Electricity Supply

Efforts Under Way to Develop Solar and Wind Energy Gao ID: RCED-93-118 April 16, 1993

Wind and sunlight have the potential to help meet the United States' electrical needs without the adverse environmental effects associated with other energy sources, yet they now supply less than one percent of the nation's electricity. This report identifies (1) economic and institutional barriers that discourage electric utilities from using wind or solar power; (2) efforts by government, utilities, and industry to foster the use of wind and solar power; and (3) ways in which the Department of Energy's programs could further assist the development of wind and solar technologies.

GAO found that: (1) the major barriers that discourage wind, photovoltaic, and solar thermal technology development and use include the restricted availability of wind and solar technology in certain geographic regions due to weather conditions, its high cost in comparison with fossil fuels, and the utility companies' view that wind and solar technologies are risky investments; (2) wind energy developers have taken the lead in promoting and creating new markets for wind energy by addressing cost and technological questions and benefitting from federal and state financial assistance and environmental incentives; (3) DOE and photovoltaic industry groups have several efforts underway to lower its costs by advancing photovoltaic technology, expanding markets, and addressing regulatory barriers; (4) DOE has assumed leadership in developing solar thermal technology and has entered into joint ventures to develop central receivers and dish stirling technologies; and (5) DOE actions which could foster greater advancements in wind, photovoltaic, and solar thermal technologies include expanding DOE research and development funding for renewable energy technologies, developing methods to better evaluate cost and resource alternatives, and encouraging greater use of renewable energy by federal agencies.

Recommendations

Our recommendations from this work are listed below with a Contact for more information. Status will change from "In process" to "Open," "Closed - implemented," or "Closed - not implemented" based on our follow up work.

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