May 5 2010
Balfour Beatty Energy Solutions, LLC (Balfour Beatty Energy), a subsidiary of Balfour Beatty Capital Group, Inc., will work with Lockheed Martin to pursue projects under the U.S. Department of Energy (DOE) Energy Savings Performance Contracts (ESPC) Program.
Lockheed Martin is one of 16 companies approved by DOE to compete to help the Federal government reduce its energy costs and environmental impact through increased energy efficiency, water conservation, additional use of renewable energy, and improved utility management decisions at Federal sites. Under an ESPC, Lockheed Martin would conduct a comprehensive energy audit and identify improvements that will save energy at a facility, design and construct a project that meets the agency's needs, and arrange financing to pay for it. Projects under this program are required to generate savings sufficient to cover annual financing cost and generate positive annual cash flow to the government after financing obligations are retired.
Through an agreement with Balfour Beatty Energy, Lockheed Martin seeks to further enhance the range of services and solutions that it currently offers the government in the areas of construction expertise, natural resource education programs, occupant behavior change, renewable energy development, and retro-commissioning.
“We are excited to be working with Lockheed Martin to pursue energy efficiency and conservation projects with the Federal government,” said Bruce Robinson, President and CEO of Balfour Beatty Capital Group, Inc. “We are confident that the combined expertise of our companies will serve as a strong foundation for offering effective, affordable energy savings solutions to Federal facilities.”
The Federal Energy Management Program assists federal agencies in identifying alternative financing options to implement energy efficiency, water conservation and renewable energy projects. Under the ESPC, DOE will award multiple-award indefinite-delivery-indefinite-quantity (IDIQ) task orders to approved contractors with a maximum ceiling value of $80 billion over the 11-year period of the contract.