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GAO-10-988R: 

United States Government Accountability Office: 
Washington, DC 20548: 

September 29, 2010: 

Congressional Committees: 

Subject: Defense Infrastructure: Department of Defense's Energy 
Supplemental Report: 

This letter formally transmits our response to section 332 of the 
National Defense Authorization Act (NDAA) for Fiscal Year 2010. 
[Footnote 1] Section 332 of the NDAA for Fiscal Year 2010 expanded the 
Department of Defense's (DOD) annual reporting requirements under 10 
U.S.C. § 2925(a), regarding DOD's energy efficiency programs. 
Additionally, section 332(b) states that the first report submitted by 
the Secretary of Defense under 10 U.S.C. § 2925(a) after the date of 
enactment of the NDAA for Fiscal Year 2010 shall include information 
on eight specific issues, in addition to the matters required under 
the revised 10 U.S.C. 2925(a). Section 332(c) requires the Comptroller 
General to review that supplemental report. Descriptions of the eight 
issues to be addressed in the first expanded report are included as 
enclosure I of this letter. 

The first report submitted by DOD in response to 10 U.S.C. § 2925(a) 
after the date of the enactment of the NDAA for Fiscal Year 2010 was 
the Fiscal Year 2009 Annual Energy Management Report, which was issued 
in May 2010. The Fiscal Year 2009 Annual Energy Management Report did 
not include information on the eight specific issues identified by the 
NDAA for Fiscal Year 2010. DOD officials stated that they plan to 
comply with the reporting requirement by including the required 
information in their Fiscal Year 2010 Annual Energy Management Report. 
They expect to issue that report in early 2011. The officials noted 
that the 2010 Annual Report will be the first report commenced and 
developed under the expanded section 332 reporting requirements. 

To assist in congressional oversight, we plan to review and report on 
the extent to which DOD's Fiscal Year 2010 Annual Energy Report 
addresses the eight specific issues identified in section 332 of the 
NDAA for Fiscal Year 2010 once DOD issues that report. 

Agency Comments: 

We provided DOD with a draft of this report for comment, but received 
no comments. 

We are sending copies of this letter to the congressional committees 
listed on page 3 and to the Secretary of Defense. 

Should you or your staff have any questions concerning this letter, 
please contact Brian Lepore at (202) 512-4523 or leporeb@gao.gov. 
Contact points for our Offices of Congressional Relations and Public 
Affairs may be found on the last page of this letter. 

In addition, this letter will be made available at no charge on the 
GAO Web site at [hyperlink, http://www.gao.gov]. 

Signed by: 

Brian Lepore:
Director:
Defense Capabilities and Management: 

Enclosure: 

[End of section] 

List of Committees:
The Honorable Carl Levin:
Chairman:
The Honorable John McCain:
Ranking Member:
Committee on Armed Services:
United States Senate: 

The Honorable Daniel K. Inouye:
Chairman:
The Honorable Thad Cochran:
Ranking Member:
Subcommittee on Defense:
Committee on Appropriations:
United States Senate: 

The Honorable Ike Skelton:
Chairman:
The Honorable Howard McKeon:
Ranking Member:
Committee on Armed Services:
House of Representatives: 

The Honorable Norman D. Dicks:
Chairman:
The Honorable C.W. Bill Young:
Ranking Member:
Subcommittee on Defense:
Committee on Appropriations:
House of Representatives: 

[End of section] 

Enclosure: 

Summary of National Defense Authorization Act for Fiscal Year 2010 
(Pub. L. No. 111-84, Sec. 332(b)) Expanded Reporting Requirements: 

Additional material required, but not provided in DOD's May 2010 
report, includes the following: 

1. A determination of whether the tools that exist as of the date of 
the enactment of this Act, including the Energy Conservation 
Investment Program and the Energy Performance Contracts Program, are 
sufficient to support renewable energy projects to achieve the 
Department of Defense's (DOD) installation energy goals, or if new 
funding mechanisms would be beneficial. 

2. A determination of the cost and feasibility of a policy that would 
require new power generation projects established on installations to 
be able to switch to provide power for military operations in the 
event of a commercial grid outage. 

3. An assessment of the extent to which State and regional laws and 
regulations and market structures provide opportunities or obstacles 
to establish renewable energy projects on military installations. 

4. A determination of the cost and feasibility of developing or 
acquiring equipment or systems that would result in maximized use of 
renewable energy sources at contingency locations. 

5. An assessment of the feasibility of meeting DOD's renewable energy 
goals with on-base renewable energy production rather than with 
renewable energy credits. 

6. An analysis of the percentage of new construction projects subject 
to DOD's current building construction sustainable design standards 
that include a renewable energy component, and a determination as to 
whether the criteria of the Department's design standards are 
consistent with the overall goals (including renewable energy goals) 
of the Secretary. 

7. The feasibility and cost of developing net-zero energy 
installations and a detailed assessment, by installation, of power 
production (including renewable energy) measured against energy 
consumption. 

8. A determination of whether a dedicated funding mechanism for 
renewable energy projects for stand-alone facilities, including 
National Guard and Reserve centers, would encourage greater use of 
renewable energy sources both at existing facilities and in new 
construction. 

[End of section] 

Footnote: 

[1] Pub. L. No. 111-84 (2009). 

[End of section] 

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