The Department of the Navy (DON) is aggressively pursuing conservation initiatives that will reduce the dependence on foreign oil and other fossil fuels. One of these initiatives attempts to achieve reductions in the amount of utilities consumed in our Navy/Marine Corps Public Private Venture (PPV) housing projects. These projects are of particular interest because the service members residing in them typically consume significantly more utilities than their Marine/Navy and civilian counterparts residing in the local market. The prevailing opinion is that the main reason for this disparity is that residents of PPV housing have paid a flat rate for their utilities (which are included in their Basic Allowance for Housing (BAH)), regardless of the amount they consume. This flat rate system provides no financial incentive to conserve.
To address this problem and promote conservation, the Resident Energy Conservation Program (RECP) is being adopted. The program transfers some responsibility for utilities costs from the PPV partnership to the residents consuming the utilities. It accomplishes this objective by charging the residents for usage above the levels deemed to be normal for their geographic location and housing type and by rewarding residents for conserving utilities by issuing rebates to them when their utilities consumption is below certain target levels. Since the resident's BAH is intended to cover rent and "normal" utilities, the resident is only obligated to make out-of-pocket payments when actual usage exceeds the amount determined to be the "norm."
CG, MCIEAST Letter to Public Private (PPV) Residents
Town Hall - RECP Presentation - 28 June 2012
For questions, please call the Military Housing Office at (910) 450-1627 X #204.