H. R. 6—165
Clean Air Act and State implementation efforts pursuant 
to such Act. 
‘‘(b) FINANCIAL CRITERIA.—As determined by the Secretary for 
a particular project, financial assistance under this title shall be 
in the form of— 
‘‘(1) cost-sharing of an appropriate percentage of the total 
project cost, not to exceed 50 percent as calculated under section 
988 of the Energy Policy Act of 2005; or 
‘‘(2) financial assistance, including grants, cooperative 
agreements, or loans as authorized under this Act or other 
statutory authority of the Secretary. 
‘‘SEC. 3103. GENERATION PROJECTS. 
‘‘(a) ELIGIBLE PROJECTS.—Projects supported under section 
3102(a)(1) may include— 
‘‘(1) equipment or processes previously supported by a 
Department of Energy program; 
‘‘(2) advanced combustion equipment and processes that 
the Secretary determines will be cost-effective and could 
substantially contribute to meeting environmental or energy 
needs, including gasification, gasification fuel cells, gasification 
coproduction, oxidation combustion techniques, ultra-supercrit-
ical boilers, and chemical looping; and 
‘‘(3) hybrid gasification/combustion systems, including sys-
tems integrating fuel cells with gasification or combustion units. 
‘‘(b) CRITERIA.—The Secretary shall establish criteria for the 
selection of generation projects under section 3102(a)(1). The Sec-
retary may modify the criteria as appropriate to reflect improve-
ments in equipment, except that the criteria shall not be modified 
to be less stringent. The selection criteria shall include— 
‘‘(1) prioritization of projects whose installation is likely 
to result in significant air quality improvements in nonattain-
ment air quality areas; 
‘‘(2) prioritization of projects whose installation is likely 
to result in lower emission rates of pollution; 
‘‘(3) prioritization of projects that result in the repowering 
or replacement of older, less efficient units; 
‘‘(4) documented broad interest in the procurement of the 
equipment and utilization of the processes used in the projects 
by owners or operators of facilities for electricity generation; 
‘‘(5) equipment and processes beginning in 2006 through 
2011 that are projected to achieve a thermal efficiency of— 
‘‘(A) 40 percent for coal of more than 9,000 Btu per 
pound based on higher heating values; 
‘‘(B) 38 percent for coal of 7,000 to 9,000 Btu per 
pound passed on higher heating values; and 
‘‘(C) 36 percent for coal of less than 7,000 Btu per 
pound based on higher heating values; 
except that energy used for coproduction or cogeneration shall 
not be counted in calculating the thermal efficiency under this 
paragraph; and 
‘‘(6) equipment and processes beginning in 2012 and 2013 
that are projected to achieve a thermal efficiency of— 
‘‘(A) 45 percent for coal of more than 9,000 Btu per 
pound based on higher heating values; 
‘‘(B) 44 percent for coal of 7,000 to 9,000 Btu per 
pound passed on higher heating values; and
H. R. 6—166
‘‘(C) 40 percent for coal of less than 7,000 Btu per 
pound based on higher heating values; 
except that energy used for coproduction or cogeneration shall 
not be counted in calculating the thermal efficiency under this 
paragraph. 
‘‘(c) PROGRAM BALANCE
AND PRIORITY.—In carrying out the 
program under section 3102(a)(1), the Secretary shall ensure, to 
the extent practicable, that— 
‘‘(1) between 25 percent and 75 percent of the projects 
supported are for the sole purpose of electrical generation; 
and 
‘‘(2) priority is given to projects that use electrical genera-
tion equipment and processes that have been developed and 
demonstrated and applied in actual production of electricity, 
but are not yet cost-competitive, and that achieve greater effi-
ciency and environmental performance. 
‘‘(d) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated to the Secretary to carry out section 3102(a)(1)— 
‘‘(1) $250,000,000 for fiscal year 2007; 
‘‘(2) $350,000,000 for fiscal year 2008; 
‘‘(3) $400,000,000 for each of fiscal years 2009 through 
2012; and 
‘‘(4) $300,000,000 for fiscal year 2013. 
‘‘(e) APPLICABILITY.—No technology, or level of emission reduc-
tion, shall be treated as adequately demonstrated for purpose of 
section 111 of the Clean Air Act (42 U.S.C. 7411), achievable for 
purposes of section 169 of that Act (42 U.S.C. 7479), or achievable 
in practice for purposes of section 171 of that Act (42 U.S.C. 7501) 
solely by reason of the use of such technology, or the achievement 
of such emission reduction, by one or more facilities receiving assist-
ance under section 3102(a)(1). 
‘‘SEC. 3104. AIR QUALITY ENHANCEMENT PROGRAM. 
‘‘(a) ELIGIBLE PROJECTS.—Projects supported under section 
3102(a)(2) shall— 
‘‘(1) utilize technologies that meet relevant Federal and 
State clean air requirements applicable to the unit or facility, 
including being adequately demonstrated for purposes of section 
111 of the Clean Air Act (42 U.S.C. 7411), achievable for pur-
poses of section 169 of that Act (42 U.S.C. 7479), or achievable 
in practice for purposes of section 171 of that Act (42 U.S.C. 
7501); or 
‘‘(2) utilize equipment or processes that exceed relevant 
Federal or State clean air requirements applicable to the unit 
or facilities included in the projects by achieving greater effi-
ciency or environmental performance. 
‘‘(b) PRIORITY IN PROJECT SELECTION.—In making an award 
under section 3102(a)(2), the Secretary shall give priority to— 
‘‘(1) projects whose installation is likely to result in signifi-
cant air quality improvements in nonattainment air quality 
areas or substantially reduce the emission level of criteria 
pollutants and mercury air emissions; 
‘‘(2) projects for pollution control that result in the mitiga-
tion or collection of more than 1 pollutant; and 
‘‘(3) projects designed to allow the use of the waste 
byproducts or other byproducts of the equipment.