PGW to Lead Clean Energy Proposal With the School District of Philadelphia
Posted on: Mar 17, 2025
(Philadelphia, PA – March 17, 2025) – Philadelphia Gas Works (PGW) issued a Request for Proposals (RFP) for a firm to conduct a geothermal site survey and feasibility study in conjunction with the School District of Philadelphia (SDP). The study will assess the feasibility of implementing a closed-loop geothermal system capable of supporting multiple heat pumps for heating and cooling. The exploration of geothermal technology is part of PGW’s diversification efforts, which aim to grow revenue and deliver increased value to its customers while expanding on its clean energy portfolio and lowering emissions. The process will also assist PGW in evaluating what role PGW can play in delivering innovative energy services in addition to natural gas in the future.
“Launching a feasibility study for geothermal in collaboration with the School District of Philadelphia is a critical step in the near term to identify strategies to help diversify the revenue of PGW, sustain jobs, reduce emissions, and offer customers a variety of cost-saving energy efficiency options,” said Seth Shapiro, PGW President and Chief Executive Officer. “This kind of partnership is key in keeping PGW financially strong for its customers in the long term, while also delivering on Mayor Parker’s clean and green vision by improving quality of life for Philadelphians.”
By partnering with the SDP, PGW supports the district’s GreenFutures Plan to provide students and staff with a well-resourced, safe, healthy, clean, and comfortable learning and working environment. PGW and SDP selected the John F. McCloskey Elementary School (8500 Pickering Ave, Philadelphia, PA 19150) and the adjacent Dorothy Emanuel Recreation Center (8500 Provident Rd, Philadelphia, PA 19150) as the site for the selected proposer to evaluate the networked energy needs and system requirements for a geothermal system. The study will consider factors such as geological conditions, available space for underground bore installations, and the potential design for a decentralized geothermal unit with pumping capabilities.
“By partnering with Philadelphia Gas Works to explore innovative energy solutions within our schools, we aim to provide clean and efficient heating and cooling options, enhance our school environment, reduce costs, and be part of a key initiative that helps pave the way for equitable, sustainable energy strategies that benefit all Philadelphians,” said Deputy Superintendent of Operations Oz Hill, School District of Philadelphia.
“There is no silver bullet to meet a clean energy vision; it will take a multifaceted approach. We greatly appreciate the careful planning and due diligence taken by everyone involved to date to get us to this point including feedback from key stakeholders and the public,” said Shapiro. “We value our customers and take seriously our responsibility to pursue innovation that benefits their safety and affordability and helps lay the foundation for the future.”
Interested parties must submit their proposals by 2:00 p.m., April 15, 2025. For more information, please visit this link. Questions relating to the Request for Proposals should be directed in writing to PGW via pgw.procureware.com. Interested vendors may not contact PGW personnel regarding this RFP other than through pgw.procureware.com.
This latest activity adds to PGW’s most recent energy innovation initiatives:
- Building Consolidation Project: In 2023, PGW consolidated eight PGW buildings into the North Operations Center, reducing PGW’s carbon emissions from those retiring facilities by 50%. The consolidation will save PGW $100 million over 5 years.
- Customer Focused Energy Savings: PGW has continued offering a variety of energy-efficiency and demand-side management programs to customers including:
- EnergySense Kits (ESK) program that provides customers with a free energy efficiency kit.
- Small Business Assessment (SBA) program which provides free walkthrough energy assessments that recommend energy efficiency upgrades, to encourage small businesses to take advantage of prescriptive rebate programs.
- Partnering with National Park Service to replace aging steam infrastructure with state-of-the art energy systems that will save taxpayers an estimated $765,000 per year and reduce annual greenhouse gas emissions by 97.3 tons of CO2e.
- A pilot program offering rebates for variable refrigerant flow (VF) natural gas heat pumps as part of the Commercial Equipment Rebates program.
- Additional funding to continue providing free smart thermostats to low-income customers as part of the Low-Income Smart Thermostat (LIST) program.
- MACH 2: PGW serves as a leading member of the Mid-Atlantic Clean Hydrogen Hub (MACH2) team along with the City of Philadelphia and other partners, leveraging the wealth of existing technology and infrastructure in the region to generate clean energy.
- PGW Energy Innovation Lab: The Energy Innovation Lab is a two-year incubator program with a mission to help support young businesses that have the potential to bring innovation to the energy industry and increase energy efficiency and affordability. Sponsored by Philadelphia Gas Works in conjunction with Temple University’s Small Business Development Center, this program will provide small businesses with the necessary services and financial and technical support to initiate change.
- Electric Vehicle Grants: In FY 2023, PGW purchased 5 Chevrolet Bolt EUVs, the first electric vehicles (EVs) to enter the PGW fleet, with funding support from the Alternative Fuels Incentive Grant program. PGW also received rebates from the Driving PA Forward and PECO Level 2 Commercial Charging Pilot programs to install EV charging station at 800 Montgomery headquarters.
- PGW Conservation Workshops: PGW customers can learn about conserving energy in their homes and what energy assistance programs PGW offers. Each attendee also leaves with a FREE kit to help weatherize their home! These kits include a tube of caulk, rope caulk, a window sealing kit, and a door sweep.
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