135
(4) and inserting ‘‘, and’’, and by adding at the end the
following:
‘‘(5) the qualifying advanced clean coal tech-
nology facility credit.’’
(b) AMOUNT
OF QUALIFYING ADVANCED CLEAN
COAL TECHNOLOGY FACILITY CREDIT.—Subpart E of
part IV of subchapter A of chapter 1 of the Internal Rev-
enue Code of 1986 (relating to rules for computing invest-
ment credit) is amended by inserting after section 48A
the following:
‘‘SEC. 48B. QUALIFYING ADVANCED CLEAN COAL TECH-
NOLOGY FACILITY CREDIT.
‘‘(a) IN GENERAL.—For purposes of section 46, the
qualifying advanced clean coal technology facility credit
for any taxable year is an amount equal to 10 percent
of the qualified investment in a qualifying advanced clean
coal technology facility for such taxable year.
‘‘(b) QUALIFYING ADVANCED CLEAN COAL TECH-
NOLOGY FACILITY.—
‘‘(1) IN GENERAL.—For purposes of subsection
(a) the term ‘qualifying advanced clean coal tech-
nology facility’ means a facility of the taxpayer—
‘‘(A)(i)(I) which replaces a conventional
technology facility of the taxpayer and the origi-
136
nal use of which commences with the taxpayer,
or
‘‘(II) which is a retrofitted or repowered
conventional technology facility, the retrofitting
or repowering of which is completed by the tax-
payer (but only with respect to that portion of
the basis which is properly attributable to such
retrofitting or repowering), or
‘‘(ii) which is acquired through purchase
(as defined by section 179(d)(2)),
‘‘(B) that is depreciable under section 167,
‘‘(C) that has a useful life of not less than
4 years,
‘‘(D) that is located in the United States,
and
‘‘(E) that uses qualifying advanced clean
coal technology.
‘‘(2) SPECIAL RULE FOR SALE-LEASEBACKS.—
For purposes of subparagraph (A) of paragraph (1),
in the case of a facility that—
‘‘(A) is originally placed in service by a
person, and
‘‘(B) is sold and leased back by such per-
son, or is leased to such person, within 3
months after the date such facility was origi-
137
nally placed in service, for a period of not less
than 12 years,
such facility shall be treated as originally placed in
service not earlier than the date on which such prop-
erty is used under the leaseback (or lease) referred
to in subparagraph (B). The preceding sentence
shall not apply to any property if the lessee and les-
sor of such property make an election under this
sentence. Such an election, once made, may be re-
voked only with the consent of the Secretary.
‘‘(3) QUALIFYING
ADVANCED
CLEAN
COAL
TECHNOLOGY.—For purposes of paragraph (1)(A)—
‘‘(A) IN GENERAL.—The term ‘qualifying
advanced clean coal technology’ means, with re-
spect to clean coal technology—
‘‘(i) 
applications 
totaling 
1,000
megawatts of advanced pulverized coal or
atmospheric fluidized bed combustion tech-
nology (I) installed as a new, retrofit, or
repowering application, (II) operated be-
tween 2000 and 2015, (III) has a design
net heat rate of not more than 8,750 Btu
per kilowatt hour when the design coal has
a heat content of more than 8,000 Btu per
round, or has a design net heat rate of not
138
more than 9,500 Btu per kilowatt hour
when the design coal has a heat content of
8,000 Btu per pound or less,
‘‘(ii) 
applications 
totaling 
1,500
megawatts of pressurized fluidized bed
combustion technology installed as a new,
retrofit, or repowering application and op-
erated between 2000 and 2015 that has a
design net heat rate of not more than
8,400 Btu per kilowatt hour when the de-
sign coal has a heat content of more than
8,000 Btu per pound, and has a design net
heat rate of not more than 9,500 Btu’s per
kilowatt hour when the design coal has a
heat content of 8,000 Btu per pound or
less,
‘‘(iii) 
applications 
totaling 
1,500
megawatts of integrated gasification com-
bined cycle technology (I) installed as a
new, retrofit, or repowering application,
(II) operated between 2000 and 2015,
(III) has a design net heat rate of not
more than 8,550 Btu per kilowatt hour
when the design coal has a heat content of
more than 8,000 Btu per pound, or (IV)
139
has a design net heat rate of not more
than 9,500 Btu per kilowatt hour when the
design coal has a heat content of 8,000
Btu per pound or less, and
‘‘(iv) 
applications 
totaling 
2,000
megawatts of technology for the production
of electricity (I) installed as a new, retrofit,
or repowering application, (II) operated be-
tween 2000 and 2015, and (III) has a car-
bon emission rate that is not more than
85 percent of conventional technology.
‘‘(B) EXCEPTIONS.—Such term shall not
include clean coal technology projects receiving
or scheduled to receive funding under the Clean
Coal Technology Program of the Department of
Energy.
‘‘(C) CLEAN
COAL
TECHNOLOGY.—The
term ‘clean coal technology’ means advanced
technology that utilizes coal to produce 50 per-
cent or more of its thermal output as electricity
including advanced pulverized coal or atmos-
pheric fluidized bed combustion, pressurized flu-
idized bed combustion, integrated gasification
combined cycle, and any other technology for