Federal Government

The Federal Government has been funding distributed energy resources research for many years throughout various offices and national laboratories. The Department of Energy (DOE) is a strong supporter of RD&D for the commercialization of DER technologies. The DOE's Energy Efficiency and Renewable Energy (EERE) office operates the Distributed Energy Program. The DE Program is organized into the following program areas, all of which support DER initiatives and encourage advanced energy education and outreach:

• Distributed Energy Technologies
  
  
  • Industrial Gas Engines
  • Microturbines
  • Gas-Fired Reciprocating Engines
  • Thermally Activated Technologies
  • Technology Base Research

• End-Use System Integration and Interface
  
  
  • CHP Technologies
  • CHP Applications

The Distributed Energy Program sponsors programs and initiatives for the advancement of many DER technologies, including:

• Advanced Microturbine Program - a six-year program from 2000-2006 that includes goals for high efficiency, low emissions, low cost, high durability, and fuel flexibility.

• Advanced Reciprocating Engine Systems Program - began in 2001 with the goal of creating an engine with a 95% reduction in NOx emissions and a 50% increase in efficiency by the year 2010.

• Combined Heating and Power Program - coordinates a number of CHP effort within the DOE to raise awareness of the energy, economic, and environmental benefits of CHP and to remove barriers to increased implementation

• In 2000, the DOE spent $175 million on DER programs, including $66 million for photovoltaic technology, $44 million for fuel cells, $33 million on wind technology, and $24 million on combustion turbines.

In December 2000, the Department of Energy released its Strategic Plan for Distributed Energy Resources, which describes a 20-year plan for a national effort for developing DER technologies. The plan provides a framework for integrating the various DER programs throughout the department. The plan calls for a spending of $200 million in 2001. The DOE Distributed Generation Program plan includes both research and development and policy development. The DOE Program Plan covers efforts currently underway in the Office of Energy Efficiency and Renewable Energy (EERE) and the Office of Fossil Energy.

The Office of Fossil Energy, under its Electric Power R&D division, includes the following distributed generation goals:

• Commercially introduce high-temperature, natural gas-fueled molten carbonate fuel cells (MCFC) and solid oxide fuel cells (SOFC) capable of 50 to 60 percent efficiency in the multi-kilowatt range at $1,000-1,500 per kW by 2003.

• Expand MCFC and SOFC fuel use to gasified coal and other hydrocarbons by 2010.

• Achieve market entry for a 21st-century fuel cell using solid-state composition and advanced fabrication techniques to achieve 80 percent efficiency and reduce capital costs to $400 per kW with stack costs of $100 per kW by 2015.

• Commercially introduce early fuel cell/gas turbine hybrids capable of 70 percent efficiency by 2010.

• Commercially introduce an advanced gas-fired reciprocating engine with 50 percent efficiency and NOx emissions of 5 ppm or less by 2010.