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Mr. Bush's declaration in his State of the Union address that the nation is "addicted to oil" drew attention to the magnitude of the nation's energy challenge. His focus on alternative energy also marks a new direction for the administration, which has lost key battles over Arctic oil drilling.
This week, the president visited the National Renewable Energy Laboratory in Colorado, where 32 workers had been laid off. Two days before Mr. Bush's visit, the Energy Department announced that $5 million in funding had been restored to rehire the staff. Critics note that Mr. Bush's renewable energy budget of $1.18 billion funds less than a third of the programs authorized by last summer's energy bill. The gap could lead to a battle during congressional budget proceedings as lawmakers look to save their favorite projects.
The proposed budget would kill funding for hydropower and geothermal technology research. It would also slash numerous energy efficiency programs that could reduce demand and, by extension, lower commodity prices. Programs to support home weatherization for the poor would also be cut dramatically, though an Energy Department spokesman said about 65,000 homes would still be covered during the year.
Even critics praise the new funding for programs such as biomass. But, they say, it's not the big change they expected from the president after major action last year from Congress. "Since it's the same pie, they're moving money from one place to another," said Fredric Beck, senior policy associate at the Environmental and Energy Study Institute, among the groups advocating for more renewable energy funding. "Things that are very valuable went down. That's why we see the budget somewhat unbalanced."
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