Title: Technologies for Energy Security Act of 2017
Policy area: Taxation

Summary:
Technologies for Energy Security Act of 2017
This bill amends the Internal Revenue Code to extend and modify the tax credits for residential energy efficient property and investments in energy property.
The bill modifies the tax credit for residential energy efficient property to extend through 2021 the credits for expenditures for fuel cell property, small wind energy property, and geothermal heat pump property. For each extended credit, the bill phases out the current credit rate of 30% of expenditures by reducing it to 26% or 22%, depending on the date that the property is placed in service.
The bill extends the tax credit for investments in energy property for the following property with construction that begins before January 1, 2022:
The bill phases out the current credit rate of 30% for investments in fuel cell property, small wind energy property, and fiber-optic solar energy property by reducing it to 26% or 22%, depending on the date that the property is placed in service.

[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1090 Introduced in House (IH)]

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115th CONGRESS
  1st Session
                                H. R. 1090

  To amend the Internal Revenue Code of 1986 to extend the credit for 
      residential energy efficient property and the energy credit.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           February 15, 2017

  Mr. Reed (for himself, Mr. Meehan, Mr. Thompson of California, Mr. 
Blumenauer, Mr. Faso, Mr. Larson of Connecticut, Mr. Tonko, Mr. Pocan, 
 Mr. Cardenas, Mr. Rokita, Mr. Mullin, Mr. Kind, Mr. Cole, Mrs. Love, 
Mr. Reichert, Mr. LoBiondo, Mr. Blum, Mr. Curbelo of Florida, Mr. Young 
  of Iowa, and Mr. Costello of Pennsylvania) 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 extend the credit for 
      residential energy efficient property and the energy credit.

    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 ``Technologies for Energy Security Act 
of 2017''.

SEC. 2. EXTENSION AND PHASEOUT OF RESIDENTIAL ENERGY EFFICIENT 
              PROPERTY.

    (a) Extension.--Section 25D(h) of the Internal Revenue Code of 1986 
is amended by striking ``December 31, 2016 (December 31, 2021, in the 
case of any qualified solar electric property expenditures and 
qualified solar water heating property expenditures)'' and inserting 
``December 31, 2021''.
    (b) Phaseout.--
            (1) In general.--Paragraphs (3), (4), and (5) of section 
        25D(a) of such Code are amended by striking ``30 percent'' each 
        place it appears and inserting ``the applicable percentage''.
            (2) Conforming amendment.--Section 25D(g) of such Code is 
        amended by striking ``paragraphs (1) and (2) of''.
    (c) Effective Date.--The amendments made by this section shall take 
effect on the date of the enactment of this Act.

SEC. 3. EXTENSION OF ENERGY CREDIT.

    (a) Solar Energy Property.--Paragraph (3)(A)(ii) of section 48(a) 
of the Internal Revenue Code of 1986 is amended by striking ``periods 
ending before January 1, 2017'' and inserting ``property the 
construction of which begins before January 1, 2022''.
    (b) Qualified Fuel Cell Property.--Section 48(c)(1)(D) of such Code 
is amended by striking ``for any period after December 31, 2016'' and 
inserting ``the construction of which does not begin before January 1, 
2022''.
    (c) Qualified Microturbine Property.--Section 48(c)(2)(D) of such 
Code is amended by striking ``for any period after December 31, 2016'' 
and inserting ``the construction of which does not begin before January 
1, 2022''.
    (d) Combined Heat and Power System Property.--Section 
48(c)(3)(A)(iv) of such Code is amended by striking ``which is placed 
in service before January 1, 2017'' and inserting ``the construction of 
which begins before January 1, 2022''.
    (e) Qualified Small Wind Energy Property.--Section 48(c)(4)(C) of 
such Code is amended by striking ``for any period after December 31, 
2016'' and inserting ``the construction of which does not begin before 
January 1, 2022''.
    (f) Thermal Energy Property.--Section 48(a)(3)(A)(vii) of such Code 
is amended by striking ``periods ending before January 1, 2017'' and 
inserting ``property the construction of which begins before January 1, 
2022''.
    (g) Phaseout of 30 Percent Credit Rate for Fuel Cell and Small Wind 
Energy Property.--Subsection (a) of section 48 of such Code is amended 
by adding at the end the following new paragraph:
            ``(7) Phaseout for qualified fuel cell property and 
        qualified small wind energy property.--In the case of qualified 
        fuel cell property or qualified small wind energy property, the 
        construction of which begins before January 1, 2022, the energy 
        percentage determined under paragraph (2) shall be equal to--
                    ``(A) in the case of any property the construction 
                of which begins after December 31, 2019, and before 
                January 1, 2021, 26 percent, and
                    ``(B) in the case of any property the construction 
                of which begins after December 31, 2020, and before 
                January 1, 2022, 22 per-cent.''.
    (h) Phaseout for Fiber-Optic Solar Energy Property.--Section 
48(a)(6) of such Code is amended by inserting ``or (3)(A)(ii)'' after 
``paragraph (3)(A)(i)''.
    (i) Effective Date.--The amendments made by this section shall take 
effect on the date of the enactment of this Act.
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