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U.S President Increases Federal Commitment to Energy Efficiency

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Under 2011 White House energy efficiency commitments, Honeywell energy services helped cut Rock Island Arsenal JMTC energy use by approximately 35%.

U.S. President Obama confirmed government support for energy efficiency, which helps reduce the need for new power plants, keep utility costs low and create jobs, when he announced plans today to make $2 billion in efficiency-focused upgrades to federal facilities by 2016.

This commitment builds on a similar goal set at the end of 2011, which called for $2 billion in building improvements over two years. Since then, the bi-partisan-backed work has helped cut energy and operating costs at government facilities and military bases. The projects are financed by the private sector, but the loan is repaid through the savings the upgrades generate, which are guaranteed by an energy services company like Honeywell. Using this model, known as an energy savings performance contract (ESPC), federal agencies can make critical improvements without additional taxpayer dollars.

Honeywell recently launched a $61-million project to update manufacturing equipment at the Rock Island Arsenal Joint Manufacturing and Technology Center (JMTC) in Illinois, which builds hardened, durable components for Army equipment. The work will generate up to $5.3 million in annual savings and cut JMTC’s energy use by approximately 35 percent, among other benefits. Learn more about the JMTC project.

Read the White House fact sheet on the announcement.

Read the statement from Business Roundtable (BRT).

Rob Ferris
Corporate and Financial Media Relations