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IPE-82-1 1 (1982-07-26)

handle is hein.gao/gaobabdnq0001 and id is 1 raw text is: 


BY THE COMPTROLLER GENERAL



Report To The Congress


OF THE UNITED STATES





DOE Funds New Energy Technologies

Without Estimating Potential Net

Energy Yields



Public Laws 93-577 and 96-294 (title II) require the
Department of Energy to analyze the potential net energy
yields of new energy technologies proposed under the
Acts before funding them. DOE has spent hundreds of
millions of dollars on projects without doing this.

GAO demonstrates that net energy analysis is methodo-
logically feasible to perform and that its performance is
useful to policymakers in the Congress and DOE because
(1) it offers them a basis for minimizing total energy use
and for conserving domestic energy resources in the pro-
duction of new energy products, (2) it guarantees them the
opportunity to consider the net energy yields of proposed
new energy technologies independent of economic risk
questions, (3) it permits them to compare the net energy
yields of specific plants and processes as well as their
relative impacts on existing domestic resources and on
imported premium fuel requirements, and (4) it gives them
a method for deciding the introduction rates of energy-
intensive technologies so as to avoid the creation of large
energy deficits.

GAO recommends that the Congress require DOE to con-
sider the potential net energy yields of proposed technolo-
gies and to provide the analytic support needed to imple-
ment net energy analysis. GAO also recommends ways to
strengthen the quality of the data base necessary not only
for net energy analysis but also for the economic analysis
used for comparing the costs of new energy technologies.








                                                                GAO/IPE-82-1
                                                                  JULY 26,1982


                                    3o3f

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