.I 

111TH CONGRESS 

1ST SESSION H. R. 2348 

To amend the Internal Revenue Code of 1986 to encourage investment in 

electric transmission technologies that improve the efficiency of power delivery. 

IN THE HOUSE OF REPRESENTATIVES 

MAY 12, 2009 

Mr. HOYER introduced the following bill; which was referred to the Committee 

on Ways and Means 

A BILL 

To amend the Internal Revenue Code of 1986 to encourage 

investment in electric transmission technologies that improve the efficiency of power delivery. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Financing Advanced 

5 and Superconducting Transmission Act of 2009’’. 

6 SEC. 2. 5-YEAR DEPRECIATION FOR ADVANCED ELECTRIC 

7 TRANSMISSION PROPERTY. 

8 (a) IN GENERAL.—Subparagraph (B) of section 

9 168(e)(3) of the Internal Revenue Code of 1986 (defining 

10 5-year property) is amended by striking ‘‘and’’ at the end 


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1 of clause (vi), by striking the period at the end of clause 

2 (vii) and inserting ‘‘, and’’, and by inserting after clause 

3 (vii) the following new clause: 

4 ‘‘(viii) is qualified advanced electric 

5 transmission property (as described in sec6 tion 48(c)(6)) which is placed in service be7 fore January 1, 2017’’. 

8 (b) EFFECTIVE DATE.—The amendment made by 

9 subsection (a) shall apply to property placed in service 

10 after the date of the enactment of this Act. 

11 SEC. 3. INVESTMENT TAX CREDIT FOR HIGH EFFICIENCY 

12 TRANSMISSION PROPERTY AND ADVANCED 

13 ELECTRIC TRANSMISSION PROPERTY. 

14 (a) IN GENERAL.—Subparagraph (A) of section 

15 48(a)(3) of the Internal Revenue Code of 1986 (defining 

16 energy property) is amended by striking ‘‘or’’ at the end 

17 of clause (vi) and by inserting after clause (vii) the fol18 lowing new clauses: 

19 ‘‘(viii) qualified high efficiency trans20 mission property, or 

21 ‘‘(ix) qualified advanced electric trans22 mission property,’’. 

23 (b) 30 PERCENT CREDIT.—Clause (i) of section 

24 48(a)(2)(A) of the Internal Revenue Code of 1986 is 


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1 amended by striking ‘‘and’’ at the end of subclause (III) 

2 and by inserting after subclause (IV) the following: 

3 ‘‘(V) qualified advanced electric 

4 transmission property, and’’. 

5 (c) DEFINITIONS.—Subsection (c) of section 48 of 

6 such Code is amended by adding at the end the following 

7 new paragraphs: 

8 ‘‘(5) QUALIFIED HIGH EFFICIENCY TRANS9 MISSION PROPERTY.— 

10 ‘‘(A) IN GENERAL.—The term ‘qualified 

11 high efficiency transmission property’ means 

12 any high voltage overhead electric transmission 

13 line, related substation, or other integrated fa14 cility that— 

15 ‘‘(i) utilizes advanced conductor core 

16 technology that has been determined by 

17 the Secretary of Energy as— 

18 ‘‘(I) reasonably likely to become 

19 commercially viable within ten (10) 

20 years of the date of enactment of the 

21 Financing Advanced and Super22 conducting Transmission Act of 2009, 

23 ‘‘(II) is suitable for use on trans24 mission lines up to 765kV, and 


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1 ‘‘(III) exhibits power losses at 

2 least 30 percent lower than that of 

3 transmission lines using conventional 

4 ‘ACSR’ conductors, 

5 ‘‘(ii) has been determined by an ap6 propriate energy regulatory body, upon ap7 plication, to be in the public interest and 

8 thereby eligible for inclusion in regulated 

9 rates, and 

10 ‘‘(iii) can be located safely and eco11 nomically in a right of way not to exceed 

12 that used by conventional ‘ACSR’ conduc13 tors. 

14 ‘‘(B) TERMINATION.—The term ‘qualified 

15 high efficiency transmission property’ shall not 

16 include any property placed in service after De17 cember 31, 2016. 

18 ‘‘(6) QUALIFIED ADVANCED ELECTRIC TRANS19 MISSION PROPERTY.— 

20 ‘‘(A) IN GENERAL.—The term ‘qualified 

21 advanced electric transmission property’ means 

22 any high voltage electric transmission cable, re23 lated substation, converter station, or other in24 tegrated facility that— 


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1 ‘‘(i) utilizes advanced ultra low resist2 ance superconductive material or other ad3 vanced technology that has been deter4 mined by the Secretary of Energy as— 

5 ‘‘(I) reasonably likely to become 

6 commercially viable within 10 years 

7 after the date of enactment of the Fi8 nancing Advanced and Super9 conducting Transmission Act of 2009, 

10 ‘‘(II) capable of reliably transmit11 ting at least 5 gigawatts of high-volt12 age electric energy for distances 

13 greater than 300 miles with energy 

14 losses not exceeding 3 percent of the 

15 total power transported, and 

16 ‘‘(III) not creating an electro17 magnetic field, 

18 ‘‘(ii) has been determined by an ap19 propriate energy regulatory body, upon ap20 plication, to be in the public interest and 

21 thereby eligible for inclusion in regulated 

22 rates, and 

23 ‘‘(iii) can be located safely and eco24 nomically in a permanent underground 

25 right of way not to exceed 25 feet in width. 


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1 ‘‘(B) ENERGY PERCENTAGE.—In the case 

2 of any qualified advanced electric transmission 

3 property placed in service before January 1, 

4 2015, with a length of not less than 150 miles, 

5 subsection (a)(2)(A)(i) shall be applied by sub6 stituting ‘50 percent’ for ‘30 percent’. 

7 ‘‘(C) TERMINATION.—The term ‘qualified 

8 advanced electric transmission property’ shall 

9 not include any property placed in service after 

10 December 31, 2016.’’. 

11 (d) EFFECTIVE DATE.—The amendments made by 

12 this section shall apply to periods after the date of the 

13 enactment of this Act, in taxable years ending after such 

14 date, under rules similar to the rules of section 48(m) of 

15 the Internal Revenue Code of 1986 (as in effect on the 

16 day before the date of the enactment of the Revenue Rec17 onciliation Act of 1990). 

Æ 


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