»A failure of commitment«

If passed, the US PV budget request for FY 2001 would mean a significant increase relative to FY 2000. For various reasons, however, the US PV industry is not happy with the proposal. A detailed breakdown of costs.

Scott Sklar was shocked. That was the word the executive director of the US Solar Energy Industries Association (SEIA) used to describe his reaction to the February-released US budget request for the FY 2000. »The administration’s recommendations ranged from 15 to 20 percent cuts from the previous year’s,« said Sklar, who further called the proposal a »failure of commitment in light of the June 1997 pronouncement before the United Nations by President Clinton of a Million Solar Roofs Initiative.«

US PV budget from FY 1997 to FY 2001 in million USD 

  FY 97 FY 98 FY 99 FY 00 FY 01*
Fundamental Research
Measurement & Characterization 5.0 5.5 5.3 5.5 6.0
Basic Research/University Programs 4.9 5.5 5.5 5.0 7.3
High Performance Research 0 0 0 3.7 7.0
Subtotal 9.9 11.0 10.8 14.2 20.3
Advanced Materials & Devices
Thin Film Partnership 15.4 16.0 17.8 19.0 19.0
Crystal Silicon / High Eff. Devices 7.9 8.0 8.0 8.0 8.0
Subtotal 23.3 24.0 25.8 27.0 27.0
Technology Development
Manufacturing R&D 8.2 9.0 10.4 10.0 11.0
System Engineering & Reliability 12.7 12.4 16.0 12.2 13.2
Building Integrated R&D 2.5 1.5 2.3 0.5 1.5
Partnerships for Technology Intro. 2.6 1.8 3.8 0.5 2.0
Million Solar Roofs 0 5.0 1.5 1.5 3.0
International Clean Energy 0 0 0 0 4.0
Subtotal 26.0 30.5 34.0 24.7 34.7
Total Appropriations 59.2 65.5 70.6 65.9 82.0
  *requested

At first look, however, the new US PV budget request for the FY 2001 appears relatively promising. With $82 million USD, it is around 25 percent higher than the $65.9 million to be spent during this FY 2000. And only two of the eleven topics under the program’s three main elements »Fundamental Research,« »Advanced Materials and Devices,« and »Technology Development« are intended to remain at last year’s level, while the majority will receive more funding (see table).

The $6 million earmarked for »Measurement and Characterization« should help the national, university, and industry labs cover their current expenses for lab operation. For »Basic Research and University Programs« around $5 million – which is last year’s amount – is earmarked to improve the understanding of thin-film technologies. A further $2.3 million is issued for research on non-conventional PV technologies, such as liquid cells, polymers, biochemical and biomimetic (e.g. photosynthesis) processes. The »High Performance Research« initiative was started in FY 2000 and should be nearly doubled at $7 million in FY 2001. It is aimed at supporting research that would double thin-film efficiencies from 8 to 10 percent up to 15 to 20 percent and increase III-V-based multi-junction cells from around 30 to 40 percent under a 500-fold concentration. In the last four years the »Thin Film Partnership« program, including government, industry and universities, always received the highest funding amount of all PV topics – a fact not due to be changed in FY 2001. The total amount of last year’s $19 million should not increase. Neither should the amount for »Crystal Silicon / High Efficiency Devices« topic that received a constant $8 million funding for the last three years.

The $11 million for »Manufacturing R&D« should assist the industry with improving the manufacturing processes for thin-film technologies and with developing new techniques for producing higher performance and lower cost commercial products. The money is distributed via the »PV Manufacturing Technology« (PVMat) project, where a new solicitation will be issued in FY 2001 to develop inline process diagnostics and characterization equipment needed for module scale-up. Although the money earmarked for »Building Integrated PV R&D« and the »Partnership for Technology Introduction« can triple and quadruple, respectively, relative to this year’s funding, it will – if passed at the planned level – be still lower than in FY 1999. The »Partnership for Technology Introduction,« which is a collaboration between the DOE and the US utility industry, should include a solicitation for new projects emphasizing BIPV applications. The »Million Solar Roofs Initiative,« which has provided for fewer than 10,000 solar systems including fewer than 400 PV system over the last two years, should receive $3 million. A new $4 million »International Clean Energy Initiative« prepared by President Clinton’s committee of advisors on science and technology hopes to accelerate R&D for PV technology and product standards for rural electrification in developing countries.

With regard to the $93 million budget request for FY 2000, which was cut by nearly 30 percent before enacted, Scott Sklar thinks that »none of the other administration proposals, such as the International Initiative, compensate for the loss of domestic research and deployment programs that are absolutely critical to the sustained development of solar energy in the US.« In fact, it is even not certain whether this budget proposal will pass the Republican-dominated congress and senate; and it may be modified again.

Scott Sklar, who is trying to pass a residential tax credit for solar this year through congress, looks with guarded optimism towards the elections in November. »It will change for the better,« he thinks, surprisingly, regardless of whether Gore or Bush wins. But a national incentive program similar to the new German program he doesn’t see for the near future. »I would love it. But we are not ready for that.«

This article as pdf-file

Michael Schmela
© PHOTON International, March 2000