CCTP Portfolio Planning Principles

The CCTP adheres to three broad planning principles:

(1) Maintain a Balanced and Diversified Portfolio:

The sum of the individual R&D investments, taken as a whole, should constitute a balanced and diversified portfolio of technologies. This is because

a. no single technology will likely meet the challenge alone;

b. investing in R&D in advanced technologies involves risk (i.e., some may fail, some may not prove as successful as hoped, and others may require more R&D than expected); and,

c. a diverse array of technology options can hedge against risk and provide flexibility in the future to respond to new information.

(2) Address Factors Affecting Market Acceptance:

To enable widespread deployment of advanced technologies, each technology must be integrated within a larger technical system and infrastructure, not just as a component. Market acceptance of technologies is influenced by myriad social and economic factors. CCTP�s portfolio planning process must be informed by, and benefit from, private sector and other non-federal inputs, examine the lessons of historical analogues for technology acceptance, and apply them as a means to anticipate issues and inform R&D planning.

(3) Anticipate the Timing of Commercial Readiness for Advanced Technology Options:

Energy infrastructure has a long lifetime, and change in the capital stock occurs slowly. Once new technologies are available, their adoption takes time. Some technologies with low or near-net-zero GHG emissions may need to be available and moving into the marketplace decades before their maximum market penetration is achieved.