Memorandum on Federal Energy Conservation.

MEMORANDUM FOR HEADS OF DEPARTMENTS AND AGENCIES

SUBJECT: Energy Conservation by the Federal Government

Last year, Federal agencies were directed to reduce anticipated energy use during fiscal year 1974 by seven percent. I have now been advised that actual results for the year will show a reduction of about 24% from anticipated energy demand--more than tripling the original objective. This savings is equivalent to about 90 million barrels of oil and $725 million in energy costs to the Federal taxpayer. Part of this savings was due to the severe petroleum shortages we experienced during the embargo and to the mild winter, but the total savings reflects serious and dedicated efforts to conserve energy.

I congratulate you and your employees for this fine achievement. The success of the Federal Energy Management Program provides an excellent example for all Americans, both of what can be accomplished in efforts to conserve energy and of the dedication and sacrifice which employees of the Federal Government are bringing to this important task.

I hereby direct that the Federal Energy Management Program be continued through fiscal year 1975. I am today establishing a new energy conservation goal for the Federal agencies for fiscal year 1975 of 15 percent savings below energy consumed in fiscal year 1973. This will result in energy savings equivalent to approximately 55 million barrels of oil during the year.

To achieve this new savings goal, it is imperative that all Federal agencies examine facilities and operations, including Government owned-contractor operated activities, for energy conservation potential during the remainder of this year. In addition, I am asking the Administrators of the Federal Energy Administration and General Services Administration to recommend to Secretary Morton, Chairman of the Energy Resources Council, a multi-year program to increase energy efficiency of all Federal facilities and operations. These two officials will also provide instructions and guidelines to assist you in evaluating the economic efficiency of energy conservation improvements.

I look forward to your continued cooperation and assistance in this energy conservation effort.

GERALD R. FORD