Summary: In response to a congressional request, GAO evaluated the Army's and the Air Force's district heat conversion program to purchase heat for facilities from public plants in West Germany, and provided information on the program's life cycle cost-effectiveness.
GAO examined Army and Air Force economic analyses for nine projects and found that: (1) most of the Army and Air Force installations in Germany are located too far from local public district heat facilities to make their use feasible; (2) five Army analyses supported conversion to district heat; (3) three Army analyses had insufficient documentation to justify conversion; (4) although the Air Force did not submit a full life-cycle cost analysis, it did show that the local heating alternative was less costly than its current operation; and (5) although there were concerns about the Army's analyses due to outdated coal-pricing data, the Army plans to proceed with the proposed heat conversions. GAO also found that West German national and local governments have brought increasing pressure on the United States to stop burning coal at U.S heating plants in West Germany because of environmental concerns.
