U.S. President George Bush has proposed increasing the U.S. Department of Energy's (DOE) budget to $24.3 billion, or about 7 percent from its $22.8 billion current appropriation.

The administration has said it wants boosts in spending for research into new technologies for biofuels, hydrogen fuel, coal and vehicles.

While a billion or so dollars of the budget is directly earmarked for the renewable energy industry, that's only $60M, or 5%, more than last year. Greentech industry leaders are wondering whether it's enough.

Among other budget initiatives for fiscal year 2008, the White House is also seeking $9 billion in authority for loan guarantees for advanced energy technologies.

The Solar Energy Industries Association (SEIA) expects solar will see a good portion of those loan guarantees, but association president Rhone Resch wasn't afraid to make like Oliver Twist, and ask for more.

"The administration's request funds solar water heating research at just $2 million and concentrating solar power at just $9 million. It is important that Congress recognize the vital contributions that these technologies can make to our energy security," said Resch.

"Moreover, the budget does not include a long-term extension of the Federal solar investment tax credits, which is the single most important policy affecting solar development. We urge Congress to enact an eight-year extension of the Federal solar investment tax credits as contained in H.R. 550, the Securing America's Energy Independence Act of 2007."

Conspicuously absent from the new budget was any support for geothermal power.

A geothermal industry leader today congratulated the Senate Energy Committee chairman for criticizing the administration's budget for not funding geothermal energy research.

"We applaud Senator Bingaman for recognizing that the budget shortchanges the nation by failing to fund any research on geothermal energy," Geothermal Energy Association (GEA) Executive Director Karl Gawell said. "We urge other leaders in Congress to join him and reverse this ill-considered decision."

"In the past year, reports released by GEA, the National Renewable Energy Laboratory (NREL), and Massachusetts Institute of Technology (MIT) (see Cleantech.com's MIT report says geothermal power not to be ignored) have underscored the tremendous pay-off for a continued federal commitment to develop and utilize the nation's vast and largely untapped geothermal resources," Gawell said.

Federal energy efficiency programs "are yet again are getting short shrift" in the new budget, the Alliance to Save Energy said today.

Money earmarked for energy efficiency is down 18 percent compared with Congress's FY 2006 appropriation, the Alliance noted.

"Budgets reflect priorities. The president's budget request clearly signals that energy efficiency is not among the administration's high-priority programs," said Alliance President Kateri Callahan. "This is particularly disheartening given that energy efficiency represents the most cost-effective and quickest way to tackle two issues that the president declared of utmost national importance in the State of the Union: to reduce our dangerous dependence on oil and to 'confront the serious challenge of global climate change,'" she said.

"We will work with the Congress to make sure that this priority for energy efficiency continues into the next fiscal year. Energy efficiency is an immediately available, 'here and now,' approach to meeting our nation's energy, environmental, and economic needs," Callahan said.

Bud DeFlaviis, director of government affairs for the U.S. Fuel Cell Council, told Cleantech.com that the President deserves credit for being faithful to his 2003 commitment of $1.2 billion over five years for fuel cells and hydrogen.

But the fuel cell industry, a sector DeFlaviis himself called "the technology du jour of 2003" that some industry watchers worry has missed its window of opportunity, saw budgets in two significant areas reduced.

"The vehicle demonstration program received quite the cut, from $39.6 M in 2007 down to $30M in 2008. We're not quite sure why. [ed.: read Cleantech.com's Hydrogen cars non-starters for starters.] And the solid state energy conversion alliance (SECA, a body fostering the development of solid oxide fuel cells) was also cut a little."

"That said, the administration still intends to support these items. There's good news there."