29–006 

113TH CONGRESS REPORT " ! HOUSE OF REPRESENTATIVES 1st Session 113–6 

HYDROPOWER REGULATORY EFFICIENCY ACT OF 2013 

FEBRUARY 4, 2013.—Committed to the Committee of the Whole House on the State 

of the Union and ordered to be printed 

Mr. UPTON, from the Committee on Energy and Commerce, 

submitted the following 

R E P O R T 

[To accompany H.R. 267] 

[Including cost estimate of the Congressional Budget Office] 

The Committee on Energy and Commerce, to whom was referred 

the bill (H.R. 267) to improve hydropower, and for other purposes, 

having considered the same, report favorably thereon without 

amendment and recommend that the bill do pass. 

CONTENTS 

Page 

Purpose and Summary ............................................................................................ 1 

Background and Need for Legislation .................................................................... 2 

Hearings ................................................................................................................... 4 

Committee Consideration ........................................................................................ 4 

Committee Votes ...................................................................................................... 4 

Committee Oversight Findings ............................................................................... 5 

Statement of General Performance Goals and Objectives .................................... 5 

New Budget Authority, Entitlement Authority, and Tax Expenditures ............. 5 

Earmark, Limited Tax Benefits, and Limited Tariff Benefits ............................. 5 

Committee Cost Estimate ....................................................................................... 5 

Congressional Budget Office Estimate ................................................................... 5 

Federal Mandates Statement ................................................................................. 6 

Duplication of Federal Programs ............................................................................ 6 

Disclosure of Directed Rule Makings ..................................................................... 7 

Advisory Committee Statement .............................................................................. 7 

Applicability to Legislative Branch ........................................................................ 7 

Section-by-Section Analysis of the Legislation ...................................................... 7 

Changes in Existing Law Made by the Bill, as Reported ..................................... 8 

PURPOSE AND SUMMARY

H.R. 267, the ‘‘Hydropower Regulatory Efficiency Act of 2013,’’ 

was introduced by Representative Cathy McMorris Rodgers (together with Representatives DeGette, Dingell, Latta, Luja ́n, MarVerDate Mar 15 2010 02:59 Feb 06, 2013 Jkt 029006 PO 00000 Frm 00001 Fmt 6659 Sfmt 6602 E:\HR\OC\HR006.XXX HR006

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1 National Hydropower Association, ‘‘Job Creation Opportunities in Hydropower,’’ Final Report 

(September 20, 2009), available at: http://hydro.org/wp-content/uploads/2010/12/NHA_ JobsStudy_FinalReport.pdf; NHA, ‘‘U.S. Hydropower Supply Chain Snapshot,’’ available at: 

http://hydro.org/why-hydro/available/hydropower-supply-chain-snapshot/. 2 Idaho National Laboratory, ‘‘A Study of United States Hydroelectric Plant Ownership’’ (June 

2006), available at: http://hydropower.inl.gov/hydrofacts/pdfs/alstudyloflunitedl stateslhydroelectriclplantlownership.pdf. 3See FERC, ‘‘Issued Licenses,’’ available at: http://ferc.gov/industries/hydropower/gen-info/ 

licensing/licenses.xls; and ‘‘Issued Exemptions,’’ available at: http://ferc.gov/industries/ 

hydropower/gen-info/licensing/exemptions.xls. 4See Testimony of Jeff C. Wright, Director, Office of Energy Projects, FERC, before the Subcommittee on Energy and Commerce (May 9, 2012). 5 National Hydropower Association, ‘‘Job Creation Opportunities in Hydropower,’’ Final Report 

(September 20, 2009), available at: http://hydro.org/wp-content/uploads/2010/12/ 

NHAlJobsStudylFinalReport.pdf; Final Report Update with state breakdowns (April 26, 

2010), available at http://hydro.org/wp-content/uploads/2011/02/NHA-Annual-Conf-Frantzis-presFinal-7.pdf. 

key, Matheson, Terry, and Walden) on January 15, 2013. The legislation facilitates the development of new hydropower resources in 

the United States by streamlining the federal licensing requirements for small hydropower projects and qualifying conduit hydropower facilities. The legislation also requires the Federal Energy 

Regulatory Commission to study ways to improve federal hydropower licensing for non-powered dams and closed-loop pumped 

storage facilities. 

BACKGROUND AND NEED FOR LEGISLATION

Hydropower is the nation’s largest renewable energy generation 

resource, providing nearly 8 percent of the electricity generated in 

the United States. Including pumped storage facilities, there are 

approximately 100,000 megawatts (MW) of current installed hydropower capacity in the United States. The hydropower sector employs approximately 200,000–300,000 workers across the United 

States, and nearly 2,500 U.S. companies participate in the development, licensing, construction, and operation of hydropower 

projects.1

Ninety-three percent of U.S. hydroelectric facilities are operated 

by the private sector, public utilities, and State or local governments.2 According to the Federal Energy Regulatory Commission 

(FERC), which regulates non-Federal projects, these entities operate over 1,650 hydropower facilities in every region of the U.S.3

Many of these facilities are much smaller than the large Federal 

dams typically associated with hydropower. FERC records show 

that approximately 71% of non-Federal hydropower facilities have 

a capacity of less than 5 MW, demonstrating the importance of 

small hydropower projects to the nation’s energy portfolio.4

Hydropower’s potential 

Despite abundant resources, the production of electricity from 

water resources is not fully utilized. With the right Federal policies 

in place, it may be possible to double hydropower capacity and create thousands of new domestic jobs. For instance, a study completed on behalf of the National Hydropower Association (NHA) 

concluded that by utilizing currently untapped resources, the 

United States could add approximately 60,000 MW of new hydropower capacity by 2025, potentially creating as many as 700,000 

jobs in the process.5

A significant amount of new hydroelectric generation could come 

from maximizing existing infrastructure, particularly non-powered 


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6 U.S. Army Corps of Engineers, National Inventory of Dams, chart: ‘‘Dams by Primary Purpose,’’ available at: http://geo.usace.army.mil/pgis/f?p=397:5:48574067111801::NO. 7 U.S. Department of Energy, ‘‘An Assessment of Energy Potential at Non-Powered Dams in 

the United States’’ (April 2012), available at: http://www1.eere.energy.gov/water/pdfs/ 

npdlreport.pdf. 8 U.S. Bureau of Reclamation, ‘‘Site Inventory and Hydropower Energy Assessment of Reclamation Owned Conduits,’’ Final Report (March 2012), available at: http://www.usbr.gov/power/ 

CanalReport/index.html. 

dams. For example, only about 3 percent of the nation’s approximately 80,000 dams currently generate hydropower.6 The U.S. Department of Energy and Oak Ridge National Laboratory recently 

released a report identifying 12,000 MW of new hydropower that 

could be developed at existing non-powered dams.7

There also is significant growth potential in the small hydropower and conduit power sectors of the industry, as numerous 

project developers and local governments across the country consider retrofitting local dam infrastructure or investing in irrigation 

power projects and other conduit applications. For instance, the 

U.S. Bureau of Reclamation released a study identifying 373 existing canals and conduits that have the combined potential of generating over 365,000 MW-hours of additional hydropower annually.8

Additional hydropower benefits 

Hydropower is a clean, renewable, and zero-emission electricity 

source; its utilization currently avoids 225 million metric tons of 

carbon dioxide in the U.S. each year—equal to the output of approximately 42 million passenger cars, according to NHA. Hydropower facilities also can provide grid reliability and stability services, such as the ability to quickly meet changing demand in electric load, firming for intermittent variable resources, such as wind 

and solar, and black start capability in times of an outage. 

Regulation of hydropower development 

Hydropower developments face a comprehensive regulatory approval process that involves many participants, including FERC, 

Federal and State resource agencies, local governments, tribes, 

non-governmental organizations, and the public. The regulatory 

process to license and construct a hydropower facility can be considerably longer than the process for other renewable energy resources. For example, FERC’s Integrated Licensing Process established specifically for hydropower projects is structured to be completed in 5 years, while the development timeline for wind and 

solar projects can be as short as 18 to 24 months. 

Developers of small hydropower projects told the Committee that, 

due to the lack of economies of scale with smaller projects, the 

costs associated with the licensing process serve as a financial disincentive to pursue these facilities. In recent years, FERC has 

taken steps to improve the licensing process of small hydropower 

projects. However, FERC exemption applications can be lengthy 

and time consuming to prepare. For very small projects, the cost 

of FERC compliance can potentially exceed the cost of hydro equipment. 

According to the Colorado Small Hydro Association, a typical exemption application for a small hydropower system may be on the 

order of 100 pages, including all the necessary explanatory text, 

diagrams, maps, letters, and appendices. Compiling all the necVerDate Mar 15 2010 02:59 Feb 06, 2013 Jkt 029006 PO 00000 Frm 00003 Fmt 6659 Sfmt 6602 E:\HR\OC\HR006.XXX HR006

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9These pending projects include all hydropower technologies: conventional, conduit, pumped 

storage, and new marine hydrokinetic. Arrived at by combining project figures from FERC generated spreadsheets. See ‘‘Pending Licenses, Relicenses and Exemptions’’ (total projects: 64 

equaling 3,030.350 MW), available at: http://ferc.gov/industries/hydropower/gen-info/ 

licensing/pending-lre.xls; ‘‘All Issued Preliminary Permits’’ (total projects: 316 equaling 

52,651.181 MW), available at: http://ferc.gov/industries/hydropower/gen-info/licensing/issued-prepermits.xls; and ‘‘All Pending Preliminary Permits’’ (total projects 89 equaling 6,532.096 MW), 

available at: http://ferc.gov/industries/hydropower/gen-info/licensing/pending-pre-permits.xls. 10 Id. 

essary information can take months, requiring expensive consulting 

assistance from engineers, attorneys, professionally-licensed surveyors, and environmental consultants. Hiring consultants to complete FERC small hydro exemptions for small projects may typically cost somewhere between $10,000 and $30,000—a price tag 

that often outweighs the total hydro equipment installation cost for 

a typical small (1–2 kilowatt) residential micro-hydro system. 

FERC currently reports 469 proposed projects with pending license and license exemption applications, as well as issued and 

pending preliminary permits.9 This represents nearly 60,000 MW 

in new hydropower capacity pending at FERC.10 By improving the 

hydropower licensing process, H.R. 267 could facilitate the development of many of these and future hydropower projects. 

Previous consideration of the legislation 

Identical legislation—H.R. 5892—was introduced in the House of 

Representatives during the 112th Congress. The Subcommittee on 

Energy and Power held a legislative hearing on H.R. 5892, and 

subsequently, the Subcommittee met in open markup session and 

favorably reported, by voice vote, H.R. 5892 to the full Committee. 

The full Committee ordered H.R. 5892 favorably reported, by voice 

vote, to the House of Representatives. On July 9, 2012, under suspension of the rules, H.R. 5892 was agreed to by the House by a 

vote of 372–0. 

Supporters of the legislation 

Supporters of the legislation include NHA, American Rivers, the 

Colorado Small Hydropower Association, and Voith Hydropower. 

HEARINGS

The Committee on Energy and Commerce has not held hearings 

on the legislation in the 113th Congress. 

COMMITTEE CONSIDERATION

On January 22, 2013, the Committee on Energy and Commerce 

met in open markup session. No amendments were offered during 

the markup and the Committee ordered H.R. 267 favorably reported, by unanimous consent, to the House of Representatives. 

COMMITTEE VOTES

Clause 3(b) of rule XIII of the Rules of the House of Representatives requires the Committee to list the record votes on the motion 

to report legislation and amendments thereto. There were no 

record votes taken in connection with ordering H.R. 267 reported. 

A motion by Mr. Upton to order H.R. 267 reported to the House, 

without amendment, was agreed to by unanimous consent. 


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COMMITTEE OVERSIGHT FINDINGS

Pursuant to clause 3(c)(1) of rule XIII of the Rules of the House 

of Representatives, the Committee made oversight findings that 

are reflected in this report. 

STATEMENT OF GENERAL PERFORMANCE GOALS AND OBJECTIVES

H.R. 267 facilitates the development of new hydropower resources in the United States by streamlining the federal licensing 

requirements for small hydropower projects and qualifying conduit 

hydropower facilities. The legislation also requires the Federal Energy Regulatory Commission to study ways to improve federal hydropower licensing for non-powered dams and closed-loop pumped 

storage facilities. 

NEW BUDGET AUTHORITY, ENTITLEMENT AUTHORITY, AND TAX

EXPENDITURES

In compliance with clause 3(c)(2) of rule XIII of the Rules of the 

House of Representatives, the Committee finds that H.R. 267, the 

‘‘Hydropower Regulatory Efficiency Act of 2013,’’ would result in no 

new or increased budget authority, entitlement authority, or tax 

expenditures or revenues. 

EARMARKS, LIMITED TAX BENEFITS, AND LIMITED TARIFF BENEFITS

In compliance with clause 9(e), 9(f), and 9(g) of rule XXI of the 

Rules of the House of Representatives, the Committee finds that 

H.R. 267, the ‘‘Hydropower Regulatory Efficiency Act of 2013,’’ contains no earmarks, limited tax benefits, or limited tariff benefits. 

COMMITTEE COST ESTIMATE

The Committee adopts as its own the cost estimate prepared by 

the Director of the Congressional Budget Office pursuant to section 

402 of the Congressional Budget Act of 1974. 

CONGRESSIONAL BUDGET OFFICE ESTIMATE

Pursuant to clause 3(c)(3) of rule XIII of the Rules of the House 

of Representatives, the following is the cost estimate provided by 

the Congressional Budget Office pursuant to section 402 of the 

Congressional Budget Act of 1974: 

JANUARY 31, 2013. 

Hon. FRED UPTON, 

Chairman, Committee on Energy and Commerce, 

House of Representatives, Washington, DC. 

DEAR MR. CHAIRMAN: The Congressional Budget Office has prepared the enclosed cost estimate for H.R. 267, the Hydropower Regulatory Efficiency Act of 2013. 

If you wish further details on this estimate, we will be pleased 

to provide them. The CBO staff contact is Megan Carroll. 

Sincerely, 

DOUGLAS W. ELMENDORF. 

Enclosure. 


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H.R. 267—Hydropower Regulatory Efficiency Act of 2013 

Under the Federal Power Act, the Federal Energy Regulatory 

Commission (FERC) issues licenses and regulates hydroelectric facilities, regardless of size. H.R. 267 would amend current law to 

allow FERC to extend certain permits related to hydroelectric facilities and exempt small hydroelectric facilities with a generating 

capacity of 10 megawatts or less from FERC’s licensing requirements. In addition, the bill would direct the Secretary of Energy to 

study the feasibility of generating hydroelectric power using water 

flowing through conduits or at facilities that store water. Finally, 

the bill would authorize FERC to carry out pilot projects to demonstrate the potential of generating hydroelectric power at nonpowered dams and water-storage facilities. 

Based on information from FERC and the Department of Energy 

(DOE), CBO estimates that implementing H.R. 267 would have no 

significant net impact on the federal budget. CBO anticipates that 

the proposed changes to FERC’s permitting and licensing requirements would reduce the commission’s workload. We also estimate 

that FERC would spend about $1 million on pilot projects authorized under the bill, assuming appropriation of the necessary 

amounts. However, because FERC recovers 100 percent of its costs 

through user fees, any change in the agency’s costs (which are controlled through annual appropriation acts) would be offset by an 

equal change in fees that the commission charges, resulting in no 

net change in federal spending. Finally, CBO estimates that any 

increased costs to DOE to prepare the study that would be required 

under H.R. 267 would be negligible because the proposed study is 

similar to ongoing efforts to analyze the potential for developing 

hydropower resources. Enacting H.R. 267 would not affect direct 

spending or revenues; therefore, pay-as-you-go procedures do not 

apply. 

H.R. 267 contains no intergovernmental or private-sector mandates as defined in the Unfunded Mandates Reform Act and would 

impose no costs on state, local, or tribal governments. 

The CBO staff contact for this estimate is Megan Carroll. The estimate was approved by Theresa Gullo, Deputy Assistant Director 

for Budget Analysis. 

FEDERAL MANDATES STATEMENT

The Committee adopts as its own the estimate of Federal mandates prepared by the Director of the Congressional Budget Office 

pursuant to section 423 of the Unfunded Mandates Reform Act. 

DUPLICATION OF FEDERAL PROGRAMS

No provision of H.R. 267 establishes or reauthorizes a program 

of the Federal Government known to be duplicative of another Federal program, a program that was included in any report from the 

Government Accountability Office to Congress pursuant to section 

21 of Public Law 111–139, or a program related to a program identified in the most recent Catalog of Federal Domestic Assistance. 


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DISCLOSURE OF DIRECTED RULE MAKINGS

The Committee estimates that enacting H.R. 267 does not specifically direct the completion of any specific rule makings within the 

meaning of 5 U.S.C. 551. 

ADVISORY COMMITTEE STATEMENT

No advisory committees within the meaning of section 5(b) of the 

Federal Advisory Committee Act were created by this legislation. 

APPLICABILITY TO LEGISLATIVE BRANCH

The Committee finds that the legislation does not relate to the 

terms and conditions of employment or access to public services or 

accommodations within the meaning of section 102(b)(3) of the Congressional Accountability Act. 

SECTION-BY-SECTION ANALYSIS OF LEGISLATION

Section 1: Short title; table of contents 

Section 1 provides the short title of ‘‘Hydropower Regulatory Efficiency Act of 2013’’ and provides a table of contents. 

Section 2: Findings 

Section 2 sets forth findings on the potential power generation 

and economic benefits resulting from increased hydropower development in the United States. 

Section 3: Promoting small hydroelectric power projects 

Section 3 increases the licensing exemption threshold for small 

hydropower projects from 5 megawatts (MW) to 10 MW. 

Section 4: Promoting conduit hydropower projects 

Section 4(a) provides that a ‘‘qualifying conduit hydropower facility’’ is not required to obtain a FERC license. The term is defined 

as a hydropower project that (1) uses a non-Federally owned conduit, (2) has an installed capacity of 5 MW or less, and (3) does not 

currently have a license or exemption. An entity proposing to construct a qualifying conduit hydropower facility is required to file a 

notice of intent with FERC that includes sufficient information to 

demonstrate that the facility meets the qualifying criteria. If FERC 

makes an initial determination that the proposed project meets the 

criteria, it shall publish public notice of the notice of intent to construct the project. If no entity contests that the project meets the 

criteria within 45 days, the project is deemed to meet the criteria. 

If an entity contests whether the project meets the criteria, FERC 

is required to promptly issue a written determination as to whether 

the facility meets the criteria. Section 4(a) also expands eligibility 

for the existing conduit exemption to facilities with an installed capacity of up to 40 MW. 

Section 4(b) makes conforming amendments to section 405 of the 

Public Utility Regulatory Policies Act of 1978 (16 U.S.C. 2705). 

Section 5: FERC authority to extend preliminary permit periods 

Section 5 allows FERC to extend the term of a preliminary permit for up to 2 years, for a total of 5 years if FERC finds that the 


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permittee has carried out activities under the permit in good faith 

and with reasonable diligence. 

Section 6: Promoting hydropower development at non-powered dams 

and closed-loop pumped storage projects 

Section 6 directs FERC to study the feasibility of establishing a 

2-year licensing process for hydropower development at non-powered dams and closed-loop pumped storage projects. The results of 

the program shall be reported to Congress. 

Section 7: DOE study of pumped storage and potential hydropower 

from conduits 

Section 7 directs the Secretary of Energy to complete a study of: 

(1) the technical flexibility and potential of certain new and existing pumped storage facilities to support intermittent renewable 

generation and provide grid reliability benefits; and (2) the range 

of opportunities for hydropower from conduits in the United States. 

CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED

In compliance with clause 3(e) of rule XIII of the Rules of the 

House of Representatives, changes in existing law made by the bill, 

as reported, are shown as follows (existing law proposed to be omitted is enclosed in black brackets, new matter is printed in italic, 

existing law in which no change is proposed is shown in roman): 

PUBLIC UTILITY REGULATORY POLICIES ACT OF 1978 

* * * * * * * 

TITLE IV—SMALL HYDROELECTRIC 

POWER PROJECTS 

* * * * * * * 

SEC. 405. SIMPLIFIED AND EXPEDITIOUS LICENSING PROCEDURES. 

(a) * * * 

* * * * * * * 

(d) EXEMPTIONS FROM LICENSING REQUIREMENTS IN CERTAIN

CASES.—The Commission may in its discretion (by rule or order) 

grant an exemption in whole or in part from the requirements (including the licensing requirements) of part I of the Federal Power 

Act to small hydroelectric power projects having a proposed installed capacity of ø5,000¿ 10,000 kilowatts or less, on a case-bycase basis or on the basis of classes or categories of projects, subject 

to the same limitations (to ensure protection for fish and wildlife 

as well as other environmental concerns) as those which are set 

forth in subsections (c) and (d) of section 30 of the Federal Power 

Act with respect to determinations made and exemptions granted 

under øsubsection (a) of such section 30¿ subsection (b) of such section 30; and subsections (c) and (d) of such section 30 shall apply 

with respect to actions taken and exemptions granted under this 

subsection. Except as specifically provided in this subsection, the 

granting of an exemption to a project under this subsection shall 


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in no case have the effect of waiving or limiting the application (to 

such project) of the second sentence of subsection (b) of this section. 

* * * * * * * 

FEDERAL POWER ACT 

PART I 

* * * * * * * 

SEC. 5. (a) Each preliminary permit issued under this Part shall 

be for the sole purpose of maintaining priority of application for a 

license under the terms of this Act for such period or periods, not 

exceeding a total of three years, as in the discretion of the Commission may be necessary for making examinations and surveys, for 

preparing maps, plans, specifications, and estimates, and for making financial arrangements. 

(b) The Commission may extend the period of a preliminary permit once for not more than 2 additional years beyond the 3 years 

permitted by subsection (a) if the Commission finds that the permittee has carried out activities under such permit in good faith 

and with reasonable diligence. 

(c) Each such permit shall set forth the conditions under which 

priority shall be maintained. 

(d) Such permits shall not be transferable, and may be canceled 

by order of the Commission upon failure of permittees to comply 

with the conditions thereof or for other good cause shown after notice and opportunity for hearing. 

* * * * * * * 

SEC. 30. ø(a) Except as provided in subsection (b) or (c), the Commission may grant an exemption in whole or in part from the requirements of this part, including any license requirements contained in this part, to any facility (not including any dam or other 

impoundment) constructed, operated, or maintained for the generation of electric power which the Commission determines, by rule or 

order— 

ø(1) is located on non-Federal lands, and 

ø(2) utilizes for such generation only the hydroelectric potential of a manmade conduit, which is operated for the distribution of water for agricultural, municipal, or industrial consumption and not primarily for the generation of electricity. 

ø(b) The Commission may not grant any exemption under subsection (a) to any facility the installed capacity of which exceeds 15 

megawatts (40 megawatts in the case of a facility constructed, operated, and maintained by an agency or instrumentality of a State 

or local government solely for water supply for municipal purposes).¿ 

(a)(1) A qualifying conduit hydropower facility shall not be required to be licensed under this part. 

(2)(A) Any person, State, or municipality proposing to construct a 

qualifying conduit hydropower facility shall file with the Commission a notice of intent to construct such facility. The notice shall include sufficient information to demonstrate that the facility meets 

the qualifying criteria. 


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(B) Not later than 15 days after receipt of a notice of intent filed 

under subparagraph (A), the Commission shall— 

(i) make an initial determination as to whether the facility 

meets the qualifying criteria; and 

(ii) if the Commission makes an initial determination, pursuant to clause (i), that the facility meets the qualifying criteria, 

publish public notice of the notice of intent filed under subparagraph (A). 

(C) If, not later than 45 days after the date of publication of the 

public notice described in subparagraph (B)(ii)— 

(i) an entity contests whether the facility meets the qualifying 

criteria, the Commission shall promptly issue a written determination as to whether the facility meets such criteria; or 

(ii) no entity contests whether the facility meets the qualifying 

criteria, the facility shall be deemed to meet such criteria. 

(3) For purposes of this section: 

(A) The term ‘‘conduit’’ means any tunnel, canal, pipeline, aqueduct, flume, ditch, or similar manmade water conveyance 

that is operated for the distribution of water for agricultural, 

municipal, or industrial consumption and not primarily for the 

generation of electricity. 

(B) The term ‘‘qualifying conduit hydropower facility’’ means 

a facility (not including any dam or other impoundment) that 

is determined or deemed under paragraph (2)(C) to meet the 

qualifying criteria. 

(C) The term ‘‘qualifying criteria’’ means, with respect to a facility— 

(i) the facility is constructed, operated, or maintained for 

the generation of electric power and uses for such generation only the hydroelectric potential of a non-federally 

owned conduit; 

(ii) the facility has an installed capacity that does not exceed 5 megawatts; and 

(iii) on or before the date of enactment of the Hydropower 

Regulatory Efficiency Act of 2013, the facility is not licensed under, or exempted from the license requirements 

contained in, this part. 

(b) Subject to subsection (c), the Commission may grant an exemption in whole or in part from the requirements of this part, including any license requirements contained in this part, to any facility (not including any dam or other impoundment) constructed, 

operated, or maintained for the generation of electric power which 

the Commission determines, by rule or order— 

(1) utilizes for such generation only the hydroelectric potential 

of a conduit; and 

(2) has an installed capacity that does not exceed 40 

megawatts. 

(c) In making the determination under øsubsection (a)¿ subsection (b) the Commission shall consult with the United States 

Fish and Wildlife Service and the State agency exercising administration over the fish and wildlife resources of the State in which 

the facility is or will be located, in the manner provided by the Fish 

and Wildlife Coordination Act (16 U.S.C. 661, et seq.), and shall include in any such exemption— 


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(1) * * * 

* * * * * * * 

(d) Any violation of a term or condition of any exemption granted 

under øsubsection (a)¿ subsection (b) shall be treated as a violation 

of a rule or order of the Commission under this Act. 

* * * * * * * 

Æ 


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