‘‘(g) REPORTING.—No deduction shall be allowed 
under subsection (a) to any taxpayer for any taxable year 
unless such taxpayer files with the Secretary a report con-
taining such information with respect to the operation of 
the property of the taxpayer as the Secretary shall re-
quire.’’. 
(c) CONFORMING AMENDMENTS.— 
(1) Section 1016(a) is amended by striking 
‘‘and’’ at the end of paragraph (37), by striking the 
period at the end of paragraph (38) and inserting ‘‘, 
and’’, and by adding at the end the following new 
paragraph: 
‘‘(39) to the extent provided in section 
179F(e)(1).’’. 
(2) Section 1245(a) is amended by inserting 
‘‘179F,’’ after ‘‘179E,’’ both places it appears in 
paragraphs (2)(C) and (3)(C). 
(3) Section 263(a)(1) is amended by striking 
‘‘or’’ at the end of subparagraph (K), by striking the 
period at the end of subparagraph (L) and inserting 
‘‘, or’’, and by inserting after subparagraph (L) the 
following new subparagraph: 
‘‘(M) expenditures for which a deduction is 
allowed under section 179F.’’. 
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(4) Section 312(k)(3)(B) is amended by strik-
ing ‘‘or 179E’’ each place it appears in the heading 
and text and inserting ‘‘179E, or 179F’’. 
(5) The table of sections for part VI of sub-
chapter B of chapter 1 is amended by inserting after 
the item relating to section 179F the following new 
item: 
‘‘Sec. 179F. Election to expense certain oil shale extraction and processing 
property.’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to properties placed in service after 
the date of the enactment of this Act. 
TITLE VI—PROVISIONS RELAT-
ING TO ADVANCED COAL AND 
NUCLEAR ENERGY 
SEC. 601. ALTERNATIVE METHOD FOR SATISFYING CER-
TAIN REQUIREMENTS RELATING TO PRODUC-
TION OF REFINED COAL. 
(a) IN GENERAL.—Subparagraph (A) of section 
45(c)(7) is amended by inserting ‘‘and’’ at the end of 
clause (ii) and by amending clause (iii) to read as follows: 
‘‘(iii)(I) is certified by the taxpayer as 
resulting (when used in the production of 
steam) in a qualified emission reduction 
and is produced in such a manner as to re-
sult in an increase of at least 50 percent 
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in the market value of the refined coal (ex-
cluding any increase caused by materials 
combined or added during the production 
process), as compared to the value of feed-
stock coal, or 
‘‘(II) is certified by the taxpayer as 
resulting (when used in the production of 
steam) in a double emission reduction.’’. 
(b) DOUBLE EMISSION REDUCTION.—Paragraph (7) 
of section 45(c) is amended by adding at the end the fol-
lowing new subparagraph: 
‘‘(C) DOUBLE EMISSION REDUCTION.—The 
term ‘double emission reduction’ means an ag-
gregate reduction totaling at least 80 percent of 
the sum of the individual emission reductions of 
nitrogen oxide, sulfur dioxide and mercury re-
leased when burning the refined coal (excluding 
any dilution caused by materials combined or 
added during the production process), as com-
pared to the emissions released when burning 
the feedstock coal or comparable coal predomi-
nantly available in the marketplace as of Janu-
ary 1, 2003.’’. 
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(c) EFFECTIVE DATE.—The amendments made by 
this section shall apply to facilities placed in service after 
June 11, 2007. 
SEC. 602. ADVANCED NUCLEAR POWER PRODUCTION. 
(a) INCREASE
IN
RATE.—Section 45J(a)(1) is 
amended by striking ‘‘1.8 cents’’ and inserting ‘‘2.25 
cents’’. 
(b) INCREASE IN NATIONAL LIMITATION.—Section 
45J(b)(2) is amended by striking ‘‘6,000 megawatts’’ and 
inserting ‘‘12,000 megawatts’’. 
(c) INCREASE
IN ANNUAL LIMITATION.—Section 
45J(c)(1) is amended by striking ‘‘$125,000,000’’ and in-
serting ‘‘$160,000,000’’. 
(d) EXTENSION OF PLACED IN SERVICE DATE.— 
Section 45J(d)(1)(B) is amended by striking ‘‘January 1, 
2021’’ and inserting ‘‘January 1, 2041’’. 
(e) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
the date of the enactment of this Act. 
TITLE VII—COAL TO LIQUIDS 
TECHNOLOGY 
SEC. 701. CREDIT FOR INVESTMENT IN COAL-TO-LIQUID 
FUELS PROJECTS. 
(a) IN GENERAL.—Section 46 (relating to amount of 
credit) is amended by striking ‘‘and’’ at the end of para-
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graph (3), by striking the period at the end of paragraph 
(4) and inserting ‘‘, and’’, and by adding at the end the 
following new paragraph: 
‘‘(5) the qualifying coal-to-liquid fuels project 
credit.’’. 
(b) AMOUNT OF CREDIT.—Subpart E of part IV of 
subchapter A of chapter 1 (relating to rules for computing 
investment credit) is amended by inserting after section 
48D the following new section: 
‘‘SEC. 48E. QUALIFYING COAL-TO-LIQUID FUELS PROJECT 
CREDIT. 
‘‘(a) IN GENERAL.—For purposes of section 46, the 
qualifying coal-to-liquid fuels project credit for any taxable 
year is an amount equal to 20 percent of the qualified 
investment for such taxable year. 
‘‘(b) QUALIFIED INVESTMENT.— 
‘‘(1) IN GENERAL.—For purposes of subsection 
(a), the qualified investment for any taxable year is 
the basis of property placed in service by the tax-
payer during such taxable year which is part of a 
qualifying coal-to-liquid fuels project— 
‘‘(A)(i) the construction, reconstruction, or 
erection of which is completed by the taxpayer, 
or 
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‘‘(ii) which is acquired by the taxpayer if 
the original use of such property commences 
with the taxpayer, and 
‘‘(B) with respect to which depreciation (or 
amortization in lieu of depreciation) is allow-
able. 
‘‘(2) APPLICABLE RULES.—For purposes of this 
section, rules similar to the rules of subsection 
(a)(4) and (b) of section 48 shall apply. 
‘‘(c) DEFINITIONS.—For purposes of this section— 
‘‘(1) 
QUALIFYING
COAL-TO-LIQUID
FUELS 
PROJECT.—The term ‘qualifying coal-to-liquid fuels 
project’ means any domestic project which— 
‘‘(A) employs the class of reactions known 
as Fischer-Tropsch to produce at least 10,000 
barrels per day of transportation grade liquid 
fuels from a feedstock that is primarily domes-
tic coal (including any property which allows for 
the capture, transportation, or sequestration of 
by-products resulting from such process, includ-
ing carbon emissions), and 
‘‘(B) any portion of the qualified invest-
ment in which is certified under the qualifying 
coal-to-liquid program as eligible for credit 
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