344 
to Congress on the economic and technical potential for elec-
tricity or hydrogen production, with or without cogenera-
tion, with concentrating solar power. 
§ 921. Miscellaneous projects 
The Secretary may conduct studies for— 
(1) ocean energy, including wave energy; and 
(2) the combined use of renewable energy tech-
nologies with one another and with other energy tech-
nologies, including the combined use of wind power 
and coal gasification technologies. 
§ 922. Renewable energy in public buildings 
(a) TECHNOLOGY TRANSFER PROGRAM.—The Sec-
retary shall establish a program for the transfer of innova-
tive technologies for solar and other renewable energy 
sources in buildings owned or operated by a State or local 
government, and for the dissemination of information re-
sulting from an assessment of such program to interested 
parties. 
(b) LIMIT
ON FEDERAL FUNDING.—The Secretary 
shall provide under this section no more than 40 percent 
of the incremental costs of the solar or other renewable en-
ergy source project funded. 
(c) REQUIREMENT.—As part of the application for 
awards under this section, the Secretary shall require all 
applicants—
345 
(1) to demonstrate a continuing commitment to 
the use of solar and other renewable energy sources in 
buildings they own or operate; and 
(2) to state how they expect any award to further 
their transition to the significant use of renewable en-
ergy. 
§ 923. University biodiesel program 
(a) IN GENERAL.—The Secretary shall establish a pro-
gram regarding the feasibility of the operation of diesel elec-
tric power generators, using biodiesel fuels, with ratings as 
high as B100 at a university electric generation facility. 
The program shall examine— 
(1) heat rates of diesel fuels with large quantities 
of cellulosic content; 
(2) the reliability of operation of various fuel 
blends; 
(3) performance in cold or freezing weather; 
(4) stability of fuel after extended storage; and 
(5) other criteria, as determined by the Sec-
retary. 
(b) AUTHORIZATION OF APPROPRIATIONS.—There are 
authorized to be appropriated to the Secretary $400,000 to 
carry out subsection (a). Such funds shall remain available 
until expended.
346 
Subtitle D—Nuclear Energy 
§ 929. Alternatives to industrial radioactive sources 
(a) STUDY.—The Secretary shall conduct a study and 
provide a report to Congress not later than August 1, 2006. 
The study shall— 
(1) survey industrial applications of large radio-
active sources, including well-logging sources; 
(2) review current domestic and international 
Department, Department of Defense, Department of 
State, and commercial programs to manage and dis-
pose of radioactive sources; 
(3) discuss disposal options and practices for 
currently deployed or future sources and, if defi-
ciencies are noted in existing disposal options or 
practices for either deployed or future sources, rec-
ommend options to remedy deficiencies; and 
(4) develop a program plan for research and de-
velopment to develop alternatives to large industrial 
sources that reduce safety, environmental, or pro-
liferation risks to either workers using the sources or 
the public. 
(b) PROGRAM.—The Secretary shall establish a re-
search and development program to implement the program 
plan developed under subsection (a)(4). The program shall 
include miniaturized particle accelerators for well-logging 
or other industrial applications and portable accelerators
347 
for production of short-lived radioactive materials at an in-
dustrial site. 
§ 930. Geological isolation of spent fuel 
The Secretary shall conduct a study to determine the 
feasibility of deep borehole disposal of spent nuclear fuel 
and high-level radioactive waste. The study shall emphasize 
geological, chemical, and hydrological characterization of, 
and design of engineered structures for, deep borehole envi-
ronments. Not later than 1 year after the date of enactment 
of this Act, the Secretary shall transmit the study to Con-
gress. 
Subtitle E—Fossil Energy 
PART I—STUDIES AND PROGRAM SUPPORT 
§ 931. Fossil energy 
(a) IN GENERAL.—The following sums are authorized 
to be appropriated to the Secretary for fossil energy activi-
ties, including activities authorized under this part: 
(1) For fiscal year 2006, $530,000,000. 
(2) For fiscal year 2007, $556,000,000. 
(3) For fiscal year 2008, $583,000,000. 
(4) For fiscal year 2009, $611,000,000. 
(5) For fiscal year 2010, $626,000,000. 
(b) ALLOCATIONS.—From amounts authorized under 
subsection (a), the following sums are authorized:
348 
(1) For activities under section 932(b)(2), 
$28,000,000 for each of the fiscal years 2006 through 
2010. 
(2) For activities under section 934— 
(A) for fiscal year 2006, $12,000,000; 
(B) for fiscal year 2007, $15,000,000; and 
(C) for each of fiscal years 2008 through 
2010, $20,000,000. 
(3) For activities under section 935— 
(A) for fiscal year 2006, $259,000,000; 
(B) for fiscal year 2007, $272,000,000; 
(C) for fiscal year 2008, $285,000,000; 
(D) for fiscal year 2009, $298,000,000; and 
(E) for fiscal year 2010, $308,000,000. 
(4) For the Office of Arctic Energy under section 
3197 of the Floyd D. Spence National Defense Au-
thorization Act for Fiscal Year 2001 (42 U.S.C. 
7144d), $25,000,000 for each of fiscal years 2006 
through 2010. 
(5) For activities under section 933, $4,000,000 
for fiscal year 2006 and $2,000,000 for each of fiscal 
years 2007 through 2010. 
(c) EXTENDED AUTHORIZATION.—There are author-
ized to be appropriated to the Secretary for the Office of 
Arctic Energy under section 3197 of the Floyd D. Spence
349 
National Defense Authorization Act for Fiscal Year 2001 
(42 U.S.C. 7144d), $25,000,000 for each of fiscal years 2009 
through 2012. 
(d) LIMITS ON USE OF FUNDS.— 
(1) NO FUNDS FOR CERTAIN PROGRAMS.—None 
of the funds authorized under this section may be 
used for Fossil Energy Environmental Restoration or 
Import/Export Authorization. 
(2) INSTITUTIONS OF HIGHER EDUCATION.—Of 
the funds authorized under subsection (b)(2), not less 
than 20 percent of the funds appropriated for each 
fiscal year shall be dedicated to activities carried out 
at institutions of higher education. 
§ 932. Oil and gas studies 
(a) OIL AND GAS STUDIES.—The Secretary shall con-
duct a program of studies on oil and gas, including— 
(1) exploration and production; 
(2) gas hydrates; 
(3) reservoir life and extension; 
(4) transportation and distribution infrastruc-
ture; 
(5) ultraclean fuels; 
(6) heavy oil and oil shale; 
(7) related environmental research; and 
(8) compressed natural gas marine transport.
350 
(b) FUEL CELLS.— 
(1) IN GENERAL.—The Secretary shall conduct a 
program of studies on fuel cells for low-cost, high-effi-
ciency, fuel-flexible, modular power systems. 
(2) IMPROVED
MANUFACTURING
PRODUCTION 
AND PROCESSES.—The studies under paragraph (1) 
shall include fuel cell technology for commercial, resi-
dential, and transportation applications, and distrib-
uted generation systems, utilizing improved manufac-
turing production and processes. 
(c) NATURAL GAS AND OIL DEPOSITS REPORT.—Not 
later than 2 years after the date of enactment of this Act, 
and every 2 years thereafter, the Secretary of the Interior, 
in consultation with other appropriate Federal agencies, 
shall transmit a report to Congress of the latest estimates 
of natural gas and oil reserves, reserves growth, and undis-
covered resources in Federal and State waters off the coast 
of Louisiana and Texas. 
(d) INTEGRATED CLEAN POWER AND ENERGY.— 
(1) NATIONAL CENTER OR CONSORTIUM OF EX-
CELLENCE.—The Secretary shall establish a national 
center or consortium of excellence in clean energy and 
power generation to address the Nation’s critical de-
pendence on energy and the need to reduce emissions.
351 
(2) PROGRAM.—The center or consortium shall 
conduct a program integrating the following focus 
areas: 
(A) Efficiency and reliability of gas tur-
bines for power generation. 
(B) Reduction in emissions from power gen-
eration. 
(C) Promotion of energy conservation 
issues. 
(D) Effectively utilizing alternative fuels 
and renewable energy. 
(E) Advanced materials technology for oil 
and gas exploration and utilization in harsh en-
vironments. 
(F) Education on energy and power genera-
tion issues. 
§ 933. Technology transfer 
The Secretary shall establish a competitive program 
to award a contract to a nonprofit entity for the purpose 
of transferring technologies developed with public funds. 
The entity selected under this section shall have experience 
in offshore oil and gas technology management, in the 
transfer of technologies developed with public funds to the 
offshore and maritime industry, and in management of an 
offshore and maritime industry consortium. The program
352 
consortium selected under section 942 shall not be eligible 
for selection under this section. When appropriate, the Sec-
retary shall consider utilizing the entity selected under this 
section when implementing the activities authorized by sec-
tion 975. 
§ 934. Coal mining technologies 
(a) ESTABLISHMENT.—The Secretary shall carry out 
a program of studies on coal mining technologies. The Sec-
retary shall cooperate with appropriate Federal agencies, 
coal producers, trade associations, equipment manufactur-
ers, institutions of higher education with mining engineer-
ing departments, and other relevant entities. 
(b) PROGRAM.—The activities carried out under this 
section shall— 
(1) be guided by the mining priorities identified 
by the Mining Industry of the Future Program and 
in the recommendations from relevant reports of the 
National Academy of Sciences on mining technologies; 
and 
(2) include activities exploring minimization of 
contaminants in mined coal that contribute to envi-
ronmental concerns. 
§ 935. Coal and related technologies program 
(a) IN GENERAL.—In addition to the programs au-
thorized under title IV, the Secretary shall conduct a pro-
353 
gram of technology to study coal and power systems, includ-
ing programs to facilitate production and generation of 
coal-based power through— 
(1) innovations for existing plants; 
(2) integrated gasification combined cycle; 
(3) advanced combustion systems; 
(4) turbines for synthesis gas derived from coal; 
(5) carbon capture and sequestration; 
(6) coal-derived transportation fuels and chemi-
cals; 
(7) solid fuels and feedstocks; 
(8) advanced studies; 
(9) advanced separation technologies; and 
(10) a joint project for permeability enhance-
ment in coals for natural gas production and carbon 
dioxide sequestration. 
(b) COST AND PERFORMANCE GOALS.—In carrying 
out programs authorized by this section, the Secretary shall 
identify cost and performance goals for coal-based tech-
nologies that would permit the continued cost-competitive 
use of coal for electricity generation, as chemical feedstocks, 
and as transportation fuel in 2007, 2015, and the years 
after 2020. In establishing such cost and performance goals, 
the Secretary shall—
354 
(1) consider activities and studies undertaken to 
date by industry in cooperation with the Department 
in support of such assessment; 
(2) consult with interested entities, including 
coal producers, industries using coal, organizations to 
promote coal and advanced coal technologies, environ-
mental organizations, and organizations representing 
workers; 
(3) not later than 120 days after the date of en-
actment of this Act, publish in the Federal Register 
proposed draft cost and performance goals for public 
comments; and 
(4) not later than 180 days after the date of en-
actment of this Act and every 4 years thereafter, sub-
mit to Congress a report describing final cost and 
performance goals for such technologies that includes 
a list of technical milestones as well as an expla-
nation of how programs authorized in this section 
will not duplicate the activities authorized under the 
Clean Coal Power Initiative authorized under subtitle 
A of title IV. 
§ 936. Complex Well Technology Testing Facility 
The Secretary, in coordination with industry leaders 
in extended research drilling technology, shall establish a 
Complex Well Technology Testing Facility at the Rocky
355 
Mountain Oilfield Testing Center to increase the range of 
extended drilling technologies. 
PART II—ULTRA-DEEPWATER AND UNCONVEN-
TIONAL NATURAL GAS AND OTHER PETRO-
LEUM RESOURCES 
§ 941. Program authority 
(a) IN GENERAL.—The Secretary shall carry out a 
program under this part regarding technologies for ultra- 
deepwater and unconventional natural gas and other petro-
leum resource exploration and production, including ad-
dressing the technology challenges for small producers, safe 
operations, and environmental mitigation (including re-
duction of greenhouse gas emissions and sequestration of 
carbon). 
(b) PROGRAM ELEMENTS.—The program under this 
part shall address the following areas, including improving 
safety and minimizing environmental impacts of activities 
within each area: 
(1) Ultra-deepwater technology, including drill-
ing to formations in the Outer Continental Shelf to 
depths greater than 15,000 feet. 
(2) Ultra-deepwater architecture. 
(3) Unconventional natural gas and other petro-
leum resource exploration and production technology,
356 
including the technology challenges of small pro-
ducers. 
(c) LIMITATION ON LOCATION OF FIELD ACTIVITIES.— 
Field activities under the program under this part shall 
be carried out only— 
(1) in— 
(A) areas in the territorial waters of the 
United States not under any Outer Continental 
Shelf moratorium as of September 30, 2002; 
(B) areas onshore in the United States on 
public land administered by the Secretary of the 
Interior available for oil and gas leasing, where 
consistent with applicable law and land use 
plans; and 
(C) areas onshore in the United States on 
State or private land, subject to applicable law; 
and 
(2) with the approval of the appropriate Federal 
or State land management agency or private land 
owner. 
(d) CONSULTATION WITH SECRETARY OF THE INTE-
RIOR.—In carrying out this part, the Secretary shall con-
sult regularly with the Secretary of the Interior.
357 
§ 942. Ultra-deepwater Program 
(a) IN GENERAL.—The Secretary shall carry out the 
activities under section 941(a), to maximize the use of the 
ultra-deepwater natural gas and other petroleum resources 
of the United States by increasing the supply of such re-
sources, through reducing the cost and increasing the effi-
ciency of exploration for and production of such resources, 
while improving safety and minimizing environmental im-
pacts. 
(b) ROLE OF THE SECRETARY.—The Secretary shall 
have ultimate responsibility for, and oversight of, all aspects 
of the program under this section. 
(c) ROLE OF THE PROGRAM CONSORTIUM.— 
(1) IN GENERAL.—The Secretary may contract 
with a consortium to— 
(A) manage awards pursuant to subsection 
(f)(4); 
(B) make recommendations to the Secretary 
for project solicitations; 
(C) disburse funds awarded under sub-
section (f) as directed by the Secretary in accord-
ance with the annual plan under subsection (e); 
and 
(D) carry out other activities assigned to 
the program consortium by this section.
358 
(2) LIMITATION.—The Secretary may not assign 
any activities to the program consortium except as 
specifically authorized under this section. 
(3) CONFLICT OF INTEREST.— 
(A) PROCEDURES.—The Secretary shall es-
tablish procedures— 
(i) to ensure that each board member, 
officer, or employee of the program consor-
tium who is in a decision-making capacity 
under subsection (f)(3) or (4) shall disclose 
to the Secretary any financial interests in, 
or financial relationships with, applicants 
for or recipients of awards under this sec-
tion, including those of his or her spouse or 
minor child, unless such relationships or in-
terests would be considered to be remote or 
inconsequential; and 
(ii) to require any board member, offi-
cer, or employee with a financial relation-
ship or interest disclosed under clause (i) to 
recuse himself or herself from any review 
under subsection (f)(3) or oversight under 
subsection (f)(4) with respect to such appli-
cant or recipient.
359 
(B) FAILURE TO COMPLY.—The Secretary 
may disqualify an application or revoke an 
award under this section if a board member, offi-
cer, or employee has failed to comply with proce-
dures required under subparagraph (A)(ii). 
(d) SELECTION OF THE PROGRAM CONSORTIUM.— 
(1) IN GENERAL.—The Secretary shall select the 
program consortium through an open, competitive 
process. 
(2) MEMBERS.—The program consortium may 
include corporations, trade associations, institutions 
of higher education, National Laboratories, or other 
research institutions. After submitting a proposal 
under paragraph (4), the program consortium may 
not add members without the consent of the Secretary. 
(3) TAX STATUS.—The program consortium shall 
be an entity that is exempt from tax under section 
501(c)(3) of the Internal Revenue Code of 1986. 
(4) SCHEDULE.—Not later than 180 days after 
the date of enactment of this Act, the Secretary shall 
solicit proposals from eligible consortia to perform the 
duties in subsection (c)(1), which shall be submitted 
not later than 360 days after the date of enactment 
of this Act. The Secretary shall select the program
360 
consortium not later than 18 months after such date 
of enactment. 
(5) APPLICATION.—Applicants shall submit a 
proposal including such information as the Secretary 
may require. At a minimum, each proposal shall— 
(A) list all members of the consortium; 
(B) fully describe the structure of the con-
sortium, including any provisions relating to in-
tellectual property; and 
(C) describe how the applicant would carry 
out the activities of the program consortium 
under this section. 
(6) CRITERION.—The Secretary shall consider 
the amount of the fee an applicant proposes to receive 
under subsection (g) in selecting a consortium under 
this section. 
(e) ANNUAL PLAN.— 
(1) IN GENERAL.—The program under this sec-
tion shall be carried out pursuant to an annual plan 
prepared by the Secretary in accordance with para-
graph (2). 
(2) DEVELOPMENT.— 
(A) 
SOLICITATION
OF
RECOMMENDA-
TIONS.—Before drafting an annual plan under 
this subsection, the Secretary shall solicit specific
361 
written recommendations from the program con-
sortium for each element to be addressed in the 
plan, including those described in paragraph (4). 
The Secretary may request that the program 
consortium submit its recommendations in the 
form of a draft annual plan. 
(B) SUBMISSION
OF
RECOMMENDATIONS; 
OTHER COMMENT.—The Secretary shall submit 
the recommendations of the program consortium 
under subparagraph (A) to the Ultra-Deepwater 
Advisory Committee established under section 
945(a) for review, and such Advisory Committee 
shall provide to the Secretary written comments 
by a date determined by the Secretary. The Sec-
retary may also solicit comments from any other 
experts. 
(C) CONSULTATION.—The Secretary shall 
consult regularly with the program consortium 
throughout the preparation of the annual plan. 
(3) PUBLICATION.—The Secretary shall transmit 
to Congress and publish in the Federal Register the 
annual plan, along with any written comments re-
ceived under paragraph (2)(A) and (B).
362 
(4) CONTENTS.—The annual plan shall describe 
the ongoing and prospective activities of the program 
under this section and shall include— 
(A) a list of any solicitations for awards 
that the Secretary plans to issue to carry out re-
search, development, demonstration, or commer-
cial application activities, including the topics 
for such work, who would be eligible to apply, se-
lection criteria, and the duration of awards; and 
(B) a description of the activities expected 
of the program consortium to carry out sub-
section (f)(4). 
(5) ESTIMATES
OF
INCREASED
ROYALTY
RE-
CEIPTS.—The Secretary, in consultation with the Sec-
retary of the Interior, shall provide an annual report 
to Congress with the President’s budget on the esti-
mated cumulative increase in Federal royalty receipts 
(if any) resulting from the implementation of this 
part. The initial report under this paragraph shall be 
submitted in the first President’s budget following the 
completion of the first annual plan required under 
this subsection. 
(f) AWARDS.— 
(1) IN
GENERAL.—The Secretary shall make 
awards to carry out activities under the program
363 
under this section. The program consortium shall not 
be eligible to receive such awards, but members of the 
program consortium may receive such awards. 
(2) PROPOSALS.—The Secretary shall solicit pro-
posals for awards under this subsection in such man-
ner and at such time as the Secretary may prescribe, 
in consultation with the program consortium. 
(3) REVIEW.—The Secretary shall make awards 
under this subsection through a competitive process, 
which shall include a review by individuals selected 
by the Secretary. Such individuals shall include, for 
each application, Federal officials, the program con-
sortium, and non-Federal experts who are not board 
members, officers, or employees of the program consor-
tium or of a member of the program consortium. 
(4) OVERSIGHT.— 
(A) IN GENERAL.—The program consortium 
shall oversee the implementation of awards under 
this subsection, consistent with the annual plan 
under subsection (e), including disbursing funds 
and monitoring activities carried out under such 
awards for compliance with the terms and condi-
tions of the awards. 
(B) EFFECT.—Nothing in subparagraph 
(A) shall limit the authority or responsibility of
364 
the Secretary to oversee awards, or limit the au-
thority of the Secretary to review or revoke 
awards. 
(C) PROVISION OF INFORMATION.—The Sec-
retary shall provide to the program consortium 
the information necessary for the program con-
sortium to carry out its responsibilities under 
this paragraph. 
(g) ADMINISTRATIVE COSTS.— 
(1) IN GENERAL.—To compensate the program 
consortium for carrying out its activities under this 
section, the Secretary shall provide to the program 
consortium funds sufficient to administer the pro-
gram. This compensation may include a management 
fee consistent with Department of Energy contracting 
practices and procedures. 
(2) ADVANCE.—The Secretary shall advance 
funds to the program consortium upon selection of the 
consortium, which shall be deducted from amounts to 
be provided under paragraph (1). 
(h) AUDIT.—The Secretary shall retain an inde-
pendent, commercial auditor to determine the extent to 
which funds provided to the program consortium, and funds 
provided under awards made under subsection (f), have 
been expended in a manner consistent with the purposes
365 
and requirements of this part. The auditor shall transmit 
a report annually to the Secretary, who shall transmit the 
report to Congress, along with a plan to remedy any defi-
ciencies cited in the report. 
§ 943. Unconventional natural gas and other petro-
leum resources Program 
(a) IN GENERAL.—The Secretary shall carry out ac-
tivities under subsection 941(b)(3), to maximize the use of 
the onshore unconventional natural gas and other petroleum 
resources of the United States, by increasing the supply of 
such resources, through reducing the cost and increasing the 
efficiency of exploration for and production of such re-
sources, while improving safety and minimizing environ-
mental impacts. 
(b) AWARDS.— 
(1) IN GENERAL.—The Secretary shall carry out 
this section through awards to consortia made 
through an open, competitive process. As a condition 
of award of funds, qualified consortia shall— 
(A) demonstrate capability and experience 
in unconventional onshore natural gas or other 
petroleum technologies; 
(B) provide a research plan that dem-
onstrates how additional natural gas or oil pro-
duction will be achieved; and
366 
(C) at the request of the Secretary, provide 
technical advice to the Secretary for the purposes 
of developing the annual plan required under 
subsection (e). 
(2) PRODUCTION
POTENTIAL.—The Secretary 
shall seek to ensure that the number and types of 
awards made under this subsection have reasonable 
potential to lead to additional oil and natural gas 
production on Federal lands. 
(3) SCHEDULE.—To carry out this subsection, 
not later than 180 days after the date of enactment 
of this Act, the Secretary shall solicit proposals from 
consortia, which shall be submitted not later than 360 
days after the date of enactment of this Act. The Sec-
retary shall select the first group of research consortia 
to receive awards under this subsection not later than 
18 months after such date of enactment. 
(c) AUDIT.—The Secretary shall retain an inde-
pendent, commercial auditor to determine the extent to 
which funds provided under awards made under this sec-
tion have been expended in a manner consistent with the 
purposes and requirements of this part. The auditor shall 
transmit a report annually to the Secretary, who shall 
transmit the report to Congress, along with a plan to rem-
edy any deficiencies cited in the report.
367 
(d) FOCUS AREAS FOR AWARDS.— 
(1) 
UNCONVENTIONAL
RESOURCES.—Awards 
from allocations under section 949(d)(2) shall focus 
on areas including advanced coalbed methane, deep 
drilling, natural gas production from tight sands, 
natural gas production from gas shales, stranded gas, 
innovative exploration and production techniques, en-
hanced recovery techniques, and environmental miti-
gation of unconventional natural gas and other petro-
leum resources exploration and production. 
(2) SMALL
PRODUCERS.—Awards from alloca-
tions under section 949(d)(3) shall be made to con-
sortia consisting of small producers or organized pri-
marily for the benefit of small producers, and shall 
focus on areas including complex geology involving 
rapid changes in the type and quality of the oil and 
gas reservoirs across the reservoir; low reservoir pres-
sure; unconventional natural gas reservoirs in coal-
beds, deep reservoirs, tight sands, or shales; and un-
conventional oil reservoirs in tar sands and oil shales. 
(e) ANNUAL PLAN.— 
(1) IN GENERAL.—The program under this sec-
tion shall be carried out pursuant to an annual plan 
prepared by the Secretary in accordance with para-
graph (2).