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and the actual design by industry of a baseline multicylinder adiabatic diesel system will be carried out.

The budget also includes the energy-related inventions program which was established to evaluate the technical merits of energyrelated inventions submitted to DOE and to provide technical assistance and grants to further develop promising inventions.

In the multisector program we will complete experimentation and modeling of the joining of ceramics to ceramics and ceramics to metal, which is an important element in providing reliable ceramic engines. This will involve using new microwave heating techniques.

The budget request also provides for continued investigation of both theory and experiment to expand our understanding of the relationships between bonding and structure at the atomic level in selected materials problems related to conservation. One of the possible results of this work could be the development of new ultrahigh temperature materials.

Our renewable energy programs are contributing to an important part of our Nation's energy supply mix. In fact, renewable energy-based resources from solar and thermal are presently accounting for a great deal of the energy consumed in the United States.

When the Federally supported renewable energy programs began in 1974, most of these technologies well in the conceptual stage, but today we have made significant advances in all of these technologies. Teams of scientists and engineers from Government laboratories, universities and industry have created a solid technology base and expertise and have a broad array of disciplines pertaining to renewable energy technologies.

In order to support this development, our program will continue to address a range of fundamental issues. These issues include basic materials-related work on the structural integrity of reflective surfaces, and conversion efficiency of photovoltaic materials: resolution of wind technology reliability and durability issues through advancement of underlying structural and aerodynamic theory; combustion research; and biological health effects and risks associated with exposure to high voltage electric and magnetic fields; and the feasibility of using magma energy as a geothermal energy source for power generation. The proposed budget for supporting renewable energy R&D totals $108 million.

Mr. Chairman, this budget request maintains program goals and will allow us to address the items of highest priority in research and development in the fields of energy conservation and renewable energy, thereby contributing to the accomplishment of our national goal of fostering an adequate supply of energy at reasonable costs. This is a budget which I believe seriously recognizes today's fiscal responsibilities as well as tomorrow's anticipated needs and will build on the foundation of energy stability and security that we, working together with the Congress, have laid in the last few

years.

Mr. Chairman, we are pleased to have the advice we have received from the Congress and particularly the subcommittee and we thank you for the opportunity to appear today.

[The prepared statement of Miss Fitzpatrick follows:]

STATEMENT OF

DONNA R. FITZPATRICK

ASSISTANT SECRETARY FOR CONSERVATION AND RENEWABLE ENERGY

U.S. DEPARTMENT OF ENERGY

BEFORE THE

COMMITTEE ON ENERGY AND NATURAL RESOURCES

SUBCOMMITEE ON ENERGY RESEARCH AND DEVELOPMENT

UNITED STATES SENATE

March 17, 1986

Mr. Chairman and Members of the Subcommittee:

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I appreciate the opportunity to appear before you today to discuss the FY 1987 budget request for the Conservation and Renewable Energy programs of the Department of Energy. The budget for these programs is consistent with the goals and objectives of national energy policy and is fully responsive to the Administration and Congressional goals of deficit reduction.

The Administration's overall energy goal is to foster an adequate supply of energy at reasonable cost. We can achieve that goal through the combination of energy stability, energy security, and energy strength. Energy stability has been achieved over the past five years. Our energy security is growing stronger day by day. Our objective for the immediate future is to build this Nation's energy strength, making full use of its vast natural resources and the daring and ingenuity of its citizens. Our approach includes supporting advances in energy conservation as well as possible energy supply sources of the future such as renewable energy.

Deficit reduction is perhaps the preeminent domestic economic imperative today and the Department fully recognizes that fact. For this reason, we are doing all we can to concentrate increasingly scarce resources on those programs and projects that directly fulfill a responsibility of the Federal government and truly require Federal assistance. If we are to achieve our overriding goal of deficit reduction we cannot afford to continue to allocate scarce Federal resources to activities where the

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rationale for continued Federal involvement is weak and where State and local organizations or private industry can and should take over responsibilities presently borne by the Federal government. Also, we cannot permit programs or projects to continue with Federal support unless they meet a high priority national need. We have no choice under the current and necessarily strict fiscal regimen but to concentrate scarce resources where they show promise of bringing the greatest benefits.

As we seek ways to gain the greatest benefit from our limited resources, we will investigate cooperative research and development ventures with private industry consortia. This approach to R&D funding has the potential to provide greater leverage of Federal funds and to assure that resources for applied R&D are focused on high priority areas where there is private commitment to follow through with promising technologies. It can also foster increased technology transfer by involving industry earlier in the R&D sequence. One of our early steps will be the publication of a general solicitation of industry interest in forming R&D ventures in the various conservation and renewable energy program areas.

In order to contribute to the achievement of our goals, the FY 1987 budget request for energy conservation and renewable energy research and development (R&D) programs will continue to support development of a mix of technologies that can contribute to both energy supply and improved end-use efficiency. The FY 1987 budget request for Conservation and Renewable Energy programs under this subcommittee's jurisdiction totals

$179.3 million; $71.2 million for energy conservation programs, and $108.1 million for renewable energy R&D programs.

I would like now to discuss each of our major program areas under the Office of Conservation and Renewable Energy and its related FY 1987 funding request.

FY 1987 BUDGET REQUEST FOR ENERGY CONSERVATION R&D

The FY 1987 budget request for energy conservation research and development programs under this subcommittee's jurisdiction totals $68.8 million. It includes $11.9 million for Buildings and Community Systems, $15.6 million for Industrial Programs, $19.8 million for Transportation, $19.8 million for Multi-Sector Programs, and $1.7 million for Policy and Management.

Buildings and Community Systems

The buildings sector accounts for approximately 36 percent of our total national energy consumption. In residential buildings, space heating, water heating, and refrigeration use the largest amounts of energy; in commercial buildings, space heating, lighting, and air conditioning use the largest amounts. Significant energy savings can be achieved by improving the efficiency of these and related building functions. Our Buildings and Community Systems program conducts research to establish a technology base upon which industry can build to make these savings possible and makes the results of that research available to the private

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