Vectren Subsidiary Working on NASA Project

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Energy Systems Group is headquartered in Newburgh. Energy Systems Group is headquartered in Newburgh.
HOUSTON, Tex. -

A subsidiary of Evansville-based Vectren Corp. (NYSE: VVC) has begun construction on a combined heat and power plant at the Lyndon B. Johnson Space Center in Houston. The work is part of an energy savings performance contract awarded to Newburgh-based Energy Systems Group by NASA.

The contract, which was awarded in August, calls for the new CHP plant and chilled water plant improvements, which are expected to save about $141 million over a 22-year operating term, according to Vectren. Once operational, the CHP plant will meet nearly 70 percent of the JSC's electrical requirements, all of its steam requirements and nearly half of its chilled water requirements.

Vectren says the plant will also be capable of serving as an "islanded microgrid," providing energy for critical mission operations in the event of a utility power disruption.

"ESG is proud to support NASA in the development and construction of this mission-critical energy islanding project," said Greg Collins, ESG president. "This highly efficient CHP plant will reduce greenhouse gases by approximately 20,000 metric tons of carbon dioxide annually, That is equivalent to keeping about 4,100 passenger vehicles off the road each year."

As part of the contract, ESG will provide operations and maintenance, repair and replacement services for the facility. The U.S. Department of Energy awarded a $1 million grant to ESG for the project.

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