Acquisition and Energy

Secretary Mabus (SECNAV) set forth five ambitious energy goals that are transforming the way the Department of the Navy (DoN) uses energy on installations and in operational forces. This strategy emphasizes improving operational effectiveness while increasing energy security and advancing energy independence. Among these goals is a commitment to reform requirements-setting, acquisition, and contracting processes to incorporate energy performance criteria into decisions for new systems.

In June 2011, the Assistant Secretary of the Navy (ASN) for Research, Development & Acquisition (RDA) issued a memorandum that provides guidance for platforms and weapon systems concerning the use of energy-related factors in acquisition planning, analyses, development and competitive source selections. As directed by the memo, systems commands are currently developing a uniform method for calculating Fully Burdened Cost of Energy (FBCE) to support their respective acquisition programs. Once finalized, the FBCE methods are to be used to determine life cycle energy costs, specifically in the Analysis of Alternatives (AoA) program planning phase and incorporated into affordability targets. The memorandum also requires acquisition plans to include a discussion of energy consumption in the Total Ownership Cost analysis, energy consideration in each step of the Gate Review process as well as the feasibility of energy efficiency upgrades for all major modernization efforts of legacy programs.

In November 2011, the Chief of Naval Operations Energy and Environmental Readiness Division (OPNAV N45) established the Navy Operational Energy in Acquisition Team (EN-ACQT). EN-ACQT was developed to support SECNAV’s energy goals and ensure that energy is a key consideration in all acquisitions.  The main objective of EN-ACQT is to identify specific areas in the acquisition process where energy efficiency and innovation should and can be incorporated.  OPNAV N45 emphasizes the importance of this team and its efforts in finding the best paths to influence and shape integrating energy efficiency considerations in the acquisition process.  In addition, the Energy SharePoint Site, a tool that will be used to support operations of the group and provide a working area for members to review, provide comments and participate in discussions regarding energy efficiency considerations in the acquisition process, was launched in November 2011. 

Acquisition-related legislation, planning guidance, and DoD policy documents are available here.