A great example of a large-scale application of GHPs is the highly successful project at Fort Polk, Louisiana, where 4,003 U.S. Army housing units at Ft. Polk were converted to GHPs. Since the new systems were installed, service calls on hot summer days have dropped from 90 per day to almost zero, testifying to the reliability of GHP systems.

Data were collected on the utility feeders serving the housing area, and on a sample of apartments before, during, and after the retrofits. The GHPs and other efficiency measures reduced electrical consumption by 26 million kWh (average of 6,445 kWh per housing unit) or 32% of the pre-retrofit consumption, as well as 100% of natural gas consumption. It also reduced summer peak demand by 7.5 megawatts, which is 43% of the pre-retrofit electrical consumption in family housing, and improved the load factor from 0.52 to 0.62. These energy savings correspond to an estimated reduction in carbon dioxide emissions of 22,400 tons per year, which gives project participants "green" bragging rights immediately.

As demonstrated by this Fort Polk project, GHPs shave peak loads and improve load factors. At Fort Polk, the whole-house load factor for a house with gas heating and water heating was 0.32 versus 0.60 for the GHP house.

Financed by Co-Energy Group, a GHP energy service company, the project bears no up-front costs to the government. The $18 million contract was signed in February 1994, and the installation was completed in August 1996. The contractor will receive payments amounting to 80% of the energy savings while providing maintenance during the life of the 20-year contract. For maintenance, the Army will pay Co- Energy about 18 cents per square foot per year, saving the Army about 22% compared with previous maintenance costs.

At the time of installation, this project was the nation’s largest energy savings performance contract (ESPC). Since this pioneer GHP project, both DOE and the Department of Defense have established a “Super ESPC” program. The agencies, through a competitive bid process, prequalify energy service companies based on past performance and their ability to finance work. Once selected, these energy service companies will be able to sign contracts with any federal agency within a matter of months—much quicker than the normal bid process. DOE’s Federal Energy Management Program and Office of Geothermal Technologies have developed a technology-specific Super ESPC for geothermal heat pumps for all federal agencies.

The Fort Polk project received Vice President Al Gore’s Hammer Award in 1997 for “hammering away at building a better government”—one that works better and costs less. This award, one of the Clinton Administration’s highest, is given to individuals or groups who have demonstrated exemplary reinvention of government.