POLICY: Schlesinger's Czardom Takes Shape

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The department would pick up several functions now performed elsewhere in the existing Washington energy Establishment. From Housing and Urban Development, it would get authority to set thermal efficiency standards for all buildings in the U.S.; from the Securities and Exchange Commission, power to regulate public utility mergers; from Commerce, responsibility over all programs to promote voluntary energy conservation in industry.

The plan was put together by Schlesinger, Interior Secretary Cecil Andrus and their aides, working with energy specialists from Congress and existing energy agencies. There was debate, and some dissent, on specific points, but the planning sessions generally went quite smoothly.

Congressional leaders seem sympathetic and are not likely to do extensive damage to the Carter proposal in forthcoming hearings. Many legislators appear inclined to accept the Carter-Schlesinger argument for quick approval of the DOE proposal, which runs: "Pass this one to let us get things organized and running." The big battle, over the substance of energy policy itself, will begin when the Administration starts hammering out the proposals that it plans to submit to Congress by April 20.

Carter is just beginning to receive position papers from his advisers on what his policies should be. But three major elements already are visible: 1) conservation of oil and gas by making them cost more, 2) greater use of coal, and 3) de-emphasis of nuclear power. Both Carter and Schlesinger (a former chairman of the Atomic Energy Commission, among his other credits) agree that nuclear power is too expensive and too vulnerable on the safety issue. In his budget, Carter has cut $200 million from the fast-breeder reactor program. One reason: such reactors produce plutonium, which can be used by any nation —friend or foe—to make atomic bombs.