THE OFFICE OF THE ASSISTANT SECRETARY OF DEFENSE WASHINGTON, D.C. 20301-8000 PRODUCTION AND LOGISTICS (L/EP) Defense Energy Program Policy Memorandum (DEPPM) No. 89-2 MEMORANDUM FOR DESIGNATED ENERGY OFFICIALS OF THE OFFICE OF THE SECRETARY OF DEFENSE, JOINT STAFF, MILITARY DEPARTMENTS, AND DEFENSE AGENCIES REFERENCES: A. Department of Defense Instruction 5126.47 on December 2, 1985, Subject: Department of Defense Energy Policy Council B. Deputy Secretary of Defense Memo on May 24, 1988, Subject: Electronic Data Interchange of BusinessRelated Transactions C. The Office of the Deputy Assistant Secretary of Defense (Logistics) letter on December 20, 1988, Subject: Electronic Data Interchange (EDI) in DoD Logistics SUBJECT: Electronic Data Interchange (EDI) in Department of Defense (DOD) Energy Logistics PURPOSE: This memorandum implements Reference B for DoD energy management by assigning Defense energy ED1 implementation to the Defense Energy Data and Analysis Panel (DEDAP) under the Defense Energy Policy Council (DEPC) (Reference A). BACKGROUND: Reference C directs the establishment of ED1 procedures for Defense logistics operations. This DEPPM focuses on energy management. DISCUSSION: The DoD has used electronic transfer of logistics data since the early 60s. The purpose of the planned EDI implementation is to use the American National Standards Institute (ANSI) transmission control and transaction syntax standards for data interchange with energy industries and related commercial enterprises. Within DoD, the Defense Logistics Standard System implementation of ANSI Xl2 in the formats of the Military Standard Petroleum System will be used to transfer transactions. POLICY: Consistent with Reference C, DoD Components will: 1. Use EDI to improve energy management efficiency and reduce the cost of Procurement transactions. 2. Use EDI to improve communication links between the private energy sector and the DoD. 3. Adopt ANSI X12 (funds transfer) standards in establishing data links between DoD and the private sector, and DoD and other Federal Agencies. 4. Coordinate with the DoD Logistics EDI Program Management Office on data transfer formats to ensure effective use of DoD'S communication capabilities, minimize non-standard formats and procedures and present a single point-of-contact with the energy industry on EDI matters. 5. Permit DoD Energy personnel to serve on industry association panels or committees which are working on the adoption of national or international standards for the transfer of energy-related data. RESPONSIBILITIES: 1. 2. Director Energy Policy (CASD(P&L)L(EP)) will: a. Establish ED1 as a priority initiative within DoD for wholesale and retail energy management. b. Ensure all DoD Components which have energy management responsibilities are in compliance with National, Federal, and DoD EDI standards as appropriate. c. Delegate responsibility for the coordination of EDI activities to executive agents, as necessary. Military Departments will: a. Ensure DoD EDI formats are standardized for retail petroleum data collection and reporting. 3. 4. b. Ensure compliance with nationally-established EDI standards for energy data exchange. c. Designate an EDI representative to serve on the DEDAP. Director Defense Logistics Agency will: a. Ensure EDI compatibility within the DoD wholesale petroleum system and serve as the DoD representative to the petroleum refining and transportation industries. b. Ensure compliance with nationally-established EDI standards for energy data exchange between DLA activities and industry. c. Designate an EDI representative to serve on the DEDAP. The Deputy Chief of Staff (Logistics and Engineering), HQ USAF, will coordinate retail petroleum EDI data exchange formats among the Military Services and private industry for automated tank gaging, service stations, and aviation fuel equipment. PROCEDURES: In support of this policy, the DLA (EDI coordinator for wholesale energy transactions) and Air Force (EDI coordinator for retail energy transactions) will ensure that EDI planning and implementation are coordinated through periodic reports to the DEDAP. EFFECTIVE DATE: This DEPPM is effective immediately.