Renewables
really are underfunded
In a paper published in the July 30, 1999 issue of Science,
authors Robert Margolis of Princeton University and Daniel Kammen at the
University of California at Berkeley have documented the significant decline of
American energy technology research budgets since the early 1990's. US funding
for clean energy research fell 56 percent between 1980 and 1995, resulting in
Japan outdoing the US in the sale of solar cell products. The authors also found
a correlation between the decrease in funding an the number of patents approved
for clean energy technology.
Total federal subsidies for 1999, in millions, (includes direct
expenditures, tax expenditures and r&d) :
- oil $567 (255 direct, 263 income tax, 49 r&d);
- natural gas $1664 (501 direct, 1048 income tax, 115
r&d);
- coal $489 (85 income, 404 r&d);
- oil/gas/coal combined $205 (all income tax);
- nuclear $640 (all r&D);
- renewables $386 (44 direct, 15 income tax, 327 r&d) [plus $725
million for alcohol fuels excise tax]
So, nuclear received almost twice as much in subsidies as renewables. (and
keep in mind renewables includes much more than just wind: it includes solar,
biomass, geothermal). For perspective: "The total estimate for all
subsides, $6.2 billion, is only 1.1% of total annual expenditures on energy in
the US."
Source: (numbers above from table ES3): Federal Financial
Interventions and Subsidies in Energy Markets 1999: Energy Transformation and
End Use (published 5/2000 by the US Energy Information Administration
publication No. SR/OIAF/2000-02). (available on
www.eia.doe.gov