02:04 PM EDT, 07/01/2024 (MT Newswires) -- Southern Co. ( SO ) said Monday its unit Georgia Power entered a $72 million utility energy service contract to improve energy efficiency of US Army Garrison Fort Eisenhower near Augusta, Georgia.

Such contract is a limited-source acquisition between a federal agency and serving utility for energy management services to improve buildings and mechanical equipment efficiencies.

Coordinated by Georgia Power and PowerSecure, another Southern Company ( SO ) unit, the improvements are expected to cut Fort Eisenhower's energy costs by $6 million annually, the company said.

The project is expected to take about two years with completion expected in Q1 2026.

The key improvement include replacing an old diesel generator with new natural gas generator, to be funded through energy savings from lighting retrofits, heating and air conditioning replacement and water conservation.

The investment is on top of the broader utility privatization contract with Georgia Power serving as the owner of Fort Eisenhower's electric utility system.

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