Administration Ups the Ante on Federal Government's Use of Renewable Energy

On December 5, the White House issued a memorandum directing federal agencies to sharply increase their use of renewable energy, from the current level of 7.5% of all energy consumed to a new goal of 20% by the year 2020. In what is likely to be good news for contractors in the emerging renewable energy field, under the White House guidance, agencies will increase their reliance on renewable sources by (i) installing agency-funded renewable energy on-site at federal facilities and retain renewable energy certificates; (ii) contracting for energy that includes the installation of a renewable energy project on-site at a federal facility or off-site from a federal facility and the retention of renewable energy certificates for the term of the contract; (iii) purchasing electricity and corresponding renewable energy certificates; and (iv) purchasing renewable energy certificates.