Master Contract for Energy Projects at U.S. Federal Agency Facilities Nationally and Internationally
SAN RAMON, Calif.--(BUSINESS WIRE)--Dec. 19, 2008--Chevron Energy Solutions (CES), a unit of Chevron Corporation (NYSE:
CVX), has been awarded a master contract by the U.S. Department of
Energy (DOE) to work with federal agencies to reduce energy and water
consumption and increase the use of renewable energy at agency
facilities.
The Energy Savings Performance Contracts (ESPC), awarded to 16 qualified
energy contractors, are intended to ensure quality design,
implementation, operation and maintenance services for federal agency
energy projects.
Each of these new DOE contracts, which have a minimum five year term
with the option to increase up to a total of 11 years, provides for a
maximum individual contract value of $5 billion over the life of the
contract. Federal agencies are allowed to use these contracts for
federal facility energy efficiency projects, both nationally and
internationally.
The Energy Policy Act of 2005 and the Energy Independence and Security
Act of 2007 require federal agencies to achieve a 30 percent reduction
in energy intensity and a 16 percent reduction in water use by 2015.
They also require an increase in renewable energy use by federal
facilities to 7.5 percent of electricity needs by 2013. The new DOE
contracts are intended to help federal agencies achieve these mandated
targets by working in partnership with the private sector.
The DOE contract is part of the ESPC program authorized by Congress,
which allows energy efficiency projects at federal agencies to be funded
by guaranteed energy cost savings and, therefore, requiring no capital
expenditures up front. Energy contractors, such as CES, obtain financing
to fund energy efficiency upgrades and renewable power systems and are
repaid for these improvements by the agencies over a period of years
through the savings generated by the project.
"We are extremely pleased to be awarded one of the Department of
Energy's new master energy performance contracts," said Jim Davis,
president of Chevron Energy Solutions. "This contract is expected to
allow CES to expand our partnership with federal agencies to help them
become more energy efficient, use more renewable energy and achieve
taxpayer savings."
Chevron Corporation is one of the world's leading integrated energy
companies, with subsidiaries that conduct business across the globe. The
company's success is driven by the ingenuity and commitment of
approximately 59,000 employees who operate across the energy spectrum.
Chevron explores for, produces and transports crude oil and natural gas;
refines, markets and distributes transportation fuels and other energy
products; manufactures and sells petrochemical products; generates power
and produces geothermal energy; provides energy efficiency solutions;
and develops and commercializes the energy resources of the future,
including biofuels and other renewables. Chevron is based in San Ramon,
Calif. More information about Chevron is available at www.chevron.com.
Cautionary Statement Relevant to Forward-Looking Information for the
Purpose of "Safe Harbor" Provisions of the Private Securities Litigation
Reform Act of 1995.
Some of the items discussed in this press release are forward-looking
statements about the activities of Chevron Energy Solutions, a unit of
Chevron Corporation. Words such as "anticipates," "expects," "projects,"
"intends," "plans," "targets," "projects," "believes," "seeks,"
"estimates" and similar expressions are intended to identify such
forward- looking statements. The statements are based upon management's
current expectations, estimates and projections; are not guarantees of
future performance; and are subject to certain risks, uncertainties and
other factors, some of which are beyond the company's control and are
difficult to predict. You should not place undue reliance on these
forward-looking statements, which speak only as of the date of this
press release. Unless legally required, Chevron undertakes no obligation
to update publicly any forward-looking statements, whether as a result
of new information, future events or otherwise.
CONTACT:
Chevron Corporation
Alex Yelland, 925-842-0456
Juliet Don, 415-733-4673
Source: Chevron Corporation
