II 

117TH CONGRESS 

1ST SESSION S. 3205 

To establish an advanced industrial facilities deployment program and a 

State flex-tech energy program, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

NOVEMBER 15, 2021 

Mr. OSSOFF introduced the following bill; which was read twice and referred 

to the Committee on Energy and Natural Resources 

A BILL 

To establish an advanced industrial facilities deployment program and a State flex-tech energy program, and for 

other purposes. 

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 ‘‘Industrial Energy-Effi5 cient Technology Act of 2021’’. 

6 SEC. 2. ADVANCED INDUSTRIAL FACILITIES DEPLOYMENT 

7 PROGRAM. 

8 (a) APPROPRIATION.—In addition to amounts other9 wise available, there is appropriated to the Secretary for 

10 fiscal year 2022, out of any money in the Treasury not 


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1 otherwise appropriated, $4,000,000,000, to remain avail2 able until September 30, 2026, to carry out this section. 

3 (b) PROGRAM.—The Secretary shall use funds appro4 priated by subsection (a) to establish a program to provide 

5 financial assistance, on a competitive basis, to eligible enti6 ties to carry out projects for— 

7 (1) the purchase and installation, or implemen8 tation, of advanced industrial technology at an eligi9 ble facility; 

10 (2) retrofits, upgrades to, or operational im11 provements at an eligible facility to install or imple12 ment advanced industrial technology; or 

13 (3) engineering studies and other work needed 

14 to prepare an eligible facility for activities described 

15 in paragraph (1) or (2). 

16 (c) APPLICATION.—To be eligible to receive financial 

17 assistance under the program established under subsection 

18 (b), an eligible entity shall submit to the Secretary an ap19 plication at such time, in such manner, and containing 

20 such information as the Secretary may require, including 

21 the expected greenhouse gas emissions reductions to be 

22 achieved by carrying out the proposed project. 

23 (d) PRIORITY.—In providing financial assistance 

24 under the program established under subsection (b), the 


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1 Secretary shall give priority consideration to projects on 

2 the basis of, as determined by the Secretary— 

3 (1) the expected greenhouse gas emissions re4 ductions to be achieved by the project; 

5 (2) the extent to which the project would pro6 vide the greatest benefit for the greatest number of 

7 people within the area in which the eligible facility 

8 is located; and 

9 (3) whether the eligible entity participates or 

10 would participate in a partnership with purchasers 

11 of the output of the eligible facility. 

12 (e) COST SHARE.—The Federal share of the cost of 

13 a project carried out using financial assistance provided 

14 under this section shall not exceed 50 percent. 

15 (f) ADMINISTRATIVE COSTS.—Of amounts made 

16 available under subsection (a), the Secretary shall reserve 

17 $200,000,000 for the administrative costs of carrying out 

18 this section. 

19 (g) DEFINITIONS.—In this section: 

20 (1) ADVANCED INDUSTRIAL TECHNOLOGY.— 

21 The term ‘‘advanced industrial technology’’ means 

22 technology or processes designed to accelerate green23 house gas emissions reduction progress to net-zero 

24 at an eligible facility, as determined by the Sec25 retary, including— 


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1 (A) industrial energy efficiency tech2 nologies; 

3 (B) equipment to electrify industrial proc4 esses; 

5 (C) equipment to utilize low- or zero-car6 bon fuels, feedstocks, and energy sources; 

7 (D) low- or zero-carbon process heat sys8 tems; and 

9 (E) carbon capture, transport, utilization, 

10 and storage systems. 

11 (2) ELIGIBLE ENTITY.—The term ‘‘eligible enti12 ty’’ means the owner or operator of an eligible facil13 ity. 

14 (3) ELIGIBLE FACILITY.—The term ‘‘eligible fa15 cility’’ means a domestic, non-Federal, nonpower in16 dustrial or manufacturing facility engaged in energy17 intensive industrial processes, including production 

18 processes for iron, steel, steel mill products, alu19 minum, cement, concrete, glass, pulp, paper, and in20 dustrial ceramics. 

21 (4) FINANCIAL ASSISTANCE.—The term ‘‘finan22 cial assistance’’ means a grant, rebate, direct loan, 

23 or cooperative agreement. 

24 (5) SECRETARY.—The term ‘‘Secretary’’ means 

25 the Secretary of Energy. 


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1 SEC. 3. STATE FLEX-TECH ENERGY PROGRAM. 

2 (a) IN GENERAL.—Part D of title III of the Energy 

3 Policy and Conservation Act (42 U.S.C. 6321 et seq.) is 

4 amended by adding at the end the following: 

5 ‘‘SEC. 367. FLEX-TECH ENERGY PROGRAM TO ENHANCE 

6 MANUFACTURING COMPETITIVENESS. 

7 ‘‘(a) FINANCIAL ASSISTANCE.—Upon request from 

8 the State energy agency of a State that has an approved 

9 State energy conservation plan in effect under this part, 

10 or an Indian Tribe, the Secretary shall provide financial 

11 assistance to the State energy agency or Indian Tribe to 

12 be used for the development, implementation, improve13 ment, or expansion of a flex-tech energy program de14 scribed in subsection (b) (referred to in this section as a 

15 ‘flex-tech energy program’) to enhance manufacturing 

16 competitiveness. 

17 ‘‘(b) FLEX-TECH ENERGY PROGRAM.— 

18 ‘‘(1) IN GENERAL.—A flex-tech energy program 

19 shall include— 

20 ‘‘(A) provision of technical and administra21 tive assistance to manufacturers through quali22 fied engineering firms, as determined by the 

23 State energy agency or Indian Tribe; 

24 ‘‘(B) provision of financial assistance to 

25 manufacturers for— 


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1 ‘‘(i) energy studies of manufacturing 

2 facilities that are conducted by qualified 

3 engineering firms, as determined by the 

4 State energy agency or Indian Tribe; and 

5 ‘‘(ii) the implementation of measures 

6 and recommendations identified in energy 

7 studies conducted under clause (i), includ8 ing the design, acquisition, installation, 

9 testing, operation, maintenance, and repair 

10 of energy- and water-using systems, resil11 iency-related measures, emissions reduc12 tion-related measures, utility cost savings 

13 measures, and measures related to ad14 vanced manufacturing technologies and ar15 tificial intelligence; and 

16 ‘‘(C) reporting on the monitoring, tracking, 

17 and success metrics of the flex-tech energy pro18 gram. 

19 ‘‘(2) STUDIES.—An energy study of a manufac20 turing facility conducted pursuant to paragraph 

21 (1)(B)(i) may include— 

22 ‘‘(A) an evaluation of the energy-using sys23 tems of the facility, including an evaluation of 

24 the performance of energy-using systems rel25 ative to design intent, operational needs of the 


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1 facility and occupants of the facility, and oper2 ation and maintenance procedures; 

3 ‘‘(B) an evaluation of emissions related to 

4 the facility, including greenhouse gas emissions, 

5 and recommendations on sustainability planning 

6 and practices; 

7 ‘‘(C) an evaluation of potential energy effi8 ciency, water efficiency, greenhouse gas emis9 sions mitigation, and load reduction measures 

10 for the facility; 

11 ‘‘(D) an evaluation of potential on-site en12 ergy measures, including grid-interactive effi13 ciency systems, combined heat and power, effi14 cient compressed air systems, energy storage, 

15 energy management systems, renewable thermal 

16 systems, and electrification or other forms of 

17 fuel switching; 

18 ‘‘(E) recommendations on the use of new 

19 technologies at the facility; and 

20 ‘‘(F) detailed estimates of potential imple21 mentation costs, operating cost savings, energy 

22 savings, emissions reductions, and simple pay23 back periods for measures and recommenda24 tions identified as part of the energy study. 

25 ‘‘(3) USE OF FUNDS.— 


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1 ‘‘(A) IN GENERAL.—Of the amount of fi2 nancial assistance received pursuant to this sec3 tion for a fiscal year, a State energy agency or 

4 Indian Tribe shall use— 

5 ‘‘(i) not more than 50 percent for en6 ergy studies; 

7 ‘‘(ii) not more than 50 percent to sup8 port the implementation of recommenda9 tions from those energy studies; and 

10 ‘‘(iii) not more than 10 percent for 

11 administrative expenses, including outreach 

12 and technical assistance. 

13 ‘‘(B) INDIVIDUAL MANUFACTURING FACIL14 ITY.—A State energy agency that receives fi15 nancial assistance pursuant to this section for 

16 a fiscal year may not use more than 5 percent 

17 of that financial assistance with respect to a 

18 single manufacturing facility. 

19 ‘‘(C) FINANCING.—To the extent prac20 ticable, a State energy agency or Indian Tribe 

21 shall implement a flex-tech energy program 

22 using funding provided under this Act, public 

23 financing, private financing, and any other 

24 sources of funds. 


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1 ‘‘(4) DETERMINATION OF QUALIFIED ENGI2 NEERING FIRMS.—A State energy agency or Indian 

3 Tribe administering a flex-tech energy program shall 

4 maintain and regularly update a publicly available 

5 list of qualified engineering firms that are approved 

6 by the State energy agency or Indian Tribe, as ap7 plicable, to provide assistance to manufacturers pur8 suant to this section. 

9 ‘‘(c) TECHNICAL ASSISTANCE.— 

10 ‘‘(1) IN GENERAL.—On request of a State en11 ergy agency or Indian Tribe, the Secretary shall pro12 vide information and technical assistance in the de13 velopment, implementation, improvement, or expan14 sion of a flex-tech energy program. 

15 ‘‘(2) INCLUSIONS.—Technical assistance pro16 vided pursuant to paragraph (1) may include, with 

17 respect to manufacturers that employ fewer than 

18 500 full-time equivalent employees at a manufac19 turing facility, program design options— 

20 ‘‘(A) to meet the needs of such manufac21 turers; and 

22 ‘‘(B) to encourage the use of advanced 

23 manufacturing processes by such manufactur24 ers, including use of additive manufacturing, 

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1 duce embedded emissions, and advanced com2 posite materials. 

3 ‘‘(d) FUNDING.— 

4 ‘‘(1) ALLOCATION.—Except as provided in 

5 paragraph (2), to the extent practicable, the Sec6 retary shall allocate funding made available to carry 

7 out this section for each fiscal year in accordance 

8 with the formula used for distribution of Federal fi9 nancial assistance provided pursuant to this part to 

10 States that have in effect an approved State energy 

11 conservation plan under this part. 

12 ‘‘(2) INDIAN TRIBES.—The Secretary shall set 

13 aside and distribute not less than 5 percent of 

14 amounts made available for each fiscal year to carry 

15 out this section to provide financial assistance— 

16 ‘‘(A) to Indian Tribes; or 

17 ‘‘(B) directly to manufacturers located in 

18 Indian Country or, in the case of Alaska, an 

19 Alaska Native Village Statistical Area, as iden20 tified by the Bureau of the Census. 

21 ‘‘(3) SUPPLEMENT.—Financial assistance pro22 vided to a State energy agency or Indian Tribe pur23 suant to this section shall be used to supplement, 

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1 erwise made available to that State energy agency or 

2 Indian Tribe under this part. 

3 ‘‘(e) DEFINITIONS.—In this section: 

4 ‘‘(1) INDIAN COUNTRY.—The term ‘Indian 

5 Country’ has the meaning given the term in section 

6 1151 of title 18, United States Code. 

7 ‘‘(2) INDIAN TRIBE.—The term ‘Indian Tribe’ 

8 has the meaning given the term in section 4 of the 

9 Indian Self-Determination and Education Assistance 

10 Act (25 U.S.C. 5304). 

11 ‘‘(3) STATE ENERGY AGENCY.—The term ‘State 

12 energy agency’ has the meaning given the term in 

13 section 391.’’. 

14 (b) AUTHORIZATION OF APPROPRIATIONS.—Section 

15 365(f) of the Energy Policy and Conservation Act (42 

16 U.S.C. 6325(f)) is amended— 

17 (1) by striking ‘‘(f) For the purpose’’ and in18 serting the following: 

19 ‘‘(f) AUTHORIZATION OF APPROPRIATIONS.— 

20 ‘‘(1) IN GENERAL.—For the purpose’’; 

21 (2) in paragraph (1) (as so designated), by 

22 striking ‘‘2007 through 2012’’ and inserting ‘‘2022 

23 through 2026’’; and 

24 (3) by adding at the end the following: 


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1 ‘‘(2) FLEX-TECH ENERGY PROGRAM.—In addi2 tion to the amounts authorized to be appropriated 

3 under paragraph (1), for the purposes of carrying 

4 out section 367, there are authorized to be appro5 priated $100,000,000 for each of fiscal years 2022 

6 through 2026.’’. 

7 (c) CONFORMING AMENDMENT.—The table of con8 tents for the Energy Policy and Conservation Act is 

9 amended by adding after the item related to section 366 

10 the following: 

‘‘Sec. 367. Flex-tech energy program to enhance manufacturing competitiveness.’’. 

Æ 


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