Abstract Description: The future of energy at Army installations is resiliency, with a strong focus on microgrid technology. Microgrids are localized self-sufficient energy systems consisting of distributed energy sources (i.e. solar panels, wind turbines, combined heat and power, natural gas or diesel engines, fuel cells) to produce its power. They can provide benefits to users and utility operators alike such as improved infrastructure resiliency, system reliability and efficiency; as well as provide services to the macrogrid. These benefits (along with the use of zero-emission electricity sources) align with the Army Climate Strategy. The future popularity of microgrids at Army installations is accompanied by special considerations such as the Pentagon’s refocus away from climate initiatives and that air program managers will have to familiarize themselves with air regulations that govern the use of internal combustion (IC) engines utilized in demand response situations. The federal government regulates such use of IC engines through their New Source Performance Standards and Maximum Available Control Technology programs. State and local air agencies may also regulate use of IC engines in demand response programs through their own protocols. This presentation defines microgrid technology, describes its benefits and how use of this technology aligns with the goals of the Army Climate Strategy. It also touches on the Pentagon’s new focus of attention. In addition, it provides an overview of demand response programs in the State of Texas and federal air quality regulations regarding the use of IC engines in these programs.