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SUBJ: NAVY RESIDENT ENERGY CONSERVATION PROGRAM UNCLASSIFIED/ FM CNO 
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SUBJ/NAVY RESIDENT ENERGY CONSERVATION PROGRAM//

RMKS/1.  THE RESIDENT ENERGY CONSERVATION PROGRAM (RECP) COMPLY WITH OSD 
POLICY AND NAVY PRIORITIES TO ACHIEVE REDUCTIONS IN THE AMOUNT OF UTILITIES 
CONSUMED IN OUR NAVY PUBLIC PRIVATE VENTURE (PPV) HOUSING.

2.  RESEARCH CONFIRMS THAT SERVICE MEMBERS (AND THEIR FAMILIES) CURRENTLY USE 
MORE UTILITIES THAN THEIR PRIVATE SECTOR COUNTERPARTS.  NOW MORE THAN EVER, AS 
OUR NATION AND NAVY WORK TO BE AS JUDICIOUS AS WE CAN IN THE USE OF OUR 
RESOURCES, CONSERVATION AND ENERGY EFFICIENCY MUST BE A PART OF OUR CULTURE 
AND ACTION; AT SEA, ON LAND, IN THE AIR, OR AT HOME.  THE MORE WE LIVE THIS 
EVERY DAY, THE MORE IT WILL BECOME A PART OF EVERYTHING WE DO.

3.  RECP PROMOTES AND REWARDS THE SPARTAN AND RESPONSIBLE USE OF ENERGY IN 
NAVY PPV HOUSING.  IN SEPTEMBER 2010, RECP WAS INITIATED AS A PILOT PROGRAM IN 
HAWAII RESULTING IN A 10 PERCENT REDUCTION IN UTILITY USAGE.  RECP FOCUSES ON 
REDUCING ELECTRICITY AND GAS USAGE.  WHILE CONSERVATION OF WATER AND SEWER 
USAGE ARE IMPORTANT, WET UTILITIES ARE LARGELY UNMETERED.  WATER AND SEWER ARE 
THEREFORE CURRENTLY EXCLUDED FROM THE RECP.  COST SAVINGS FROM THE PROGRAM 
WILL BE REINVESTED BACK INTO THE HOUSING COMMUNITIES IN WHICH OUR SAILORS AND 
THEIR FAMILIES RESIDE.

4.  RECP WILL BEGIN ROLLOUT TO SELECT NAVY PPV HOUSING LOCATIONS IN OCTOBER 
2012 WITH ALL LOCATIONS PHASED IN TO THE PROGRAM OVER A TWO YEAR PERIOD.

5.  WOUNDED WARRIORS ARE EXEMPT FROM THE RECP PROGRAM.  ADDITIONALLY, 
RESIDENTS WITH EXCEPTIONAL FAMILY MEMBERS WITH DOCUMENTED REQUIREMENTS FOR 
EXCESS ENERGY USAGE AND HANDICAPPED SERVICE MEMBERS WITH A UTILITY CONSUMING 
CONDITION MAY REQUEST A WAIVER FROM PARTICIPATION.

6.  THE RECP METHODOLOGY WORKS AS FOLLOWS:  HOMES ARE GROUPED BY SIMILAR SIZE, 
BEDROOM AND CONSTRUCTION STYLE INTO LIKE TYPE GROUPS (LTG).  THE UTILITY USAGE 
FOR THE LTG IS MEASURED TO CREATE AN AVERAGE.  THE RECP PROGRAM THEN 
ESTABLISHES A 10 PERCENT BUFFER ABOVE AND BELOW THE AVERAGE TO CREATE A NORMAL 
USAGE BAND.  IF A RESIDENT USES MORE THAN THE NORMAL USAGE BAND OF A LTG, THEY 
WILL PAY FOR EXCESS USAGE AND IF UNDER WILL RECEIVE A REBATE FOR THE SAVINGS.

7.  RECP IS IMPLEMENTED IN THREE PHASES:
    A.  PHASE 1 - COMMUNICATION PHASE:  NAVY PPV RESIDENTS, INSTALLATION 
COMMANDS AND THE LOCAL COMMUNITY RECEIVE INFORMATION OF THE PENDING TRANSITION 
TO RECP IN ORDER TO MAKE PPV RESIDENTS AND INTERESTED COMMUNITY MEMBERS 
FAMILIAR AND COMFORTABLE WITH THE PROGRAM.
    B.  PHASE 2 - MOCK BILLING PHASE:  MOCK BILLS WILL BE ISSUED TO RESIDENTS 
SIMULATING WHAT AN ACTUAL BILL WOULD BE IF THE RESIDENT WERE RESPONSIBLE FOR 
USAGE FOR THAT PERIOD OF TIME.  DURING THE MOCK BILLING PHASE THE RESIDENTS 
WILL RECEIVE SAMPLE UTILITY USAGE REPORTS TO HELP THEM ADJUST TO THE NORMAL 
USAGE BAND FOR THEIR LTG.
    C.  PHASE 3 - LIVE BILLING PHASE:  RESIDENTS RECEIVE USAGE REPORTS AND 
WILL BE RESPONSIBLE FOR PAYING FOR EXCESS USAGE OR RECEIVE A REBATE FOR 
CONSERVATION.  RESIDENTS WITHIN THE NORMAL USAGE BAND ARE NOT IMPACTED 
FINANCIALLY.

8.  RELEASED BY VICE ADMIRAL P. H. CULLOM, N4.//

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