Smart grid technologies at risk:

DOE seeks workaround for rare earths dilemma

May 2, 2011 - Prices for rare earth metals, many of them critical components for a variety of smart grid technologies, have jumped 300-700% in the past year because of a very limited global supply – and could hamper widespread adoption of those technologies in the U.S. What to do? DOE's Advanced Research Projects-Energy (ARPA-E) has made $30 million available for early stage technology alternatives that greatly reduce or eliminate the need for the scarce rare earths.

China has been the world's supplier of about 95% of rare earths for years, but last year announced severe cuts in exports.

The two relevant areas up for research funding are EV batteries and wind power generators. The fourth round of ARPE-E funding also provides an additional $100 million for innovative research in biofuels, thermal energy storage, solar power electronics and grid controls. {continued}