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(B) forty-four percent for coal of 7,000 to
9,000 Btu; and
(C) forty-two percent for coal of less than
7,000 Btu.
(3) 2020 EFFICIENCY MILESTONES.—The mile-
stones shall be designed to achieve by 2020 thermal ef-
ficiency of—
(A) sixty percent for coal of more than
9,000 Btu;
(B) fifty-nine percent for coal of 7,000 to
9,000 Btu; and
(C) fifty-seven percent for coal of less than
7,000 Btu.
(4) EMISSIONS
MILESTONES.—The milestones
shall include near zero emissions of mercury and
greenhouse gases and of emissions that form fine par-
ticles, smog, and acid rain.
(5) REGIONAL AND QUALITY DIFFERENCES.—The
Secretary may consider regional and quality dif-
ferences in developing the efficiency milestones.
(c) PROJECT CRITERIA.—The demonstration activities
proposed to be conducted at a new or existing coal-based
electric generation unit having a nameplate rating of not
less than 100 megawatts, excluding a co-production plant,
shall include at least one of the following—
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(1) a means of recycling or reusing a significant
portion of coal combustion wastes produced by coal-
based generating units, excluding practices that are
commercially available by the date of enactment of
this subtitle;
(2) a means of capture and sequestering emis-
sions, including greenhouse gases, in a manner that
is more effective and substantially below the cost of
technologies that are in operation or that have been
demonstrated by the date of enactment of this subtitle;
(3) a means of controlling sulfur dioxide and ni-
trogen oxide or mercury in a manner that improves
environmental performance beyond technologies that
are in operation or that have been demonstrated by
the date of enactment of this subtitle—
(A) in the case of an existing unit, achieve
an overall thermal design efficiency improvement
compared to the efficiency of the unit as oper-
ated, of not less than—
(i) 7 percent for coal of more than
9,000 Btu;
(ii) 6 percent for coal of 7,000 to 9,000
Btu; or
(iii) 4 percent for coal of less than
7,000 Btu; or
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(B) in the case of a new unit, achieve the
efficiency milestones set for in subsection (b)
compared to the efficiency of a typical unit as
operated on the date of enactment of this subtitle,
before any retrofit, repowering, replacement, or
installation.
(d) STUDY.—The Secretary, in consultation with the
Administrator of the Environmental Protection Agency, the
Secretary of the Interior, and interested entities (including
coal producers, industries using coal, organizations to pro-
mote coal or advanced coal technologies, environmental or-
ganizations, and organizations representing workers), shall
conduct an assessment that identifies performance criteria
that would be necessary for coal-based technologies to meet,
to enable future reliance on coal in an environmentally sus-
tainable manner for electricity generation, use as a chem-
ical feedstock, and use as a transportation fuel.
(e) AUTHORIZATION OF APPROPRIATIONS.—
(1) IN GENERAL.—There are authorized to be ap-
propriated to the Secretary for carrying out activities
under this section $200,000,000 for each of fiscal
years 2003 through 2011.
(2) LIMITATION
ON
FUNDING
OF
PROJECTS.—
Eighty percent of the funding under this section shall
be limited to—
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(A) carbon capture and sequestration tech-
nologies;
(B) gasification technologies, including gas-
ification combined cycle, gasification fuel cells,
gasification co-production, or hybrid gasifi-
cation/combustion; or
(C) other technology either by itself or in
conjunction with other technologies that has the
potential to achieve near zero emissions.
SEC. 1233. RESEARCH AND DEVELOPMENT FOR ADVANCED
SAFE AND EFFICIENT COAL MINING TECH-
NOLOGIES.
(a) ESTABLISHMENT.—The Secretary of Energy shall
establish a cooperative research partnership involving ap-
propriate Federal agencies, coal producers, including asso-
ciations, equipment manufacturers, universities with min-
ing engineering departments, and other relevant entities
to—
(1) develop mining research 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;
(2) establish a process for conducting joint in-
dustry-Government research and development; and
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(3) expand mining research capabilities at insti-
tutions of higher education.
(b) AUTHORIZATION OF APPROPRIATIONS.—
(1) IN GENERAL.—There are authorized to be ap-
propriated to carry out activities under this section,
$12,000,000 in fiscal year 2003 and $15,000,000 in
fiscal year 2004.
(2) LIMIT ON USE OF FUNDS.—Not less than 20
percent of any funds appropriated in a given fiscal
year under this subsection shall be dedicated to re-
search carried out at institutions of higher education.
SEC. 1234. ULTRA-DEEPWATER AND UNCONVENTIONAL RE-
SOURCE EXPLORATION AND PRODUCTION
TECHNOLOGIES.
(a) DEFINITIONS.—In this section:
(1) ADVISORY COMMITTEE.—The term ‘‘Advisory
Committee’’ means the Ultra-Deepwater and Uncon-
ventional Resource Technology Advisory Committee
established under subsection (c).
(2) AWARD.—The term ‘‘award’’ means a cooper-
ative agreement, contract, award or other types of
agreement as appropriate.
(3) DEEPWATER.—The term ‘‘deepwater’’ means
a water depth that is greater than 200 but less than
1,500 meters.
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(4) ELIGIBLE AWARD RECIPIENT.—The term ‘‘el-
igible award recipient’’ includes—
(A) a research institution;
(B) an institution of higher education;
(C) a corporation; and
(D) a managing consortium formed among
entities described in subparagraphs (A) through
(C).
(5) INSTITUTION OF HIGHER EDUCATION.—The
term ‘‘institution of higher education’’ has the mean-
ing given the term in section 101 of the Higher Edu-
cation Act of 1965 (20 U.S.C. 1001).
(6) MANAGING CONSORTIUM.—The term ‘‘man-
aging consortium’’ means an entity that—
(A) exists as of the date of enactment of this
section;
(B)(i) is an organization described in sec-
tion 501(c)(3) of the Internal Revenue Code of
1986; and
(ii) is exempt from taxation under section
501(a) of that Code;
(C) is experienced in planning and man-
aging programs in natural gas or other petro-
leum exploration and production research, devel-
opment, and demonstration; and
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(D) has demonstrated capabilities and expe-
rience in representing the views and priorities of
industry, institutions of higher education and
other research institutions in formulating com-
prehensive research and development plans and
programs.
(7) PROGRAM.—The term ‘‘program’’ means the
program of research, development, and demonstration
established under subsection (b)(1)(A).
(8) ULTRA-DEEPWATER.—The term ‘‘ultra-deep-
water’’ means a water depth that is equal to or great-
er than 1,500 meters.
(9) ULTRA-DEEPWATER
ARCHITECTURE.—The
term ‘‘ultra-deepwater architecture’’ means the inte-
gration of technologies to explore and produce natural
gas or petroleum products located at ultra-deepwater
depths.
(10) ULTRA-DEEPWATER RESOURCE.—The term
‘‘ultra-deepwater resource’’ means natural gas or any
other petroleum resource (including methane hydrate)
located in an ultra-deepwater area.
(11) UNCONVENTIONAL
RESOURCE.—The term
‘‘unconventional resource’’ means natural gas or any
other petroleum resource located in a formation on
physically or economically inaccessible land currently
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available for lease for purposes of natural gas or other
petroleum exploration or production.
(b) ULTRA-DEEPWATER AND UNCONVENTIONAL EX-
PLORATION AND PRODUCTION PROGRAM.—
(1) ESTABLISHMENT.—
(A) IN GENERAL.—The Secretary shall es-
tablish a program of research into, and develop-
ment and demonstration of, ultra-deepwater re-
source and unconventional resource exploration
and production technologies.
(B) 
LOCATION; 
IMPLEMENTATION.—The
program under this subsection shall be carried
out—
(i) in areas on the outer Continental
Shelf that, as of the date of enactment of
this section, are available for leasing; and
(ii) on unconventional resources.
(2) COMPONENTS.—The program shall include
one or more programs for long-term research into—
(A) new deepwater ultra-deepwater resource
and unconventional resource exploration and
production technologies; or
(B) environmental mitigation technologies
for production of ultra-deepwater resource and
unconventional resource.
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(c) ADVISORY COMMITTEE.—
(1) ESTABLISHMENT.—Not later than 30 days
after the date of enactment of this section, the Sec-
retary shall establish an advisory committee to be
known as the ‘‘Ultra-Deepwater and Unconventional
Resource Technology Advisory Committee’’.
(2) MEMBERSHIP.—
(A) COMPOSITION.—Subject to subpara-
graph (B), the advisory committee shall be com-
posed of seven members appointed by the Sec-
retary that—
(i) have extensive operational knowl-
edge of and experience in the natural gas
and other petroleum exploration and pro-
duction industry; and
(ii) are not Federal employees or em-
ployees of contractors to a Federal agency.
(B) EXPERTISE.—Of the members of the ad-
visory committee appointed under subparagraph
(A)—
(i) at least four members shall have ex-
tensive knowledge of ultra-deepwater re-
source exploration and production tech-
nologies;
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(ii) at least three members shall have
extensive knowledge of unconventional re-
source exploration and production tech-
nologies.
(3) DUTIES.—The advisory committee shall ad-
vise the Secretary in the implementation of this sec-
tion.
(4) COMPENSATION.—A member of the advisory
committee shall serve without compensation but shall
receive travel expenses, including per diem in lieu of
subsistence, in accordance with applicable provisions
under subchapter I of chapter 57 of title 5, United
States Code.
(d) AWARDS.—
(1) TYPES OF AWARDS.—
(A) ULTRA-DEEPWATER RESOURCES.—
(i) IN GENERAL.—The Secretary shall
make awards for research into, and develop-
ment and demonstration of, ultra-deepwater
resource 
exploration 
and 
production
technologies—
(I) to maximize the value of the
ultra-deepwater resources of the United
States;
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(II) to increase the supply of
ultra-deepwater resources by lowering
the cost and improving the efficiency of
exploration and production of such re-
sources; and
(III) to improve safety and mini-
mize negative environmental impacts
of that exploration and production.
(ii) 
ULTRA-DEEPWATER
ARCHITEC-
TURE.—In furtherance of the purposes de-
scribed in clause (i), the Secretary shall,
where appropriate, solicit proposals from a
managing consortium to develop and dem-
onstrate next-generation architecture for
ultra-deepwater resource production.
(B) UNCONVENTIONAL
RESOURCES.—The
Secretary shall make awards—
(i) to carry out research into, and de-
velopment and demonstration of, tech-
nologies to maximize the value of unconven-
tional resources; and
(ii) 
to 
develop 
technologies 
to
simultaneously—
(I) increase the supply of uncon-
ventional resources by lowering the cost
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and improving the efficiency of explo-
ration and production of unconven-
tional resources; and
(II) improve safety and minimize
negative environmental impacts of that
exploration and production.
(2) CONDITIONS.—An award made under this
subsection shall be subject to the following conditions:
(A) MULTIPLE ENTITIES.—If an award re-
cipient is composed of more than one eligible or-
ganization, the recipient shall provide a signed
contract, agreed to by all eligible organizations
comprising the award recipient, that defines, in
a manner that is consistent with all applicable
law in effect as of the date of the contract, all
rights to intellectual property for—
(i) technology in existence as of that
date; and
(ii) future inventions conceived and de-
veloped using funds provided under the
award.
(B) COMPONENTS
OF
APPLICATION.—An
application for an award for a demonstration
project shall describe with specificity any in-
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tended commercial applications of the technology
to be demonstrated.
(C) COST SHARING.—Non-Federal cost shar-
ing shall be in accordance with section 1403.
(e) PLAN AND FUNDING.—
(1) IN GENERAL.—The Secretary, and where ap-
propriate, a managing consortium under subsection
(d)(1)(A)(ii), shall formulate annual operating and
performance objectives, develop multiyear technology
roadmaps, and establish research and development
priorities for the funding of activities under this sec-
tion which will serve as guidelines for making awards
including cost-matching objectives.
(2) INDUSTRY INPUT.—In carrying out this pro-
gram, the Secretary shall promote maximum industry
input through the use of managing consortia or other
organizations in planning and executing the research
areas and conducting workshops or reviews to ensure
that this program focuses on industry problems and
needs.
(f) AUDITING.—
(1) IN GENERAL.—The Secretary shall retain an
independent, commercial auditor to determine the ex-
tent to which funds authorized by this section, pro-
vided through a managing consortium, are expended
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in a manner consistent with the purposes of this sec-
tion.
(2) REPORTS.—The auditor retained under
paragraph (1) shall submit to the Secretary, and the
Secretary shall transmit to the appropriate congres-
sional committees, an annual report that describes—
(A) the findings of the auditor under para-
graph (1); and
(B) a plan under which the Secretary may
remedy any deficiencies identified by the audi-
tor.
(g) AUTHORIZATION OF APPROPRIATIONS.—There are
authorized to be appropriated to the Secretary such sums
as may be necessary to carry out this section.
(h) TERMINATION OF AUTHORITY.—The authority pro-
vided by this section shall terminate on September 30, 2009.
(i) SAVINGS PROVISION.—Nothing in this section is
intended to displace, duplicate or diminish any previously
authorized research activities of the Department of Energy.
SEC. 1235. RESEARCH AND DEVELOPMENT FOR NEW NAT-
URAL 
GAS 
TRANSPORTATION 
TECH-
NOLOGIES.
The Secretary of Energy shall conduct a comprehensive
5-year program for research, development and demonstra-
tion to improve the reliability, efficiency, safety and integ-
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rity of the natural gas transportation and distribution in-
frastructure and for distributed energy resources (including
microturbines, fuel cells, advanced engine-generators, gas
turbines, reciprocating engines, hybrid power generation
systems, and all ancillary equipment for dispatch, control
and maintenance).
SEC. 1236. AUTHORIZATION OF APPROPRIATIONS FOR OF-
FICE OF ARCTIC ENERGY.
There are authorized to be appropriated to the Sec-
retary for the Office of Arctic Energy under section 3197
of the Floyd D. Spence National Defense Authorization Act
for Fiscal Year 2001 (Public Law 106–398) such sums as
may be necessary, but not to exceed $25,000,000 for each
of fiscal years 2003 through 2011.
SEC. 1237. CLEAN COAL TECHNOLOGY LOAN.
There is authorized to be appropriated not to exceed
$125,000,000 to the Secretary of Energy to provide a loan
to the owner of the experimental plant constructed under
United States Department of Energy cooperative agreement
number DE–FC22–91PC99544 on such terms and condi-
tions as the Secretary determines, including interest rates
and upfront payments.
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Subtitle D—Nuclear Energy
SEC. 1241. ENHANCED NUCLEAR ENERGY RESEARCH AND
DEVELOPMENT.
(a) PROGRAM DIRECTION.—The Secretary shall con-
duct an energy research, development, demonstration, and
technology deployment program to enhance nuclear energy.
(b) PROGRAM GOALS.—The program shall—
(1) support research related to existing United
States nuclear power reactors to extend their lifetimes
and increase their reliability while optimizing their
current operations for greater efficiencies;
(2) examine—
(A) advanced proliferation-resistant and
passively safe reactor designs;
(B) new reactor designs with higher effi-
ciency, lower cost, and improved safety;
(C) in coordination with activities carried
out under the amendments made by section
1223, designs for a high temperature reactor ca-
pable of producing large-scale quantities of hy-
drogen using thermochemical processes;
(D) proliferation-resistant and high-burn-
up nuclear fuels;
(E) minimization of generation of radio-
active materials;
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(F) improved nuclear waste management
technologies; and
(G) improved instrumentation science;
(3) attract new students and faculty to the nu-
clear sciences and nuclear engineering and related
fields (including health physics and nuclear and
radiochemistry) through—
(A) university-based fundamental research
for existing faculty and new junior faculty;
(B) support for the re-licensing of existing
training reactors at universities in conjunction
with industry; and
(C) completing the conversion of existing
training reactors with proliferation-resistant
fuels that are low enriched and to adapt those re-
actors to new investigative uses;
(4) maintain a national capability and infra-
structure to produce medical isotopes and ensure a
well trained cadre of nuclear medicine specialists in
partnership with industry;
(5) ensure that our nation has adequate capa-
bility to power future satellite and space missions;
and
(6) maintain, where appropriate through a
prioritization process, a balanced research infrastruc-
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ture so that future research programs can use these
facilities.
(c) AUTHORIZATION OF APPROPRIATIONS.—
(1) CORE
NUCLEAR
RESEARCH
PROGRAMS.—
There are authorized to be appropriated to the Sec-
retary for carrying out research, development, dem-
onstration, and technology deployment activities
under subsection (b)(1) through (3)—
(A) $100,000,000 for fiscal year 2003;
(B) $110,000,000 for fiscal year 2004;
(C) $120,000,000 for fiscal year 2005; and
(D) $130,000,000 for fiscal year 2006.
(2) SUPPORTING
NUCLEAR
ACTIVITIES.—There
are authorized to be appropriated to the Secretary for
carrying out activities under subsection (b)(4)
through (6), as well as nuclear facilities management
and program direction—
(A) $200,000,000 for fiscal year 2003;
(B) $202,000,000 for fiscal year 2004;
(C) $207,000,000 for fiscal year 2005; and
(D) $212,000,000 for fiscal year 2006.
SEC. 1242. UNIVERSITY NUCLEAR SCIENCE AND ENGINEER-
ING SUPPORT.
(a) ESTABLISHMENT.—The Secretary shall support a
program to maintain the nation’s human resource invest-
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ment and infrastructure in the nuclear sciences and engi-
neering and related fields (including health physics and nu-
clear and radiochemistry), consistent with departmental
missions related to civilian nuclear research and develop-
ment.
(b) DUTIES.—In carrying out the program under this
section, the Secretary shall—
(1) develop a graduate and undergraduate fel-
lowship program to attract new and talented stu-
dents;
(2) assist universities in recruiting and retain-
ing new faculty in the nuclear sciences and engineer-
ing through a Junior Faculty Research Initiation
Grant Program;
(3) support fundamental nuclear sciences and
engineering research through the Nuclear Engineering
Education Research Program;
(4) encourage collaborative nuclear research be-
tween industry, national laboratories and universities
through the Nuclear Energy Research Initiative; and
(5) support communication and outreach related
to nuclear science and engineering.
(c) MAINTAINING UNIVERSITY RESEARCH AND TRAIN-
ING REACTORS AND ASSOCIATED INFRASTRUCTURE.—Ac-
tivities under this section may include: