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EMD-81-82 1 (1981-06-17)

handle is hein.gao/gaobabcbe0001 and id is 1 raw text is: 




                  UNITED STATES GENERAL ACCOUNTING OFFICE
                         WASHINGTON, D.C. 20548


WERGY A1ND MZNOA.S                         June 17, 1981
    DIVISION
    B-203092



    Chairmen, Selected Committees and
       Subcommittees

          SUBJECT: Views on Energy Conservation and the
                    Federal Government's Role (EMD-81-82)

          The administration's fiscal year 1982 budget proposals
     signal a major shift in the Federal Government's role with
     respect to achieving energy conservation. The proposals
     would significantly reduce funding for the energy conserva-
     tion programs carried out by the Department of Energy (DOE)--
     from $938 million in fiscal year 1981 to $195 million in
     fiscal year 1982. According to the administration, the basis
     for its position is that rising energy costs are encouraging
     major efforts in energy conservation, thereby permitting a
     substantial curtailment in Federal conservation programs.

         During the past 3 years, the General Accounting Office
     (GAO) has issued a number of reports, to both the Congress
     and DOE, addressing the Federal Government's efforts to
     achieve greater energy conservation in the Nation. This re-
     port summarizes the key aspects of our past work and contains
     our views on the proposed 1982 budget for energy conservation.
     The report is intended to assist the Congress in its continu-
     ing deliberations over Federal initiatives in the energy con-
     servation area and in its decisions on the administration's
     fiscal year 1982 budget proposals.

         Based on our past work, the administration's actions to
    substantially curtail conservation programs raise two areas
    of concern. First, major decisions on the Federal Govern-
    ment's role in fostering energy conservation continue to be
    made without a clear understanding of energy conservation's
    contribution in resolving national energy problems in a timely
    manner. Second, the abrupt changes in certain Federal pro-
    grams, as reflected in the fiscal year 1982 proposed budget,
    may preclude the timely realization of selected energy con-
    servation opportunities since it is not clear to.what extent
    State, local, and private efforts will fill the void left by
    a substantially reduced Federal effort.


                                                         (003489)


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