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EMD-79-99 1 (1979-07-27)

handle is hein.gao/gaobaazne0001 and id is 1 raw text is: IO7~ 7 COMPTROLLER GENERAL OF THE UNITED STATES WASHINGTON, D.C. 20548 B-178205 July 27, 1979 The Honorable Gary Hart Chairman, Subcommittee on Synthetic Fuels Committee on the Budget United States Senate e) 10- Ji C_, Dear Senator Hart: This letter is in-response to the questions raised in your letter of July 19, 1979. You requested our views on various aspects of proposals to accelerate synthetic fuel development. The questions posed were: --Whether synthetic fuel development should be an on- or off-budget activity. --Whether the various proposals would develop a compe- titive synthetic fuels industry. --Whether such an industry would need Federal subsidies or other forms of Federal regulation and intervention to make it successful. --What are appropriate national goals for synthetic fuel production and the appropriate technical means to achieve those goals. --What financial mechanisms might be most helpful in achieving those goals. Because you asked for a very quick response, this letter of necessity does not represent an indepth analysis of all aspects of your questions. Nonetheless, we have been concerned with many of the issues raised for some time and hope that the following comments may be of some value to you. Before addressing the five specific questions you raised, we would like to offer for your consideration some comments on two other basic issues: the importance of a significant effort to develop synthetic fuels and the need for a separate organization to encourage that development. e, EMD-T99?( 'ii) /(990515)f 0 -4

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