From: Sustainable Energy Coalition
Published October 7, 2004 10:47 AM

27 Business and Environmental Organizations Send White House Funding Recommendations For Fiscal Year 2006 Energy Efficiency and Renewable Energy Programs, Urge Doubling of Budget over the Next Five Years

WASHINGTON DC — Twenty-seven of the member groups of the Sustainable Energy Coalition (SEC)today sent officials in the Office of Management and Budget (OMB), the U.S. Department of Energy (DOE), and other federal agencies a detailed set of recommendations for funding energy efficiency and renewable energy programs in Fiscal Year 2006 (FY06).


The document outlines suggested budget levels and program priorities for the cross-section of renewable energy programs, including solar, wind, geothermal, hydropower, geothermal, and the Renewable Energy Production Incentive. It also includes recommendations for the DOE's industrial, buildings, and vehicles energy efficiency programs as well as the weatherization, fuel cells, hydrogen, and Federal Energy Management programs plus the U.S. Environmental Protection Agency's Energy Star and the U.S. AID's Clean Energy programs.


Noting that "these programs have been chronically under-funded for several years," the signing business, environmental, consumer, and energy policy organizations urged the White House to "support robust funding." In particular, they recommended "a doubling of federal support for energy efficiency and renewable energy programs over the next five years (2006-2010)." For FY06, the SEC submitted program-by-program recommendations totalling almost $1.7 billion.


As justification for such an increase, the organizations stated that "energy R&D spending is the lowest of any major industry and has declined dramatically since the 1980's. [Moreover,] during a time of natural gas shortages, energy and homeland security challenges, growing dependence on foreign energy resources, air quality and climate change problems, and increased demands on the power grid, the United States cannot afford to under-develop its fastest, most cost-effective, and cleanest energy resources."


"For the federal government to continue to heavily fund and emphasize non-renewable energy options over renewable energy and energy efficiency is putting American ingenuity and resources at a global disadvantage. It not only threatens the security of the United States but also cedes the leadership for which Americans have already paid as we advanced energy efficiency and renewable energy technologies over the past quarter century, only to see the commercialization benefits accrue to overseas governments and industries. Thus the SEC requests additional funding for energy efficiency and renewable energy in part to ensure that the United States regains its share of world commerce that is increasingly focusing on energy efficiency and renewable energy technologies."


The full text of the budet recommendations and the list of signing organizations follows. # # # # # # # #


The Sustainable Energy Coalition is a coalition of more than 80 national and state business, consumer, environmental, and energy policy organizations which collectively represent several thousand companies and community-based organizations. Founded in 1992, the coalition works to promote increase use of energy efficient and renewable energy technologies.


SUSTAINABLE ENERGY COALITION
1612 "K" Street, N.W.; Suite #202-A
Washington, D.C. 20006
202-293-2898, x.201; fax: 202-293-5857


RECOMMENDATIONS FOR FEDERAL ENERGY EFFICIENCY AND RENEWABLE ENERGY PROGRAMS IN THE FISCAL YEAR 2006 BUDGET REQUEST


As you work to finalize the fiscal year 2006 budget request, the undersigned member organizations of the Sustainable Energy Coalition (SEC) respectfully request that you support robust funding for energy efficiency and renewable energy programs at the Department of Energy's (DOE's) Energy Efficiency and Renewable Energy Office, DOE's Energy Information Administration (EIA), the Environmental Protection Agency (EPA), and the Agency for International Development (USAID).


Energy Efficiency and Renewable Energy Programs have been chronically under-funded for several years. During a time of natural gas shortages, energy and homeland security challenges, growing dependence on foreign energy resources, air quality and climate change problems, and increased demands on the power grid, the United States cannot afford to under-develop its fastest, most cost-effective, and cleanest energy resources.


Energy efficiency and renewable energy technologies can provide both immediate action and long-term solutions that will help balance energy supply and demand, stimulate the economy, provide jobs, keep consumer energy bills affordable, and improve air quality. Reducing energy demand through energy efficiency programs is critical to avoiding more electricity blackouts and natural gas and gasoline price spikes. For example, an American Council for an Energy-Efficient Economy study found that reduced demand for natural gas due to energy efficiency measures could lower current high natural gas prices by 20% in the next few years. These high prices have already caused plant closings and loss of manufacturing jobs.


The federal energy efficiency programs are remarkably effective. In 2001, the National Research Council found that for the seventeen DOE research programs it analyzed, each dollar of federal investment in energy efficiency has yielded $20 in economic benefits to the nation in the form of new products, new jobs and energy cost savings to American homes and businesses.


DOE itself estimates that its efficiency and renewables programs will result in major savings, including $134 billion in energy bills, 157 GW of new conventional power plants, 1.9 quads of natural gas, and 213 MMT of greenhouse gas emissions in 2025. Last year alone, EPA and DOE's Energy Star program helped Americans save enough energy to power 20 million homes and avoid the greenhouse gas emissions from 18 million cars - while also saving over $9 billion. The U.S. cannot reap these savings without federal support, as the private sector would not make the needed investment-energy R&D spending is the lowest of any major industry and has declined dramatically since the 1980's.


For the federal government to continue to heavily fund and emphasize non-renewable energy options over renewable energy and energy efficiency is putting American ingenuity and resources at a global disadvantage. It not only threatens the security of the United States but also cedes the leadership for which Americans have already paid as we advanced energy efficiency and renewable energy technologies over the past quarter century, only to see the commercialization benefits accrue to overseas governments and industries. Thus the SEC requests additional funding for energy efficiency and renewable energy in part to ensure that the United States regains its share of world commerce that is increasingly focusing on energy efficiency and renewable energy technologies.


To this end, we call for a doubling of federal support for energy efficiency and renewable energy programs over the next five years (2006-2010). While this is a significant investment, the payoffs are large, long-lasting, and necessary to address the energy security and self-sufficiency, reliability, economic, and environmental problems facing our nation. It is important that both efficiency and renewables programs receive increases, as the combination of improved efficiency and the use of renewable sources is necessary to achieve the nation's energy goals. And we need to start making the investments now-indeed, some programs will require larger increases in the first years in order to cover high research costs and build infrastructure. This request includes high priority programs but also those that steadily provide energy savings and contribute to the economic recovery but may be less than glamorous.


The attachment to this letter provides detailed FY2006 funding recommendations for energy efficiency and renewable energy programs and highlights some areas with a particular need for funding increases.


Thank you for your consideration of these priorities and for your support for energy efficiency and renewable energy programs.


Signed:


Alliance to Save Energy
American Bioenergy Association
American Council for an Energy Efficient Economy
American Public Power Association
American Solar Energy Society
American Wind Energy Association
Bergey Windpower Company
Bob Lawrence & Associates, Inc.
Breakthrough Technologies Institute
Business Council for Sustainable Energy
California Wind Energy Association
Cascade Associates
City & County of San Francisco
Colorado Energy Group
Environmental & Energy Study Institute
Global Green USA
National Environmental Trust
National Hydropower Association
New Uses Council
Renewable Fuels Association
Sacramento Municipal Utility District
Sierra Club
Solar Energy Industries Association
The Stella Group Ltd.
Sturman Industries
Union of Concerned Scientists
U.S. Public Interest Research Group


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Attachment


DOE Energy Efficiency Programs


Building Technologies: $100 Million Alliance to Save Energy, American Council for an Energy-Efficient Economy, and Cascade Associates


The Buildings activities have produced the most dramatic benefits of any efficiency area, but unfortunately they also tend to be the least glamorous and have the least identifiable constituencies. In addition to an overall increase in this area, particular programs warrant a major boost. First, the Equipment Standards and Analysis Program should be doubled from last year's level. This program is remarkably effective, but far behind schedule and chronically under-funded. By the year 2020, appliance efficiency standards already in place are expected to reduce U.S. electricity consumption by 7.8 percent. Yet DOE is behind statutory deadlines for rulemakings on 18 products, and the comprehensive energy bill, H.R. 6, would require several additional rulemakings. The added funding is needed to handle this workload, respond to concerns in the recent Senate Committee Report, and reap the large available savings. Added funding is also needed for Residential and Commercial Building Energy Codes to help the states reap similar savings from building codes.


Additionally, we must significantly increase efforts in systems integration — that is, how the various systems in a home or building work together to be most efficient. Added funding is needed to cover both the Zero Energy Buildings (which was moved to this budget line) and the new program requirements for Residential Building Integration (Building America) and Commercial Building Integration. These programs are critically important, especially in areas of highest construction growth rates. They are important to our future ability to build homes and buildings that are at least 50% more efficient but cost no more to construct and incorproate onside energy options. Finally, the DOE roadmapping process has shown that in order to achieve zero energy buildings it is vital that DOE lead a robust research and development effort on advanced window, lighting, and other building technologies.


Industrial Technologies: $120 Million
American Council for an Energy-Efficient Economy and Alliance to Save Energy
Industrial energy use accounts for 35% of the energy used in the United States. To meet the joint goals of a healthy manufacturing base and reduced natural gas use and greenhouse gas emissions, the Industrial Technologies Program needs to have its funding and also its staffing restored to levels consistent with the importance of this sector. The Best Practices program and the Industrial Assessment Centers, in the Industries of the Future Crosscutting Programs, have been especially effective at transferring efficiency technologies and best practices applicable to many industries, and deserve significant increases. To meet the commitments made by DOE under the climate vision program, to ensure continued program viability, and to match industry contributions, Industry Specific research activities should be restored at least to levels before the cuts made in recent years.


Distributed Energy Resources: $80 Million
American Council for an Energy-Efficient Economy
Distributed energy resources are the future of the American electricity system, providing enhanced efficiency and environmental performance, while increasing system reliability. Some distributed generation technologies, such as Combined Heat and Power (CHP) applications, can reach energy efficiencies upwards of 80%, more than doubling conventional power generation efficiencies. This program develops a variety of technologies that produce power, including renewable generation, in buildings and industrial facilities, plus the technology required to integrate these systems. Funding needs to steadily increase to support the growing network of regional implementation centers and supporting national research and deployment activities. In particular, headquarters staffing of the program needs to be increased to ensure retention of existing program staff and provide continuing oversight of the increasing portfolio of activities.


Vehicle Technologies: $200 Million
American Council for an Energy-Efficient Economy, Alliance to Save Energy, and New Uses Council
The Transportation program, in addition to its long-term, high-risk commitment to new technologies such as hydrogen, must also increase its efforts in advancing medium-term technologies that will have a quicker and more sure impact on our oil use. Key priorities include heavy vehicle systems work as part of the 21st Century Truck Partnership, Advanced Combustion Engine work on heavy truck engines and off-road vehicles, and Fuels Technology projects on heavy-duty vehicles and environmental impacts related to the new EPA diesel fuel emission standards. Emphasis on Renewable Transportation Fuels should also continue to increase as the U.S. looks to means of reducing U.S. dependence on foreign oil.


Fuel Cell Technologies: $90 Million
Cascade Associates, Breakthrough Technologies Institute
The Fuel Cell Program under EERE is primarily for the development of PEM (low temperature) fuel cells for stationary, transportation and portable applications. The program, as a priority of the Administration, is enjoying a strong level of support; however, we request more emphasis on the stationary and portable technologies, which are closer to yielding an economic payoff, along with development of fueling systems for such fuel cells that use primarily renewable energy sources.


Federal Energy Management Program: $30 Million
Alliance to Save Energy
The U.S. federal government is the world's largest energy user. The Federal Energy Management Program was established to have our government "lead by example" in the area of energy efficiency. This program saves the federal government much more than it costs, by reducing some of the $1 billion in energy costs wasted annually in federal buildings (unlike the other efficiency programs, the savings from FEMP return directly to the federal Treasury). Until recently much of the expenditures on federal energy reductions have come from private sector financing; the FEMP program tells program managers about the availability of these programs and provides assistance in developing contracts, in addition to providing some direct financing of projects and otherwise acting as the critical link in improving our federal facilities. However, the Energy Savings Performance Contracting authority has lapsed and additional direct appropriations are needed to pick up the slack. Even when ESPC authority is reinstated, additional funds will be needed to to assist in finalizing the growing backlog of projects.


Weatherization, State Energy Program, and Gateway Deployment: $395 Million
Cascade Associates and Alliance to Save Energy
We fully support recent proposed increases for the Weatherization Assistance Program, as well as increased funding for the State Energy Program. The State Energy Program impacts every sector of the economy, and it leverages over $3.54 of non-federal funds and directly saves $7.23 for every federal dollar invested in the program. We are, however, concerned about recent decreased emphasis on the Gateway Deployment programs such as Energy Star, Building Codes Training and Assistance, Rebuild America, and Clean Cities. These programs target education and outreach activities aimed at key energy market sectors. Research and development in new technologies will not transform the market by themselves. Gateway Deployment programs represents the "nickel that makes the R&D dollar pay off." The Energy Star Program, for example, produces $75 in energy savings for every dollar spent. These programs, active in all 50 states, create the private sector investment and the state and local engagement that are essential to get key technologies across the "commercialization gulf" that stymies many great ideas. These Gateway Deployment Programs would greatly benefit from no less than a 20% increase in funding.


Energy Information Administration End-Use Surveys: $5.2 Million
Alliance to Save Energy
Policy makers need detailed and up-to-date data on how energy is used in order to evaluate various energy policy options accurately. Congressional staffs, national laboratories and industry use this data to evaluate appliance standards, tax incentives, and R&D spending. Businesses use the data to identify market opportunities, utilities for load forecasting, students for research projects. EIA itself uses the data to project future energy use trends. As funding for EIA's energy consumption surveys has fallen, EIA has been forced to cancel the transportation survey, limit surveys to every four years (rather than three), and drop key questions from the surveys. Continued funding at the current level of $2.2 million could force the EIA to drop another of the three remaining surveys. A significant increase is needed in order to reverse these cuts and enable more analysis of how energy is used and saved, as well as produced. It would be leveraged in more effective efficiency programs throughout the country.


EPA Energy Efficiency Programs
Energy Star: $75 Million
Alliance to Save Energy
The EPA's (and DOE's) Energy Star program is a shining example of voluntary efficiency programs. The Energy Star program educates consumers about their energy purchases and encourages them to purchase the most efficient products. It works closely with private sector manufacturers, retailers, building owners, and energy service providers, as well as with state and local governments, nonprofits, and other organizations. And it works extremely well - for every tax dollar spent by the Energy Star program, $75 or more of energy savings are returned. Last year alone, Americans, with the help of Energy Star, saved enough energy to power 20 million homes and avoid the greenhouse gas emissions from 18 million cars - while also saving over $9 billion. Yet funding for the program has been flat (apart from internal cuts) for several years. Additional funds are needed to expand the program and to boost its successful consumer awareness efforts. Doubling the Energy Star budget would allow the Energy Star program to have a real impact on the energy shortages we face.


USAID Clean Energy Programs: $131 Million
Alliance to Save Energy
USAID plays a vital and unique role in supporting efforts to promote sustainable energy in developing countries. USAID's energy work is critical to meeting the basic needs and improving the health of the people in those countries. It is equally critical to the global environment and to limiting global energy demand. And by working with the private sector to design and implement policies that break down barriers to energy efficiency activities, USAID has been instrumental in helping the U.S. energy efficiency industry enter new markets and further increase sales of its products. USAID's funding for energy efficiency, renewable energy, and power sector reform helps to leverage millions of additional dollars in foundation, development bank, and other federal agency support. Yet funding for clean energy projects has been cut sharply by USAID. Overall funding for USAID energy programs declined from $131 million in FY03 to $83 million in FY04, with a further cut to $76 million proposed for FY05. Funding for the Economic Growth, Agriculture, and Trade Pillar's newly demoted energy team was cut in half from $16 million in FY01 to $7.5 million in FY04 (and the FY05 request). Reversing these cuts is necessary to deploy innovative energy solutions in developing countries, and to allow the U.S. government to meet commitments it made on energy issues at the World Summit for Sustainable Development.


DOE Renewable Energy Programs
Wind Power Technologies: $55 Million
American Wind Energy Association
Funding would be focused on developing a next-generation large wind turbines capable of operating in areas with lower wind speeds, thus expanding wind development potential by twenty times as well as allowing placement of turbines closer to existing transmission lines, and on next-generation small wind turbines for lower cost on-site power at homes, farms, and small businesses. Funding also would be used to study increased integration of wind energy into the nation's power grid and to support state initiatives to promote residential wind systems. The U.S. is the leading supplier of small wind turbines.


Photovoltaics: $100.0 Million
Solar Energy Industries Association
DOE research continues to bring costs down and performance up, fostering a domestic high-tech manufacturing base. However, the U.S. is losing share to Japan and the EU in this rapidly growing market. A 2001 DOE Peer Review concluded that the PV program's work was : "outstanding across all activities. doing an extremely effective job of setting priorities, balancing allocation of available resources, recognizing and addressing critical problems and barriers to progress and commercialization, and supporting the quality of work required to achieve its goals. The panel notes that the consistently high rankings assigned in this evaluation are very unusual, and they are also very deliberate.The panel believes this to be a truly outstanding element of the Department of Energy's programs." The cost-shared components have been experiencing particular success, doing cost-competitive research in coordination with industry, while keeping solar manufacturing in the United States. This program's competitive environment ensures rapid and cost-effective development and adoption of technologies that would not likely emerge otherwise. The Building Integrated PV program has attracted Administration notice. The FY 2003 Congressional Budget Document trumpets "an exciting and rapidly growing solar application which.will help cross the profit threshold that holds the key to significant growth." Meanwhile, the Thin Films Partnership continues to exceed their own worldwide efficiency records, with the real, near-term potential of cutting solar prices by half.


Concentrated Solar Power: $25.0 Million
Solar Energy Industries Association
Concentrated Solar Power deserves serious consideration and support particularly as a bipartisan promotion of Southwestern Governors supporting a 1000 MW initiative. The advanced trough RD&D program for electric power generation, absorption cooling and water and industrial process heating have shown immense promise and should be aggressively continued. Heat engine work focusing on validating the 1 MW deployment in Nevada of concentrated dish/Stirling engine as well as trough ORC needs broadening deployment, Technology validation of the new 1 MW solar trough/organic Rankin system in AZ and of the potential 50 MW power purchase agreement for solar trough electric generation in Nevada deserves high priority to increase market knowledge and acceptance. Finally, continued work on energy storage for all concentrated solar power technologies, including solar power tower, should received greater RD&D attention and deployment.


Solar Heating and Lighting: $7.5 Million
Solar Energy Industries Association
Formerly filed under the solar buildings heading, is Solar Heating and Lighting. Solar water heating technologies are utilized around the world in quantities far exceeding those in the US. Such systems significantly reduce the consumption of electricity, and of natural gas - up to several percent in many countries. Within this program, emphasis will be placed on reducing the cost of solar water heating - the goal is to reduce the lifecycle cost of solar water heating below $.04 /kWh, ($1.17 / therm), as well as examining new applications for solar hybrid lighting.


Biomass/Biofuels: $105 Million
New Uses Council
Biomass power funding should support cleaner combustion, gasification, and digestion technologies for electric generation with biomass. A variety of feedstocks should be tested for emissions within these technologies. Distributed generation with small biomass systems should be emphasized as well. The power and fuels programs should work closely together to develop biorefinery plants that can be operated in the U.S. to produce clean fuels, power and chemicals. The biofuels program should add to the existing biomass options (e.g., corn fiber) with an expanded focus on cellulosic biomass for ethanol as well as biodiesel.


Accordingly, the SEC seeks $55 million for Biofuels RD&D program that focuses on cost reductions in the production of ethanol through the fermentation of sugars and the gasification of cellulosic biomass and biomass waste streams for the production of synfuels and their conversion into biofuels. Areas to be highlighted include: 1) developing new products for distillers grains and positioning corn-to-ethanol plants to accommodate cellulosic biomass for the production of fermentable sugars and for the use of residuals and lignin to produce both thermal and electrical power; 2) accelerating the use of ethanol in E-85 vehicles by optimizing these engines for the higher octane of ethanol; 3) Working with the Energy Future Coalition in implementing their concepts for advancing the ethanol industry; 4) continuing to work with USDA and DOI — in locating and funding RD&D projects that will convert agricultural and forestry crops and residues into biofuels; 5) working with US auto makers in advancing hybrid electric and hybrid electric plug-in vehicles using ethanol, biodiesel and other biofuels; 6) working with engine manufactures to optimize the performance of diesel engines using a no-sulfur, middle distillate produced from cellulosic biomass. It is possible that this combination will more than favorably compete with hydrogen in terms of costs and environmental benefits; and 7) [see item 7) under Biomass Electric with a focus on the production of biofuels].


The SEC further asks for a $ 50 million Biomass Electric RD&D program which becomes less line-itemed, but directed towards industry commercialization partnerships around six technology areas: 1) gasifiers - maintain a program to validate and enhance performance of large and smaller-scale generators, 2) anaerobic digestion - assist existing industry on standardization, replication and integration with a range of biomass-electric generation technologies, 3) heat engines - assist existing industry manufacturers in validating systems using biogas, biodiesel, landfill gas, and waste heat, 4) diesel and other reciprocating and turbine engines — using biodiesel x (any renewable fuel, from any form of biomass used in a compression ignition engines), ethanol, biomethanol and other liquids and biogases, (5) cogasification and cofiring of biomass with coal to produce power, thermal energy and syn gases, (6) the use of charcoal, produced as a byproduct of biomass gasification or pyrolysis, as a valuable soil amendment, and 7) utility education programs for independent, cooperative and municipal utilities on utilization of their biomass resources to stabilize electric rates, enhance reliability of the US electric grid, and lower emissions.


Geothermal: $53.0 Million
The U.S. urgently needs to develop the technology and resource knowledge necessary to tap its extensive geothermal resources base. While the USGS estimates the accessible resource base to be at least 95,000 MW, because of the high risk and cost of production the U.S. tapping only 2% of this potential. Currently, DOE geothermal research program is severely under funded. At one time the geothermal research budget was over $150 million, but today the program struggles to maintain a bare-bones research program. When one production well can cost $10 million, a research program that is presently funded at $25.5 million (FY04 budget) is simply below critical mass. The DOE research program lacks funding to support cost-shared research into advanced technologies, cannot support or undertake critical resource assessment, and fails to take the other measures needed to tap the huge identified potential of this resource.


In addition to continuing the base program funding (FY04 budget of $25.5 million), the SEC recommends: $6 million for GeoPowering the West, an additional $1.5 million for resource assessment - the U.S. geothermal resource assessment is over 25 years old and urgently needs updating; $3 million for direct use geothermal efforts, which are directed to expand the utilization of geothermal energy for agricultural, commercial, and other uses by building upon successful efforts of organizations like New Mexico State University; $5 million for an advanced power technology development solicitation, which will seek industry partners to develop the geothermal power system of the future; and, $7.5 million for "enhanced geothermal systems" technology development, work which holds the promise of increasing the geothermal resource base ten-fold.


Hydropower: $10.0 Million
National Hydropower Association
Funding for the Department's hydropower program shall be used for the Department's Advanced Hydropower Turbine System (AHTS) program and related activities. The funding shall also support broadening the Department's hydropower program to study other operational and environmental issues related to hydropower production, including the potential integration of hydropower with other renewable energy technologies. Funding shall also be made available to conduct research and development that will improve the technical, societal and environmental benefits of hydropower and provide cost competitive technologies, such as microhydropower, that enable the development of new and incremental hydropower capacity. The Department shall disperse appropriated money among these program areas as appropriate.


Hydrogen: $120.0 Million
Breakthrough Technologies Institute
While Hydrogen is not a fuel, it represents an important energy carrier. The SEC stresses that the DOE RD&D be focused on utilizing renewable resources, waste heat, and related clean processes to generate hydrogen, and to de-emphasize the use of coal or nuclear energy, traditional energy resources, for this purpose. Hydrogen RD&D should focus in three prime areas: 1) Infrastructure - to transport, store and safely utilize hydrogen at a maximum of $40 million, 2) Creation of hydrogen from renewable energy and waste heat (CHP) utilizing the many options including novel concepts, at $60 million, and 3) Unique conversion of hydrogen to electricity including primarily fuel cells, but also heat engines and NIMH storage systems.


Renewable Energy Production Incentive
American Public Power Association
The Department of Energy's Renewable Energy Production Incentive (REPI) program, under EERE Intergovernmental Activities, was created by the 1992 Energy Policy Act to provide public power systems and rural electric cooperatives with a counterpart to the tax incentives that are available to for-profit utilities for renewable generation. Under the program, new solar, wind, geothermal, biomass and landfill gas projects are eligible to receive 1.8 cents per kWh of production, payable for ten years. The REPI program is invaluable to not-for profit utilities in helping them to make investments in these costly but critical resources. Over the past decade, however, REPI has been underfunded. According to the Congressional Joint Tax Committee, more than $70 million would be needed for REPI projects. Therefore, the SEC urges an increase in the FY 2006 Budget request for the REPI program above the historical $4 million in order to reflect the funding needed to make the program a viable incentive to consumer-owned utilities.


Distributed Generation: $25.0 Million
The Stella Group Ltd.
The RD&D program, now under Electric Transmission and Distribution, should focus on three basic RD&D areas: 1) better testing and validating performance and new interconnection and storage applications for distributed generation technologies, including renewable, hybrid renewable, and other clean energy technologies 2) development of multiple products of "smart interconnection" equipment to be able seamlessly to integrate any distributed generation technologies at three different use or size levels: at the distribution line, transmission lines and at the consumer side of the grid, and 3) analysis on impacts of DG on preventing black and brownouts, reduce pollution, reduce electric line loss, enhance power quality, and prove greater grid and user energy security.


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