According to DOD  officials, more than 43 million gallons of fuel, on average, were supplied  each month to support U.S. forces in Afghanistan in 2011. DOD Has Taken Steps to Establish an Approach for Fuel Demand Management, but Is Still Developing Comprehensive Guidance

DOD has taken steps since our 2009 report to establish an approach for  managing overall fuel demand, but is still developing comprehensive  guidance to address fuel demand management. As such, we recommended that DOD develop  requirements for managing fuel demand at forward-deployed locations,  and DOD concurred with this recommendation. Since that time, DOD has  taken several steps to increase its visibility and accountability for fuel  demand management, and is developing comprehensive guidance on  how DOD will incorporate energy efficiency considerations into  operations, planning, and training decisions for current and future military  operations. Progress in Establishing Visibility and Accountability for Overall DOD Fuel Demand Management

DOD has made progress in establishing visibility and accountability for  fuel demand management since our 2009 report by making organizational  changes and issuing an Operational Energy Strategy (operational energy  strategy) and related Operational Energy Strategy Implementation Plan  (implementation plan) to provide direction for DOD’s overall fuel  demand management efforts, including efforts at forward-deployed  locations in Afghanistan. DOD’s Operational Energy  Strategy Implementation Plan also acknowledges the need for additional  comprehensive guidance and directs the Joint Staff and military  departments to report to the Defense Operational Energy Board by the  fourth quarter of fiscal year 2012 on how the strategy’s goals will be  reflected in policy, doctrine, and professional military education. 3). 5). DOD has Efforts Underway to Promote Fuel Efficiency, Coordination, and Collaboration but Opportunities Exist to Enhance Efforts to Identify and Track All Fuel Demand Management Initiatives

DOD has several ongoing initiatives to promote fuel efficiency at forward- deployed locations in Afghanistan and has established various methods  to facilitate some coordination and collaboration among the services. However, it is still in the process of developing a systematic approach to  identify and track the numerous fuel demand management initiatives that  have been fielded, or are in the research and development phase  throughout DOD. Without a systematic approach, DOD may be limited in  its ability to provide full visibility over all of its fuel demand management  initiatives, achieve efficiencies, and avoid unintended duplication or  overlap of activities. DOD Has Measured the Results of Some Fuel Demand Management Initiatives, and Is Developing Baseline Data to Assess Progress Toward Achieving Operational Energy Goals

DOD has measured the results of some of the fuel demand management  initiatives used in Afghanistan, but only recently has focused on collecting  and assessing the data needed to develop a comprehensive baseline  measure of its current fuel consumption at forward-deployed locations. Recognizing the need for information to manage fuel demand effectively,  DOD has tasked the services with establishing baselines for operational  energy consumption in all activities (air, sea, land) in its March 2012  implementation plan and provided funding for this purpose. The Army and Marine Corps have begun collecting  information on fuel consumption at their forward-deployed locations in  Afghanistan. Recommendation for Executive Action

To further enhance DOD’s approach for managing fuel demand, including  at forward deployed locations such as those in Afghanistan, we  recommend that the Secretary of Defense direct the Assistant Secretary  of Defense for Operational Energy Plans and Programs, in consultation  with the Joint Staff, combatant commanders, and military service  components, to finalize and implement a systematic approach that  includes establishing a mechanism to identify and track fuel demand  management initiatives that have been fielded, or are in the research and  development phase to ensure information concerning these efforts is  effectively shared across the services. GAO staff who made key contributions to this report are  listed in appendix V.

Appendix I: Scope and Methodology

Our objectives were to assess the extent to which DOD has (1)  established an approach to provide visibility and accountability for fuel  demand management at forward-deployed locations, (2) initiatives  underway to promote fuel efficiency across the services in Afghanistan  and has facilitated coordination and collaboration among the services on  the development and fielding of these initiatives, and (3) measured the  results of its fuel demand management initiatives at forward-deployed  locations. These elements  include: (1) establishing visibility and accountability for achieving fuel  reduction by assigning roles and responsibilities, establishing metrics,  and monitoring performance; (2) issuing guidance and policies that  address fuel demand at forward-deployed locations; and (3) establishing  incentives and a viable funding mechanism to support the implementation  of fuel demand reduction projects. We also conducted interviews  with DOD and service officials to obtain information regarding DOD’s  progress in collecting fuel data on fuel demand management initiatives  and establishing a baseline on fuel demand at forward-deployed locations  in Afghanistan.
Why GAO Did This Study

According to DOD, the U.S. militarys dependence on liquid fuel in countries like Afghanistan creates an enormous logistics burden that exposes forces to enemy attack and diverts operational resources from other mission areas to support delivery of this critical resource. In 2011, DOD consumed almost 5 billion gallons of fuel in military operations worldwide, at a cost of approximately $17.3 billion. GAO was asked to (1) assess DODs approach for fuel demand management, including at forward-deployed locations in Afghanistan, (2) determine the extent to which DOD has initiatives to promote fuel efficiency at forward-deployed locations in Afghanistan and efforts to coordinate and collaborate on such initiatives, and (3) assess efforts to measure the results of its fuel demand management initiatives and establish a baseline measure of fuel consumption in Afghanistan. To conduct this review, GAO analyzed DOD and service guidance and strategies related to fuel demand management and fuel demand management initiatives, visited locations in Afghanistan, and met with DOD officials.

What GAO Found

The Department of Defense (DOD) has taken steps to establish an approach for managing DODs overall fuel demand, but is still developing comprehensive guidance to address fuel demand management, including at forward-deployed locations in countries such as Afghanistan. In 2009, GAO reported that DOD lacked (1) visibility and accountability for achieving fuel reduction, (2) incentives and a viable funding mechanism to invest in the implementation of fuel demand reduction projects, and (3) guidance and policies that addressed fuel demand at forward-deployed locations. In response to GAO recommendations, DOD has taken steps since 2009 to increase its visibility and accountability for fuel demand management at forward-deployed locations, including those located in Afghanistan. In addition, with an increased focus on fuel demand management, DOD has also provided funding and incentives to implement fuel demand management projects. Further, DOD has issued some guidance on fuel demand management at forward-deployed locations since 2009 and is developing more comprehensive guidance on how DOD will incorporate energy efficiency considerations into operations, planning, and training decisions for current military operations in Afghanistan and for future military operations. DODs 2012 Operational Energy Strategy Implementation Plan acknowledges the need for additional comprehensive guidance and directs the Joint Staff and military departments to report, by the end of fiscal year 2012, on how operational energy considerations will be reflected in policy, doctrine, and professional military education. The Duncan Hunter National Defense Authorization Act for Fiscal Year 2009 requires DOD to report to Congress annually on its progress in implementing its operational energy strategy. DOD has yet to submit its first report.
Multiple DOD organizations are developing initiatives to decrease fuel demand at forward-deployed locations, including in Afghanistan, and the department has worked to facilitate some coordination and collaboration among the services on fuel demand management efforts. However, it is still developing an approach to systematically identify and track all of the fuel demand management initiatives that have been fielded, or are in the research and development phase throughout DOD. GAOs prior work found that utilizing a mechanism such as a database can help organizations enhance their visibility and oversight of DOD programs. Until DOD finalizes its approach to systematically identify and track fuel demand management initiatives, it may be limited in its ability to foster collaboration, achieve efficiencies, and avoid unintended duplication or overlap of activities.
DOD has started to measure the results of some of the fuel demand management initiatives used in Afghanistan, but is still in the process of collecting and assessing comprehensive baseline data needed to measure current fuel consumption at forward-deployed locations. The Army and Marine Corps have begun collecting data on the amount of fuel consumed by their current assets in Afghanistan. Recognizing the need for additional information, DODs 2012 Implementation Plan has tasked the services with developing and refining their fuel consumption baselines by mid-2012 and DOD has provided funding for this purpose. Once collected, these data should enhance DODs planning, programming, and operational decisions and help DOD assess progress toward meeting its operational energy goals.

What GAO Recommends

GAO recommends that DOD finalize and implement a systematic approach that includes establishing a mechanism to identify and track fuel demand management initiatives that have been fielded, or are in the research and development phase. DOD partially concurred with GAOs recommendation, citing ongoing efforts to identify and track initiatives. Until fully implemented, GAO is unable to assess whether these efforts fully address the recommendation