Senators Schatz, Alexander, Coats, Coons Introduce Bill To Reduce Federal Agency Energy Use And Save Taxpayer Money

Washington, D.C. – Today, U.S. Senators Brian Schatz (D-Hawai‘i), Lamar Alexander (R-Tenn.), Dan Coats (R-Ind.), and Chris Coons (D-Del.) introduced bipartisan legislation that would give federal agencies greater ability to reduce energy use and save taxpayer dollars.  The Utility Energy Service Contracts Improvement Act of 2015 would allow federal agencies to enter into long-term contracts with utilities for energy saving services, giving agencies more options to conserve energy and reduce costs.

“As the largest consumer of energy in the country, the federal government needs to do everything it can to save energy and taxpayer dollars,” said Senator Schatz. “Our bipartisan legislation would expand opportunities to invest in energy efficiency and clean energy projects while saving money.  I look forward to working with Senators Alexander, Coats, and Coons to make this practical solution law.”

“This legislation lets the federal government negotiate longer-term contracts with utilities, just as businesses would, to provide more certainty and reduce taxpayers’ energy costs,” said Senator Alexander. “That’s a welcome change from the usual Washington obsessions with burdensome mandates and wasteful taxpayer subsidies that instead increase the cost of energy.”

“This bipartisan legislation is an excellent way to both reduce red tape and increase cost-savings,” said Senator Coats.  “By providing necessary clarity and expanding energy options for federal agencies, we can make long-term energy efficiency upgrades that would result in saving taxpayer dollars.”

“Saving energy and taxpayer money at the same time just makes sense,” Senator Coons said.  “Our bipartisan bill makes it easier for the federal government to save money while investing in clean energy, energy efficiency, and water conservation projects that are critical to our economic future. This is an issue that should unite us, and I look forward to working with my colleagues on both sides of the aisle to move this bill forward.”

The Utility Energy Service Contracts Improvement Act of 2015 clarifies an existing law that allows federal agencies to enter into utility energy service contracts (UESCs) of up to 25 years, provided certain conditions are met.  Renewable energy projects, long-term energy security projects, and large scale energy conservation measures often are simply not cost-effective with a 10-year contract period.  To date, federal agencies have used UESCs to invest approximately $2.7 billion in their facilities, however a much greater potential exists. 

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