sharp decline in the world petroleum price in 1986 substantially decreased the economic attractiveness of coal-derived petroleum substitutes and the perceived need for R&D in this direction.
However, sustained interest in coal-based power generation technologies led to congressional funding of DOE's CCT program, starting in FY 1986. This program has constituted a major effort outside the traditional coal R&D projects undertaken by DOE and its predecessor organizations, and CCT funding is therefore not included in Figure 2-1. The CCT program has emphasized the need for demonstration and commercial deployment of environmentally responsive, economically competitive technologies and is based on cost sharing between the private sector and DOE, with the former contributing at least 50 percent of total demonstration cost.
During the Bush administration, the National Energy Strategy report was published, providing an overall administration strategy for energy policy (DOE, 1991). A fundamental tenet of this strategy was to continue reliance on market forces wherever possible by removing any barriers to efficient market operation. Emphasis was placed on improving energy efficiency and increasing production