Staff Reports
NS&D Monitor
9/12/2014
The Department of Energy’s national labs need to open to up to small and medium businesses in their locales and make a bigger impact on regional economies, spreading the wealth of their expertise and research missions, according to a new study by the Brookings Institution. The report, titled, “Going Local: Connecting the National Labs to their Regions to Maximize Innovation and Growth,” is part of the Brookings Institution’s Metropolitan Policy Program. “Located throughout the country, the Department of Energy’s 17 national labs stand as potentially pivotal institutions in many metropolitan economies and for overall national innovation, growth and competitiveness,” the study said. “As centers of basic and applied technology research and development, the labs are well-positioned to serve as unique focal points for technology exchange among regional firms, universities, and economic development intermediaries.”
The new report notes that many of the national labs remain tightly focused on their research missions with a “behind the fence” mentality and approach. Oak Ridge National Laboratory, DOE’s biggest science lab, and National Renewable Energy Laboratory in Colorado got positive reviews for working in the direction of economic development within their areas. “Traditionally, despite its global leadership in R&D, the (Oak Ridge) lab has struggled to match its scientific expertise with the needs of key industries in East Tennessee,” the Brookings report noted. “Recently, however, ORNL has taken steps to better align with the regional economy. Most notably, the lab’s Carbon Fiber Consortium has worked to include Tennessee companies in a partnership of larger international and domestic firms organized around ORNL’s extensive focus on carbon fiber as a cost-effective, lighter alternative to steel.”
Mutual Benefit
According to the report’s authors, additional ties between local industries and the national labs would not only benefit regional economies in the United States, but would also put new life in the research missions as well. Only recently have the labs started to focus seriously on economic development, the report stated. “In fact, for much of their history, the labs’ main mission was to develop defense technology—and clean up after its testing,” the Brookings report said.
Even when there are connections with industry, the ties tend to be with big industry. “While large firms are extremely important to the national innovation ecosystem, not all of DOE’s 17 labs reside near a Boeing or Microsoft lead design facility,” the study said. “Meanwhile, innovative SMEs (small and medium-sized enterprises) play a huge role in the U.S. advanced economy and are found in numbers within the advanced industry clusters adjacent to many DOE labs.”
Small Businesses Stymied by ‘Micromanagement’
One of the difficulties in getting smaller firms involved is the length of times it takes to negotiate and carry out cooperative research agreements and the fact that private firms often have to pay the DOE labs for costs in using the lab research facilities. The authors note that many of the smaller firms don’t have the resources to fund that work.
The report said that even when labs want to open up and connect with the region, they are often stymied by “micromanagement” from the Department of Energy and Congress. Energy Secretary Ernest Moniz should use his “bully pulpit” to “explicitly position the labs as economic institutions tasked with supporting regional technology clusters,” the authors recommended.
Report Calls for Creation of ‘Microlabs’
Another recommendation is to create so-called “microlabs” outside the labs, perhaps on or near university campuses, and provide a “front door” for regional involvement. ORNL Director Thom Mason said he believes the Oak Ridge lab is leading the way with some of its regional partnerships. “As the Brookings report notes, the Manufacturing Demonstration Facility and our partnerships in the carbon fiber industry are the latest examples of how we’re supporting private-sector innovation,” Mason said. “Advanced manufacturing is a rapidly evolving field and we’re at the forefront, particularly in carbon fiber composites and additive manufacturing.”
He added: “This builds on ORNL’s long history of facilitating industry access to advanced scientific tools such as our materials research facilities and our supercomputers. We also work closely with local and state governments to attract business and industries to the region to help demonstrate the vast resources available through collaboration with Oak Ridge National Laboratory.”
