Philadelphia, Pa. (May 19, 2021) — PIDC, Philadelphia’s public-private economic development corporation and master developer of the Philadelphia Navy Yard, announces the award for a 10-year electric utility Operations and Maintenance (O&M) services contract to Dominion Energy for the Navy Yard following a highly competitive solicitation process. This contract will go into effect on November 1, 2021 following a transition period.
After a thorough review of proposals that met the Request for Proposals (RFP) criteria, Dominion Energy was selected for its strong financials and industry relevance including an extensive background and knowledge with privatized military utility installations similar to the Navy Yard electric utility grid. Through responsive on-site management, and commitment to meaningful small business subcontracting, the Navy Yard and its customers will gain industry-leading service reliability, financial performance, innovation, responsiveness, and service reliability to support effective response to routine, urgent, and emergency service needs and interruptions.
“Dominion Energy is excited to bring its expertise in providing top-notch service to the Navy Yard,” said Todd Headlee, Director of Customer Energy Solutions – Dominion Energy Virginia. “We bring our best effort every day to our regulated customers in Virginia and will show the same commitment to the tenants and customers at the Navy Yard.”
Since the military base closed and was transferred to PIDC’s leadership in 2000, the Navy Yard’s electric utility system has grown to accommodate more customers and has become more sophisticated. More than $30 million in upgrades have been performed and new capacity added, including the addition of peaking plants, battery storage, and Pennsylvania’s first community solar project. It is a large, independently operated unregulated energy grid.
“We are pleased to award this important contract to Dominion Energy, who brings unparalleled O&M experience, deep resources, and the most comprehensive expertise and support for our advanced utility operations at the Navy Yard,” said Kate McNamara, PIDC’s Senior Vice President, Navy Yard. “We are confident in their capacity and knowledge to provide the best level of service to our existing customers and future customers, and this will allow the next phase of real estate development to grow and flourish.”
The Navy Yard continues to grow as a premiere location for businesses and employees in Philadelphia. The next phase of development will solidify the Navy Yard’s place as a leader in business, manufacturing, R&D, and life sciences and will include the creation of a vibrant mixed-use district including retail, makerspace, and – for the first time since the base closure – residential development. With this next phase of commercial and residential development, the Navy Yard is expected to add an additional 5.4 million square feet of space at full build-out over the next 15 to 20 years and plans to grow from its peak demand of 33 megawatts serving 105 accounts and 120 facilities to 50 megawatts. Additionally, Dominion Energy will also ensure future energy needs are met as new capacity is added to the private grid.
A key component to Dominion Energy’s winning bid was fulfilling the strong, specific commitments to not only subcontract with local Philadelphia businesses and disadvantaged businesses in the conduct of its work, as well as improving the overall capacity of those local and disadvantaged businesses through their work. Dominion Energy will be working closely with the City of Philadelphia’s Office of Economic Opportunity to implement a robust Economic Opportunity Plan including an average of 40% of minority- and women-owned business enterprises for major repairs and planned capital projects.
Dominion Energy offers comprehensive O&M and business management expertise backed by 100+ years’ experience as one of the nation’s largest regulated utility companies, serving more than 3.2 million electric customers in North Carolina, South Carolina, and Virginia. Dominion Energy also extends 15 years of experience in owning, operating, and maintaining privatized, non-regulated systems on critical installations (similar to the Navy Yard) in South Carolina, Texas, Virginia, and Washington, D.C.