DOE’s national labs reportedly consider layoffs amid budget cuts – Utility Dive

Proposed DOE Budget Reductions and Their Impact on Sustainable Development Goals

Executive Summary

Recent budget proposals for the U.S. Department of Energy (DOE) threaten significant funding reductions for key national laboratories, including the National Renewable Energy Laboratory (NREL) and Pacific Northwest National Laboratory (PNNL). These cuts pose a direct challenge to the advancement of several United Nations Sustainable Development Goals (SDGs), particularly those related to energy, employment, innovation, and climate action.

Projected Budgetary and Personnel Impacts

The proposed 2026 congressional budget justification outlines substantial financial decreases for the national laboratories, which could precipitate large-scale layoffs.

• National Renewable Energy Laboratory (NREL): The total budget is slated for reduction from $686 million to $299 million. This has led to considerations of laying off over 1,000 employees.
• Pacific Northwest National Laboratory (PNNL): The budget is proposed to drop from $829 million to $548 million. Reports from groups like Friends of PNNL suggest this could result in approximately 1,100 job losses.

Implications for Sustainable Development Goal 8: Decent Work and Economic Growth

The potential termination of over 2,000 highly skilled positions at NREL and PNNL directly contravenes the principles of SDG 8 (Decent Work and Economic Growth). The loss of these jobs would not only impact the livelihoods of thousands of individuals and their communities but also represents a significant loss of specialized talent crucial for the nation’s economic and technological advancement.

1. The layoffs would affect scientists, engineers, and researchers dedicated to creating a sustainable economic future.
2. As noted by Senator Ben Ray Luján, DOE’s Office of Energy Efficiency and Renewable Energy (EERE) has historically contributed to over $624 billion in net economic benefits, a contribution now at risk.

Threats to SDGs 7, 9, and 13: Energy, Innovation, and Climate

The proposed cuts are heavily concentrated in the DOE’s Office of Energy Efficiency and Renewable Energy (EERE), which is the primary funding source for NREL and a major contributor to PNNL. This directly undermines progress on multiple interconnected SDGs.

• SDG 7 (Affordable and Clean Energy): NREL’s EERE funding is proposed to be cut from $589 million to $268 million, while PNNL’s $141 million in EERE funding would be eliminated. This severely curtails research and development of affordable and clean energy solutions.
• SDG 9 (Industry, Innovation, and Infrastructure): The cuts will impede hundreds of ongoing lab projects focused on grid modernization and industrial decarbonization, stifling the innovation necessary for building resilient and sustainable infrastructure.
• SDG 13 (Climate Action): By defunding the core research body for renewable energy, the proposal weakens the nation’s ability to take urgent action to combat climate change and its impacts.

Stakeholder Responses and Official Positions

Responses from affected parties and government officials highlight the conflict between stated goals and proposed actions.

• Department of Energy: A DOE spokesperson emphasized that national labs are operated by third-party contractors with discretion over personnel, and stated a commitment to making government “more efficient while also growing the output of top-quality science.”
• National Laboratories: An NREL representative confirmed the laboratory’s primary funding comes from EERE and stated, “We remain committed to our mission of delivering integrated solutions for an affordable, secure and sustainable energy future.”
• Legislative Concern: Senator Ben Ray Luján, co-chair of the Senate National Labs Caucus, formally requested President Trump to reconsider the cuts, warning they would endanger thousands of jobs and impede progress toward a sustainable energy future.

SDGs Addressed in the Article

The article discusses issues that are directly and indirectly connected to several Sustainable Development Goals, primarily focusing on energy, economic growth, innovation, and climate action.

• SDG 7: Affordable and Clean Energy

  The article’s central theme is the proposed budget cuts to the Department of Energy’s (DOE) Office of Energy Efficiency and Renewable Energy (EERE) and national labs like the National Renewable Energy Laboratory (NREL). These institutions are fundamental to advancing research and development in renewable energy, which is the core of SDG 7. The article states that NREL’s mission is to deliver “solutions for an affordable, secure and sustainable energy future,” directly aligning with this goal. The proposed cuts threaten to “impede hundreds of ongoing lab-based projects in clean energy.”

• SDG 8: Decent Work and Economic Growth

  The proposed budget cuts have a direct impact on employment. The article highlights that NREL and Pacific Northwest National Laboratory (PNNL) are considering laying off “up to 1,000 employees” and “around 1,100 employees,” respectively. This directly contradicts the goal of promoting “full and productive employment and decent work for all.” Furthermore, the article cites Senator Luján, who notes that EERE has been responsible for “$624 billion in net economic benefits,” indicating that the cuts could also hinder overall economic growth.

• SDG 9: Industry, Innovation, and Infrastructure

  National laboratories are key drivers of scientific research and innovation. The article mentions that the budget cuts will impede projects in “grid modernization, and industrial decarbonization,” which are crucial for building resilient infrastructure and promoting sustainable industrialization. The very existence and funding of these labs are tied to fostering innovation, and the article details how the proposed budget would “zero out the funding they receive from DOE’s Office of Energy Efficiency and Renewable Energy” for most labs, thereby stifling innovation.

• SDG 13: Climate Action

  While not explicitly named, the work of EERE and NREL is integral to combating climate change. Their focus on “clean energy” and “industrial decarbonization” directly contributes to climate change mitigation. The proposed budget cuts represent a significant setback for national policies and institutional capacity aimed at addressing climate change, which is the essence of SDG 13.

Specific SDG Targets Identified

Based on the article’s content, several specific targets under the identified SDGs can be pinpointed.

1. SDG 7: Affordable and Clean Energy

   • Target 7.2: “By 2030, increase substantially the share of renewable energy in the global energy mix.” The work of NREL and EERE is central to achieving this target. The article’s focus on funding cuts to these entities shows a direct threat to progress on this target.
   • Target 7.a: “By 2030, enhance international cooperation to facilitate access to clean energy research and technology… and promote investment in energy infrastructure and clean energy technology.” The national labs are hubs of research and technology. The article details the proposed reduction in investment, such as NREL’s budget dropping from “$686 million to $299 million,” which directly undermines this target.

2. SDG 8: Decent Work and Economic Growth

   • Target 8.5: “By 2030, achieve full and productive employment and decent work for all…” The potential layoffs of over 2,000 employees (“1,000 employees” at NREL and “1,100 employees” at PNNL) are in direct opposition to this target.

3. SDG 9: Industry, Innovation, and Infrastructure

   • Target 9.5: “Enhance scientific research, upgrade the technological capabilities of industrial sectors… encouraging innovation and substantially increasing the number of research and development workers…” The article is entirely about the threat to research and development, with potential job losses for scientists and engineers and the halting of “hundreds of ongoing lab-based projects.”

Indicators for Measuring Progress

The article mentions or implies several quantitative and qualitative indicators that can be used to measure progress towards the identified targets.

1. For SDG 7 (Affordable and Clean Energy)

   • Indicator: Financial flows/investment in clean energy research. The article provides specific figures that serve as direct indicators of investment. For example, “DOE’s congressional budget justification for 2026 suggests dropping NREL’s total budget from $686 million to $299 million” and zeroing out PNNL’s EERE funding from “$141 million.” These figures are direct measures of investment in clean energy R&D.

2. For SDG 8 (Decent Work and Economic Growth)

   • Indicator: Number of jobs created or lost in the green economy sector. The article provides specific numbers: “NREL could let more than 1,000 people go” and PNNL is “considering laying off around 1,100 employees.” These figures are direct indicators of employment trends in a key sector.
   • Indicator: Economic return from investment in sustainable energy. The article cites that “EERE has been responsible for more than $624 billion in net economic benefits,” which can be used as an indicator of economic productivity linked to sustainable development initiatives.

3. For SDG 9 (Industry, Innovation, and Infrastructure)

   • Indicator: Number of research and development personnel. The potential layoffs of thousands of employees at national labs serve as a direct, negative indicator for the number of R&D workers.
   • Indicator: Research and development expenditure. The specific budget figures for NREL and PNNL provided in the article are a direct measure of R&D expenditure, a key indicator for Target 9.5.

Summary of Findings

Source: utilitydive.com