1 Introduction The Department of Energy’s (DOE) Office of Energy Efficiency and Renewable Energy (EERE) contracted with RAND’s Science and Technology Policy Institute to plan and execute a strategic planning project. The project’s purpose was to explore possible new approaches to energy supply and use, identify key issues EERE will face, and consider the implications for EERE’s research and development (R&D) portfolio. The project had three parts: (1) the E-Vision 2000 Policy Forum, held October 11-13, 2000 in Washington, DC; (2) an assessment of planning scenarios currently used in the energy community; and (3) a structured process to identify critical energy issues in 2020 to inform the EERE R&D portfolio, as viewed by a range of experts. This volume includes supporting material generated by the project including conference papers, documentation of the analysis of energy scenarios, presentation slides on the Delphi expert elicitation process, and links to conference transcripts. Conference Preparations Conference Papers As part of the preparation for the E-Vision 2000 Conference, RAND on behalf of EERE commissioned papers on a wide range of topics. The bulk of this volume consists of the full texts of these papers. Papers were distributed in advance of the conference and served as points of departure or reference for the panel discussions and open forum. These papers represent the views of the authors and not those of RAND, the Department of Energy, or any other organization with which the authors may be affiliated. Scenario Analysis RAND undertook an analysis of future scenarios to help inform EERE’s planning process. Scenarios enable policy-makers to systematically consider uncertainties inherent in energy planning, and select strategies that will perform adequately over a range of conditions. It is important to note that this analysis did not extend into a full-fledged strategic planning process. 2 The analysis resulted in four key observations that illustrate how such scenarios and studies can provide policy insights despite the uncertainty associated with long-term projections. • Research and development serves as a hedging strategy, providing a means of dealing with technological uncertainties. One policy challenge is to identify R&D portfolios that are robust under a range of plausible scenarios. • If “decarbonization” policies (i.e., those that result in less use of fossil fuels) are pursued, many of the scenarios examined suggest natural gas as a transition fuel, whether the gas is used by fuel cells or advanced combinedcycle turbines. The policy implication is whether sufficient natural gas supplies could be developed and pipelines and storage infrastructure constructed in the time frame required by some of the scenarios. • The Internet and information technology may be changing the way we use energy in fundamental ways. The policy challenge is to understand the mechanism of change to improve projections of demand, use, and productivity. • Such technologies as fuel cells and distributed generation may lead to fundamental changes in energy systems through their wide range of potential applications. The key question is how to devise policies that might foster this process of fundamental change. The analysis highlighted essential similarities and differences among the many energy scenarios that have been published in recent years, and served to illustrate how such scenarios and studies can provide policy insights despite the uncertainty associated with long-term projections. Additional work is needed to take these scenarios to the point where the implications for energy R&D can be more clearly focused and useful to EERE. Full documentation of the scenario analysis undertaken in conjunction with the E-Vision 2000 process is included in this volume. Delphi Exercise Twenty-seven high-level national energy thinkers participated in a process to identify the most important issues that will affect energy trends in the next 20 years. The Delphi method is designed to take advantage of the talent, experience, and knowledge of a group of experts in a structure that allows for an exchange of divergent views. The results of this process were presented to the E-Vision 2000 Policy Forum. Slides from this presentation are included in this volume. 3 This particular application of the Delphi method failed to produce clear convergence around a limited set of issues. This was due in part to the qualitative nature of the responses. The question itself failed to stimulate “out of the box” thinking, but rather produced concerns consistent with the current debate. In the future, non-energy experts from a wide range of fields will be engaged in imagining different energy futures and associated R&D investments implicated by those possible scenarios. The E-Vision 2000 Conference The E-Vision 2000 Policy Forum was built around three expert panels and a final open session. The three main sessions included presented papers and panel discussions on the following issues: • role of information technologies in shaping future energy needs • factors shaping worker and student productivity in buildings and the relationship to energy use • effects of applying a “systems” approach to current and future energy supply and demand practices. Each panel session began with presentations of the relevant papers, followed by discussions from the floor. In addition, conference attendees who had expressed an interest in speaking were given an opportunity to do so on the last day of the conference. Finally, keynote speakers addressed the audience at various points on the issues EERE faced.1 ________________ 1Conference transcripts are available online See http://www.rand.org/scitech/stpi/Evision/ Transcripts/ for transcripts of all conference sessions.