Government
Senate criticizes Nixon energy program Criticism from hearings of Interior and Insular Affairs Committee is directed at issues program fails to cover The Nixon Administration has presented Congress with a program for long-range development of U.S. energy resources which relies heavily on nuclear power and carries a $3 billion price tag through 1980. Disclosed earlier this month (C&EN, June 14, page 9), the program commits the U.S. to demonstrate a liquid metal fast-breeder reactor (LMFBR) by 1980. The program aims to make coal gasification a commercial reality, although no target date is set for this goal. And there are plans to speed up leasing of offshore oil- and gas-bearing lands, oil shale lands, and geothermal steam lands. Congressional reaction to the program came swiftly and was mixed as last week the Senate Interior and Insular Affairs Committee held hearings with Administration witnesses. Committee members don't oppose the proposals; rather, their principal criticism is directed at what the Presidential message fails to cover. For example, committee chairman Henry M. Jackson (D.-Wash.), although concurring with the objectives and recommendations of the message, expresses surprise that it does not deal more with oil policy questions. Sen. Jackson is fearful of the growing U.S. dependence on imports of foreign oil. Similarly, Sen. Jennings Randolph (D.-W.Va.) cites the potential h a r m in an unbalanced dependence on foreign fuels. Sen. Randolph also criticizes the "gross omission" in the message of the interrelationship of the individual elements in terms of time. For example, he asks what the impact will be on the coal gasification program priority if incentives and increased imports of natural gas do make available large quantities of less-expensive gas. Conversely, what will happen if the gasification pro42
C&EN JUNE 21, 1971
gram results in large quantities of gas at prices competitive with domestic natural sources and imports? Traditional resources. Sen. Henry Bellmon (R.-Okla.) is concerned about the need for investment to bolster the development of traditional energy resources. For example, he points out that the U.S. is spending only $330,000 yearly on research to find new methods of secondary recovery of oil. He also observes that nuclear energy's promise is already significantly behind schedule. In 1962 AEC forecast that by 1970 total electrical energy produced by atomic energy would equal 43 billion kwh. However, in 1970 only 19 billion kwh. was actually produced by nuclear power. Sen. Bellmon is worried that such overoptimistic projections may be repeated. Two additions to the President's energy message are essential, he says: • A clear indication that the Administration realizes and accepts the fact that energy economics are distorted and that a realistic price for domestic oil and gas is needed to enable the traditional energy industry to meet national needs before new energy sources come on stream. • A sharp increase in research funds to accelerate secondary recovery of known crude oil reserves. Spending on the Administration's new energy program is slated to get off to a slow start—slightly more than $100 million is earmarked
now out of the $3 billion total projected through 1980. Of this $100 million, $77 million is for the LMFBR. R&D by AEC will account for $27 million, which is in addition to $103 million already requested in the fiscal 1972 budget. The remaining $50 million would be applied toward constructing a governmentindustry-financed breeder demonstration plant. Added to $50 million already requested for this purpose, plus $30 million in waiver of fuel-use charges, the new funds would raise AEC support from $80 million to $130 million for the demonstration plant. A LMFBR demonstration plant of 300 to 500 Mw(e). is conservatively estimated to cost $400 to $500 million, according to Dr. Glenn Seaborg, AEC Chairman. To date the Government has invested about $600 million in the LMFBR project and industry about $250 million. A full-fledged fast-breeder development program would entail a future investment of about $2 billion by Government and industry. Roughly $500 million is being spent annually the world over for breeder research, about 25% of this in the U.S. In a background report, the Atomic Industrial Forum (AIF) points out that much is being made of the fact that other countries seemingly are ahead in the breeder race. Although physical plant progress supports this view, AIF says, not all national development schemes take the same ap-
David, Nixon, Morton, and Seaborg: heavy dependence on nuclear energy
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proach (the U.S., for example, is concentrating on component development before it turns to large reactor construction). In any event, AIF concludes, it is unlikely that anyone will produce a large commercial LMFBR before 1980. AEC Chairman Seaborg forecasts that by 1980 about 25% of the electrical energy of the U.S. will be produced by nuclear power compared to about 2% now. Questioned about the thermonuclear fusion reactor, Dr. Seaborg says he believes its scientific feasibility could be demonstrated by the end of the decade with development of a practical, economic, safe, and clean nuclear fusion reactor by about the year 2000. Commercial reality. The President's message calls for expanding the coal gasification pilot plant program to a total of $30 million. Office of Coal Research (OCR) funds would almost double to a total of $20 million; industry has agreed to provide $10 million. Currently, OCR has two gasification pilot plants under construction and a third planned. An OCR spokesman anticipates that by 1980 a commercial plant producing 250 million cu. ft. per day of gas could be operating and could be built at a cost of $150 to $200 million. Coal gasification would also get a spur toward development from legislation proposed by Sen. Jackson and Sen. Frank E. Moss (D.-Utah). The legislation would create a governmentindustry jointly supported and operated corporation with the objective of demonstrating on a commercial scale at least two alternative methods for the production of gas from coal. The corporation would have a life limited to this single objective and would be abolished when the objective was attained. The total effort toward commercialization may cost as much as $500 million. Accelerated leasing. The Administration's proposal calls for an accelerated program of leasing on the outer continental shelf. This program will be accomplished under a five-year program with at least two major oil and gas lease sales each calendar year through 1975, chiefly in the Gulf of Mexico, but also including the Gulf of Alaska and the Atlantic Coast. An effort will also be made to tap shale oil resources containing some 600 billion barrels in high-grade deposits. And the Administration soon may offer a competitive lease sale of geothermal steam resources located on federal lands.
D Journal of Adhesion D Bibliographies of Chemists D International Journal of Color and Appearance D Combustion Science and Technology D Journal of Coordination Chemistry D Crystal Lattice Defects D Journal of Environmental Analytical Chemistry D Ferroelectrics D Intra-Science Chemistry Reports D Journal of Mechanochemistry and Cell Motility D Molecular Crystals and Liquid Crystals Π Phosphorus D Physics and Chemistry of Liquids D Polymer News D International Journal of Polymeric Materials D International Journal of Sulfur Chemistry D Thin Films GORDON AND BREACH SCIENCE PUBLISHERS 12 Bloomsbury Way, London W . C . I , England 440 Park Ave. South, New York, NY 10016 Please send me further information about journals checked on this list. NAME ADDRESS
JUNE 21, 1971 C&EN 43
