Ocean thermal-energy conversion (OTEC) is a novel ‘alternative’ energy technology that has created much interest in a number of countries; namely, the USA, Japan, France, Sweden, Holland, India and, most recently, the UK. In particular, the first three of these have had programmes to develop the required technology. However, most interest has been centred in the USA, where the current hiatus in Federal funding provides a timely opportunity to assess progress. This paper offers a survey of the prevailing position there; outlining the outstanding technical and associated problems, and likely future developments. Non-US programmes are only mentioned to contrast them with the American position. At present, it does not appear that OTEC plants will be commercially viable on a widespread basis even in the tropics. This is particularly true of the larger plants (400 MWe, MWe = megawatts of electrical energy, the final output of a power station) towards which the American programme is ultimately geared. There does seem to be a strong possibility that small OTEC plants, around 40 MWe or less, can be commercial in certain circumstances. This would be possible when one or, preferably, more of the following conditions are met: (i) where a land-based rather than ‘at sea’ plant is possible, (ii) where alternative energy supplies are at a premium, i.e. islands or regions without indigenous energy supplies, and (iii) where conditions are such that an OTEC plant could operate in conjunction with either or both an aquaculture or desalination plant.