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The US Government is a major purchaser f products from suppliers throughout the country. Selling to the Federal government is an important outlet for many manufacturers and distributors, from large corporations to small businesses. Companies with energy efficient products and services have special opportunities in the Federal sector. This document highlights the major avenues to becoming a supplier and gives sources of information for private companies to use.

Federal agencies buy energy-efficient products for several reasons, ranging from Federal policies and regulations to economic and environmental benefits. Federal policy and the Federal Acquisition Regulations (FAR) require agencies to buy ENERGY STAR® qualified and FEMP-designated products. In most cases, purchasing energy-efficient products will save the government a significant amount of total ownership cost over the product’s useful life. Although actual savings vary according to energy costs at each site, hours of operation, and the price premium for a more efficient product, the Department of Energy’s Federal Energy Management Program (DOE/FEMP) estimates that Federal agencies can save well over $200 million annually by choosing more efficient products.

Environmental benefits also accrue from using energy efficient products. Each therm of natural gas, gallon of oil, or kilowatt hour of electricity saved means less air pollution generated and more energy available for other productive uses throughout the economy. Smog, acid rain, and greenhouse gas emissions are all reduced through the use of more energy efficient products.

The last important benefit from Federal procurement of energy-efficient products is market influence. Federal agencies spend at least $10 billion per year on purchases of energy-using products. While this represents only 1 to 2 percent of total US sales, it makes the Federal government as a whole the largest buyer in the world for almost any product. Thus, Federal criteria for energy efficient purchasing can help move the entire market toward greater efficiency. Higher demand for efficient products also stimulates suppliers to compete for this important market segment, in turn increasing the availability and reducing the cost of more efficient equipment for Federal and non federal buyers alike.

Contents

Introduction

Federal Purchasing Policies and Regulations

ABCs of Government Purchasing

The Federal Supply Agencies
Defense Logistics Agency
General Services Administration
Introducing Innovative Products through the Supply Agencies
Energy Saving Performance and Utility Service Contracting
Construction, Operation & Maintenance, and Other
Contracts
Direct Sales to Agencies

How to Get on a Bidders List
Business Partner Network
Special Opportunities for Small Businesses

Small Business Administration
DoD PTAC
GSA Small Business Utilization Centers

Conclusion
Appendix A:

ENERGY STAR-qualified and FEMP-designated Products