SGS secures energy savings performance contract from Department of Energy

Siemens Government Services, a wholly owned subsidiary of Siemens, has said that it is one of 16 companies to be awarded a Department of Energy indefinite delivery, indefinite quantity energy savings performance contract.

The award could result in up to $5 billion in energy efficiency, renewable energy, and water conservation projects at federally owned buildings and facilities for Siemens Government Services (SGS) and its subcontractor, Siemens Building Technologies.

Energy savings performance contract (ESPC) projects enable federal agencies to undertake energy savings initiatives without incurring up-front capital costs. The Department of Energy (DoE) was required by an executive order, the Energy Policy Act of 2005 and the Energy Independence and Security Act of 2007, to ensure federal buildings reduce their energy intensity by 30% and reach a 16% reduction in water use by 2015, as well as to obtain more than 7% of their power from renewable energy sources by 2013.

The contract for SGS is valued at up to $5 billion over its unlimited life world-wide, and allows federal agencies to pay for facility energy-efficiency improvements from actual energy savings realized.

Dave Patterson, president and CEO of SGS, said: "We are extremely pleased that the DoE has selected SGS as one of a few companies for an ESPC award. Under this new contract, Siemens will be able to provide the government with energy technologies designed to help manage energy costs and reduce energy consumption."