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Committee on Energy Research and Technology (CERT) task force on TCP enhancement established in February 2018 (IEA, 2019b).

The United States was a founding member of the CEM, established in 2009. It hosted the first CEM conference, which convened energy ministers from major economies to promote the expansion of clean energy technologies globally. Following that, the country also hosted the seventh CEM in 2016 (Clean Energy Ministerial, 2019). The DOE acted as secretariat of the CEM from its start in 2009 until the function was handed over to the IEA in 2016. Currently, the United States is one of 26 CEM members (including the European Commission). Within the CEM, the United States is a leading country on ten programmes: 21st Century Power Partnership; International Smart Grid Action Network; Global Lighting and Energy Access Partnership; Electric Vehicles Initiative; Energy Management Working Group; Super-Efficient Equipment and Appliance Deployment Initiative; Clean Energy Education and Empowerment Initiative; Clean Energy Solutions Center; Nuclear Innovation: Clean Energy Future Initiative; and Carbon Capture, Utilization and Storage Initiative. It is also a participating country in an additional set of CEM programmes: Multilateral Solar and Wind Working Group, Advanced Cooling Challenge, Corporate Sourcing of Renewable Energy Campaign, Energy Management Campaign, and Global Lighting Challenge.

Through the DOE and its focus on early-stage RD&D, the United States is also a member of Mission Innovation (MI), as one of 23 founding countries (along with the European Commission). The United States hosted the first MI ministerial in 2016 and is a member of the MI steering committee. As part of MI, the United States participates in several initiatives, including: Smart Grids Innovation Challenge, Off-Grid Access to Electricity Innovation Challenge, Carbon Capture Innovation Challenge, Sustainable Biofuels Innovation Challenge, Converting Sunlight Innovation Challenge, Clean Energy Materials Innovation Challenge, Affordable Heating and Cooling of Buildings Innovation Challenge, and Renewable and Clean Hydrogen Innovation Challenge (Mission Innovation, 2019). In November 2018, the DOE announced up to USD 30 million in funding for novel and enabling carbon capture transformational technologies through MI. At present, the administration is reviewing its MI activities (Mission Innovation, 2018).

In addition to multilateral activities, the United States – through the DOE – is also involved in a number of bilateral RD&D initiatives. These include: the US-China Collaboration in Fossil Energy R&D; the US-UK Collaboration in Fossil Energy R&D; the US-China Bilateral Civil Nuclear Energy Cooperative Action; the US-India Civil Nuclear Energy Working Group; and the US-Japan Bilateral Commission on Civil Nuclear Cooperation (DOE, 2019q). The United States is also a participant in the International Cooperation in Methane Hydrate Research, the International Nuclear Energy Research Initiative and the Carbon Sequestration Leadership Forum.

Assessment

The United States is a global leader in public and private RD&D spending. The shale revolution was driven by innovation and public investment in RD&D and has benefited from the capabilities of the DOE, national laboratories, academic institutions and industry, which have brought about significant economic growth. Thanks to the uninterrupted strength of public funding for early-stage RD&D, the United States

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continues, through the DOE and the national laboratories, to maintain worldclass facilities and collaborative consortia with industry and academia.

The 2017 National Security Strategy underlines the critical importance of understanding worldwide science and technology trends, attracting and retaining inventors and innovators, and leveraging private capital to maintain competitive advantages. The United States has a significant opportunity to replicate the shale revolution in other sectors, notably in emerging clean energy technologies and industrial process innovation.

In 2017, the United States spent 0.038% of its GDP on energy-related RD&D, according to IEA data. This was around the median among IEA member countries. However, based on absolute numbers, the United States is by far the largest energy RD&D spender. In 2017, the United States spent USD 7 289 million on energy-related RD&D, or 40% of the IEA total.

A Congressional Research Service study from 2018 found that over the period FY 2009-FY 2018, nuclear energy received the largest share of energy technology funding (28.6%), followed by fossil energy (20.8%), renewable energy (19.5%), energy efficiency (17.1%) and electric systems (14%, though a sizeable share of this came from the American Recovery and Reinvestment Act of 2009) (Congressional Research Service, 2018b). Public RD&D funding has been on the rise, which illustrates bipartisan support for US national laboratories as well as academic collaborations supported by public funding. However, demonstration funding has been in decline, as industry is expected to invest in these areas.

Since the last IEA review in 2014, the DOE has continued to expand the commercialisation of RD&D results, technology transfer, industry engagement through partnerships, benchmarking, output measuring and de-risking first-of-a-kind technology innovation. The USD 40 billion Energy Loan Guarantee Program and the establishment of the OTT in 2015 with its Energy I-Corps programme, the USD 26 million/year TCF and the EIC illustrate this renewed focus. The Loan Guarantee Program has resulted in USD 30 billion of investment in over 30 projects thus far, including in renewable energy, tribal energy, nuclear energy (Vogtle plant), advanced technology vehicles manufacturing and carbon capture and storage (Lake Charles Methanol facility in Texas).

Public funding for nuclear RD&D is becoming a priority, as reflected in the DOE budget, which saw an increase for nuclear spending. USD 1.3 billion is allocated for 2019 with a larger focus on the demonstration stage. The government prioritises support for technology innovation, in first-of-a kind plants, as a quarter of the current nuclear fleet is expected to retire before the end of their licences and investment in new reactors is not advancing.

The DOE has been active in promoting RD&D in advanced nuclear reactors and SMRs, and at engaging the private sector in cost-sharing partnerships. Funding for RD&D and licence application was made available to the NuScale SMR, which is currently undergoing design certification. The Nuclear Regulatory Commission is also received funding from Congress to develop regulatory frameworks for advanced reactors. Under the Nuclear Innovation Capability Act, the DOE has been authorised to develop a new test reactor (Versatile Test Reactor) to be operational by 2026, and improve modelling and simulation capabilities. Together with public-private partnerships under the GAIN initiative, which would open access to research facilities for the private sector, strong

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university programmes and targeted international collaborations, the United States aims at maintaining its leadership in nuclear technology.

The United States is the country with the largest overall participation in IEA TCPs, participating in 37 out of 38 TCPs as either a contracting party or a sponsor. The United States has a total of 47 participants from 28 distinct US entities (several TCPs see participation of more than one entity from the United States) with the DOE as the single largest participant (in 32 out of a total 47 US participants). US representatives hold a leadership position (chair/vice-chair) in 13 TCPs – about one-third of all TCPs – which illustrates the continuous relevance of the TCP mechanism for the current administration. The United States is also committed to foster the work of the TCPs going forward by co-leading the CERT task force on TCP enhancement established in February 2018.

As a founder of the CEM and a member of MI, the United States has plans to double by 2020 public RD&D spending in clean energy technologies. Besides its focus on advanced nuclear reactors and CCUS, however, since early 2017, all US participation in MI challenges as well as in CEM initiatives and campaigns have been under review, and funding for international collaboration has been reduced. The IEA encourages the government to dedicate funding and efforts to maintain a high level of international collaboration to ensure it can understand worldwide trends and retain a competitive advantage, in line with the National Security Strategy.

Recommendations

The US government should:

Promote innovation and cost reductions in CCUS and nuclear technology by modernising and building research facilities as well as initiating demonstration projects (for instance advanced reactor technology demonstrators), in collaboration with industry and targeted international partners.

Strengthen energy RD&D towards demonstration of critical technologies required to support the cost-effective growth of renewable energy. Based on the Grid Modernization Initiative, develop a roadmap for system flexibility.

Provide adequate support to international collaboration efforts of US national laboratories and DOE RD&D programmes to maintain global leadership on energy technology innovation.

References

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Congress.gov (2018), S.97 – Nuclear Energy Innovation Capabilities Act of 2017, www.congress.gov/bill/115th-congress/senate-bill/97.

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Congressional Research Service (2018a), FY2019 Appropriations for the Department of Energy, CRS Insights, https://fas.org/sgp/crs/misc/IN10868.pdf.

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Global CCS Institute (2018), The Global Status of CCS, https://indd.adobe.com/view/2dab1be7-edd0-447d-b020-06242ea2cf3b.

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