I 
116TH CONGRESS 
1ST SESSION H. R. 3607 
To amend the Energy Policy Act of 2005 to direct Federal research in 
fossil energy and to promote the development and demonstration of 
environmentally responsible coal and natural gas technologies, and for 
other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JULY 2, 2019 
Mr. VEASEY (for himself, Mr. SCHWEIKERT, Mr. LAMB, Mrs. FLETCHER, and 
Ms. JOHNSON of Texas) introduced the following bill; which was referred 
to the Committee on Science, Space, and Technology 
A BILL 
To amend the Energy Policy Act of 2005 to direct Federal 
research in fossil energy and to promote the development 
and demonstration of environmentally responsible coal 
and natural gas technologies, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘Fossil Energy Research and Development Act of 2019’’. 
(b) TABLE OF CONTENTS.—The table of contents for 
this Act is as follows: 
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Sec. 1. Short title; table of contents. 
Sec. 2. Definitions. 
Sec. 3. Fossil energy objectives. 
Sec. 4. Carbon capture technologies. 
Sec. 5. Carbon storage validation and testing. 
Sec. 6. Carbon utilization. 
Sec. 7. Advanced energy systems. 
Sec. 8. Rare earth elements. 
Sec. 9. Methane hydrate research amendments. 
Sec. 10. Carbon removal. 
Sec. 11. Methane leak detection and mitigation. 
Sec. 12. Waste gas utilization. 
Sec. 13. National energy technology laboratory reforms. 
SEC. 2. DEFINITIONS. 
For purposes of this Act: 
(1) DEPARTMENT.—The term ‘‘Department’’ 
means the Department of Energy. 
(2) SECRETARY.—The term ‘‘Secretary’’ means 
the Secretary of Energy. 
SEC. 3. FOSSIL ENERGY OBJECTIVES. 
Section 961 of the Energy Policy Act of 2005 (42 
U.S.C. 16291) is amended— 
(1) in subsection (a)— 
(A) by striking paragraph (2) and insert-
ing the following: 
‘‘(2) Decreasing the cost of emissions control 
technologies for fossil energy production, generation, 
and delivery.’’; 
(B) by striking paragraph (7) and insert-
ing the following: 
‘‘(7) Increasing the export of emissions control 
technologies from the United States for fossil en-
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ergy-related equipment, technology, and services.’’; 
and 
(C) by adding at the end the following: 
‘‘(8) Improving the conversion, use, and storage 
of carbon oxides. 
‘‘(9) Lowering greenhouse gas emissions for all 
fossil fuel production, generation, delivery, and utili-
zation, to the maximum extent possible. 
‘‘(10) Preventing, predicting, monitoring, and 
mitigating the unintended leaking of methane, car-
bon dioxide, or other fossil fuel-related emissions 
into the atmosphere. 
‘‘(11) Reducing water use, improving water 
reuse, and minimizing the surface and subsurface 
environmental impact in the development of uncon-
ventional domestic oil and natural gas resources. 
‘‘(12) Developing carbon removal and utiliza-
tion technologies, products, and methods that result 
in net reductions in greenhouse gas emissions, in-
cluding direct air capture and storage and carbon 
use and reuse for commercial application.’’; 
(2) in subsection (b), by striking paragraphs 
(1) through (3) and inserting the following: 
‘‘(1) $825,000,000 for fiscal year 2020; 
‘‘(2) $866,250,000 for fiscal year 2021; 
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‘‘(3) $909,563,000 for fiscal year 2022; 
‘‘(4) $955,041,000 for fiscal year 2023; and 
‘‘(5) $1,002,793,000 for fiscal year 2024.’’; and 
(3) by striking subsections (c) through (e) and 
inserting the following: 
‘‘(c) PRIORITIZATION.—In carrying out this section, 
the Secretary shall prioritize technologies and strategies 
that have the potential to meet emissions reduction goals 
in the agreement of the twenty-first session of the Con-
ference of the Parties to the United Nations Framework 
Convention on Climate Change. 
‘‘(d) LIMITATION.—None of the funds authorized 
under this section may be used for Fossil Energy Environ-
mental Restoration or Import/Export Authorization.’’. 
SEC. 4. CARBON CAPTURE TECHNOLOGIES. 
(a) CARBON CAPTURE PROGRAM.—Section 962 of 
the Energy Policy Act of 2005 (42 U.S.C. 16292) is 
amended to read as follows: 
‘‘SEC. 962. CARBON CAPTURE TECHNOLOGIES. 
‘‘(a) IN GENERAL.—The Secretary shall conduct a 
program of research, development, demonstration, and 
commercial application of carbon capture technologies, 
which shall include facilitation of the development and use 
of— 
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‘‘(1) carbon capture technologies for coal and 
natural gas; 
‘‘(2) innovations to significantly decrease emis-
sions at existing power plants; and 
‘‘(3) advanced separation technologies. 
‘‘(b) INVESTMENT.—As a part of the program under 
subsection (a), the Secretary shall maintain robust invest-
ments in carbon capture technologies for coal and natural 
gas applications. 
‘‘(c) LARGE-SCALE PILOTS.—In carrying out this 
section, the Secretary is encouraged to support pilot 
projects that test carbon capture technologies on coal and 
natural gas power and industrial systems below the 100 
megawatt scale, consistent with section 988(b). 
‘‘(d) COST AND PERFORMANCE GOALS.—In carrying 
out the program under subsection (a), the Secretary shall 
establish cost and performance goals to assist in the tran-
sition of carbon capture research to commercially viable 
technologies. 
‘‘(e) CARBON CAPTURE PILOT TEST CENTERS.— 
‘‘(1) IN GENERAL.—As a part of the program 
under subsection (a), not later than 1 year after the 
date of the enactment of the Fossil Energy Research 
and Development Act of 2019, the Secretary shall 
award grants to eligible entities for the operation of 
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not less than three Carbon Capture Test Centers (in 
this subsection, known as the ‘Centers’) to provide 
unique testing capabilities for innovative carbon cap-
ture technologies for power and industrial systems. 
‘‘(2) PURPOSE.—Each Center shall— 
‘‘(A) advance research, development, dem-
onstration, and commercial application of car-
bon capture technologies for power and indus-
trial systems; and 
‘‘(B) test technologies that represent the 
scale of technology development beyond labora-
tory testing, but not yet advanced to testing 
under operational conditions at commercial 
scale. 
‘‘(3) APPLICATION.—An entity seeking to oper-
ate a Center under this subsection shall submit to 
the Secretary an application at such time and in 
such manner as the Secretary may require. 
‘‘(4) PRIORITY CRITERIA.—In selecting applica-
tions to operate a Center under this subsection, the 
Secretary shall prioritize applicants that— 
‘‘(A) have access to existing or planned re-
search facilities with modular technology capa-
bilities; 
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‘‘(B) are institutions of higher education 
with established expertise in engineering and 
design for carbon capture technologies, or part-
nerships with such institutions; 
‘‘(C) have access to existing research and 
test facilities for pre-combustion, post-combus-
tion, or oxy-combustion technologies; or 
‘‘(D) have test capabilities to address scal-
ing challenges of integrating carbon capture 
technologies with utility scale power plants. 
‘‘(5) CONSIDERATIONS.—In awarding grants 
for the operation of the Centers under this sub-
section, the Secretary shall ensure that— 
‘‘(A) the portfolio of Centers includes a di-
verse representation of regional and resource 
characteristics; and 
‘‘(B) each new Center demonstrates unique 
research capabilities, unique regional benefits, 
or new technology development opportunities. 
‘‘(6) SCHEDULE.—Each grant to operate a 
Center under this subsection shall be awarded for a 
term of not more than 5 years, subject to the avail-
ability of appropriations. The Secretary may renew 
such 5-year term without limit, subject to a rigorous 
merit review. 
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‘‘(7) TERMINATION.—To the extent otherwise 
authorized by law, the Secretary may eliminate a 
Center during any 5-year term described in para-
graph (6) if such Center is underperforming. 
‘‘(f) DEMONSTRATIONS.— 
‘‘(1) IN GENERAL.—As a part of the program 
under subsection (a), the Secretary may provide 
grants for large-scale demonstration projects for 
power and industrial systems that test the scale of 
technology necessary to gain the operational data 
needed to understand the technical and performance 
risks of the technology before the application of the 
technology at commercial scale, in accordance with 
this subsection. 
‘‘(2) ENGINEERING
AND
DESIGN
STUDIES.— 
The Secretary is authorized to fund front-end engi-
neering and design studies in addition to, or in ad-
vance of, issuing an award for a demonstration 
project under this subsection. 
‘‘(3) APPLICATION.—An entity seeking an 
award to conduct a demonstration project under this 
subsection shall submit to the Secretary an applica-
tion at such time and in such manner as the Sec-
retary may require. 
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‘‘(4) LIMITATIONS.—The Secretary shall only 
provide an award under this subsection after review-
ing each applicant and application regarding— 
‘‘(A) financial strength; 
‘‘(B) construction schedule; 
‘‘(C) market risk; and 
‘‘(D) contractor history. 
‘‘(5) REQUIREMENTS.—A demonstration project 
funded under this subsection shall— 
‘‘(A) utilize technologies that have com-
pleted pilot-scale testing or the equivalent, as 
determined by the Secretary; 
‘‘(B) secure and maintain agreements for 
the utilization or sequestration of captured car-
bon dioxide; and 
‘‘(C) upon completion, demonstrate carbon 
capture technologies on a power or industrial 
system capable of capturing not less than 
100,000 tons of carbon dioxide annually. 
‘‘(g) DEFINITION OF POWER SYSTEM.—In this sec-
tion, the term ‘power system’ means any electricity gener-
ating unit that utilizes fossil fuels to generate electricity 
provided to the electric grid or directly to a consumer. 
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‘‘(h) AUTHORIZATION OF APPROPRIATIONS.—For ac-
tivities under this section, there are authorized to be ap-
propriated to the Secretary— 
‘‘(1) $300,000,000 for fiscal year 2020; 
‘‘(2) $315,000,000 for fiscal year 2021; 
‘‘(3) $330,750,000 for fiscal year 2022; 
‘‘(4) $347,288,000 for fiscal year 2023; and 
‘‘(5) $364,652,000 for fiscal year 2024.’’. 
(b) GAO STUDY.— 
(1) IN GENERAL.—Not later than 1 year after 
the date of enactment of this Act, the Comptroller 
General of the United States shall submit to the 
Committee on Science, Space, and Technology of the 
House of Representatives and the Committee on En-
ergy and Natural Resources of the Senate a report 
on the results of a study of the Department’s suc-
cesses, failures, practices, and improvements in car-
rying out demonstration projects for carbon capture 
technologies for power and industrial systems. In 
conducting the study, the Comptroller General shall 
consider— 
(A) applicant and contractor qualifications; 
(B) project management practices at the 
Department; 
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(C) economic or market changes and other 
factors impacting project viability; 
(D) completion of third-party agreements, 
including power purchase agreements and car-
bon dioxide offtake agreements; 
(E) regulatory challenges; and 
(F) construction challenges. 
(2) CONSIDERATION.—The Secretary shall con-
sider any relevant recommendations, as determined 
by the Secretary, provided in the report required 
under paragraph (1), and shall adopt such rec-
ommendations as the Secretary considers appro-
priate. 
(3) POWER SYSTEM DEFINED.—In this section, 
the term ‘‘power system’’ means any electricity gen-
erating unit that utilizes fossil fuels to generate elec-
tricity provided to the electric grid or directly to a 
consumer. 
SEC. 5. CARBON STORAGE VALIDATION AND TESTING. 
Section 963 of the Energy Policy Act of 2005 (42 
U.S.C. 16293) is amended to read as follows: 
‘‘SEC. 963. CARBON STORAGE VALIDATION AND TESTING. 
‘‘(a) CARBON STORAGE.—The Secretary, in consulta-
tion with the Administrator of the Environmental Protec-
tion Agency, shall carry out a program of research, devel-
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opment, and demonstration for carbon storage. The pro-
gram shall— 
‘‘(1) in coordination with relevant Federal agen-
cies, develop and maintain mapping tools and re-
sources that assess the capacity of geologic storage 
formations in the United States; 
‘‘(2) develop monitoring tools, modeling of geo-
logic formations, and analyses to predict and verify 
carbon dioxide containment and account for seques-
tered carbon dioxide in geologic storage sites; 
‘‘(3) research potential environmental, safety, 
and health impacts in the event of a leak to the at-
mosphere or to an aquifer, and any corresponding 
mitigation actions or responses to limit harmful con-
sequences; 
‘‘(4) evaluate the interactions of carbon dioxide 
with formation solids and fluids, including the pro-
pensity of injections to induce seismic activity; 
‘‘(5) assess and ensure the safety of operations 
related to geologic sequestration of carbon dioxide; 
‘‘(6) determine the fate of carbon dioxide con-
current with and following injection into geologic 
formations; 
‘‘(7) support cost and business model assess-
ments to examine the economic viability of tech-
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nologies and systems developed under this program; 
and 
‘‘(8) provide information to State, local, and 
Tribal governments, the Environmental Protection 
Agency, and other appropriate entities, to support 
development of a regulatory framework for commer-
cial-scale sequestration operations that ensure the 
protection of human health and the environment. 
‘‘(b) GEOLOGIC SETTINGS.—In carrying out research 
activities under this section, the Secretary shall consider 
a variety of candidate geologic settings, both onshore and 
offshore, including— 
‘‘(1) operating oil and gas fields; 
‘‘(2) depleted oil and gas fields; 
‘‘(3) residual oil zones; 
‘‘(4) unconventional reservoirs and rock types; 
‘‘(5) unmineable coal seams; 
‘‘(6) saline formations in both sedimentary and 
basaltic geologies; 
‘‘(7) geologic systems that may be used as engi-
neered reservoirs to extract economical quantities of 
brine from geothermal resources of low permeability 
or porosity; and 
‘‘(8) geologic systems containing in situ carbon 
dioxide mineralization formations. 
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