The Future of Energy Innovation Requires Public/Private Partnerships
Armed with new technology transfer regulations, NREL is setting the pace for commercializing new energy ideas
By Bill Farris, NREL Associate Laboratory Director for Innovation, Partnering, and Outreach
There were no parades or banner headlines when the Department of Energy Research and Innovation Act became law last year, but at the National Renewable Energy Laboratory (NREL), there were high-fives and smiles. That’s because making our research available for use in the private sector is in our DNA.
This doesn’t happen by accident. It comes about when basic research evolves and grows into technology which can come to the houses, buildings, vehicles, and communities throughout America. It doesn’t sit on shelves or collect dust in a library. And that’s the kind of research we’re committed to — and the types of projects we seek to support.
The new law includes a regulation change published this past August that will make efforts to bring technology to market easier.
The DOE’s technology transfer program acts as a sort of bridge between public and private sector research. It’s designed to transition (or “transfer”) early-stage research into the private sector, where businesses can apply and innovate it further.
The new regulation allows the 17 national laboratories to carry out early-stage demonstration of potential commercial applications of technology developed at the labs, something that previously wasn’t covered by tech transfer funds. The regulation only amplifies what NREL has long done.
Maybe because we are one of the youngest national labs (a mere 42 years old), and we have approached things a little differently than others. Our goal is to impact the market with new ideas about solar power, wind energy, and all other innovative clean energy solutions in our research portfolio. We want people to see improvements in their daily lives as a result of our efforts.
So, we took a measure of pride in seeing this law boost what we already do at NREL in tech transfer.
In 2014, the lab was a leader in establishing the agreement for commercializing technology (ACT) as a contractual mechanism at the laboratory. This has led to $80 million in business to date. And that’s just one of the tools NREL uses to establish research relationships.
Recently, NREL achieved a record level of innovation productivity as measured by:
· New inventions (five times the average number of innovations per 100 national laboratory employees)
· Industry partnerships (nearly 10 times the average number of cooperative research and development agreements per 100 employees)
· Technology commercialization engagements (more than four times the national laboratory average for technology commercialization funds awarded per 100 employees)
This has gotten the attention of private industry partners. By using the ACT, NREL has added mission-related, reimbursable work with several partners. This includes administering startup accelerators like the Wells Fargo Innovation Incubator (IN2) program and Shell’s GameChanger Powered by NREL, as well as a partnership with ExxonMobil.
And this is not some idle club. Ideas are flowing into industry. A 2018 GreenBiz article calls (IN2) “arguably one of the best launchpads for cleantech startups in the United States.” Going further, it points to IN2’s partnership with NREL as the “secret weapon” behind its success. Likewise, the NREL-Shell pairing is primed to push the envelope by expanding the scope of research in a range of areas. And our partnership with ExxonMobil will accelerate the pace of inquiry into improved cellulosic biofuels and low-cost carbon capture technologies among dozens of other globally scalable opportunities.
And NREL has been successful at increasing technology transfer in large part due to DOE support, as demonstrated through our ExxonMobil partnership. “Over the past two years, this Administration has proven we can simultaneously grow our economy while helping our environment,” said Under Secretary of Energy Mark W. Menezes at the time of the announcement. “Today’s announcement reinforces the Department’s commitment to invest in public-private partnerships that maximize R&D and, ultimately, deploy innovative, economical, and lower-emission technologies from DOE’s National Labs.”
Echoing this sentiment, Martin Keller, our lab director, said in a medium.com blog in May that “NREL is committed to making sure our basic research gets to market — where it can improve everyday life and strengthen our economy.”
So even if there wasn’t a formal parade, there is one of sorts happening daily. A parade of new ideas — manifested in more efficient lighting, less wasteful buildings, innovative vehicles, and cheaper electrons for smaller utility bills.
At NREL — along with the other national labs — we’re pleased to join in that march. And we are proud to help set the pace for a sustainable energy future.