Industrial Energy-Efficient Technology Act of 2021
Bill: S.3205 | Sponsor: Sen. Ossoff, Jon (D-GA)
Policy area: Energy

Summary:
Industrial Energy-Efficient Technology Act of 2021
This bill provides support for technologies to help the industrial sector manage energy and reduce greenhouse gas emissions. Specifically, the bill provides appropriations for the Department of Energy (DOE) to establish an advanced industrial facilities deployment program. In addition, the bill requires DOE, upon the request from states or Indian tribes with approved energy conservation plans under the Energy Policy and Conservation Act, to provide financial assistance to such states or Indian tribes for the development, implementation, improvement, or expansion of a flex-tech energy program to enhance manufacturing competitiveness.

To establish an advanced industrial facilities deployment program and a 
        State flex-tech energy program, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Industrial Energy-Efficient 
Technology Act of 2021''.

SEC. 2. ADVANCED INDUSTRIAL FACILITIES DEPLOYMENT PROGRAM.

    (a) Appropriation.--In addition to amounts otherwise available, 
there is appropriated to the Secretary for fiscal year 2022, out of any 
money in the Treasury not otherwise appropriated, $4,000,000,000, to 
remain available until September 30, 2026, to carry out this section.
    (b) Program.--The Secretary shall use funds appropriated by 
subsection (a) to establish a program to provide financial assistance, 
on a competitive basis, to eligible entities to carry out projects 
for--
            (1) the purchase and installation, or implementation, of 
        advanced industrial technology at an eligible facility;
            (2) retrofits, upgrades to, or operational improvements at 
        an eligible facility to install or implement advanced 
        industrial technology; or
            (3) engineering studies and other work needed to prepare an 
        eligible facility for activities described in paragraph (1) or 
        (2).
    (c) Application.--To be eligible to receive financial assistance 
under the program established under subsection (b), an eligible entity 
shall submit to the Secretary an application at such time, in such 
manner, and containing such information as the Secretary may require, 
including the expected greenhouse gas emissions reductions to be 
achieved by carrying out the proposed project.
    (d) Priority.--In providing financial assistance under the program 
established under subsection (b), the Secretary shall give priority 
consideration to projects on the basis of, as determined by the 
Secretary--
            (1) the expected greenhouse gas emissions reductions to be 
        achieved by the project;
            (2) the extent to which the project would provide the 
        greatest benefit for the greatest number of people within the 
        area in which the eligible facility is located; and
            (3) whether the eligible entity participates or would 
        participate in a partnership with purchasers of the output of 
        the eligible facility.
    (e) Cost Share.--The Federal share of the cost of a project carried 
out using financial assistance provided under this section shall not 
exceed 50 percent.
    (f) Administrative Costs.--Of amounts made available under 
subsection (a), the Secretary shall reserve $200,000,000 for the 
administrative costs of carrying out this section.
    (g) Definitions.--In this section:
            (1) Advanced industrial technology.--The term ``advanced 
        industrial technology'' means technology or processes designed 
        to accelerate greenhouse gas emissions reduction progress to 
        net-zero at an eligible facility, as determined by the 
        Secretary, including--
                    (A) industrial energy efficiency technologies;
                    (B) equipment to electrify industrial processes;
                    (C) equipment to utilize low- or zero-carbon fuels, 
                feedstocks, and energy sources;
                    (D) low- or zero-carbon process heat systems; and
                    (E) carbon capture, transport, utilization, and 
                storage systems.
            (2) Eligible entity.--The term ``eligible entity'' means 
        the owner or operator of an eligible facility.
            (3) Eligible facility.--The term ``eligible facility'' 
        means a domestic, non-Federal, nonpower industrial or 
        manufacturing facility engaged in energy-intensive industrial 
        processes, including production processes for iron, steel, 
        steel mill products, aluminum, cement, concrete, glass, pulp, 
        paper, and industrial ceramics.
            (4) Financial assistance.--The term ``financial 
        assistance'' means a grant, rebate, direct loan, or cooperative 
        agreement.
            (5) Secretary.--The term ``Secretary'' means the Secretary 
        of Energy.

SEC. 3. STATE FLEX-TECH ENERGY PROGRAM.

    (a) In General.--Part D of title III of the Energy Policy and 
Conservation Act (42 U.S.C. 6321 et seq.) is amended by adding at the 
end the following:

``SEC. 367. FLEX-TECH ENERGY PROGRAM TO ENHANCE MANUFACTURING 
              COMPETITIVENESS.

    ``(a) Financial Assistance.--Upon request from the State energy 
agency of a State that has an approved State energy conservation plan 
in effect under this part, or an Indian Tribe, the Secretary shall 
provide financial assistance to the State energy agency or Indian Tribe 
to be used for the development, implementation, improvement, or 
expansion of a flex-tech energy program described in subsection (b) 
(referred to in this section as a `flex-tech energy program') to 
enhance manufacturing competitiveness.
    ``(b) Flex-Tech Energy Program.--
            ``(1) In general.--A flex-tech energy program shall 
        include--
                    ``(A) provision of technical and administrative 
                assistance to manufacturers through qualified 
                engineering firms, as determined by the State energy 
                agency or Indian Tribe;
                    ``(B) provision of financial assistance to 
                manufacturers for--
                            ``(i) energy studies of manufacturing 
                        facilities that are conducted by qualified 
                        engineering firms, as determined by the State 
                        energy agency or Indian Tribe; and
                            ``(ii) the implementation of measures and 
                        recommendations identified in energy studies 
                        conducted under clause (i), including the 
                        design, acquisition, installation, testing, 
                        operation, maintenance, and repair of energy- 
                        and water-using systems, resiliency-related 
                        measures, emissions reduction-related measures, 
                        utility cost savings measures, and measures 
                        related to advanced manufacturing technologies 
                        and artificial intelligence; and
                    ``(C) reporting on the monitoring, tracking, and 
                success metrics of the flex-tech energy program.
            ``(2) Studies.--An energy study of a manufacturing facility 
        conducted pursuant to paragraph (1)(B)(i) may include--
                    ``(A) an evaluation of the energy-using systems of 
                the facility, including an evaluation of the 
                performance of energy-using systems relative to design 
                intent, operational needs of the facility and occupants 
                of the facility, and operation and maintenance 
                procedures;
                    ``(B) an evaluation of emissions related to the 
                facility, including greenhouse gas emissions, and 
                recommendations on sustainability planning and 
                practices;
                    ``(C) an evaluation of potential energy efficiency, 
                water efficiency, greenhouse gas emissions mitigation, 
                and load reduction measures for the facility;
                    ``(D) an evaluation of potential on-site energy 
                measures, including grid-interactive efficiency 
                systems, combined heat and power, efficient compressed 
                air systems, energy storage, energy management systems, 
                renewable thermal systems, and electrification or other 
                forms of fuel switching;
                    ``(E) recommendations on the use of new 
                technologies at the facility; and
                    ``(F) detailed estimates of potential 
                implementation costs, operating cost savings, energy 
                savings, emissions reductions, and simple payback 
                periods for measures and recommendations identified as 
                part of the energy study.
            ``(3) Use of funds.--
                    ``(A) In general.--Of the amount of financial 
                assistance received pursuant to this section for a 
                fiscal year, a State energy agency or Indian Tribe 
                shall use--
                            ``(i) not more than 50 percent for energy 
                        studies;
                            ``(ii) not more than 50 percent to support 
                        the implementation of recommendations from 
                        those energy studies; and
                            ``(iii) not more than 10 percent for 
                        administrative expenses, including outreach and 
                        technical assistance.
                    ``(B) Individual manufacturing facility.--A State 
                energy agency that receives financial assistance 
                pursuant to this section for a fiscal year may not use 
                more than 5 percent of that financial assistance with 
                respect to a single manufacturing facility.
                    ``(C) Financing.--To the extent practicable, a 
                State energy agency or Indian Tribe shall implement a 
                flex-tech energy program using funding provided under 
                this Act, public financing, private financing, and any 
                other sources of funds.
            ``(4) Determination of qualified engineering firms.--A 
        State energy agency or Indian Tribe administering a flex-tech 
        energy program shall maintain and regularly update a publicly 
        available list of qualified engineering firms that are approved 
        by the State energy agency or Indian Tribe, as applicable, to 
        provide assistance to manufacturers pursuant to this section.
    ``(c) Technical Assistance.--
            ``(1) In general.--On request of a State energy agency or 
        Indian Tribe, the Secretary shall provide information and 
        technical assistance in the development, implementation, 
        improvement, or expansion of a flex-tech energy program.
            ``(2) Inclusions.--Technical assistance provided pursuant 
        to paragraph (1) may include, with respect to manufacturers 
        that employ fewer than 500 full-time equivalent employees at a 
        manufacturing facility, program design options--
                    ``(A) to meet the needs of such manufacturers; and
                    ``(B) to encourage the use of advanced 
                manufacturing processes by such manufacturers, 
                including use of additive manufacturing, advanced 
                sensors and controls, techniques to reduce embedded 
                emissions, and advanced composite materials.
    ``(d) Funding.--
            ``(1) Allocation.--Except as provided in paragraph (2), to 
        the extent practicable, the Secretary shall allocate funding 
        made available to carry out this section for each fiscal year 
        in accordance with the formula used for distribution of Federal 
        financial assistance provided pursuant to this part to States 
        that have in effect an approved State energy conservation plan 
        under this part.
            ``(2) Indian tribes.--The Secretary shall set aside and 
        distribute not less than 5 percent of amounts made available 
        for each fiscal year to carry out this section to provide 
        financial assistance--
                    ``(A) to Indian Tribes; or
                    ``(B) directly to manufacturers located in Indian 
                Country or, in the case of Alaska, an Alaska Native 
                Village Statistical Area, as identified by the Bureau 
                of the Census.
            ``(3) Supplement.--Financial assistance provided to a State 
        energy agency or Indian Tribe pursuant to this section shall be 
        used to supplement, not supplant, any Federal, State, or other 
        funds otherwise made available to that State energy agency or 
        Indian Tribe under this part.
    ``(e) Definitions.--In this section:
            ``(1) Indian country.--The term `Indian Country' has the 
        meaning given the term in section 1151 of title 18, United 
        States Code.
            ``(2) Indian tribe.--The term `Indian Tribe' has the 
        meaning given the term in section 4 of the Indian Self-
        Determination and Education Assistance Act (25 U.S.C. 5304).
            ``(3) State energy agency.--The term `State energy agency' 
        has the meaning given the term in section 391.''.
    (b) Authorization of Appropriations.--Section 365(f) of the Energy 
Policy and Conservation Act (42 U.S.C. 6325(f)) is amended--
            (1) by striking ``(f) For the purpose'' and inserting the 
        following:
    ``(f) Authorization of Appropriations.--
            ``(1) In general.--For the purpose'';
            (2) in paragraph (1) (as so designated), by striking ``2007 
        through 2012'' and inserting ``2022 through 2026''; and
            (3) by adding at the end the following:
            ``(2) Flex-tech energy program.--In addition to the amounts 
        authorized to be appropriated under paragraph (1), for the 
        purposes of carrying out section 367, there are authorized to 
        be appropriated $100,000,000 for each of fiscal years 2022 
        through 2026.''.
    (c) Conforming Amendment.--The table of contents for the Energy 
Policy and Conservation Act is amended by adding after the item related 
to section 366 the following:

``Sec. 367. Flex-tech energy program to enhance manufacturing 
                            competitiveness.''.
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