Letterkenny Army Depot, Pa., is expected to cut its energy use more than 25 percent, reduce water consumption nearly 50 percent, and generate about $4.1 million in annual energy and operational savings as the result of a $43.6 million infrastructure modernization project.

The upgrades are part of a 20-year energy savings performance contract with Honeywell to make extensive improvements at Letterkenny without an upfront capital investment by the Army. The work is backed by a financial firm and Honeywell guarantees the upgrades can generate the projected savings necessary to repay the loan.

The project, scheduled to be completed by the end of 2016, includes a variety of facility upgrades, including new, high-efficiency lighting, and heating and cooling equipment. Honeywell also will enhance the depot’s production capacity and quality with improvements to industrial blasting, painting and metal-finishing systems and processes. The Army expects to save nearly 14.8 million kilowatt-hours of electricity each year.

“We collaborate with organizations like Letterkenny Army Depot to uncover efficiency opportunities that can fuel long-term improvements despite budget constraints, helping them to continue to focus on and meet their primary missions,” said John Rajchert, president of Honeywell Building Solutions, according to a company press release.