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Project to Save $32 Million in Energy Costs

Navy NewsStand

Story Number: NNS081010-19
Release Date: 10/10/2008 3:47:00 PM

By Cathy Heimer, Naval Air Station Oceana Public Affairs

VIRGINIA BEACH, Va. (NNS) -- The Energy Saving Performance Contract (ESPC) was completed at Naval Air Station (NAS) Oceana Dam Neck Annex and officially opened with a ribbon-cutting ceremony Oct. 9 after 22 months of construction.

A partnership between the Navy, Trane and the Hampton Roads Sanitation District (HRSD), ESPC will save the Department of the Navy nearly $32 million over the 17-year life of the contract. The new system, which is funded entirely through operational savings, includes upgrades to 36 buildings at Dam Neck with new geothermal water source heat pumps. The updated equipment replaces the old, inefficient central steam plant, which required above-ground pipes across the base to deliver heat.

The project involved more than 25 subcontractors and 130,000-man hours of work and was accomplished with zero safety incidents and no time lost from the job.

"This is a win-win-win relationship for HRSD, Trane and especially the Sailors on the base," said NAS Oceana Executive Officer Capt. Mark Rich during the ribbon-cutting ceremony.

Rich noted how the new system will provide better reliability and better performance of the heating and cooling systems across Dam Neck. By removing all above-ground steam lines which previously crisscrossed Dam Neck, Rich said, the base looks nicer.

Dam Neck's older buildings also challenged the previous system.

"Summer is tough on the Sailors because the age of the buildings is significant. Sailors bear a lot of the burden when they spend the nights with no AC and have to go back to work the next day," said Rich. "We're exceptionally happy to have this, and we're looking forward to enjoying the benefits of it."

Capt. John Edwards, executive officer for Naval Engineering Facilities Command, Mid-Atlantic noted the dedication's timing coincided with October being Energy Awareness Month. NAVFAC Mid-Atlantic manages the energy savings programs at naval facilities in the Mid-Atlantic region.

Edwards, who also serves the chairman of the Regional Energy Management Council in Hampton Roads, said the ESPC at Dam Neck is "one of the major components" of projects under consideration to revitalize the energy-use strategy within the Mid-Atlantic Region.

This Energy Savings Performance Contract is also in place at NAS Oceana and Naval Amphibious Base Little Creek. Edwards said with the new Dam Neck ESPC, the Navy is saving more than $5 million each year in Hampton Roads by having the newer, more energy efficient equipment installed.

Edwards explained future projects will also focus on awareness, use of renewable resources such as "green resources," working on demand reduction to change the users' behavior and improved communication with the various commands by providing more information to commanding and executive officers about what's taking place at their commands.

"This is a great project. It's done a lot for the Navy, a lot for NAS Oceana. It really shows an outstanding partnership, when we have shared interests between the Navy and a great partner like Trane and a great municipality working with all the cities like HRSD," said Edwards.

The HRSD representative, John J. Dano, was also very enthusiastic about the partnership between the three groups.

"HRSD is very excited about partnering with the Navy and Trane on this energy savings project. This project coincides with HRSD's goals to minimize our environmental impact," said Dano.

For many years, HRSD has maintained a pipe buried deep underground Dam Neck to pump water from their treatment facility offshore. Construction of the Dam Neck project came at the same time HRSD was also upgrading their nearby Atlantic Treatment Plant.

"HRSD strives to be a good neighbor, and we have many facilities that are in close proximity to Navy installations. We are proud to partner with the Navy and Trane on the Dam Neck project, and we hope to partner again on future projects," Dano concluded.

Following the ribbon-cutting, Howard Turner from Virginia Trane conducted a tour of the facility which contains a section of the 10 miles of large, blue pipes and the heat exchangers. In the past, the water was cooled for the air conditioning by "chillers," positioned outside of each building. Turner said due to the continuous maintenance needed, the previous cooling equipment was hard to keep working.

The new system is a self-contained unit, which is entirely computer-controlled and adjustable through the Internet.

Turner explained an important component of the performance contract.

"The Navy, with the money that it's saving, pays Trane to measure the savings every year. If we don't make the savings for you, we write you a check. It's truly a guarantee – we save you money or we write a check – and we don't like to write checks."

For more news from Naval Air Station Oceana, visit www.navy.mil/local/oceana/.