The U.S. Navy signed a new 10-year Utility Service contract with the Guam Power Authority at an official signing ceremony at GPA’s Fadian office on July 15, 2022. From left, Commander Jeremy Gates, Executive Officer of NAVFAC Marianas; Captain Tim Liberatore, Commanding Officer, NAVFAC Marianas; The Honorable Joshua Tenorio, Acting Governor of Guam; John Benavente, P.E., General Manager, Guam Power Authority; Joey Duenas, Chairman, Consolidated Commission on Utilities; and Peter Roy Martinez, Commissioner, ()
Contract signifies continuing partnership, confidence in Guam’s energy future
(Fadian, Guam) – On Friday, July 15, the Navy and GPA signed a new Utility Service contract which extends its energy relationship through 2032. The Authority’s first customer agreement with the Navy took place in 1992 when they signed for two 10-year terms. “Today’s event wasn’t just a signing ceremony; it is the continuation of the tremendous collaboration and commitment we have with the Navy. The Navy is a critical customer and a valued community partner as well,” GPA General Manager John Benavente, P.E. stated proudly.
"Given strategic competition, the next few years will continue to challenge the Department of Defense and our joint forces that are located in or deployed to Guam. This contract allows us to continue operating our facilities that are critical to enabling the warfighter and the defense of our nation," said Capt. Liberatore. "We are grateful for our collaborative partnership with GPA that affords us the opportunity to work together to provide for our community." “Fifteen percent of GPA’s revenue comes from the energy we supply to the Navy. That is tantamount to $19M annually which helps support our operations. The Navy is GPA’s largest customer. We appreciate the Navy’s commitment as a power customer as well as its dedication to keeping our island and our nation safe,” GM Benavente added. Acting Governor Joshua Tenorio was also present for the historic signing. “This agreement is a great example of the confidence that our military – the U.S. Navy and the Department of Defense – have placed in the Government of Guam, and in this case, in the Guam Power Authority. As Capt. Liberatore said, ‘this is a very dynamic time,’” Acting Governor Tenorio stated. Joey Duenas, Chairman of the Consolidated Commission on Utilities said, “The Navy’s contract extension with GPA speaks to its confidence in the future of energy generation on our island. This is a proud moment for GPA and all of its knowledgeable, hardworking, and dedicated employees.” The Navy-GPA agreement will also allow the Navy to transfer power assets including substations and transmission and distribution lines to GPA at no cost, ultimately benefitting GPA’s customers.
