Department of Energy

The Administration's FY 2007 budget request for the Department of Energy (DOE) is $23.6 billion, a $5 million decrease from the FY 2006 appropriation. While overall funding for the DOE is virtually flat, the FY07 request includes significant shifts for many offices to reflect the Administration's realignment of energy priorities. Real decreases will be absorbed largely by DOE's $6.6 billion Environment and $2.6 billion Energy budgets, with decreases of $589.6 million (8.2 percent) and $130 million (4.8 percent), respectively. The National Nuclear Security Administration budget request is $9.3 billion, a 2.3 percent increase over the FY06 appropriation.



DOE’s Office of Science FY07 budget requests $4.1 billion, a 14 percent increase over the FY06 appropriation, as a part of the American Competitiveness Initiative. Funding for this initiative will go toward new technologies in such areas as nanotechnology, material science, biotechnology and high-speed computing. The Science budget includes $539 million for the Advanced Energy Initiative, a $2.1 billion DOE program intended to reduce America’s dependence on imported energy sources. Total funding for the initiative reflects a $381 million increase over its FY06 level.



Also under the Office of Science, increases of $50.9 million and $31.3 million are targeted for nanoscale science research and fusion sciences research, respectively. Some of the Science program areas with proposed increases or decreases include:

• Advanced Scientific Computing Research – $319 million (35.8 percent increase)
• Basic Energy Sciences Program – $1.42 billion (25.2 percent increase)
• Biological and Environmental Research – $510 million (12 percent decrease)
• High Energy Physics – $775 million (8.1 percent increase)
• Nuclear Physics – $454 million (23.7 percent increase)
• Workforce Development for teachers and scientists – $10.9 million (53.8 percent increase)

The FY07 budget request for the Office of Energy Efficiency and Renewable Energy (EERE) is $1.2 billion, a 0.2 percent increase over the office's FY06 level. EERE conducts research, development and deployment activities to advance energy efficiency and clean power technologies and practices. Much of this funding is an integral part of the Advanced Energy Initiative and expands programs that research new energy sources, including $195 million for Hydrogen Technology, a $40 million increase over FY06; $150 million for Biomass and Biorefinery Systems R&D, a $59 million increase; $148 million for Solar Energy, a $65 million increase; and $44 million for Wind Energy, a $5 million or 12.8 percent increase.



One EERE program that would see a decline in its funding is Vehicle Technologies. This program researches technologies for cost effective plug-in hybrid vehicles and supports the FreedomCAR and Fuel Partnership and the 21st Century Truck Partnership. It would receive $166 million, a $16 million (8.8 percent) cut from the FY06 level.



Under the Energy Supply account, the FY07 budget eliminates two programs that research alternative, clean and environmentally friendly power technologies -- Geothermal Technology, a $23 million decrease, and Hydropower, a $495,000 decrease.



The Office of Fossil Energy would receive $649 million in FY07. Requested funding shows a $192.7 million decrease over the FY06 appropriation. Funding for coal R&D, one of the office's major programs, would be slashed by $46.1 million, relative to FY06. The FY07 budget proposes to cancel $203 million in prior-year balances and request advanced appropriations of $203 million of forward funding for FutureGen in FY 2008 and beyond, which fulfills a similar role of demonstrating advanced coal-based technologies. The budget request states these balances are no longer needed to complete active projects in the Clean Coal Technology program. The budget also proposes to transfer $54 million from Clean Coal Technology to the Fossil Energy R&D program for work on the FutureGen project to develop a coal-fueled, near-zero atmospheric emissions electricity and hydrogen generation plant.



Additional DOE programs of interest:

• Advanced Fuel Cycle Initiative – $243 million (206.8 percent increase)
• Advanced Metallurgical Research – no new funding requested ($7.9 million decrease)
• Building Technologies – $77.3 million (11.6 percent increase)
• Clean Coal Technology – $20 million (100 percent increase)
• Coal R&D Program – $330 million (12.2 percent decrease)
  • Clean Coal Power Initiative (CCPI)– $4.9 million (90 percent decrease)
  • FutureGen – $54 million (203 percent increase)
  • Advanced Research – $28.9 million (45 percent decrease)
  • Fuels – $22.1 million (23 percent decrease)
  • Carbon Sequestration R&D – $73.9 million (11.4 percent increase)
• Fossil Energy R&D – $469.6 million (20.7 percent decrease)
• Generation IV Nuclear Energy Systems Initiative – $31.4 million (42.4 percent decrease)
• High Temperature Superconductivity R&D – $45.5 million (9.1 percent decrease)
• Industrial Technologies – $45.5 million (19.9 percent decrease)
• Industries of the Future – $17 million (29.9 percent decrease) for Specific industries and $28.6 million (1 percent decrease) for Crosscutting. Funding for industrial technical support program also is cut by $3.7 million, virtually closing out the program.
• Natural Gas Technologies – no new funding requested ($32.7 million decrease)
• Petroleum/Oil Technologies – no new funding requested ($31.7 million decrease)
• University Reactor Infrastructure and Education Assistance – no new funding requested ($26.7 million decrease)