The U.S. Department of Defense released its first overarching defense energy policy in more than two decades. The new policy directive initiated in June 2013 formalizes key energy management principles that guide DoD activities and provides “a much-anticipated common energy narrative” for the Department. Specifically, it provides guidance for the full range of defense energy activities such as operational and facilities energy, and assigns responsibilities for energy planning, use, and management across the Office of Secretary of Defense (OSD), the Joint Staff, Combatant Commands, Military Services, and Defense Agencies. Read more here.
The U.S. Navy is embarking on a larger-scale replacement of petroleum fuels for day-to-day mission use as biofuels technologies advance, making biofuels more economic. The U.S. Department of Defense awarded four companies with contracts to produce a total of 170 million gallons of drop-in, military-compatible biofuels, with production starting in 2016. The companies agreed to supply biofuels at a price “well below” $4 per gallon. The Navy currently pays an average of $3.73 for petroleum-based fuel. These biofuels supplies are expected to generate 50-90% fewer greenhouse gas emissions. The biofuel purchases represent an important precursor to Navy’s goal to power the entire Navy carrier strike group, including its aviation assets, by alternative energy by 2016. According to Navy Secretary Ray Mabus, this goal, dubbed “Great Green Fleet”, is intended to be the start of Navy’s “new normal.” “We’re not just doing this for the Great Green Fleet or to meet our 2020 goals. We will have [cost-competitive] biofuel annexes in our regular, operational fuel, solicitation all the time.” Read more at Federal News Radio.
It is easy to see why the recent Russia-China pipeline deal, encompassing some $400 billion of gas over 30 years, would make policymakers on both sides of the Atlantic cringe, especially since it comes just days before the G-7 leaders meet in Brussels to discuss how to isolate Russia. But while there are many reasons for the West to dislike the gas deal, it may not as bad as it seems. In fact, it may offer some unforeseen benefits – even for the United States. Gal Luft explains.
When something is subsidized, people use more of it....and smuggle/sell it elsewhere to cash out on the subsidy. Case in point, fuel in Iran.
The Economist reports "An estimated $40-100 billion is paid every year to keep Iranians, poor and rich, supplied with cheap energy, water, fuel and basic food. Consumption has soared. Shopkeepers in Tehran spray their verandas to drive away the dust. Cars clog the country’s roads. Iran’s energy consumption is reckoned to be 80% above the Middle East’s average. Worse, billions of dollars are squandered every year by smugglers taking Iran’s cheap fuel across borders to Iraq and Pakistan."
The subsidies have just been reduced but are still substantial...."On April 28th President Hassan Rohani raised petrol prices by 75%, from 4,000 to 7,000 rials ($0.16 to $0.28) per litre."
Under a program funded by the U.S. Department of Energy, Camp Pendleton in California has partnered with three private companies including General Motors, Ford, and Quantum Technologies to test hydrogen-powered vehicles, develop refueling infrastructure, and reduce the base’s use of petroleum fuel. The base has tested two types of hydrogen vehicles. One type is operated by hydrogen fuel cells which convert compressed hydrogen gas and oxygen to electricity, powering an electric motor. The other type has an internal combustion engine modified to burn hydrogen gas. Data collected by the vehicle’s onboard computers is used by the three partner companies to improve their hydrogen-powered vehicles. According to a Camp Pendleton fleet manager, Jim Seaman, the Marine Corps is also exploring ways to expand hydrogen fuel technology in powering forklifts and stationary generators to provide electric power for building. Read more from Oceanside-Camp Pendleton website.
U.S. Marine Corps Air Ground Combat Center (MCAGCC) in California implemented several energy saving projects. This includes a 7.2 MW dual-fueled cogeneration plant that produces electricity and heat and saves around $5.8 million a year, returning construction costs within four years. Secondly, the Center installed a 1.2 MW photovoltaic solar array which is expected to reduce energy costs by saving $1.1 million a year. Finally, the base upgraded heating, cooling and lighting systems, reducing maintenance calls from 400 a month to an average of two a week. Read more here.
The U.S. F.E. Warren Air Force Base in Wyoming installed the first Air Force wind project expected to save over $3 million in energy costs over the next 20 years. Also the U.S. Cape Cod Air Force Station (AFS) embarked on two new wind turbines that can produce up to 3.2 MW. In addition to reducing the base’s energy costs, the Air Force earns money by selling electricity to the local electric company when the turbines produce more power than the base consumes. The station is estimated to save more than $600,000 a year, recouping more than 50% of Cape Cod AFS’ annual electric bill. Furthermore, Air Force base, Tin City Long Range Radar Station in Alaska operates a 250 kW wind turbine that is projected to cut diesel fuel at the remote station by 30 to 35% and save up to $443,000 per year in energy costs. Finally, U.S. Navy base, San Clemente Island in California installed three wind turbines to reduce diesel use and save up to $160,000 a year, providing payback for construction costs within 6.5 years.