### TECHNOLOG Y INNOVATION FOR

ENVIRONMENTAL AND ECONOMIC PROGRESS:

AN EPA ROADMAP

April , 2012

EPA

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### TECHNOLOG Y INNOVATION FOR
ENVIRONMENTAL AND ECONOMIC PROGRESS:

AN EPA ROADMAP

INTRODUCTION: A NEW AND EVOLVING NEED

Technology development is essential to America’s global competitiveness. President Obama has
said that the United States will win the future b y out educating, out innovating, and out building our competitors. 1 C ost

- effective, innovative technologies can advance environmental protection and safeguard people’s health while furthering economic growth. They have also
been shown to help businesses reduce costs, expand pr oduct markets, and increase profitability. The EPA’s Administrator, Lisa P. Jackson, has said that s mart environmental protection creates jobs . I t creates a market for clean technology and then drives innovation
and invention

– new products for that market

. 2 President Obama has directed federal agencies to use their capabilities to develop creative ways of supporting technology development in the
United States. To this end, the EPA has developed this Roadmap to help guide its efforts with
both interna l and external stakeholders to implement specific strategies to meet the new challenges and opportunities posed by Presidential executive order, 3 Presidential Memorandum, 4 Presidential Strategy, 5 Presidential Initiative, 6 a nd recent legislation. 7

1 President Barack Obama ’s State of the Union Address, January 25, 2011

, http://www.whitehouse.gov/the

- press

office/2011/01/25/remarks

- president

- state

- union

- address

2 Administrator Lisa P. Jackson, Remarks at the National Press Club, As Prepared,

http://yosemite.epa.gov/opa/admpress.nsf/12a744ff56dbff8585257590004750b6/70ba33a2 18b8f22f852576e0006b2a53!Op

enDocument

3 EO 13563, “Improving Regulation and Regulatory Review”, www.regulations.gov/exchange/topic/eo

- 13563

4 “Government Reform for Competitiveness and Innovation”, www.whitehouse.gov/the

- press

- office/2011/03/11/presidentia l

memorandum

- government

- reform

- competitiveness

- and

- innovation

5 “Strategy for American Innovation”, www.whitehouse.gov/administration/eop/nec/StrategyforAmericanInnovation/

6 Startup America, www.whitehouse.gov/issues/startup

- america

7 America Competes Act, www.whitehouse.gov/blog/2011/01/06/america

- competes

- act

- keeps

- americas

- leadership

- target EPA VISI ON FOR TECHNOLOGY INNOVATION

The EPA will promote innovation that eliminates or significantly reduces the use of toxic substances and exposure to pollutants in the environment and that also promotes growth of the American economy. Building upon the EPA’s history of scientific and technological expertise

, the Agency will seek out prospective technological advances that have the greatest potential to achieve multiple environmental goals. Consistent with its statutory and regulatory authorities

, the EPA wil l partner with a diverse set of new and existing stakeholders to speed the design, development and deployment of the next generation of environmental technologies, creating a cleaner environment and a stronger economy for our nation and the world.Page 3 of 5 To help achieve this vision, the Roadmap has been designed to advance the EPA’s efforts to
look at a broad range of approaches to solving the country’s most pressing current environmental problems and preventing future ones. As part of this groundbreaking effort , the EPA is examining the most promising opportunities to advance th is vision within its legal
framework. A critical component of th e EPA’s vision is the role of private capital markets because of the growing interest in environmental technology as a platform to help companies reduce costs, expand product markets, and increase profitability and jobs. Public

- private collaboration will help connect regulators, businesses and investors to tak e a focused approach to facilitating environmental technology i nnovation that reduces pollution along the entire continuum of development, commercialization and deployment in the U nited S tates and
abroad.

STRATEGY

Consistent with its authorities, the EPA will undertake policy, regulatory, financial, and voluntary actions , grounded in science, that will promote innovation along the entire continuum of technology development and deployment. 8

8 Except as otherwise permitted by EPA’s export authorities, EPA may not promote or endorse any specific products, goods or

services. Working with new and existing
partners and stakeholders

, the EPA will seek tangible, outcome

- oriented opportunities to catalyze and support technology innovation across the range of the Agency’s work

.

Specifically, the EPA will advocate more cost

- effective, innovative solutions that eliminate, or significantly reduce, adverse impacts to natural resources in a manner that promote s healthy, productive communities. This approach will address the full range of opportunities to solve current and emerging environmental and public health problems, including those listed below:

Specific technological solutions to solve a straightforwar d environmental problem

– the application of proven scientific knowledge and existing technology to address a singular
environmental need.

New technology to help solve significant problems

– multi

- disciplinary solutions that deliver
better resul ts to solv e a complex problem.

Major technology development initiatives

– targeting significant environmental problems which have significant economic and social impacts

.

Technology for a future state

– novel solutions that replace (rather than incrementally improve) current approaches and strategies

.Page 4 of 5 OBJECTIVES

This roadmap will help drive actions to reduce risks to public health and the environment while spurring economic growth through sustainable innovation. Initial Agency efforts will focus on
four broad actions, including:

1. Design ing EPA policies , r egulatio ns , standards

, permits , and procedures to leverage technology innovation.

 Information systems will be developed to
ensure that the EPA staff keep abreast of emerging technologies and routinely
consider their potential impacts and applications.

 The Agency will support business research and benchmarking of emerging technologies.

 The EPA will consider policies, regulations, standards and permits currently under development and identify opportunities to spur the design and deployment of innovative technology
solutions to concrete environmental problems.

2. Catalyz ing technology design, development, finance, commercialization and adoption through partnerships with stakeholders.

 The EPA will partner with interested individuals, organizations, institutions,
and b usinesses across the broad spectrum of society, including technology designers, users, regulators, developers, and consumers, to spur innovation that benefits society today and over the long

term. Innovation in Practice

Technology Clusters
The EPA is promoting the use of technology
clusters to advance collaboration and leadership for sustainable environmental technology innovation. In 2011, the EPA
work ed with partners to launch the Water Technology Innovation Cluster in Cincinnati

. The cluster serve s as a regional catalyst for

innovation with the goal of promoting science, technology, policy and job creation to solve environmental challenges.

Technology Market Summit
The EPA is co

- sponsoring with American University a Technology Market Summit in

2012. The Summit will bring together 150 representatives of government, industry, investment and academia with the goal of stimulating innovation and expanding the technology market to protect the environment and human health, build
markets an d create jobs , develop partnerships, and identify concrete actions
that the public and private sectors will take
to increase investment in and broaden business opportunities for innovative environmentally beneficial technologies.

Small Business Innovation Research Program

EPA helps small businesses commercialize

innovative technologies to s olve high priority environmental and human health problems

. One business supported by EPA's SBIR Program developed a sustainable biocomposite material which can rep lace petroleum based products. The company has grown from five to 40 employees and is currently scaling the business

, including the opening of a new manufacturing facility for innovative environmental technology

. Another grant recipient used nanotechnology to d evelop a biomimetic coating which replaces toxic cutting fluids. Since it was funded, t his company has grown to 20 employees.Page 5 of 5 3. S timulat ing cross

- Agency consideration, development, commercialization, and adoption of breakthrough technologies.

 The EPA will use its existing technology transfer mechanisms to catalyze and
harness innovatio n to solve discrete environmental problems.

 The EPA w ill strengthen its efforts to establish research, development, and demonstration partnerships with other federal agencies and public and private

institutions.

4. Develop ing a new relationship with the

in vestment community

. The EPA will take a number of steps to build relationships and improve communication.

 The EPA will facilitate public

- private innovation partnerships that bring new technologies into the marketplace.

S UMMARY

EPA’s R oadmap, Technology Innovation for Environmental and Economic Progress , reflects the Agency’s commitment to innovative, cost

effective, sustainable approaches to the protection of the air, water and land upon which society depends for its health and economic well

being, in t he short term and for the future. By working with interested stakeholders and within

its authorities

, the EPA will seek to harness American ingenuity to develop the next generation of innovative products and technologies that eliminate waste, reduce the

p ublic’s exposure to toxic chemicals, and help build thriving businesses and healthy

communities. Innovation in Practice, continued

Significant New Alternatives Policy (SNAP) Program EPA’s SNAP Program evaluates substitutes
for ozone

- depleting substances (ODS) and
ensures a smooth transition from ODS to a variety of next

- generation alternatives across major industrial, commercial, and military sectors . A globally

- recognized program, SNAP has listed over 400
alternatives with lower overall risks to
human health and the environment.

Once substitutes are listed as acceptable under SNAP, they can be used according to listed use conditions, thereby expandin g the
suite of safer alternatives and alternative technologies to be added to the marketplace

.

Driving Innovative Technology Recently, EPA announced an "innovative"
settlement with the Marathon Petroleum Corporation to reduce air pollution when its refineries burn off waste gases. Marathon agreed to install state

- of

- the

- art controls on its flares, and to cap the amount of gas it flares. Working with EPA, Marathon helped advance new approaches that reduce air pollution and improve efficiency at its refineries and provide the U.S. with new knowledge to bring similar improvements in air quality to other communities across the
nation. Marathon indicates that the equipment it already has installed is saving it approximately $5 million per year through

r educed steam usage and product recovery.