Energy Systems Group Awarded U.S. DOE IDIQ Contract for Federal Energy Savings Performance Contracts

Newburgh, Ind. – Energy Systems Group (ESG), a leading energy services provider, announced that it has been awarded an Indefinite Delivery Indefinite Quantity (IDIQ) contract for federal Energy Savings Performance Contracts (ESPCs) by the U.S. Department of Energy (DOE). ESG is one of 21 companies awarded the $55 billion IDIQ contract to develop new energy and water savings projects for federal facilities.

“ESG is honored to continue serving federal customers as a DOE IDIQ ESPC contractor,” said Steve Spanbauer, Senior Vice President of Energy Systems Group. “We look forward to developing innovative energy and water infrastructure projects that help federal agencies meet their mission-critical needs while increasing energy security, enhancing energy efficiency resiliency, and facilitating the necessary financing, with no required initial cost.”

The new IDIQ contract, awarded to ESG on April 27, has a base period of five years and one 18-month extension period. The maximum contract ceiling amount of $55 billion will be shared by all contract holders. The DOE expects the new IDIQ to be used for investments resulting in federal infrastructure improvements, energy savings, and job creation.

ESG is a longstanding DOE ESPC IDIQ contractor, developing a number of leading projects through the contract, including the design and construction of the first ever combined heat and power (CHP) facility for the National Aeronautics and Space Administration (NASA).  Located at the Lyndon B. Johnson Space Center (JSC), the CHP facility is capable of operating as an islanded microgrid, providing energy for critical mission operations such as the International Space Station Mission Control in the event of a utility power disruption. The CHP facility and chilled water plant improvements will save approximately $141 million over a 22-year operating term.

ESG is also completing a $70.3 million ESPC project, signed in December 2016, at Naval Base Coronado’s Naval Air Station North Island. Upon completion, the project is anticipated to save over 36 million gallons of water annually, and will generate over $187 million in savings over the contract term.

“ESPCs such as those ESG is completing at NASA JSC and Naval Base Coronado help federal agencies meet their energy reduction goals and achieve innovative energy and water infrastructure upgrades that reduce costs and replace dated equipment with new and efficient systems,” added Spanbauer. “Funding these upgrades through energy savings is good for the federal government, U.S. business, and the U.S. taxpayer.”

“This program highlights how the public and private sector partnerships can align with the Administration’s objectives for increased energy efficiency and job creation without burdensome regulations,” said U.S. Secretary of Energy Rick Perry. “A key component is that these energy and water efficiency projects at federal facilities pay for themselves, and the hope is that all federal agencies will utilize this financing method to the fullest extent.” 

Energy Systems Group (ESG) is a leading energy services provider that specializes in energy efficiency, sustainability, and infrastructure improvement solutions in the government, education, healthcare, commercial, and industrial sectors. ESG is strongly positioned to develop projects across the full spectrum of federal contracting opportunities, including Energy Savings Performance Contracts with the U.S. Department of Energy and the U.S. Army Corp of Engineers. ESG is an industry leader in developing and implementing federal government projects under Utility Energy Services Contracts and through public/private partnerships such as Enhanced Use Leases. ESG also offers a full range of sustainable infrastructure solutions including waste-to-energy, distributed generation, and renewable energy. To learn more about ESG, visit