Statement of Robert W. Daniel, Jr.
Director, Office of Intelligence
Department of Energy
FY 1993 Appropriations Hearings
INTRODUCTION
Mr. Chairman and Members of the Committee, I am Robert W. Daniel,
Jr., Director of the Office of Intelligence for the Department of
Energy (DOE). It is my pleasure to provide this statement-today
regarding the Department's intelligence programs with particular
focus on the FY 1993 budget request.
The nature and scope of DOE intelligence activities are influenced
by a variety of international events and trends. Recent events in
the former Soviet republics and the increased emphasis being
placed on monitoring of activities of potential proliferant
nations have driven a reassessment of the Department's
top intelligence requirements.
Accordingly, proliferation intelligence activities will be
increased to strengthen the Intelligence Community's assessments
of worldwide nuclear weapons proliferation and the Department's
role in export controls and other policy countermeasures. Events
in the former Soviet republics will continue to be monitored
for impact to U.S. national security and foreign and economic
policies with special focus on the security of Commonwealth
of Independent States' nuclear weapons and issues related to their
dismantlement.
MISSION
The primary mission of the Office of Intelligence is to ensure that
intelligence information requirements of the Secretary and senior
policy makers are met. This is accomplished by the production of
finished intelligence products covering a broad range of issues
from national defense and energy security issues to nuclear
reactor safety and science and technology. In addition to.
Departmental support, the Office of Intelligence ensures that
DOE's technical, analytical, and research expertise is made
available to the Intelligence Community in accordance with
Executive Order 12333, "United States Intelligence Activities."
The Office of Intelligence also provides threat assessment
and counterintelligence support to DOE Headquarters and field
operations.
PROGRAM ORGANIZATION AND KEY ACTIVITIES
The Department's intelligence and intelligence-related activities
are accomplished by four organizational elements-- the Office of
Foreign Intelligence, the Office of Counterintelligence, the
Office of Threat Assessment, and the Office of Intelligence Support
and Security.
The Office of Foreign Intelligence is responsible
for providing senior policy makers and program officials with
timely, accurate foreign intelligence in the areas of proliferation
intelligence, national energy security, scientific and
technological intelligence, and nuclear weapons program capabilities
and intentions with emphasis on the former Soviet republics and the
Peoples Republic of China. The proliferation intelligence program
coordinates the resources of the national laboratory complex and
intelligence complex to develop a multidisciplinary analysis of
foreign efforts that could lead to the development of nuclear
weapons. It also provides proliferation intelligence training
to the rest of the Intelligence Community.
The energy security program provides for the DOE needs for information on
the prospects for disruption of energy supplies due to worldwide
political, economic, and social instabilities'. The scientific and
technological intelligence program provides for identification and
analysis of energy technologies that may have dual uses (civil and
military), and supports the foreign availability studies related to the
DOE Militarily Critical Technologies List which provides government-wide
guidance for executing export control policy. The weapons intelligence
program monitors the breakup of the former Soviet republics and its
political and economic reconfiguration and ramifications,
Deleted
To fulfill its requirements under Executive Order 12333, Office of
Foreign Intelligence staff represent the Department on various
national-level bodies, such as the National Foreign intelligence Board,
the Director of Central Intelligence Non-Proliferation Center, the Joint
Atomic Energy Intelligence Committee, and the Scientific and Technical
Intelligence Committee.
The Office of Counterintelligence conducts a DOE-wide program designed to
detect, deter, and defeat foreign intelligence service actions to acquire
classified or sensitive DOE information or materials. This program differs
from the activities carried out by the DOE Office of Security Affairs
which is responsible for personnel, physical, document, and communication
security programs. Counterintelligence activities are carried out in
cooperation with the DOE Office of Security Affairs, the Federal Bureau of
Investigation, and the Central Intelligence Agency. Office of
Counterintelligence staff represent the Department on the Interagency
Advisory Group for Counterintelligence,
The Office of Threat Assessment provides assessments of actual
or potential adversaries and adversarial actions that could
impact the security of DOE's facilities and activities. 'It also
supports the total U.S. Government by providing technical capability
to evaluate threats
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Threat Assessment activities are primarily carried out in support
of the Office of Security Affairs and strengthen the-DOE'S
security by providing specially tailored threat-related
information. The Office of Threat Assessment also manages the
Special Technologies Program
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the Department on the Interagency Intelligence Committee on
Terrorism and the Policy Coordinating Committee on Terrorism.
The office or intelligence Support and security provides general
technical support to the Office of Intelligence. Key activities
include automation and telecommunications functions, control and
accountability of Sensitive Compartmented Information for the
Department of Energy and its field components, and development and
conduct of specialized intelligence training for DOE, intelligence,
and law enforcement personnel.
SIGNIFICANT ACCOMPLISHMENTS
During FY 1991, and continuing in FY 1992, the office of Intelligence
had significant accomplishments in the areas of foreign intelligence,
counterintelligence, and threat assessment. Some of the accomplish-
ments were national in-scope and others contributed to the mission
of other DOE program elements, such as arms control policy, physical
protection of DOE facilities, and safeguard of classified information.
Significant foreign intelligence accomplishments include:
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o Major inputs to Intelligence Community assessments of
nuclear weapons programs of high priority proliferant
countries
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o Participation in Intelligence Community assessment
of issues related to dismantlement of nuclear
weapons
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o Specialized technical and resource support to the
Iraq Task Force and the United Nations (UN) Special
Commission for UN Security Council Resolution 687.
Significant Counterintelligence accomplishments include:
o Conduct of analysis for identification of
specific espionage threats to DOE personnel
and activities (i.e., most active foreign
intelligence services).
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o Conduct of counterintelligence awareness training for
DOE and contractor employees.
o Cooperation with the Federal Bureau of Investigation
(FBI)
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o Support to the FBI at the Nevada Test Site on
activities associated with implementation of the
Threshold Test Ban Treaty.
Significant Threat Assessment accomplishments include:
o Completion of comprehensive study updating the
terrorist threat to DOE facilities.
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o Conduct of special exhibition., at Sandia National
Laboratories, of DOE technologies which could
potentially be of use to other U.S. Government
agencies in their counterterrorism and counternarcotic
activities.
PRIORITIES FOR THE FUTURE
The Office of Intelligence will continue to strengthen its role
in Intelligence Community assessments
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The Energy Security Program of the office of
Intelligence will focus on assessing the stability of world
and regional economies; potential foreign markets for U.S.
energy technologies, equipment, fuels, and other products and
services; and Deleted
The Counterintelligence program will
continue to be a top priority and Threat Assessment support to
the safeguard and security of DOE facilities will be maintained.
FY 1993 FUNDING REQUEST
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FOREIGN INTELLIGENCE
The increased funding request Deleted covers inflation and
supports additional foreign intelligence activities at the
national laboratories in the Proliferation Intelligence Program
and the Energy Security Program.
As a result of recent revelations concerning the Iraqi nuclear
program, the scope of activities concerning the assessment of
capabilities and intentions of proliferant or possible proliferant
nations has been expanded to place greater emphasis on: (1)
integrated country assessments of emerging proliferant nations;
(2) the role of nuclear supplier nations; and (3) global technology
development initiatives.
Deleted
In addition, finished intelligence products will support the
policy initiatives of the Department's newly established
Office of Arms Control and Non-Proliferation Technology Support.
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COUNTERINTELLIGENCE
The increased funding request Deleted covers inflation and
provides for the continued strengthening of the counterintelligence
program.
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THREAT ASSESSMENT
The increased funding request Deleted will cover inflation for
continued threat assessment activities carried out in support of the
Department's operational security efforts in the field and Headquarters.
TECHNICAL SUPPORT
The increased funding request Deleted will allow the Office of
Intelligence to fully correct identified material weaknesses associated
with findings stemming from the inspection and evaluation of its Sensitive
Compartmented Information Facility by the Office of Security Evaluations.
Approximately $800,000 is required in operating funds to maintain the
classified document control and accountability system.
The increased funding will also cover administrative support requirements
based on revised DOE policy on FTE-dependent costs for space, supplies,
and telecommunications. While these funds are contained in the Office of
Intelligence request, the funds will be transferred to the Departmental
Administration account during the execution year.
PROGRAM DIRECTION
Deleted
CAPITAL EQUIPMENT
Capital Equipment funding will remain at the FY 1992 level and
will provide for Headquarters and laboratory Deleted communications
and classified information control requirements.
