115 
(3) accelerating transformational technological 
advances in areas that industry by itself is not likely 
to undertake because of technical and financial un-
certainty. 
(c) DIRECTOR.—ARPA–E shall be headed by a Di-
rector who shall be appointed by the Secretary of Energy. 
The Director shall report to the Secretary. No other pro-
grams within the Department of Energy shall report to 
the Director of ARPA–E. 
(d) RESPONSIBILITIES.—The Director shall admin-
ister the Fund established under section 4002 to award 
competitive grants, cooperative agreements, or contracts 
to institutions of higher education, companies, research 
foundations, trade and industry research collaborations, or 
consortia of such entities which may include federally 
funded research and development centers, to achieve the 
goals stated in subsection (b) through targeted accelera-
tion of— 
(1) novel early-stage energy research with pos-
sible technology applications; 
(2) development of techniques, processes, and 
technologies, and related testing and evaluation; 
(3) research and development of manufacturing 
processes for novel energy technologies; and 
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116 
(4) demonstration and coordination with non-
governmental entities for commercial applications of 
energy technologies and research applications. 
(e) PERSONNEL.— 
(1) PROGRAM MANAGERS.—The Director shall 
designate employees to serve as program managers 
for each of the programs established pursuant to the 
responsibilities established for ARPA–E under sub-
section (d). Program managers shall be responsible 
for— 
(A) establishing research and development 
goals for the program, including through the 
convening of workshops and conferring with 
outside experts, as well as publicizing the goals 
to the public and private sectors; 
(B) soliciting applications for specific areas 
of particular promise, especially those which the 
private sector or the Federal Government are 
not likely to undertake alone; 
(C) building research collaborations for 
carrying out the program; 
(D) selecting on the basis of merit, with 
advice under section 4003 as appropriate, each 
of the energy projects to be supported under 
the program following consideration of— 
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117 
(i) the novelty and scientific and tech-
nical merit of the proposed projects; 
(ii) the demonstrated capabilities of 
the applicants to successfully carry out the 
proposed research project; 
(iii) the applicant’s consideration of 
future commercial applications of the 
project, 
including 
the 
feasibility 
of 
partnering with 1 or more commercial enti-
ties; and 
(iv) such other criteria as are estab-
lished by the Director; and 
(E) monitoring the progress of projects 
supported under the program, and prescribing 
program restructure or termination of research 
partnerships or whole projects that do not show 
promise. 
(2) HIRING AND MANAGEMENT.—In hiring per-
sonnel for ARPA–E, the Director shall have the au-
thority to make appointments of scientific, engineer-
ing, and professional personnel without regard to the 
civil service laws, and fix the compensation of such 
personnel at a rate to be determined by the Director. 
The term of appointments for employees may not ex-
ceed 3 years before the granting of any extension. In 
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