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public investments

ARPA-E Still Pushing Boundaries of Clean Energy in Fragile Budget Environment

Last week, the Advanced Research Projects Agency – Energy (ARPA-E) announced support for 33 new projects aimed at developing an affordable and scalable clean energy transportation sector. The projects are the latest round of public investment from ARPA-E in high-risk, high-reward low-carbon energy innovations that could be game-changing in the fight to address climate change. The projects are notable because Washington’s current fragile budget and policy environment – a dangerous combination of sequestration, budget cuts, and an overall negative view of energy innovation – puts ARPA-E’s funding at risk for the next fiscal year.

First, let’s look at the programs. ARPA-E takes investing in new sectors of energy innovation seriously – ARPA-E’s due-diligence includes a small, but dedicated government staff, interaction with industry to understand emerging research problems, and a constant influx of new program managers. Program managers are brought in on three year temporary terms to carry out their investments. ARPA-E’s Deputy Director Cheryl Martin explained this is important because the “three year cycle doesn’t allow us to drink our own cool-aide.” In other words, it prevents stagnation of investments and allows for fresh approaches to energy innovation.

The

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ARPA-E Rethinks Electric Vehicle Batteries

Before its annual Energy Innovation Summit in 2013, the Department of Energy’s Advanced Research Projects Agency-Energy (ARPA-E) announced funding for a new program aimed at rethinking electric vehicle (EV) batteries. The program, Robust Affordable Next Generation Energy Storage Systems or RANGE, was created as part of an integrated effort to accelerate electric vehicle innovation to reduce costs and improve performance of EVs. Last week, ARPA-E announced the names and descriptions of the 22 recipients for the RANGE program, representing fresh approaches to making EVs available to everyone.

ARPA-E has invested in transportation technologies since its creation. The new RANGE program complements the agency’s BEEST program for doubling the energy density of EV batteries by altering battery composition and materials, AMPED for seeking advanced power management technologies for storage, andGRIDS, for developing cheap utility scale storage. The RANGE program is a genuine reflection of these previous ARPA-E’s programs as it supports truly far-reaching innovations and revolutionary energy technologies.

The program recognizes that significant breakthroughs in battery chemistry and vehicle architecture are crucial for EVs to compete with internal combustion vehicles. In response, most of the RANGE projects consider alternative

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Breaking Down the Federal Clean Energy Innovation Budget: Manufacturing Investments

This is the 5th and final post in a series analyzing and detailing federal investments in clean energy innovation. Part 1 defined “clean energy innovation.” Part 2 broke down the federal clean energy innovation budget. Part 3 took a look at federal investments in clean energy demonstration projects.  Part 4 took a deeper dive into clean energy deployment policies.

In the first post of this series, I called attention to the eminent need for supporting a well-developed and funded clean energy manufacturing sector as part of a robust innovation ecosystem. The feedback loops between manufacturing and research is explicitly linked. Even with all the R&D, demonstration, and deployment of clean energy, the United States could lose its competitive advantage over production resulting in the industry (and future innovation) to move overseas without strong policy support for advanced manufacturing. But like many other parts of America’s energy innovation budget, support for advanced manufacturing is rapidly declining.

The figure below shows that investment in clean energy manufacturing has fallen from nearly $9 billion to only $700 million between FY2009 and FY2012, or a 92 percent decrease. Direct spending in FY2009 and FY2010

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Breaking Down the Federal Clean Energy Innovation Budget: Deployment Incentives

This is Part 4 of a series of posts analyzing and detailing federal investments in clean energy innovation. Part 1 defined “clean energy innovation.” Part 2 broke down the federal clean energy innovation budget. Part 3 took a look at federal investments in clean energy demonstration projects.

For the last couple of years, the lion’s share of debate on U.S. clean energy policy has focused on encouraging deployment – or large-scale construction and installation – of low-carbon technologies. By significantly deploying clean energy technologies, supporters say, the United States can encourage integration of emerging technologies in an energy market dominated by entrenched fossil fuel interests, spur cost-cutting economies of scale, and get started on lowering greenhouse gas emissions in the process. However, others argue that there is a necessity to designing well-constructed deployment incentives aimed at directly spurring innovation to address climate change.

A Quick Typology of Deployment Policies

Federal clean energy deployment incentives can be made available through grants and other annually appropriated programs. For instance, the State and Tribal Energy Programs at the Department of Energy (DOE) deploy building efficiency and renewable energy technologies within communities. The New

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