Following a similar action by the National Institutes of Health, which was blocked by a judge, the Department of Energy announced a plan to cap indirect research cost reimbursements for higher education institutions at 15 percent. This policy aims to ensure that the substantial funding sent to colleges, which exceeds $2.5 billion annually, primarily supports scientific research rather than administrative expenses. While the DOE argues this will improve efficiency, critics like COGR warn it may hinder research and innovation capabilities.
The Department of Energy aims to streamline funding by limiting indirect costs to 15 percent for higher education institutions, following a similar controversial cap by NIH.
U.S. Secretary of Energy Chris Wright emphasized that taxpayer funding should primarily support scientific research rather than administrative expenses, reinforcing the need for efficiency.
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