Advanced Energy Technologies

Manufacturing Engineering, Mar 2007

The GAO has assessed our ability to meet energy needs through 2030. Specifically, they examined DOE's R&D funding trends and strategies for developing advanced renewable, fossil, and nuclear energy technologies.

The researchers discovered:

*DOE estimates that total US energy demand will increase by about 28-35% between 2005 and 2030.

*The transportation sector is expected to grow by 43%, with annual crude oil consumption increasing from about 4.8 billion barrels in 2004 to about 6.8 billion barrels. (A barrel of oil is equivalent to 42 gallons [159 L] of gasoline.)

*The electricity sector is expected to grow by 50%, with electricity consumption increasing from about 3.6 billion MW-hr in 2004 to about 5.3 billion MW-hr by 2030 (a megawatt-hour is sufficient to meet the demand of 750 households for 1 hour).

* The proportions of energy derived from renewable, fossil, and nuclear sources for both transportation and electricity generation will remain about the same through 2030.

* DOE's total budget authority for energy R&D dropped by over 85% from 1978 to 2005, peaking in the late 1970s, but falling sharply when oil prices returned to lower levels in the mid-1980s.

DOE's R&D efforts have resulted in steady incremental progress in reducing costs for renewable energy technologies, reducing harmful emissions of coal-fired power plants, and improving safety and efficiency for nuclear power plants.

Challenges for renewable technologies include:

*Developing cost-effective technologies to produce ethanol using agricultural residues and other biomass materials, as well as the infrastructure for distributing ethanol.

*New wind technologies to expand into low wind and offshore locations.

* Improved solar technologies that can better compete with conventional technologies.

* Development of advanced coal gasification technologies to further reduce harmful emissions and reduce high capital costs.

Challenges for advanced nuclear technologies include a revised licensing process, investor concerns about high capital costs, and disposing of a legacy of spent nuclear fuel.

In 22 states, there are established renewable portfolio standards requiring or encouraging that a fixed percentage of the state's electricity be generated from renewable sources; 39 states have established rules for electric power companies to connect producers of excess generation; and 45 states offer tax credits, grants, or loans to stimulate the deployment of renewable energy.