DOE Budget Cuts Proposed for FY2021

On February 10, 2020, the White House Office of Management and Budget (OMB) released the Trump administration's proposed budget for the U.S. Government in Fiscal Year (FY) 2021. Under the budget proposal, total funding for the U.S. Department of Energy (DOE) would be reduced by $3.1 billion or 8.1 percent, compared to FY2020 levels.

The budget proposal includes "$5.8 billion for the Office of Science to continue its mission to focus on early-stage research, operate national laboratories, and continue high priority construction projects." That is, however, $1.6 billion or 16.6 percent lower than FY2020 levels. 

The budget proposal would also substantially reduce or eliminate funding for a number of other DOE research offices and programs. Most notably, under the proposal, DOE’s Advanced Research Projects Agency-Energy (ARPA-E), Title XVII Innovative Technology Loan Guarantee Program, Advanced Technology Vehicle Manufacturing Loan Program, and Tribal Energy Loan Guarantee program would all be eliminated. DOE has indicated that this is necessary to "support fiscal responsibility and streamline [department] activities." In addition, according to DOE, "the private sector is better positioned to finance deployment of commercially viable projects."