Last night President Bush outlined his plans to boost clean energy research and codify the research and development tax credit in the US. Both goals represent a uncommonly strong push by the President to fund energy technology and present interesting opportunities for investors.
The Biorefinery Initiative
The FY05 Federal Budget includes $150 million – a $59 million increase over FY06 – to help develop bio-based transportation fuels from agricultural waste products, such as wood chips, stalks, or switch grass, according to Richard Jones of the American Institute of Physics.
Developing More Efficient Vehicles
Jones also said that the budget will call for a $6.7 million increase in hybrid vehicle battery technology, bringing total vehicle battery spending in FY07 up to $30 million.
The Hydrogen Fuel Initiative
The budget will provide $289 million – an increase of $53 million over FY06 – to accelerate the development of hydrogen fuel cells and affordable hydrogen-powered cars.
The following is the clean energy segment of Presiden Bush's State of the Union Address delivered on January 31, 2006.
Keeping America competitive requires affordable energy. Here we have a serious problem: America is addicted to oil, which is often imported from unstable parts of the world.
The best way to break this addiction is through technology. Since 2001, we have spent nearly 10 billion dollars to develop cleaner, cheaper, more reliable alternative energy sources -- and we are on the threshold of incredible advances. So tonight, I announce the Advanced Energy Initiative -- a 22-percent increase in clean-energy research at the Department of Energy, to push for breakthroughs in two vital areas. To change how we power our homes and offices, we will invest more in zero-emission coal-fired plants; revolutionary solar and wind technologies; and clean, safe nuclear energy.
We must also change how we power our automobiles. We will increase our research in better batteries for hybrid and electric cars, and in pollution-free cars that run on hydrogen. We will also fund additional research in cutting-edge methods of producing ethanol, not just from corn but from wood chips, stalks, or switch grass. Our goal is to make this new kind of ethanol practical and competitive within six years. Breakthroughs on this and other new technologies will help us reach another great goal: to replace more than 75 percent of our oil imports from the Middle East by 2025. By applying the talent and technology of America, this country can dramatically improve our environment … move beyond a petroleum-based economy … and make our dependence on Middle Eastern oil a thing of the past.
And to keep America competitive, one commitment is necessary above all: We must continue to lead the world in human talent and creativity. Our greatest advantage in the world has always been our educated, hard-working, ambitious people -- and we are going to keep that edge. Tonight I announce the American Competitiveness Initiative, to encourage innovation throughout our economy, and to give our Nation’s children a firm grounding in math and science.
First: I propose to double the Federal commitment to the most critical basic research programs in the physical sciences over the next ten years. This funding will support the work of America’s most creative minds as they explore promising areas such as nanotechnology, supercomputing, and alternative energy sources.
Second: I propose to make permanent the research and development tax credit, to encourage bolder private-sector investment in technology. With more research in both the public and private sectors, we will improve our quality of life -- and ensure that America will lead the world in opportunity and innovation for decades to come.
Third: We need to encourage children to take more math and science, and make sure those courses are rigorous enough to compete with other nations. We have made a good start in the early grades with the No Child Left Behind Act, which is raising standards and lifting test scores across our country. Tonight I propose to train 70,000 high school teachers, to lead advanced-placement courses in math and science … bring 30,000 math and science professionals to teach in classrooms … and give early help to students who struggle with math, so they have a better chance at good, high-wage jobs. If we ensure that America’s children succeed in life, they will ensure that America succeeds in the world.
Preparing our Nation to compete in the world is a goal that all of us can share. I urge you to support the American Competitiveness Initiative … and together we will show the world what the American people can achieve.
# # # #
No comments:
Post a Comment