Each year, as our economy grows, so too does our demand for more energy. For too long, our country has depended on an unbalanced energy portfolio that relies on outdated technologies and a dependence on foreign sources of oil. As we look to the future, we have a responsibility to promote clean, sustainable energy supplies in conjunction with aggressive energy-efficiency and conservation measures.
Innovation is the key to a more balanced, secure U.S. energy future — and a sustained, strong economy. It is time we put the American spirit of innovation and ingenuity to work for our country’s energy market. Unfortunately, investments in energy research and development have declined sharply since the Carter administration. Our challenge is to develop creative energy solutions that enhance our overall security. We must seize the opportunity presented by a wide public discussion of energy issues and put the country back on track to reap the enormous benefits of energy R&D.
To focus American ingenuity on the challenge of developing radical solutions to meet our future energy needs, I have crafted legislation that creates an Advanced Research Projects Agency for Energy (ARPA-E). Unlike the current paradigm for energy R&D, this new agency would leverage significant financial resources with the best and brightest talents in our nation’s industries, universities and national laboratories for high-risk, high-payoff energy research and development. The focus will be on revolutionary new capabilities for overcoming major technological barriers to enhancing energy security. Moreover, ARPA-E would introduce such technologies into the larger energy marketplace and allow our country to realize the enormous economic benefits of developing an export industry in new energy technologies.
I also believe the U.S. now has a responsibility to embrace the critical yet underutilized role of energy efficiency. We already have the ability to retrofit existing infrastructure to realize energy savings. However, it is essential that we invest in research and development of new energy-efficient technologies to ensure that we get the most out of the energy we consume. The cheapest, easiest and most independent “source” of energy is the efficient use of the energy we consume.
A recent study by the McKinsey Global Institute concluded that an emphasis on efficiency could cut growth in global energy demand by more than half. The American Council for an Energy Efficient Economy estimates that comprehensive energy-efficiency policies could lower U.S. energy use by one-third over 20 years. While the federal government continues its role in setting policy in these areas, we must also practice what we preach. With 500,000 buildings, the U.S. federal government has a responsibility and an opportunity to be the model for conservation, demonstrating the new technologies that will achieve that end. We must regard efficiency as the ultimate domestic energy resource and a critical part of any plan to enhance security.
But that is not the end. In fact, it is just the beginning. While some alternative renewable-energy technologies are nearer to maturity and can benefit from increased tax subsidies and other incentives, there are a number of areas still ripe for major technological advances through R&D. The next generation of biofuels will come from a variety of feedstocks, such as switchgrass, hybrid poplars and corn stover. Advances in plant genomic research and new conversion methods could result in the next generation of cost-effective and cleaner transportation fuels. Solar, wind, geothermal and other forms of distributed energy still stand to benefit greatly from R&D, which can bring down costs and increase the efficiency and durability of these technologies.
It is also important to acknowledge that in the push for the next generation of energy sources, we must not ignore the potential contribution of clean coal and carbon capture and storage technologies, as well as unconventional oil and gas development. Likewise, we owe it to ourselves to at least engage in a thoughtful dialogue on the role of nuclear power in the pursuit of carbon-neutral technologies.
Every possible energy technology has some shortcomings or limitations — whether environmental, economic or technical. The best and only way to overcome these obstacles is through increased research and development into new mechanisms that accelerate innovation and commercialization of the next generation of technologies.
Gordon is the chairman of the House Committee on Science and Technology.
