NAICS 22111 - Electric Power Generation
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What is NAICS 22111
NAICS code 22111 covers establishments primarily engaged in operating electric power generation facilities. These facilities convert various forms of energy, including hydroelectric, fossil fuels, nuclear, and solar power, into electrical energy. Businesses in this sector include power generation plants that produce electricity for distribution to transmission systems or directly to electric power distribution networks. The sector plays a critical role in ensuring a stable and reliable supply of electricity to meet residential, commercial, and industrial demand. Government agencies contract these services to support infrastructure development, maintain national energy security, and promote sustainable energy initiatives. Operating in this sector requires compliance with environmental regulations and adherence to evolving energy policies.
Industry Classification for NAICS 22111
This industry comprises establishments primarily engaged in operating electric power generation facilities. These facilities convert other forms of energy, such as water power (i.e., hydroelectric), fossil fuels, nuclear power, and solar power, into electrical energy. The establishments in this industry produce electric energy and provide electricity to transmission systems or to electric power distribution systems.
Breakdown for NAICS 22111
- Operates facilities converting various energy sources into electrical power.
- Includes hydroelectric, fossil fuel, nuclear, and solar power generation.
- Produces electric energy supplied to transmission or distribution systems.
- Subject to environmental regulations and energy policies.
- Supports large-scale and utility-level power generation projects.
- Typical business size ranges from small plants to large utility operators.
Included Activities for NAICS 22111
- Operating electric power generation plants using diverse fuel sources.
- Maintaining and upgrading generation equipment and infrastructure.
- Managing compliance with environmental and safety regulations.
- Coordinating with transmission operators for energy delivery.
- Implementing renewable energy generation projects.
- Monitoring plant performance and optimizing output efficiency.
- Conducting feasibility studies for new power generation facilities.
- Providing emergency power generation and grid support services.
Business Types for NAICS 22111
- Electric utility companies
- Independent power producers (IPPs)
- Renewable energy developers
- Nuclear power plant operators
- Hydroelectric facility operators
- Engineering and operations contractors specializing in power generation
Government Buyers for NAICS 22111
Federal, state, and local government agencies typically purchase electric power generation services to support critical infrastructure, military installations, public utilities, and community energy needs. Agencies such as the Department of Energy (DOE), the Department of Defense (DoD), and municipal energy authorities require reliable electricity generation to power operations, enhance resilience, and implement renewable energy projects. Governments also contract these services to advance energy independence, reduce carbon emissions, and promote modernization of the electric grid. Contracting for these services ensures continuity of power supply and supports strategic energy objectives.
Contract Types & Procurement for NAICS 22111
Contracts under NAICS 22111 often include firm-fixed-price, cost-reimbursement, and indefinite-delivery/indefinite-quantity (IDIQ) contracts, depending on the project scope and duration. Procurement methods may involve competitive bidding, negotiated contracts, and simplified acquisition procedures for smaller projects. Contract values vary widely, from multi-million-dollar construction and operation contracts for large-scale power plants to smaller service contracts for maintenance and upgrades. Long-term contracts are common, reflecting the ongoing nature of power generation operations and infrastructure investments.
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