GovGuam inks deal with Navy for land lease - KUAM.com-KUAM News: On Air. Online. On Demand.

GovGuam inks deal with Navy for land lease

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Guam is slated to see an unprecedented growth in renewable energy generation over the next five years. As part of this growth officials signed an historic land lease agreement with the U.S. Navy that will help bring the island's sustainability to new heights.

It's a small, but significant step in a larger plan that has taken years. GPA General Manager John Benavente said, "The properties are situated in two locations, one in Naval Station itself - several of pieces of property right at the base on Naval Station - and one at Finegayan."

The Guam Power Authority and U.S. Navy signed a 164 acre land lease agreement Tuesday morning. The agreement will support the implementation of 40 megawatts of renewable energy on military land - enough to carry 15 percent of the island's daytime load. CCU chairman Joey Duenas said it will be a great addition to the island's power system.

"The goal is to someday to find a better way to produce power that is cleaner for our environment and doesn't use oil, an expensive commodity. Guam purchases 3 million barrels of oil every year, a cost representing 50-70% of our power bills. However investments by GPA are expected to reduce fuel consumption by at least 1/3 by 2021," he said.

"If we put in over the next several years approximately 20% of our energy from renewables, that translates to about 1 million barrels a year. At today's rate of $55 a barrel, that's $55 million in one year. That's $55 million that stays in the economy."

Rear admiral Shoshana Chatfield said the deal also helps the Navy reach its renewable energy goals of producing 50 percent of shore based requirements from alternative sources. She stated, "The commitment to pursue it together is one of the most important that I can emphasize, this green Guam aspect of one Guam."

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