I 
116TH CONGRESS 
2D SESSION 
H. R. 8654 
To amend the Internal Revenue Code of 1986 to modify the energy tax 
credit to apply to qualified distributed wind energy property. 
IN THE HOUSE OF REPRESENTATIVES 
OCTOBER 23, 2020 
Mr. BLUMENAUER (for himself and Mr. COLE) introduced the following bill; 
which was referred to the Committee on Ways and Means 
A BILL 
To amend the Internal Revenue Code of 1986 to modify 
the energy tax credit to apply to qualified distributed 
wind energy property. 
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 ‘‘Rural Wind Energy 
Modernization and Extension Act of 2020’’. 
SEC. 2. QUALIFIED DISTRIBUTED WIND ENERGY PROP-
ERTIES ADDED TO ENERGY CREDIT. 
(a) IN GENERAL.—Section 48 of the Internal Rev-
enue Code of 1986 is amended— 
(1) in subsection (a)— 
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(A) in paragraph (7)— 
(i) 
in 
the 
header, 
by 
striking, 
‘‘PHASEOUT
FOR
FIBER-OPTIC
SOLAR, 
QUALIFIED
FUEL
CELL, AND
QUALIFIED 
SMALL WIND ENERGY PROPERTY’’ and in-
serting 
‘‘PHASEOUT
FOR
FIBER-OPTIC 
SOLAR OR QUALIFIED FUEL CELL PROP-
ERTY’’, and 
(ii) by striking ‘‘qualified fuel cell 
property, qualified small wind property, or 
energy property’’ and inserting ‘‘qualified 
fuel cell property or energy property’’, and 
(B) by adding at the end the following new 
paragraph: 
‘‘(8) PHASEOUT FOR QUALIFIED DISTRIBUTED 
WIND ENERGY PROPERTY.— 
‘‘(A) IN
GENERAL.—Subject to subpara-
graph (B), in the case of any qualified distrib-
uted wind energy property described in para-
graph (3)(A)(vi), the energy percentage deter-
mined under paragraph (2) shall be equal to— 
‘‘(i) in the case of any property the 
construction of which begins before Janu-
ary 1, 2026, 30 percent, and 
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‘‘(ii) in the case of any property the 
construction of which begins after Decem-
ber 31, 2025, 10 percent. 
‘‘(B) PLACED IN SERVICE DEADLINE.—In 
the case of any qualified distributed wind en-
ergy property described in subparagraph (A)(i) 
which is not placed in service before January 1, 
2028, the energy percentage determined under 
paragraph (2) shall be equal to 10 percent.’’, 
(2) by striking ‘‘qualified small wind energy 
property’’ each place it appears and inserting ‘‘quali-
fied distributed wind energy property’’, and 
(3) by amending subsection (c)(4) to read as 
follows: 
‘‘(4) QUALIFIED DISTRIBUTED WIND ENERGY 
PROPERTY.— 
‘‘(A) IN
GENERAL.—The term ‘qualified 
distributed wind energy property’ means prop-
erty that uses one or more wind turbines in a 
single project with a total nameplate capacity 
not exceeding 10 MW which— 
‘‘(i) are installed on properties with 
sufficient electrical load such that the an-
nual energy consumption of the property is 
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at least 50 percent of the annual energy 
produced by the wind energy property, or 
‘‘(ii) are used as part of a subscrip-
tion-based or shared-ownership program 
that benefits at least five customers and 
allocates energy production proportionately 
to subscription or ownership where no 
more than 50 percent of the energy pro-
duced is claimed by any one owner or sub-
scriber. 
‘‘(B) WIND
TURBINE.—The term ‘wind 
turbine’ means equipment which— 
‘‘(i) uses wind to produce electricity, 
and 
‘‘(ii) is certified by an accredited cer-
tification agency that applies the perform-
ance and design standards of the American 
Wind Energy Association or International 
Electrotechnical Commission.’’. 
(b) EFFECTIVE DATE.—The amendments made by 
this section shall apply to property placed in service after 
the date of the enactment of this Act. 
Æ 
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