Informational Session PJM 5 Aug 2024.pdf
PDF 1 MB Posted
- Solicitation number
- SP0604-24-R-0421
- Issued by
-
Defense Logistics Agency Energy
About this file
This document is an Informational Session presentation from the Defense Logistics Agency (DLA) Energy regarding a forthcoming solicitation for carbon pollution-free electricity (CFE) and supplemental grid energy in the PJM Interconnection region.
The key details are:
- The solicitation, SP0604-24-R-0421, will be structured as a requirements contract for CFE with associated energy attribute certificates (EACs) and supplemental retail grid electricity to meet the full electricity requirements of federal civilian and defense agencies in the District of Columbia, Illinois, Maryland, New Jersey, Ohio, and Pennsylvania.
- The total estimated annual quantity is 2,489,699,610 kWhs, with a 20-year delivery term. The CFE portion will be firm fixed price and the supplemental grid energy will utilize locational marginal pricing.
- The solicitation evaluation factors are Technical Capability/Risk, Past Performance, Small Business Participation, and Price, with the first three factors approximately equal in importance to Price.
- The solicitation will be issued on July 31, 2024, with an informational session on August 5, 2024, and proposals due on August 30, 2024.
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Text version
WARFIGHTER ALWAYS
The Nation’s Combat Logistics Support Agency E s t a b l i s h e d 1 9 6 1
DEFENSE LOGISTICS AGENCY
DLA
Informational Session DLA Energy Charlene Woods
Aug. 5, 2024
WARFIGHTER ALWAYSWARFIGHTER ALWAYS
Mission & Vision
Mission
The Defense Logistics Agency Energy’s mission is to enable mission readiness by providing globally resilient energy solutions to the Warfighter and Whole of Government
Vision
DLA Energy’s vision is to be the trusted leader in innovative energy solutions aligned with the speed of change
Carbon Pollution Free Electricity
(CFE)
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Commitment to Accelerating the Clean Energy Transition
Source: EO 14057
Carbon-free Sources
100% annual CFE use by 2030 for the federal government
50% hourly matched CFE use by 2030 for the federal government
Expanded on-site generation at federal sites
Carbon Pollution-free Electricity (CFE) targets in EO 14057
Solar
Geothermal
Wind
Nuclear
Renewably sourced hydrogen
Fossil resources w/ active capture & storage2 of CO2
Marine & hydrokinetic1
Hydroelectric
1. Includes tidal, wave, current, and thermal 2. Capture and storage of carbon dioxide emissions must meet EPA requirements More information can be found in the Implementing Instructions for Executive Order 14057 Catalyzing Clean Energy Industries and Jobs Through Federal Sustainability
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CFE Sourcing Strategies
Source: Implementing Instructions for EO 14057
CFE delivered as part of default electricity service
CFE generated onsite at federal sites from CFE-compliant sources
CFE generated off-site in addition to grid mix, procured from a utility or retail provider
Certificates (e.g.
RECs, EFECs, ZECs) for CFE procured separately from the electricity
Grid-supplied CFE Onsite CFE Purchased
CFE
Energy Attribute
Certificates (EAC)-Only
100% CFE on an annual basis
More information can be found in the Implementing Instructions for Executive Order 14057 Catalyzing Clean Energy Industries and Jobs Through Federal Sustainability
Agencies are deploying four distinct, additive CFE sourcing strategies to meet 2030 CFE targets
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CFE Requirements Optimize the Impact of CFE Procurements
Source: Implementing Instructions for EO 14057
GENERATING
TECHNOLOGY
BALANCING
AUTHORITY
PLACED
IN SERVICE
CFE
requirement
Produced by zero-carbon sources
Delivered to the same balancing authority as federal facility consumption
Generated by resources placed in service after
October 1, 2021
Rationale Maximizes impact of electricity decarbonization targets
Ensures that unbundled EACs are physically tied to
Scope 2 emissions from electricity
Increases likelihood that CFE is additive to existing decarbonization efforts
Note: All solicitations must be compliant with all Federal Acquisition Regulations and DLA contracting guidelines: https://www.dla.mil/AcquiPolicy-and-Directives/ https://www.dla.mil/AcquiPolicy-and-Directives/
PJM General Requirements
CFE
• 35% needed by 2030
• 10 U.S.C. § 2922a allows us to enter into a long-term contract
• 20-year delivery term
• Fixed price
Retail Electricity
• FAR allows a 5-year term maximum
• 10 U.S.C § 3204 and 41 U.S.C § 3304 allows under certain conditions, contracting without providing full or open competition
• 1st 5-year term will be awarded competitively
• Award in 5-year increments for the duration of Power Purchase Agreement
• Locational Marginal Price
CLIN Structure
Proposed Evaluation Approach
• The proposed evaluation factors are:
• Factor 1: Technical Capability/Risk
• Factor 2: Past Performance
• Factor 3: Small Business Participation
• Factor 4: Price Proposal
Factors 1 and 2 are of equal importance. Factor 3 is significantly less important than factor 1 individually and factor 2 individually. When combined factors 1, 2, and 3 are approximately equal as important as factor 4. In cases where factors 1, 2, and 3 are assessed to be equal to the evaluation of factor 4, price will be the determining factor.
Submissions and Milestones
Submissions
• Vol. I - Technical Proposal
• Vol. II - Past Performance
• Vol. III - Small Business Participation
• Vol. IV - Price Proposal
• Vol. V - Contract Documentation
Milestones
• RFP issuance: July 31, 2024
• Informational Session: August 5, 2024
• Cut-off for RFP questions: August 7, 2024
• RFP closing: August 30, 2024, 14:30 EST
• Late proposals will not be accepted.
All questions and answers provided during this Informational Session will be published via Amendment in Sam.gov
Points of Contact
• DLA Energy Carbon Pollution Free Electricity Directorate, Fort Belvoir, VA
• Charlene Woods, 571-363-8864
• Felicia Hightower, 804-368-8728
• Fadzayi White, 571-999-3606
• Email DLAEnergy-CFE@dla.mil
WARFIGHTER ALWAYSWARFIGHTER ALWAYS 12
| Informational Session�DLA Energy |
| Mission & Vision |
| Carbon Pollution Free Electricity�(CFE) |
| Commitment to Accelerating the Clean Energy Transition |
| CFE Sourcing Strategies |
| CFE Requirements Optimize the Impact of CFE Procurements |
| PJM General Requirements |
| CLIN Structure |
| Proposed Evaluation Approach |
| Submissions and Milestones |
| Points of Contact |
| Slide Number 12 |
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