I 

111TH CONGRESS 

1ST SESSION H. R. 2885 

To amend the Internal Revenue Code of 1986 to expand the credit for 

electricity produced from certain renewable resources and the investment 

energy credit to include ocean thermal energy conversion projects. 

IN THE HOUSE OF REPRESENTATIVES 

JUNE 16, 2009 

Mr. FALEOMAVAEGA (for himself, Ms. BORDALLO, Mrs. CHRISTENSEN, Mr. 

PIERLUISI, and Mr. SABLAN) 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 expand 

the credit for electricity produced from certain renewable 

resources and the investment energy credit to include 

ocean thermal energy conversion projects. 

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 ‘‘Ocean Thermal Energy 

5 Tax and Energy Credits Act of 2009’’. 

6 SEC. 2. ELECTRICITY PRODUCED FROM CERTAIN RENEW7 ABLE RESOURCES. 

8 (a) OCEAN THERMAL ENERGY.— 


jlentini on PROD1PC65 with BILLS
2 

•HR 2885 IH

1 (1) IN GENERAL.—Section 45(c)(1) of the In2 ternal Revenue Code of 1986 is amended by striking 

3 ‘‘and’’ at the end of subparagraph (H), by striking 

4 the period at the end of subparagraph (I) and in5 serting ‘‘, and’’, and by adding at the end the fol6 lowing new subparagraph: 

7 ‘‘(J) ocean thermal energy conversion.’’. 

8 (2) OCEAN THERMAL ENERGY CONVERSION.— 

9 Section 45(c) of such Code is amended by adding at 

10 the end the following new paragraph: 

11 ‘‘(11) OCEAN THERMAL ENERGY CONVER12 SION.—The term ‘ocean thermal energy conversion’ 

13 includes energy or water, or both, from ocean ther14 mal resources, including ocean thermal-cooling for 

15 community air conditioning.’’. 

16 (3) QUALIFIED FACILITY.—Section 45(d) of 

17 such Code is amended by adding at the end the fol18 lowing new paragraph: 

19 ‘‘(10) QUALIFIED OCEAN THERMAL ENERGY

20 CONVERSION FACILITY.—In the case of a facility 

21 using ocean thermal energy to produce electricity, 

22 the term ‘qualified facility’ means any facility owned 

23 by the taxpayer which is originally placed in service 

24 after December 31, 1993, and before January 1, 

25 2015.’’. 


jlentini on PROD1PC65 with BILLS
3 

•HR 2885 IH

1 (b) PRODUCTION IN THE CERTAIN TERRITORIES

2 TAKEN INTO ACCOUNT.—Section 45(e)(1) of such Code 

3 is amended by striking ‘‘or’’ at the end of subparagraph 

4 (A), by striking the period at the end of subparagraph 

5 (B) and inserting a comma, and by adding at the end the 

6 following new subparagraph: 

7 ‘‘(C) in the case of sales with respect to 

8 electricity the production of which is attrib9 utable to ocean thermal energy conversion— 

10 ‘‘(i) Guam, American Samoa, Com11 monwealth of the Northern Marianas Is12 lands, United States Virgin Islands, or 

13 Puerto Rico, including all territorial wa14 ters, seabed and subsoil of submarine 

15 areas thereof, 

16 ‘‘(ii) Republic of the Marshall Islands, 

17 Federated States of Micronesia, or Repub18 lic of Palau, including all territorial waters, 

19 seabed and subsoil of submarine areas 

20 thereof, or 

21 ‘‘(iii) any United States Government 

22 installation worldwide, including military 

23 bases, embassies and other facilities, 

24 whether owned or leased by the United 

25 States Government, including all areas set 


jlentini on PROD1PC65 with BILLS
4 

•HR 2885 IH

1 forth in section 638 (all territorial waters, 

2 seabed and subsoil of submarine areas ad3 jacent to such installations).’’. 

4 (c) EFFECTIVE DATE.—The amendments made by 

5 this section shall apply to property placed in service after 

6 the date of the enactment of this Act. 

7 SEC. 3. ENERGY INVESTMENT CREDIT. 

8 (a) IN GENERAL.—Section 48(a)(3)(A) of the Inter9 nal Revenue Code of 1986 is amended by striking ‘‘or’’ 

10 at the end of clause (vi), by inserting ‘‘or’’ at the end of 

11 clause (vii), and by inserting after clause (vii) the fol12 lowing new clause: 

13 ‘‘(viii) equipment which uses ocean 

14 thermal energy to generate electricity, or 

15 to cool (or provide cold water for use in) 

16 a structure, or to produce fresh water,’’. 

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

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

19 after the date of the enactment of this Act. 

Æ 


jlentini on PROD1PC65 with BILLS