Will the prospect of a clean energy future get our budget passed?
In talking to many people, very few were as excited about the President’s budget rollout as I was. This is probably due to the dim prospects of it actually getting passed this year it being an election year. Well, without going into a debate about whether or not it will fly in Congress, I do want to write a post about it as I think that it clearly showcases the importance that President Obama places on a clean energy economy. And because of this, I also think that congress should at least consider (at least the R&D side) the budget because if some of the clean energy investments are passed, the benefits will trickle down to their substituents and create more jobs and industries in their own states. The rest of the world is on board with investing in clean energy, why are we not? Although, according to Bloomberg, in 2011, we finally surpassed China in our investments in clean energy with 55.9 billion dollars when China invested 47.4 billion dollars in clean energy. Lets increase this!
I was excited to read that the Department of Energy’s proposed R&D budget for FY 2013 is 11.9 billion, an $884 million increase (8% of 2012 enacted). Within this budget request, specifically for R&D, there is (nearly a) 30% increase ($2.3 million) in the budget for Energy Efficiency and Renewable Energy (EERE) Programs, as well as (almost a) 30% increase ($350 million) in the budget for Advance Research Projects Agency in Energy (ARPA-e). I am proud of these increases because energy efficiency programs and efforts are some of the most important things that we can do now to reduce our emissions and save on energy. It it amazing how much economic sense improvements in efficiency can have and yet we consistently under invest in these types of efforts. But, there is a great piece by psychologist Brandon Hofmeister, that perhaps describes the cognitive barrier between knowing that something that makes economic sense and actually doing what makes economic sense. Nonetheless, more efforts to encourage consumers to be energy efficient and for utilities to reward their consumers when they are energy efficient is a very good thing.