Status of DOE-Funded Clean Coal Technology Projects

GAO discussed the status of nine demonstration projects that the Department of Energy (DOE) has funded under its Clean Coal Technology Program. GAO found that: (1) seven of the projects were experiencing coordination, equipment, and financing problems that caused cost overruns, proposed project modifications, and delays in completing project phases; (2) two other projects, funded in late 1988 to replace withdrawn project proposals, were on schedule and were not experiencing cost increases; (3) although sponsors of four projects have projected total cost increases of about $70 million, each cooperative agreement states that DOE has no obligation to fund any cost increases, and DOE has not increased its total funding for any project as of March 15, 1989; and (4) it was too early to determine whether the project delays would affect the timing of the clean coal technologies' commercial availability and, therefore, the roles these technologies could play within the time frames for emissions reductions under any future acid rain control legislation.