"Nuclear fuels, for various technical reasons, are unlikely ever to bear more than about one-fifth of the load. "We must look to solar energy. * * * "Efforts made to date to harness solar energy economically are infinitesimal. It is time for aggressive research in the whole field of solar energy-an effort in which the United States could make an immense contribution to the welfare of the free world." (a) Is the FEA engaging in any study of the historical, political and economic reasons why this advice of the Paley Commission, which now seems so sound, was virtually ignored until about 1973? If not, would it not be useful and important to do so, as an aid to policy makers seeking to understand and avoid similar calamitous errors of omission and inaction in the future? (b) Please list all the reasons that you can think of why solar energy was not the subject of the "aggressive research" the Paley Commission recommended in the 1950's, 1960's and early 1970's, and provide an evaluation of each reason you list in the light of present knowledge. (c) Please identify the parts of the Federal Government that presumably would have had an official duty to consider the above-quoted Paley Commission recommendation and recommend or take action thereon, (i) in the decade of the 1950's (ii) in the decade of the 1960's, and (iii) in the first half of the 1970's. Answer 10. The FEA's chief concern is current and future solar utilization. Manpower limitations preclude suitable historical studies. The existence of functioning, chartered solar efforts within Federal agencies testifies to the seriousness of today's Government committment to solar development and utilization. (i) Senator Hubert Humphrey and former Senator Alan Bible, and others, introduced legislation supporting solar energy research during the late 1950's and early 1960's. However, energy sources available at that time were relatively inexpensive. This situation has changed dramatically. (ii) Certain solar technologies available today for utilization became such only post-Paley, e.g., solar cells in the early 1950's, well-performing flat-plate collectors in the 1950's, promising processes for low-cost solar cells in the 1960's. Large-size development money tends to be directed towards technology that already has had some research success. 49. "FEDERAL ROLE IN ACCELERATED COMMERCIALIZATION OF SOLAR HEATING AND COOLING," OFFICE OF ENERGY CONVERSION, SOLAR ENERGY BRANCH, FEDERAL ENERGY ADMINISTRATION, JUNE 1975 Attachment to Answers 4f and 6 Office of Energy Conversion June 1975 FEDERAL ROLE IN ACCELERATED COMMERCIALIZATION OF SOLAR HEATING AND COOLING The Federal Government's solar energy commercialization effort is concurrent and not sequential to the research, development, and demonstration (R, D&D) program. This is a key point. Concurrent action is necessary because, in some instances, market development requires a longer lead time than does the R, D&D effort. The Government's commercialization program is predicated on two major assumptions: projected as a result of solar energy in the Project Independence Report will not be realized. 2 The Government is involved in commercialization activities such as: • Identifying and, where appropriate, working for the removal of economic, institutional, and legal barriers to the technologies. · Stimulating market demand; • Developing solar energy industry capability, and • Performing trade-off studies to assure that solar energy development programs are properly interwoven with other energy development/energy conservation programs. Solar heating and cooling, for example, will be an economically rational choice only: When installed in properly insulated homes, and When the higher first costs of collectors have been reduced natural gas, and electricity have been allowed to rise to free market levels. The various Federal agencies are working cooperatively in each of these ACCELERATED UTILIZATION & COMMERCIALIZATION OF SOLAR HEATING & COOLING ་ The Federal Government is developing policies and programs that will provide for the accelerated utilization and widespread commercialization of solar heating and cooling. These policies and programs are directed toward having solar heating and cooling contribute significantly to America's energy self-sufficiency by 1985. National Plan for the Accelerated The Federal Energy Administration, in cooperation with other agencies, is preparing a National Plan for the Accelerated Commercialization of Solar Energy. The plan will include options and requirements necessary to achieve an aggressive, but reasonable goal of one million barrels of oil/day equivalency for all solar energies by 1985. The majority of energy savings to be realized from solar energy during this time frame will be from solar heating and cooling. The Plan will provide various options from which choices could be made to achieve at least one million barrels of oil per day equivalency by 1985. Some of the options that will be considered are discussed herein. It is emphasized that at this time, these are conceptual possibilities and do not yet constitute approved policy or program actions. Early Commercialization Efforts Prior to completion of the Plan, however, certain initial commercialization efforts are expected to be implemented. These efforts may include the Solar Energy Government Buildings Project, accelerating certification criteria and consumer information for solar water and space heating systems, and accelerating the private sector solar water heater 1. Market Development/Stimulating Market Demand Federal Government action in stimulating market demand (market pull or market aggregating) can be most effective in affecting the rate of acceptance of solar heating and cooling systems. Federal programs to stimulate market demand could range over a broad spectrum. included in this area will: Efforts Encourage entry into the field. Encourage private sector markets large enough to allow the economies of scale that will reduce costs to a point not requiring subsidies. Encourage ever-expanding use of solar heating and cooling, thus reducing the use of fossil fuels. Specific activities in the program to stimulate market demand include public education and possibly user incentives. 1.a User Incentives User incentives are incentives designed to aggregate markets and stimulate consumer demand. Such incentives, by definition, impact directly on market demand and thus have the greatest impact on the extent of utilization and in turn the greatest impact on energy savings. User incentives must be designed carefully to be cost effective. However, they are not very controllable. |