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DOE Funds New Energy Technologies Without Estimating Potential Net Energy Yields

IPE-82-1 Published: Jul 26, 1982. Publicly Released: Jul 26, 1982.
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Highlights

The Department of Energy (DOE) has questioned the feasibility and utility of using the net energy analysis method of determining the energy yield and efficiency produced by newly introduced technology as required by Public Laws 93-577 and 96-294. GAO examined the net energy concept to determine its methodological feasibility and cost effectiveness in DOE evaluations of programs which are eligible to receive energy funding.

Recommendations

Matter for Congressional Consideration

Matter Status Comments
Congress should require DOE, or succeeding entities, to demonstrate during oversight and appropriations hearings that the potential ability of proposed energy technologies to produce net rather than gross premium fuels and energy at their commercial stage was analyzed and considered before DOE funded the development of those technologies.
Closed – Not Implemented
Congressional interest in new energy technology has subsided as a result of the substantial budget reductions implemented in the early years of the present administration.

Recommendations for Executive Action

Agency Affected Recommendation Status
Department of Energy The Secretary of DOE should issue directives necessary for ensuring that similar or comparable cost-estimating methods, based on acceptable levels of engineering effort, are used in developing proposal documents and that their results are tested for validity.
Closed – Not Implemented
DOE disagreed with this recommendation and does not intend to take corrective action.
Department of Energy The Secretary of DOE should issue directives necessary for obtaining uniform data on the cost, performance parameter, energy, materials inputs, and final products and by-products of energy facilities in proposal documents, along with their associated quantitative uncertainties.
Closed – Not Implemented
DOE disagrees with this recommendation and does not intend to take corrective action.
Department of Energy The Secretary of DOE should issue directives necessary for developing the additional database for the analysis of indirect energy flows.
Closed – Not Implemented
DOE disagrees with this recommendation and does not intend to take corrective action.

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Agency evaluationBid evaluationEnergy costsEnergy efficiencyEvaluation methodsResearch grantsCoalFuel ethanolFuelsCoal liquefaction