U.S. May Spend $130 Million for Energy Research, Chu Says

The U.S. Energy Department said it will provide as much as $130 million for projects in its Advanced Research Projects Agency-Energy, known as ARPA-E.

The funding is for five categories: producing biofuels as an alternative to oil, storing thermal energy, finding alternatives to expensive rare-earth minerals, maintaining electric grid reliability as renewable sources are added and reducing costs for solar power, according to a statement.

“ARPA-E is unleashing American innovation to strengthen America’s global competitiveness and win the clean energy race,” Energy Secretary Steven Chu said today in a statement.

The agency, created in 2009, backs technologies that are too risky to lure business investments alone. President Barack Obama’s administration has asked Congress to provide ARPA-E with $650 million for fiscal year 2012.

ARPA-E received $363 million in economic stimulus money, which has funded 121 projects in 30 states, the Energy Department said. Six of those projects have drawn $100 million from private investors, the agency said in February.

To contact the reporter on this story: Brian Wingfield in Washington at bwingfield3@bloomberg.net

To contact the editor responsible for this story: Larry Liebert at lliebert@bloomberg.net

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.