Recommendation: To establish an effective approach to managing fuel demand that would facilitate the widespread implementation of fuel reduction intitiatives and sustained attention to fuel demand issues at its forward-deployed locations, the Secretary of Defense should designate the new, congressionally-mandated DOD Director of Operational Energy Plans and Programs as the department's lead proponent of fuel demand management at forward-deployed locations, and through this designation, require that the director develop action plans as part of the congressionally-mandated DOD energy strategy. Specifically, the strategy should incorporate the department's action plans for (1) facilitating departmentwide communication and consistency, when appropriate, in the development or revision of combatant command and military service guidance that establishes requirements and provides guidelines for managing fuel demand at forward-deployed locations (2) establishing incentives for commanders of forward-deployed locations to promote fuel demand reduction at their locations, as well as identifying a viable funding mechanism for the department and commanders of forward-deployed locations to pursue fuel reduction initiatives (3) establishing visibility over fuel demand management at forward-deployed locations, including plans for sharing good fuel reduction practices and solutions to identified challenges and (4) establishing accountability for fuel demand management at appropriate levels across the department.

Agency Affected: Department of Defense

Status: Open

Comments: In responding to our draft report, DOD generally concurred with our recommendation pertaining to the responsibilities of the new director of operational energy. However, regarding the need to establish a viable funding mechanism for fuel reduction projects at forward-deployed locations, the department stated that it is not convinced that financial incentives represent the best fuel reduction strategy for forward-deployed locations. We recognize that DOD has various options for providing incentives to commanders at forward-deployed locations to reduce fuel demand but continue to believe that, based on our audit work, the availability of funding for such projects is a concern that needs to be addressed. As of July 27, 2010, no action had been taken by DOD. As of July 2011, DOD had published an operational energy strategy that emphasized the need to make fuel demand reduction a priority. However, DOD has not yet taken action to fully meet this intent of this recommendation. As of May 30, 2012, DOD had issued an implementation plan for its operational energy strategy. The implementation plan indicates that some planned efforts may address aspects of our recommendation. We will continue to monitor DOD actions in this area.

Recommendation: To establish an effective approach to managing fuel demand that would facilitate the widespread implementation of fuel reduction intitiatives and sustained attention to fuel demand issues at its forward-deployed locations, the Secretary of Defense should direct the Chairman, Joint Chiefs of Staff, to require that fuel demand considerations be incorporated into the Joint Staff's initiative to develop joint standards of life support at DOD's forward-deployed locations.

Agency Affected: Department of Defense

Status: Open

Comments: In commenting on our draft report, DOD concurred with our recommendation that the Joint Staff incorporate fuel demand considerations into its initiative to develop joint standards for life support at DOD's forward-deployed locations. As of July 27, 2010, no action had been taken by DOD. As of July 2011, no action has been taken by DOD. As of May 2012, the Joint Staff had created a Joint Capabilities Task Group to identify and address fuel demand management issues. However, it was unclear to what extent, if at all, this task group would be incorporating fuel demand considerations into life support standards at forward-deployed locations. We will continue to monitor DOD's efforts in this area.

Recommendation: To establish an effective approach to managing fuel demand that would facilitate the widespread implementation of fuel reduction intitiatives and sustained attention to fuel demand issues at its forward-deployed locations, the Secretary of Defense should direct the Secretaries of the Army, the Navy, the Air Force, and the Commandant of the Marine Corps to develop guidance that implements combatant command requirements for managing fuel demand at forward-deployed locations. The guidance should include specific guidelines that address energy-efficiency considerations in base construction, maintenance, procurement, and policies regarding fuel usage at a location. In establishing guidance, the military services should coordinate their efforts with the new DOD Director of Operational Energy Plans and Programs to ensure departmentwide communication and consistency, where appropriate.

Agency Affected: Department of Defense

Status: Closed - Implemented

Comments: In responding to our draft report, DOD concurred with this recommendation. The department stated that guidelines on policy will be general in nature and allow command commands flexibility. While we believe that forward-deployed locations within different regions could require different guidelines, our audit work revealed that current guidance for Central Command and Army guidance used in Central Command and European Command contain only a general reference to energy efficiency -- that semi permanent locations are to be designed and constructed with finishes, materials, and systems selected for moderate energy efficiency -- and that this guidance is not effective in implementing fuel demand considerations at forward-deployed locations. Our report concludes that fuel demand is likely to remain high until DOD gives systematic consideration to incorporating fuel demand management into construction, maintenance, procurement, and other policy decisions for forward-deployed locations. Therefore, we continue to believe that the military service guidelines on fuel demand management should provide enough specificity to appropriately address these issues so that DOD can achieve its goals of reducing its fuel demand, logistics burden, and operational costs. As of July 27, 2010, no action had been taken by DOD. In May 2011, the Assistant Secretary of Defense for Operational Energy Plans and Programs prepared, and DOD issued, "Energy for the Warfighter: Operational Energy Strategy." The strategy states that reducing demand for energy must be the most immediate operational energy priority for the department. To reduce the demand for operational energy, the strategy directs a number of actions including the designation of combatant command and service operational energy leads to coordinate energy data collection; and integrating improved efficiency and management of energy into planning for and management of contingency bases (i.e., forward-deployed locations). Moreover, in a June 2011 memorandum, the Commander for International Security Assistance Force/United States Forces-Afghanistan directed commanders to take ownership of unit fuel demand. To do so, the memo states that an office will be established to assist commanders with measuring and managing unit fuel consumption. The memo further states that commanders will make energy-informed, risk-based decisions on factors such as base camp design, power and water generation, and distribution. While this memo is directed at U.S. forces in Afghanistan, we believe that given the strategic importance of the area in ongoing operations and its directions to commanders, along with DOD's operational energy strategy's emphasis on improving efficiency and management of energy at contingency bases, these actions meet the overall intent of our recommendation.

Recommendation: To establish an effective approach to managing fuel demand that would facilitate the widespread implementation of fuel reduction intitiatives and sustained attention to fuel demand issues at its forward-deployed locations, the Secretary of Defense should direct the combatant commanders, in consultation with their military service component commands, to establish requirements for managing fuel demand at forward-deployed locations within their areas of responsibility and provide specific guidelines as appropriate. Officials may wish to consider identifying a triggering mechanism in the guidance, such as a specific length of time after a location is established, when fuel demand management should become a consideration in forward-deployed location sustainability. In establishing requirements, the combatant commanders should coordinate their efforts with the new DOD Director of Operational Energy Plans and Programs to ensure departmentwide communication and consistency, where appropriate.

Agency Affected: Department of Defense

Status: Closed - Implemented

Comments: In responding to our draft report, DOD partially concurred with this recommendation, stating that it believes the combatant commanders must be the decision authorities for when reduction efforts should begin to be tracked and what conservation measures are employed, in order to avoid distraction from tactical operations. While we agree that the combatant commanders should be responsible for establishing requirements for managing fuel demand at their forward-deployed locations, it is important that this effort be coordinated with the new DOD director of operational energy as well as with the service component commands. Our report recommends that DOD designate the new director of operational energy as the lead proponent of fuel demand management at forward-deployed locations, and through this designation, facilitate department wide communication and consistency of requirements and guidelines for managing fuel demand, as well as establish visibility and accountability for fuel demand management. DOD generally concurred with our recommendations pertaining to the new director's responsibilities. In order to effectively carry out these responsibilities, attain visibility over fuel demand issues across the department, and serve as the DOD official accountable for such issues, the director of operational energy should be consulted by the combatant commanders in establishing fuel demand management requirements to ensure department wide communication and consistency occurs where appropriate. As of July 27, 2010, no action had been taken by DOD. In May 2011, the Assistant Secretary of Defense for Operational Energy Plans and Programs prepared, and DOD issued, "Energy for the Warfighter: Operational Energy Strategy." The strategy states that reducing demand for energy must be the most immediate operational energy priority for the department. To reduce the demand for operational energy, the strategy directs a number of actions including the designation of combatant command and service operational energy leads to coordinate energy data collection; and integrating improved efficiency and management of energy into planning for and management of contingency bases (i.e., forward-deployed locations). Moreover, in a June 2011 memorandum, the Commander for International Security Assistance Force/United States Forces-Afghanistan directed commanders to take ownership of unit fuel demand. To do so, the memo states that an office will be established to assist commanders with measuring and managing unit fuel consumption. The memo further states that commanders will make energy-informed, risk-based decisions on factors such as base camp design, power and water generation, and distribution. While this memo is directed at U.S. forces in Afghanistan, we believe that given the strategic importance of the area in ongoing operations and its directions to commanders, along with DOD's operational energy strategy's emphasis on improving efficiency and management of energy at contingency bases, these actions meet the overall intent of our recommendation.

Recommendation: To establish an effective approach to managing fuel demand that would facilitate the widespread implementation of fuel reduction intitiatives and sustained attention to fuel demand issues at its forward-deployed locations, the Secretary of Defense should direct the Departments of the Army, Navy, and Air Force to assign their senior energy officials, among their other duties, responsibility for overseeing fuel demand management at forward-deployed locations operated by their military department components. In carrying out this responsibility, the officials should identify and promote sharing of good fuel reduction practices and solutions to identified fuel demand challenges at their component's forward-deployed locations and communicate those practices and solutions to the DOD Director of Operational Energy Plans and Programs for potential use across the department.

Agency Affected: Department of Defense

Status: Closed - Implemented

Comments: In responding to our draft report, DOD concurred that the military department senior operational energy officials be assigned responsibility for oversight of fuel demand management at forward-deployed locations operated by their military service component commands. As of July 27, 2010, no action had been taken by DOD. As of July 2011, DOD had established military-department level energy officials. The officials were directed, as part of their duties, to facilitate communication on energy issues. Moreover, DO also published its "Energy for the Warfighter: Operational Energy Strategy, which the directs a number of actions including the designation of service operational energy leads to coordinate energy data collection; and integrating improved efficiency and management of energy into planning for and management of contingency bases (i.e., forward-deployed locations).