Class Deviation 2020-O0018
Prohibition on Use of Certain Energy Sourced from Inside the Russian Federation

Effective immediately, unless a waiver is granted, contracting officers shall not award a contract for the acquisition of furnished energy for a covered military installation, if the contract uses any energy sourced from inside the Russian Federation as a means of generating the furnished energy for the covered military installation. For the purposes of this deviation—

  • “Covered military installation” means a military installation in Europe identified by the Department of Defense as a main operating base; and
  • “Furnished energy” means energy furnished to a covered military installation in any form and for any purpose, including heating, cooling, and electricity.

Contracting officers shall use the solicitation provision provided in Attachment 1 and the contract clause provided in Attachment 2, as prescribed in the attachments.

This class deviation implements section 2821 of the National Defense Authorization Act for Fiscal Year 2020 (Pub. L. 116-92). The head of the agency may waive application of this prohibition to a specific contract for furnished energy, if the head of the agency certifies to the congressional defense committees that—

  • Waiver of the prohibition requirements is necessary to ensure an adequate supply of furnished energy for the covered military installation; and
  • The official has balanced these national security requirements against the potential risk associated with reliance upon the Russian Federation for furnished energy.

If a waiver has been granted for a contract for furnished energy, not later than 14 days prior to entering into the contract, the official granting the waiver shall submit notice of the waiver to the congressional defense committees with a copy to the Principal Director of Defense Pricing and Contracting via email at osd.pentagon.ousd-a-s.mbx.dpc-cp@mail.mil. The waiver notice shall include—

  • The rationale for the waiver, including the basis for the above certifications;
  • An assessment of how the waiver may impact the European energy resiliency strategy; and
  • An explanation of the measures the Department of Defense is taking to mitigate the risk of using Russian Federation furnished energy.

The contracting officer shall obtain a copy of the waiver and notice from the requiring activity or program manager prior to awarding the contract and include a copy of the waiver and notice in the contract file.

This class deviation remains in effect until it is incorporated in the Defense Federal Acquisition Regulation Supplement, or is otherwise rescinded.

Status:
Active
Effective Date: May 29, 2020 (9 months ago)
Expire Date: None Given
Official Documents: Memo
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