I 
110TH CONGRESS 
2D SESSION 
H. R. 6401 
To spur rapid and sustainable growth in renewable electricity generation 
in the United States through priority interconnection, renewable energy 
payments, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JUNE 26, 2008 
Mr. INSLEE (for himself, Mr. DELAHUNT, Mr. HONDA, Mr. MCDERMOTT, and 
Mr. GRIJALVA) introduced the following bill; which was referred to the 
Committee on Energy and Commerce, and in addition to the Committees 
on Science and Technology and Ways and Means, for a period to be sub-
sequently determined by the Speaker, in each case for consideration of 
such provisions as fall within the jurisdiction of the committee concerned 
A BILL 
To spur rapid and sustainable growth in renewable electricity 
generation in the United States through priority inter-
connection, renewable energy payments, 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. 
This Act may be cited as the ‘‘Renewable Energy 
Jobs and Security Act’’. 
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SEC. 2. FINDINGS. 
The Congress finds that: 
(1) Electricity produced from renewable re-
sources helps to reduce greenhouse gas emissions, 
and limits emissions of other pollutants regulated 
pursuant to the Clean Air Act, enhances national en-
ergy security, and provides substantial economic 
benefits. 
(2) The need exists for the rapid expansion of 
low and zero carbon-emitting electric generation at 
a far greater pace than current levels. 
(3) Distributed electric generation is energy ef-
ficient, promotes grid stability and reduces trans-
mission system congestion during periods of peak 
demand. 
(4) A transition toward renewable energy 
sources brings economic benefit to consumers by re-
ducing their exposure to increasingly volatile fossil 
fuel markets. 
(5) Renewable energy payments, also known as 
‘‘feed-in tariffs’’, are a proven mechanism for accel-
erating the development of renewable energy in grid- 
connected areas. 
(6) By guaranteeing access to the grid and set-
ting a favorable price per unit of power, feed-in tar-
iffs ensure that renewable energy is a sound long- 
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term investment for companies, for industry, and for 
individuals and thereby creates a strong economic 
incentive for investing in renewable energy tech-
nologies. 
(7) The International Energy Agency, the Eu-
ropean Commission and the United Kingdom’s Stern 
Review have determined that feed-in tariff policies in 
Germany, Spain, France and other European Union 
countries have achieved larger renewable energy de-
ployment at lower costs, compared with policies in 
other European Union countries. 
SEC. 3. PURPOSE. 
The purpose of this Act is to— 
(1) enable the rapid and sustainable develop-
ment of distributed renewable electricity generation 
in the United States; 
(2) stimulate the development of new jobs and 
industry in the United States; 
(3) create a stable and secure market for cap-
ital investments in renewable energy technologies; 
(4) reduce air and water pollution, related 
health problems and health-care expenditures; 
(5) help prevent greenhouse gas concentrations 
in the atmosphere from reaching levels that would 
cause dangerous global temperature increases of 
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more than 2 degrees Celsius above pre-industrial lev-
els; 
(6) protect natural resources in the United 
States; 
(7) allow all citizens to participate in renewable 
electricity generation; 
(8) reduce the price volatility and long term 
costs of electricity; 
(9) place the United States at the forefront of 
the global renewable energy revolution; and 
(10) reduce the dependence of the United 
States on foreign sources of energy. 
SEC. 4. DEFINITIONS. 
Section 3 of the Federal Power Act (16 U.S.C. 794) 
is amended by adding the following new paragraphs at the 
end: 
‘‘(30) The term ‘renewable energy’ means en-
ergy generated from— 
‘‘(A) solar thermal, solar photovoltaic, 
wind, geothermal or marine and hydrokinetic 
renewable energy; 
‘‘(B) biomass (as defined in section 9001 
of the Farm Security and Rural Investment Act 
of 2002 (7 U.S.C. 8101)); 
‘‘(C) landfill gas; 
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‘‘(D) biogas derived from farm waste; or 
‘‘(E) qualified hydropower. 
‘‘(31) The term ‘geothermal energy’ means en-
ergy derived from a geothermal deposit (within the 
meaning of section 613(e)(2) of the Internal Rev-
enue Code of 1986). 
‘‘(32) The term ‘marine and hydrokinetic re-
newable energy’ means energy derived from— 
‘‘(A) waves, tides, and currents in oceans, 
estuaries, and tidal areas; 
‘‘(B) free flowing water in rivers, lakes, 
and streams; 
‘‘(C) free flowing water in an irrigation 
system, canal, or other man-made channel, in-
cluding projects that utilize nonmechanical 
structures to accelerate the flow of water for 
electric power production purposes; or 
‘‘(D) differentials in ocean temperature 
(ocean thermal energy conversion). 
‘‘(33) The term ‘renewable energy facility’ 
means an electric energy generation unit owned and 
operated by any person (including a utility) that— 
‘‘(A) is placed in service after December 
31, 2008; 
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‘‘(B) provides electricity directly to the 
electric power grid; 
‘‘(C) uses renewable energy as its sole en-
ergy source; and 
‘‘(D) has a nameplate capacity of not more 
than 20 megawatts. 
‘‘(34) The term ‘network upgrades’ means addi-
tions or modifications to any system for the trans-
mission or distribution of electric energy at or be-
yond the point at which a generator interconnects to 
the system to accommodate renewable energy gen-
erated by a renewable energy facility and delivered 
to the system. 
‘‘(35)(A) The term ‘qualified hydropower’ 
means— 
‘‘(i) incremental hydropower generation 
that is achieved from increased efficiency or ad-
ditions of capacity made on or after January 1, 
2009, at a hydroelectric facility that was placed 
in service before that date; or 
‘‘(ii) additions of capacity made on or after 
January 1, 2009, at an existing nonhydro-
electric dam, if— 
‘‘(I) the hydroelectric project installed 
on the nonhydroelectric dam is licensed by 
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the Federal Energy Regulatory Commis-
sion and meets all other applicable environ-
mental, licensing, and regulatory require-
ments, including applicable fish passage re-
quirements; 
‘‘(II) the nonhydroelectric dam was 
placed in service before the date of the en-
actment of this paragraph and operated 
for flood control, navigation, or water sup-
ply purposes and did not produce hydro-
electric power on the date of the enactment 
of this paragraph; and 
‘‘(III) the hydroelectric project is op-
erated so that the water surface elevation 
at any given location and time that would 
have occurred in the absence of the hydro-
electric project is maintained, subject to 
any license requirements imposed under 
applicable law that change the water sur-
face elevation for the purpose of improving 
the environmental quality of the affected 
waterway. 
‘‘(B) The Federal Energy Regulatory Commis-
sion shall certify if a hydroelectric project licensed at 
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a nonhydroelectric dam meets the criteria described 
in subparagraph (A)(ii)(III). 
‘‘(C) Nothing in this paragraph shall affect the 
standards under which the Federal Energy Regu-
latory Commission issues licenses for and regulates 
hydropower projects under part I of the Federal 
Power Act.’’. 
TITLE I—INTERCONNECTION 
SEC. 101. FEDERAL INTERCONNECTION STANDARDS FOR 
RENEWABLE ENERGY FACILITIES. 
Part II of the Federal Power Act is amended by add-
ing the following new section after section 210: 
‘‘SEC. 
210A. 
EXPEDITED 
FEDERAL 
INTERCONNECTION 
STANDARDS FOR RENEWABLE ENERGY FA-
CILITIES. 
‘‘(a) FEDERAL STANDARDS.—In order to encourage 
the use of renewable energy facilities and to ensure the 
safety and reliability of renewable energy facilities and 
transmission systems interconnected with those facilities, 
within one year after the enactment of this section, the 
Commission shall propose rules establishing standards for 
the physical connection between— 
‘‘(1) renewable energy facilities; and 
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transmission facilities at a reasonable economic 
expense, as determined by the Commission. In 
this case, the transmitting utility shall upgrade 
its transmission facilities without undue delay, 
if so requested by an interconnecting renewable 
energy facility. 
‘‘(C) The obligation to upgrade the trans-
mission facilities shall apply to all technical fa-
cilities required for operating the transmission 
system and to all connecting installations which 
are owned by or passed into the ownership of 
the transmitting utility. 
‘‘(2) EXCEPTIONS.—The standards under this 
section shall not require any transmitting utility to 
interconnect with renewable energy facilities or to 
provide priority access to available transfer capa-
bility on the transmission system if the transmitting 
utility is already committed through long-term con-
tracts to full capacity of its load and such utility has 
no ability to transmit any new generation from re-
newable energy facilities to any other electric utility. 
‘‘(3) COSTS
OF
NETWORK
UPGRADES.—The 
standards under this section shall provide that all 
prudently incurred costs associated with network up-
grades to accommodate new renewable energy facili-
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ties for the purchase and transmission of electricity 
produced from renewable energy facilities shall be 
initially borne by the electric utility or transmitting 
utility. The electric utility or transmitting utility 
shall be reimbursed for such costs through the re-
gional cost sharing mechanism under section 225. 
‘‘(h) PRIORITY OF ORDERS.—Any renewable energy 
facility may apply to the Commission for an order requir-
ing the interconnection of such facility with the trans-
mission system of any transmitting utility in accordance 
with the standards under this section, and the Commission 
shall issue such an order after notice and opportunity for 
hearing in accordance with section 210(b). The Commis-
sion shall give priority to the consideration of applications 
from renewable energy facilities under this section over ap-
plications for orders under section 210 and shall ensure 
that applications by renewable energy facilities are given 
priority interconnection and priority access to available 
transfer capability on the transmission system over appli-
cations from facilities that are not renewable energy facili-
ties. 
‘‘(i) INTERCONNECTION CLUSTERING.—To facilitate 
the objectives of subsection (h) relating to interconnection 
and to reduce backlogs in the interconnection queue, the 
Commission may consider a clustering approach to the 
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interconnection of electric generation facilities with a 
nameplate capacity greater than 2 megawatts. Under such 
interconnection clustering procedures, requests for inter-
connection that are placed within succeeding 6-month pe-
riods may be eligible to be interconnected concurrently. 
‘‘(j) RELATIONSHIP TO EXISTING LAW REGARDING 
INTERCONNECTION.—Except as otherwise provided in this 
section, nothing in this section affects the application of 
section 210 of this Act or section 111(d)(16) (relating to 
interconnection) of the Public Utility Regulatory Policies 
Act of 1978. Nothing in this section shall be interpreted 
as an expansion of the jurisdiction of the Commission with 
respect to the facilities subject to the jurisdiction of the 
Commission. 
‘‘(k) EFFECTIVE DATE.—This section shall take ef-
fect with respect to applications submitted to the Commis-
sion under subsection (h) after the effective date of regula-
tions promulgated under this section.’’. 
SEC. 102. ADOPTION OF CERTAIN STANDARDS. 
(a) INTERCONNECTION NOT SUBJECT TO FEDERAL 
POWER ACT JURISDICTION.—Section 113(b) of the Public 
Utility Regulatory Policy Act of 1978 (16 U.S.C. 2623) 
is amended by adding the following at the end thereof: 
‘‘(6) INTERCONNECTION
STANDARDS.—Each 
electric utility shall adopt such standards for the 
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interconnection with renewable energy facilities as 
are necessary as to ensure that renewable energy fa-
cilities are given priority interconnection and priority 
access to available capacity on the transmission and 
distribution system of such utility over electricity 
from facilities that do not generate electricity from 
renewable energy facilities and permit any renewable 
energy facility to apply to the State regulatory au-
thority for an order requiring the interconnection of 
such facility with the system of the electric utility. 
Such standards shall be based on the standards pro-
mulgated by the Commission under section 210A of 
the Federal Power Act. Such standards shall not af-
fect the application of section 111(d)(15).’’. 
(b) CONFORMING AMENDMENTS.—Section 113(a) of 
such Act is amended by adding the following at the end 
of subsection (a): ‘‘For purposes of applying this section 
in the case of the standard under paragraph (6) of sub-
section (b), in lieu of the two-year period referred to in 
this section there shall be substituted a period of one year 
after the date on which a rule is prescribed or revised by 
the Commission under section 210A.’’. 
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TITLE II—RENEWABLE ENERGY 
PAYMENTS 
SEC. 201. RENEWABLE ENERGY PAYMENT STUDY AND RE-
PORT. 
(a) DEFINITIONS.— 
(1) The term ‘‘renewable energy facility’’ has 
the meaning provided by section 3 of the Federal 
Power Act. 
(2) The term ‘‘Commission’’ refers to the Fed-
eral Energy Regulatory Commission. 
(b) IN GENERAL.—Not later than 1 year after the 
date of enactment of this Act, and every 2 years there-
after, the Secretary of Energy, acting through the Law-
rence Berkeley National Laboratory and the National Re-
newable Energy Laboratory, shall jointly transmit to Con-
gress and to the Commission a report that spatially maps 
national renewable energy resources and conducts cost as-
sessments for renewable energy facility development with 
respect to all available technologies. Such reports may 
draw from reviews and assessments conducted pursuant 
to section 201 of the Energy Policy Act of 2005. Such 
reports shall each include each of the following: 
(1) Maps of renewable energy resource avail-
ability based on the best available data and at the 
highest spatial resolution necessary to help identify 
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the best sites for the development of renewable en-
ergy facilities. 
(2) Recommendations for minimum tariff rates 
that should be paid during each of the following 2 
years to renewable energy facility operators to pro-
vide for reasonable profits for renewable energy fa-
cility owners (with consideration to development 
costs, including costs of manufacturing, installation, 
operation and maintenance) pursuant to the stand-
ard under section 215 of the Public Utility Regu-
latory Policies Act of 1978 (as amended by section 
202 of this Act), adjusted by an appropriate annual 
tariff degression, with consideration to the following: 
(A) The maps described in paragraph (1). 
(B) The goal is to provide for the profit-
able development of renewable energy facilities 
that use available commercialized technologies 
and operate within regions that, on average, ex-
perience the top 30th percentile of renewable 
energy resource potential in the United States. 
(C) The best available scientific and elec-
tricity market data, including data made avail-
able through reports from amendments made by 
section 202 of this Act. 
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(D) The renewable energy technology mar-
ket, including advancements in research, devel-
opment, deployment and innovation. 
(E) The percentage of renewable power 
generation for each technology that can be reli-
ably accommodated on the electric grid. 
(3) Recommendations to the Commission re-
garding new renewable energy technologies that may 
be considered eligible for future power purchase 
agreements under the standard under section 210B 
of the Federal Power Act, as added by section 202 
of this Act. 
(4) Other recommendations to the Commission 
and to State regulatory authorities regarding elec-
tricity reliability, technical, economic, legal or safety 
considerations that could be acted upon in order to 
better achieve the purposes of this Act. 
(5) Renewable energy facility operators shall 
upon request, provide the Commission, the State 
regulatory authorities, the Secretary of Energy (act-
ing through the Lawrence Berkeley National Lab-
oratory and the National Renewable Energy Labora-
tory) any information that may be relevant to per-
forming their duties under this Act. 
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(c) AUTHORIZATION
OF APPROPRIATIONS.—There 
are authorized to be appropriated to the Secretary of En-
ergy such sums as may be necessary to carry out this sec-
tion. 
SEC. 202. GUARANTEED POWER PURCHASE AGREEMENTS. 
(a) PUBLIC UTILITIES REGULATED UNDER
THE 
FEDERAL POWER ACT.—Part II of the Federal Power Act 
is amended by adding the following new section after sec-
tion 210A (as added by this Act): 
‘‘SEC. 210B. RENEWABLE ENERGY PAYMENTS. 
‘‘(a) RENEWABLE ENERGY PAYMENT RULES.—Not 
later than 2 years after the date of enactment of the Re-
newable Energy Jobs and Security Act, the Commission 
shall prescribe, and from time-to-time thereafter revise, 
such rules as it determines necessary to encourage the 
purchase of electric energy by public utilities from renew-
able energy facilities. The rules shall require public utili-
ties to offer to purchase electric energy from renewable 
energy facilities in accordance with this section at uniform 
national rates established pursuant to this section. Each 
such public utility shall purchase electricity from renew-
able energy facilities on a priority basis, and each trans-
mitting utility (as defined in the Federal Power Act) shall 
transmit such energy on a priority basis. Such rules shall 
be prescribed, after consideration of recommendations 
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made in reports under section 201 of the Renewable En-
ergy Jobs and Security Act, after consultation with rep-
resentatives of State regulatory agencies having rate-
making authority for electric utilities, and after public no-
tice and a reasonable opportunity for interested persons 
(and State agencies) to submit data, views, and argu-
ments. Such rules may not authorize a renewable energy 
facility to make any sale for purposes other than resale. 
‘‘(b) EFFECTIVE DATE.—The rules under this sec-
tion shall apply only to contracts for the purchase and sale 
of electric energy from renewable energy facilities entered 
into after the effective date of such rules and before the 
date 20 years after such effective date. 
‘‘(c) RENEWABLE ENERGY PAYMENT RATES
FOR 
PURCHASE OF POWER.— 
‘‘(1) PURPOSES.—The purposes of this sub-
section are to— 
‘‘(A) provide for the profitable development 
of renewable energy facilities that use available 
commercialized technologies and operate within 
regions that, on average, experience the top 
30th percentile of renewable energy resource 
potential in the United States; 
‘‘(B) prevent excessive profits for renew-
able energy facility operators; 
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‘‘(C) minimize upward pressure on renew-
able energy market prices; and 
‘‘(D) prevent unnecessary costs to rate-
payers. 
‘‘(2) UNIFORM
NATIONAL
RATES.—Except as 
otherwise specified in this section, the rates paid for 
the purchase of electric energy from renewable en-
ergy facilities under contracts entered into under 
this section shall be established on a uniform na-
tional basis by the Commission by rule. Such rates 
shall be— 
‘‘(A) fixed throughout the duration of a 
contract extending for a period of at least 20 
years; 
‘‘(B) no less than the amount needed for 
development plus a reasonable profit, with con-
sideration to— 
‘‘(i) the technology used; 
‘‘(ii) the year the installation is placed 
into service; and 
‘‘(iii) the size of the renewable energy 
facility. 
‘‘(3) RATES OF RETURN.—Such rates shall be 
set to provide a nominal, post-tax project internal 
rate of return of not less than 10 percent after re-
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covery of all operating and maintenance costs for 
projects sited in locations with favorable renewable 
energy resource potential, consistent with the pur-
poses of this subsection. 
‘‘(4) BONUS
TARIFFS.—Bonus rates may be 
paid to provide additional incentives for each of the 
following purposes: 
‘‘(A) Biogas-powered renewable energy fa-
cilities to promote electric generation from 
biogas derived from farm waste. 
‘‘(B) Renewable energy facility develop-
ment in areas where distributed generation re-
duces grid congestion and improves overall grid 
efficiency. 
‘‘(C) For power delivered from renewable 
energy facilities on peak. 
‘‘(D) To renewable energy facilities with 
onsite energy storage capability that signifi-
cantly increases the capacity factor or avail-
ability. 
‘‘(5) PERIODIC
ADJUSTMENT.—The Commis-
sion shall review the rates under this subsection 
every 2 years and adjust those rates applicable to 
prospective contracts in accordance with paragraph 
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