of energy systems using renewable forms of energy
(a) In procuring energy systems the Secretary of a military department shall procure systems that use solar energy or other renewable forms of energy whenever the Secretary determines that such procurement is possible, suited to supplying the energy needs of the military department under the jurisdiction of the Secretary, consistent with the energy performance goals and energy performance plan for the Department of Defense developed under section 2911 of this title , and supported by the special considerations specified in subsection (e) of such section.
(b) The Secretary of Defense shall from time to time study uses for solar energy and other renewable forms of energy to determine what uses of such forms of energy may be reliable in supplying the energy needs of the Department of Defense. The Secretary of Defense, based upon the results of such studies, shall from time to time issue policy guidelines to be followed by the Secretaries of the military departments in carrying out subsection (a) and section 2915 of this title .
§ 2922c Procurement of gasohol as motor vehicle fuel
(a) Other Federal Fuel Procurements.— Consistent with the vehicle management practices prescribed by the heads of affected departments and agencies of the Federal Government and consistent with Executive Order Number 12261, whenever the Secretary of Defense enters into a contract for the procurement of unleaded gasoline that is subject to tax under section 4081 of the Internal Revenue Code of 1986 for motor vehicles of a department or agency of the Federal Government other than the Department of Defense, the Secretary shall buy alcohol-gasoline blends containing at least 10 percent domestically produced alcohol in any case in which the price of such fuel is the same as, or lower than, the price of unleaded gasoline.
(b) Solicitations.— Whenever the Secretary issues a solicitation for bids to procure unleaded gasoline under subsection (a), the Secretary shall expressly include in such solicitation a request for bids on alcohol-gasoline blends containing at least 10 percent domestically produced alcohol.
§ 2922d Procurement of fuel derived from coal, oil shale, and tar sands
(a) Use of Fuel to Meet Department of Defense Needs.— The Secretary of Defense shall develop a strategy to use fuel produced, in whole or in part, from coal, oil shale, and tar sands (referred to in this section as a “covered fuel”) that are extracted by either mining or in-situ methods and refined or otherwise processed in the United States in order to assist in meeting the fuel requirements of the Department of Defense when the Secretary determines that it is in the national interest.
(b) Authority to Procure.— The Secretary of Defense may enter into one or more contracts or other agreements (that meet the requirements of this section) to procure a covered fuel to meet one or more fuel requirements of the Department of Defense.
(c) Clean Fuel Requirements.— A covered fuel may be procured under subsection (b) only if the covered fuel meets such standards for clean fuel produced from domestic sources as the Secretary of Defense shall establish for purposes of this section in consultation with the Department of Energy.
(d) Multiyear Contract Authority.— Subject to applicable provisions of law, any contract or other agreement for the procurement of covered fuel under subsection (b) may be for one or more years at the election of the Secretary of Defense.
(e) Fuel Source Analysis.— In order to facilitate the procurement by the Department of Defense of covered fuel under subsection (b), the Secretary of Defense may carry out a comprehensive assessment of current and potential locations in the United States for the supply of covered fuel to the Department.
§ 2922e Acquisition of certain fuel sources: authority to waive contract procedures; acquisition by exchange; sales authority
(a) Waiver Authority.— The Secretary of Defense may, for any purchase of a defined fuel source, waive the application of any provision of law prescribing procedures to be followed in the formation of contracts, prescribing terms and conditions to be included in contracts, or regulating the performance of contracts if the Secretary determines— that market conditions for the defined fuel source have adversely affected (or will in the near future adversely affect) the acquisition of that defined fuel source by the Department of Defense; and the waiver will expedite or facilitate the acquisition of that defined fuel source for Government needs.
(b) Scope of Waiver.— A waiver under subsection (a) may be made with respect to a particular contract or with respect to classes of contracts. Such a waiver that is applicable to a contract for the purchase of a defined fuel source may also be made applicable to a subcontract under that contract.
(c) Exchange Authority.— The Secretary of Defense may acquire a defined fuel source or services related to a defined fuel source by exchange of a defined fuel source or services related to a defined fuel source.
(d) Authority To Sell.— The Secretary of Defense may sell a defined fuel source of the Department of Defense if the Secretary determines that the sale would be in the public interest. The proceeds of such a sale shall be credited to appropriations of the Department of Defense for the acquisition of a defined fuel source or services related to a defined fuel source. Amounts so credited shall be available for obligation for the same period as the appropriations to which the amounts are credited.
§ 2922f Preference for energy efficient electric equipment
(a) In establishing a new requirement for electric equipment referred to in subsection (b) and in procuring electric equipment referred to in that subsection, the Secretary of a military department or the head of a Defense Agency, as the case may be, shall provide a preference for the procurement of the most energy efficient electric equipment available that meets the requirement or the need for the procurement, if providing such a preference is consistent with the energy performance goals and energy performance plan for the Department of Defense developed under section 2911 of this title and supported by the special considerations specified in subsection (e) of such section.
(b) Subsection (a) applies to the following electric equipment: Electric lamps. Electric ballasts. Electric motors. Electric refrigeration equipment.
§ 2922g Preference for motor vehicles using electric or hybrid propulsion systems; purchase or lease of certain electric and other vehicles
(a) Preference.— During the period preceding October 1, 2035 , in leasing or procuring motor vehicles for use by a military department or Defense Agency, the Secretary of the military department or the head of the Defense Agency may provide a preference for the lease or procurement of motor vehicles using electric or hybrid propulsion systems, including plug-in hybrid systems, if the electric or hybrid vehicles— will meet the requirements or needs of the Department of Defense; and are commercially available at a cost, including operating cost, reasonably comparable to motor vehicles containing only an internal combustion or heat engine using combustible fuel.
(b) Exception.— Subsection (a) does not apply with respect to tactical vehicles designed for use in combat.
(c) Relation to Other Vehicle Technologies That Reduce Consumption of Fossil Fuels.— The preference required by subsection (a) does not preclude the Secretary of Defense from authorizing, during the period specified in subsection (a), the Secretary of a military department or head of a Defense Agency to provide a preference for another vehicle technology that reduces the consumption of fossil fuels if the Secretary of Defense determines that the technology is consistent with the energy performance goals and plan of the Department required by section 2911 of this title .
(d) Requirement.— Except as provided in subsection (e), beginning on October 1, 2035 , each covered nontactical vehicle purchased or leased by or for the use of the Department of Defense shall be— an electric or zero emission vehicle that uses a charging connector type (or other means to transmit electricity to the vehicle) that meets applicable industry accepted standards for interoperability and safety; an advanced-biofuel-powered vehicle; or a hydrogen-powered vehicle.
(e) Relation to Other Vehicle Technologies That Reduce Consumption of Fossil Fuels.— Notwithstanding the requirement under subsection (d), beginning on October 1, 2035 , the Secretary of Defense may authorize the purchase or lease of a covered nontactical vehicle that is not described in such subsection if the Secretary determines, on a case-by-case basis, that— the technology used in the vehicle to be purchased or leased reduces the consumption of fossil fuels compared to vehicles that use conventional internal combustion technology; the purchase or lease of such vehicle is consistent with the energy performance goals and plan of the Department of Defense required by section 2911 of this title ; and the purchase or lease of a vehicle described in subsection (d) is impracticable under the circumstances.
(f) Waiver.— The Secretary of Defense may waive the requirement under subsection (d). The Secretary of Defense may not delegate the waiver authority under paragraph (1).
(g) Definitions.— In this section: The term “advanced-biofuel-powered vehicle” includes a vehicle that uses a fuel described in section 9001(3)(A) of the Farm Security and Rural Investment Act of 2002 ( 7 U.S.C. 8101(3)(A) ). The term “covered nontactical vehicle” means any vehicle— that is not a tactical vehicle designed for use in combat; and that is purchased or leased by the Department of Defense pursuant to a contract entered into, renewed, modified, or amended on or after October 1, 2035 . The term “hydrogen-powered vehicle” means a vehicle that uses hydrogen as the main source of motive power, either through a fuel cell or internal combustion.
[§ 2922h Repealed. Pub. L. 118–159, div. A, title III, § 315(a), Dec. 23, 2024, 138 Stat. 1851]
§ 2922i Multiyear contracts: purchase of electricity from renewable energy sources
(a) Multiyear Contracts Authorized.— Subject to subsection (b), the Secretary of Defense may enter into a contract for a period not to exceed 10 years for the purchase of electricity from sources of renewable energy, as that term is defined in section 203(b)(2) of the Energy Policy Act of 2005 ( 42 U.S.C. 15852(b)(2) ).
(b) Limitations on Contracts for Periods in Excess of Five Years.— The Secretary may exercise the authority in subsection (a) to enter into a contract for a period in excess of five years only if the Secretary determines, on the basis of a business case analysis prepared by the Department of Defense, that— the proposed purchase of electricity under such contract is cost effective for the Department of Defense; and it would not be possible to purchase electricity from the source in an economical manner without the use of a contract for a period in excess of five years.
(c) Relationship to Other Multiyear Contracting Authority.— Nothing in this section shall be construed to preclude the Department of Defense from using other multiyear contracting authority of the Department to purchase renewable energy.
§ 2922j Annual report on purchase of drop-in fuel
(a) In General.— Not less frequently than annually, the Secretary of Defense shall submit to Congress a report that, for the year covered by the report— identifies each instance in which the Secretary purchased drop-in fuel that was not cost-competitive with traditional fuel; and for each instance identified under paragraph (1), states whether the purchase was based on a military requirement or not.
(b) Definitions.— In this section: The term “drop-in fuel” means a neat or blended liquid hydrocarbon fuel designed as a direct replacement for a traditional fuel with comparable performance characteristics and compatible with existing infrastructure and equipment. The term “traditional fuel” means a liquid hydrocarbon fuel derived or refined from petroleum.
§ 2924 Definitions
In this chapter: The term “defined fuel source” means any of the following: Petroleum. Natural gas. Coal. Coke. The term “energy-efficient maintenance” includes— the repair of military vehicles, equipment, or facility and infrastructure systems, such as lighting, heating, or cooling equipment or systems, or industrial processes, by replacement with technology that— will achieve energy savings over the life-cycle of the equipment or system being repaired; and will meet the same end needs as the equipment or system being repaired; and improvements in an operation or maintenance process, such as improved training or improved controls, that result in energy savings. The term “hybrid”, with respect to a motor vehicle, means a motor vehicle that draws propulsion energy from onboard sources of stored energy that are both— an internal combustion or heat engine using combustible fuel; and a rechargeable energy storage system. The term “operational energy” means the energy required for training, moving, and sustaining military forces and weapons platforms for military operations. The term includes energy used by tactical power systems and generators and weapons platforms. The term “petroleum” means natural or synthetic crude, blends of natural or synthetic crude, and products refined or derived from natural or synthetic crude or from such blends. The term “renewable energy source” means energy generated from renewable sources, including the following: Solar, including electricity. Wind. Biomass. Biogas. Landfill gas. Ocean, including tidal, wave, current, and thermal. Geothermal, including electricity and heat pumps. Municipal solid waste. New hydroelectric generation capacity achieved from increased efficiency or additions of new capacity at an existing hydroelectric project. For purposes of this subparagraph, hydroelectric generation capacity is “new” if it was placed in service on or after January 1, 1999 . Thermal energy generated by any of the preceding sources. The term “biomass” has the meaning given the term “renewable biomass” in section 211( o )(1) of the Clean Air Act ( 42 U.S.C. 7545 ( o )(1)). The term “biogas” means biogas as such term is used in section 211( o )(1)(B)(ii)(V) of the Clean Air Act ( 42 U.S.C. 7545 ( o )(1)(B)(ii)(V)). (Added Pub. L. 112–81, div. B, title XXVIII, § 2821(a)(1) , Dec. 31, 2011 , 125 Stat. 1689 ; amended Pub. L. 115–91, div. B, title XXVIII, § 2831(c)(6) , Dec. 12, 2017 , 131 Stat. 1858 ; Pub. L. 117–263, div. A, title III, § 318 , Dec. 23, 2022 , 136 Stat. 2507 .)
§ 2925 Annual report on energy performance, resilience, and readiness of Department of Defense
(a) Report Required.— Not later than 240 days after the end of each fiscal year, the Secretary of Defense shall submit to the congressional defense committees a report detailing the fulfillment during that fiscal year of the authorities and requirements under sections 2688, 2911, 2912, 2920, and 2926 of this title, including progress on energy resilience at military installations and the use of operational energy in combat platforms and at contingency locations.
(b) Elements.— Each report under subsection (a) shall include the following: For the year covered by the report, the following: A description of the progress made to achieve the goals of the Energy Policy Act of 2005 ( Public Law 109–58 ), section 2911(g) of this title , and the Energy Independence and Security Act of 2007 ( Public Law 110–140 ). A description of the energy savings, return on investment, and enhancements to installation mission assurance realized by the fulfillment of the goals described in subparagraph (A). A description of and progress toward the energy security, resilience, and performance goals and master planning for the Department of Defense, including associated metrics pursuant to subsections (c) and (d) of section 2911 of this title and requirements under section 2688(g) of this title . An evaluation of progress made by the Department in implementing the operational energy strategy of the Department, including the progress of key initiatives and technology investments related to operational energy demand and management. Details of the amounts of any funds transferred by the Secretary of Defense pursuant to section 2912 of this title , including a detailed description of the purpose for which such amounts have been used. Statistical information on operational energy demands of the Department, in terms of expenditures and consumption, for the preceding five fiscal years, including information on funding made available in regular defense appropriations Acts and any supplemental appropriations Acts. A description of each initiative related to the operational energy strategy of the Department and a summary of funds appropriated for each initiative in the previous fiscal year and current fiscal year and requested for each initiative for the next five fiscal years. Such recommendations as the Secretary considers appropriate for additional changes in organization or authority within the Department to enable further implementation of the energy strategy and such other comments and recommendations as the Secretary considers appropriate.
(c) Classified Form.— If a report under subsection (a) is submitted in classified form, the Secretary of Defense shall, concurrently with such report, submit to the congressional defense committees an unclassified version of the report.
(d) Consolidation.— The Secretary of Defense may consolidate, attach with, or otherwise include in any report required under subsection (a) any annual report or other requirement that is aligned or associated with, or would be better understood if presented as part of a consolidated report addressing energy performance, resilience, and readiness.
§ 2926 Operational energy
(a) Operational Energy Policy.— In carrying out section 2911(a) of this title , the Secretary of Defense shall ensure the types, availability, and use of operational energy promote the readiness of the armed forces for their military missions in contested logistics environments.
(b) Responsibilities.— The Secretary of Defense shall— require the Secretaries concerned and the commanders of the combatant commands to assess the energy supportability in contested logistics environments of systems, capabilities, and plans; authorize the use of energy security, cost of backup power, supportability in contested logistics environments, and energy resilience as factors in the cost-benefit analysis for procurement of operational equipment; and in selecting equipment that will use operational energy, give favorable consideration to the acquisition of equipment that enhances energy security, energy resilience, energy conservation, and reduces logistical vulnerabilities in contested logistics environments.
(c) Functions of the Assistant Secretary of Defense for Energy, Installations, and Environment.— The Assistant Secretary of Defense for Energy, Installations, and Environment, in consultation with the heads of the appropriate Department of Defense components and in coordination with the working group under subsection (d), shall— oversee the operational energy activities of the Department of Defense, including the activities of the working group established under subsection (d), and oversee the investments of the Department in such activities; make recommendations to the Secretary regarding the policies and investments that affect the use of operational energy across the Department of Defense, taking into account the findings of the working group under subsection (d); establish guidelines and recommend to the Secretary policy to improve warfighting capability through energy security and energy resilience, taking into account the findings of the working group under subsection (d); encourage collaboration with and leveraging of investments made by the Department of Energy, the Department of Agriculture, and other relevant Federal agencies to advance alternative fuel development to the benefit of the Department of Defense; and certify the budget associated with the investment of the Department of Defense in alternative fuel activities in accordance with subsection (f)(4).
(d) Working Group.— The Secretary of Defense shall establish a working group to integrate efforts to mitigate contested logistics challenges through the reduction of operational energy demand that are carried out within each armed force, across the armed forces, and with the Office of the Secretary of Defense and to conduct other coordinated functions relating to such efforts. The head of the working group under paragraph (1) shall be the Assistant Secretary of Defense for Energy, Installations, and Environment. The Assistant Secretary shall supervise the members of the working group and provide guidance to such members with respect to specific operational energy plans and programs to be carried out pursuant to the strategy under subsection (e). The members of the working group under paragraph (1) shall be as follows: A senior official of each armed force, who shall be nominated by the Secretary concerned and confirmed by the Senate to represent such armed force. A senior official from each geographic and functional combatant command, who shall be appointed by the commander of the respective combatant command to represent such combatant command. A senior official under the jurisdiction of the Chairman of the Joint Chiefs of Staff, who shall be appointed by the Chairman to represent the Joint Chiefs of Staff and the Joint Staff. A senior official of the Defense Logistics Agency, who shall be appointed by the Director of the Defense Logistics Agency to represent the Defense Logistics Agency. An official of the Office of the Under Secretary of Defense for Research and Engineering, who shall be nominated by the Secretary of Defense and confirmed by the Senate to represent such Office. The Assistant Secretary of Defense for Acquisition, who shall represent the Office of the Under Secretary of Defense for Acquisition. The Assistant Secretary of Defense for Sustainment, who shall represent the Office of the Assistant Secretary of Defense for Sustainment. Each member of the working group shall be responsible for carrying out operational energy plans and programs and implementing coordinated initiatives, or developing capabilities for such purposes, pursuant to the strategy under subsection (e) for the respective component of the Department that the member represents. The duties of the working group under paragraph (1) shall be as follows: Planning for the integration of efforts to mitigate contested logistics challenges through the reduction of operational energy demand carried out within each armed force, across the armed forces, and with the Office of the Secretary of Defense. Developing recommendations regarding the strategy for operational energy under subsection (e). Developing recommendations relating to the development of, and modernization efforts for, platforms and weapons systems of the armed forces. Developing recommendations to ensure that such development and modernization efforts lead to increased lethality, extended range, and extended on-station time for tactical assets. Developing recommendations to mitigate the effects of hostile action by a near-peer adversary targeting operational energy storage and operations of the armed forces, including through the use of innovative delivery systems, distributed storage, flexible contracting, and improved automation. The working group under paragraph (1) shall meet not less frequently than quarterly. Not later than February 1 of each year, the working group under paragraph (1) shall submit to the congressional defense committees a report that contains a description of the following: The topics addressed in the meetings of the working group during the preceding year. The priorities of the working group for the following year (including with respect to any shortfalls in personnel, equipment, infrastructure, energy and storage, or capabilities) in support of the operational plans of the Department of Defense. Any steps taken by the working group, as of the date of the submission, to address any identified shortfalls in budget or capabilities. Each report under subparagraph (A) shall be submitted in unclassified form, but may include a classified annex.
(e) Operational Energy Strategy.— The Assistant Secretary of Defense for Energy, Installations, and Environment, in coordination with the working group under subsection (d), shall be responsible for the establishment and maintenance of a department-wide transformational strategy for operational energy. The strategy shall be updated every five years and shall establish near-term, mid-term, and long-term goals, performance metrics to measure progress in meeting the goals, and a plan for implementation of the strategy within each armed force, across the armed forces, and with the Office of the Secretary of Defense. The strategy required under paragraph (1) shall include the following: A plan to integrate efforts to mitigate contested logistics challenges through the reduction of operational energy demand within each armed force. An assessment of how industry trends transitioning from the production of internal combustion engines to the development and production of alternative propulsion systems may affect the long-term availability of parts for military equipment, the fuel costs for such equipment, and the sustainability of such equipment. An assessment of any technologies, including electric, hydrogen, or other sustainable fuel technologies, that may reduce operational energy demand in the near-term or long-term. An assessment of how the Secretaries concerned and the commanders of the combatant commands can better plan for challenges presented by near-peer adversaries in a contested logistics environment, including through innovative delivery systems, distributed storage, flexible contracting, and improved automation. A biennial assessment of any infrastructure investments of allied and partner countries that may affect operational energy availability in the event of a conflict with a near-peer adversary, which shall include— an identification of efforts by the United States and allied and partner countries to mitigate mutual contested logistics challenges and to develop complementary energy security and energy reliance measures; an analysis of investments made by allied and partner countries in any technology, including electric, hydrogen, nuclear, biofuels, and any other sustainable fuel technology or renewable energy technology, that may reduce demand for operational energy in the near-term or long-term; an identification of any limitations or barriers to closing or mitigating gaps in operational energy investment with allied and partner countries, including any additional authorities or appropriations that may be required; and an analysis of the feasibility and advisability of establishing a partnership program using existing authorities to collaborate with the national security forces of allied and partner countries for the purpose of developing and maintaining transformational strategies for operational energy with the objectives of enhancing the readiness of such countries and employing diverse energy sources that reduce demand and logistical vulnerabilities. By authority of the Secretary of Defense, and taking into consideration the findings of the working group, the Assistant Secretary shall prescribe policies and procedures for the implementation of the strategy and make recommendations to the Secretary of Defense and Deputy Secretary of Defense with respect to specific operational energy plans and programs to be carried out pursuant to the strategy. Not later than 30 days after the date on which the budget for fiscal year 2024 is submitted to Congress pursuant to section 1105 of title 31 , and every five years thereafter, the Assistant Secretary shall submit to the congressional defense committees the strategy required under paragraph (1).
(f) Budgetary and Financial Matters.— The Assistant Secretary of Defense for Energy, Installations, and Environment shall review and make recommendations to the Secretary of Defense regarding all budgetary and financial matters relating to the operational energy strategy. The Secretary of Defense shall require that the Secretary of each military department and the head of each Defense Agency with responsibility for executing activities associated with the strategy transmit their proposed budget for those activities for a fiscal year to the Assistant Secretary for review before submission of the proposed budget to the Under Secretary of Defense (Comptroller). The Assistant Secretary shall review a proposed budget transmitted under paragraph (2) for a fiscal year and, not later than January 31 of the preceding fiscal year, shall submit to the Secretary of Defense a report containing the comments of the Assistant Secretary with respect to the proposed budget, together with the certification of the Assistant Secretary regarding whether the proposed budget is adequate for implementation of the strategy. Not later than 30 days after the date on which the budget for a fiscal year is submitted to Congress pursuant to section 1105 of title 31 , the Secretary of Defense shall submit to Congress a report on the proposed budgets for that fiscal year that were reviewed by the Assistant Secretary under paragraph (3). For each proposed budget covered by a report under paragraph (4) for which the certification of the Assistant Secretary under paragraph (3) is that the budget is not adequate for implementation of the strategy, the report shall include the following: A copy of the report set forth in paragraph (3). A discussion of the actions that the Secretary proposes to take, together with any recommended legislation that the Secretary considers appropriate, to address the inadequacy of the proposed budget. An appendix prepared by the Chairman of the Joint Chiefs of Staff describing— the progress made by the Joint Requirements Oversight Council in implementing the energy Key Performance Parameter; and details regarding how operational energy is being addressed in defense planning, scenarios, support to strategic analysis, and resulting policy to improve combat capability. An appendix prepared by the Under Secretary for Defense for Acquisition and Sustainment certifying that and describing how the acquisition system is addressing operational energy in the procurement process, including long-term sustainment considerations, and how programs are extending combat capability as a result of these considerations. A separate statement of estimated expenditures and requested appropriations for that fiscal year for the activities of the Assistant Secretary in carrying out the duties of the Assistant Secretary. Any additional comments that the Secretary considers appropriate regarding the inadequacy of the proposed budgets. For each proposed budget covered by a report under paragraph (4) for which the certification of the Assistant Secretary under paragraph (3) is that the budget is adequate for implementation of the strategy, the report shall include the items set forth in subparagraphs (C), (D), and (E) of paragraph (5).
(g) Access to Initiative Results and Records.— Each member of the working group under subsection (d) shall submit to the Assistant Secretary of Defense for Energy, Installations, and Environment the results of all studies and initiatives conducted by the respective component of the Department that the member represents for purposes of the working group in connection with the operational energy strategy. The Assistant Secretary shall have access to all records and data in the Department of Defense (including the records and data of each armed force) necessary in order to permit the Assistant Secretary to carry out the duties of the Assistant Secretary.
(h) Contested Logistics Environment Defined.— In this section, the term “contested logistics environment” means an environment in which the armed forces engage in conflict with an adversary that presents challenges in all domains and directly targets logistics operations, facilities, and activities in the United States, abroad, or in transit from one location to the other.
§ 2927 Global bulk fuel management and delivery
(a) Responsible Element.— Beginning during the period described in paragraph (2) and permanently thereafter, the United States Transportation Command shall be the element responsible for bulk fuel management and delivery of the Department of Defense on a global basis. The period described in this paragraph is the period beginning on January 1, 2023 , and ending on February 1, 2023 .
(b) Coordination With Defense Logistics Agency.— In carrying out the responsibilities specified in subsection (a), the Commander of the United States Transportation Command shall coordinate with the Director of the Defense Logistics Agency.
(c) Rule of Construction.— Except to the extent that, prior to January 1, 2023 , a responsibility specified in subsection (a) was a specific function of the Defense Logistics Agency Energy, nothing under this section shall be construed as— limiting any other function of the Defense Logistics Agency Energy; or requiring the transfer of any function, personnel, or asset from the Defense Logistics Agency Energy to the United States Transportation Command.
§ 2928 Programs on reduction of fuel reliance and promotion of energy-aware behaviors
(a) Establishment.— Each Secretary of a military department shall establish a program for the promotion of energy-aware behaviors and the reduction of unnecessary fuel consumption within that military department.
(b) Goals.— The goals of the programs established under subsection (a) shall be as follows: To increase operational energy resiliency. To decrease energy-related strategic vulnerabilities and enhance military readiness. To integrate sustainability features for new and existing military installations and other facilities of the Department.
(c) Minimum Required Elements.— Under the program of a military department under subsection (a), the Secretary of the military department shall carry out, with respect to the military department, and at a minimum, the following: The development and implementation of a strategy for the collection and analysis of data on fuel consumption, to identify operational inefficiencies and enable data-driven decision making with respect to fuel logistics and the reduction of fuel consumption. The fostering of an energy-aware culture across the military department to reduce fuel consumption, including through— the incorporation of energy conservation and resiliency principles into training curricula and other training materials of the military department, including by updating such materials to include information on the effect of energy-aware behaviors on improving readiness and combat capability; and the review of standard operating procedures, and other operational manuals and procedures, of the military department, to identify procedures that increase fuel consumption with no operational benefit. The integration of operational energy factors into the wargaming of the military department and related training activities that involve the modeling of scenarios, in accordance with subsection (d), to provide to participants in such activities realistic data on the risks and challenges relating to operational energy and fuel logistics. The implementation of data-driven procedures, operations planning, and logistics, to optimize cargo transport and refueling operations within the military department.
(d) Wargaming Elements.— In integrating operational energy factors into the wargaming and related training activities of a military department under subsection (c)(3), the Secretary of the military department shall seek to ensure that the planning, design, and execution of such activities include— coordination with the elements of the military department responsible for fuel and logistics matters, to ensure the modeling of energy demand and network risk during such activities are accurate, taking into account potential shortfalls and the direct and indirect effects of the efforts of foreign adversaries to target fuel supply chains; and a focus on improving integrated life-cycle management processes and fuel supply logistics.