Title: Clean Energy Future Through Innovation Act of 2020
Policy area: Energy

Summary:
Clean Energy Future Through Innovation Act of 2020
This bill establishes a variety of incentives and programs to reduce carbon dioxide emissions from the power sector, including incentives and programs to (1) develop low- and zero-carbon power technologies (e.g., technologies to capture, use, and store carbon from coal and natural gas); (2) support certain renewable energy, energy-efficiency, energy storage, and clean electricity technologies; and (3) support nuclear energy.

[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 9054 Introduced in House (IH)]

<DOC>






116th CONGRESS
  2d Session
                                H. R. 9054

     To advance clean power technology development and use through 
     innovation and clean energy standards, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           December 28, 2020

 Mr. McKinley (for himself and Mr. Schrader) introduced the following 
 bill; which was referred to the Committee on Energy and Commerce, and 
 in addition to the Committees on Science, Space, and Technology, Ways 
 and Means, Natural Resources, Transportation and Infrastructure, and 
Oversight and Reform, for a period to be subsequently determined by the 
  Speaker, in each case for consideration of such provisions as fall 
           within the jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL


 
     To advance clean power technology development and use through 
     innovation and clean energy standards, 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; PURPOSES.

    (a) Short Title.--This Act may be cited as the ``Clean Energy 
Future Through Innovation Act of 2020''.
    (b) Purposes.--The purposes of this Act are--
            (1) to further develop, demonstrate, and deploy a broad 
        range of advanced low- and zero-carbon power technologies, 
        including technologies related to the generation, storage, 
        transmission, security, resilience, and efficient use of 
        electric power; and
            (2) to build a competitive market for advanced low- and 
        zero-carbon technologies and a robust workforce, supply chain, 
        and related legal, commercial, and physical infrastructure.

SEC. 2. DEFINITIONS; TABLE OF CONTENTS.

    (a) Definitions.--Except as otherwise provided, in this Act:
            (1) Secretary.--The term ``Secretary'' means the Secretary 
        of Energy.
            (2) Department.--The term ``Department'' means the 
        Department of Energy.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; purposes.
Sec. 2. Definitions; table of contents.
           TITLE I--CARBON CAPTURE, UTILIZATION, AND STORAGE

    Subtitle A--Research, Development, and Demonstration for Carbon 
             Capture, Utilization, and Storage Technologies

Sec. 111. Fossil energy objectives.
Sec. 112. Carbon capture technologies.
Sec. 113. Carbon storage validation and testing.
Sec. 114. Carbon utilization.
Sec. 115. Advanced energy systems.
Subtitle B--Deployment of Carbon Capture, Utilization, and Storage With 
           Commercial-Scale Electricity Generation Facilities

Sec. 121. Deployment of carbon capture, utilization, and storage 
                            technology with commercial-scale 
                            electricity generation facilities.
    Subtitle C--Federal Support for Commercial Deployment of Carbon 
                   Capture, Utilization, and Storage

Sec. 131. Enhancement of carbon dioxide sequestration credit.
Sec. 132. Reform of loan guarantee program.
Sec. 133. Private activity bonds for carbon dioxide capture facilities.
Sec. 134. Extension of publicly traded partnership ownership structure.
Sec. 135. Production tax credit for certain electricity generation 
                            using carbon capture utilization and 
                            storage.
Sec. 136. Elective payment of credit.
Subtitle D--Support for Carbon Dioxide Transportation and Sequestration 
                             Infrastructure

Sec. 141. Securing geologic reservoirs for carbon dioxide.
Sec. 142. Financial assistance for carbon dioxide sequestration 
                            infrastructure development.
Sec. 143. Geologic carbon dioxide sequestration utilities.
Sec. 144. Coordinated Federal permitting for carbon dioxide pipeline 
                            and sequestration facilities.
Sec. 145. Interagency task force on carbon dioxide pipelines.
   TITLE II--INNOVATION IN RENEWABLE ENERGY, ENERGY EFFICIENCY, AND 
                                STORAGE

Sec. 201. Establishment of technology performance and cost targets.
Sec. 202. Advanced innovation and commercialization program.
Sec. 203. Updating mobile homes.
Sec. 204. Investment tax credits for energy battery storage, offshore 
                            wind, and certain hydropower technologies.
Sec. 205. Extension of production tax credit for solar and on-shore 
                            wind.
Sec. 206. Renewal of qualifying advanced energy project credit.
Sec. 207. Performance-based tax credits for commercial and residential 
                            buildings.
Sec. 208. Extension of publicly traded partnership ownership structure 
                            to renewable energy projects.
Sec. 209. Manufacturer credit for high-efficiency heat pumps and heat 
                            pump water heaters.
Sec. 210. Other authorizations of appropriations.
         TITLE III--EXISTING AND ADVANCED NUCLEAR POWER PLANTS

Sec. 301. Zero-emissions credit program.
Sec. 302. Investment tax credit for nuclear energy property.
Sec. 303. Expanding Federal clean electricity purchasing requirements.
Sec. 304. Modernizing the Nuclear Regulatory Commission.
Sec. 305. Demonstration and early deployment of advanced nuclear 
                            reactors.
Sec. 306. Advanced nuclear fuel security program.
Sec. 307. Authorization of appropriations for loan guarantees for 
                            advanced nuclear facilities.
Sec. 308. Expanding the production tax credit for nuclear power.
Sec. 309. Authorizations of appropriations for innovation in nuclear 
                            power.
                  TITLE IV--CLEAN ELECTRICITY STANDARD

Sec. 401. Certification of cost-effective market penetration of clean 
                            electricity technologies.
Sec. 402. Federal clean electricity standard.
Sec. 403. Regional clean electricity planning models.
Sec. 404. Stand-by emission performance standards.

           TITLE I--CARBON CAPTURE, UTILIZATION, AND STORAGE

    Subtitle A--Research, Development, and Demonstration for Carbon 
             Capture, Utilization, and Storage Technologies

SEC. 111. FOSSIL ENERGY OBJECTIVES.

    Section 961 of the Energy Policy Act of 2005 (42 U.S.C. 16291) is 
amended--
            (1) in subsection (a), by adding at the end the following:
            ``(8) Improving the conversion, use, and storage of carbon 
        dioxide produced from fossil fuels.
            ``(9) Lowering greenhouse gas emissions for all fossil fuel 
        production, generation, delivery, and utilization in 
        electricity generation and other industry, to the maximum 
        extent possible.
            ``(10) Preventing, predicting, monitoring, and mitigating 
        the unintended leaking of carbon dioxide or other fossil fuel-
        related emissions into the atmosphere.
            ``(11) Developing carbon utilization technologies, 
        products, and methods, including carbon use and reuse for 
        commercial application.
            ``(12) Developing carbon capture technologies, including 
        direct air capture technologies.'';
            (2) in subsection (b), by striking paragraphs (1) through 
        (3) and inserting the following:
            ``(1) $2,200,000,000 for fiscal year 2021;
            ``(2) $2,200,000,000 for fiscal year 2022;
            ``(3) $2,200,000,000 for fiscal year 2023;
            ``(4) $2,200,000,000 for fiscal year 2024; and
            ``(5) $2,200,000,000 for fiscal year 2025.''; and
            (3) by striking subsections (c) through (e) and inserting 
        the following:
    ``(c) Limitation.--None of the funds authorized under this section 
may be used for Fossil Energy Environmental Restoration or Import/
Export Authorization.''.

SEC. 112. CARBON CAPTURE TECHNOLOGIES.

    (a) Carbon Capture Program.--Section 962 of the Energy Policy Act 
of 2005 (42 U.S.C. 16292) is amended to read as follows:

``SEC. 962. CARBON CAPTURE TECHNOLOGIES.

    ``(a) In General.--The Secretary shall conduct a program of 
research, development, demonstration, and commercial application of 
carbon capture technologies. The program shall advance the development 
and use of--
            ``(1) carbon capture technologies in conjunction with coal 
        and natural gas utilization in power systems and industry;
            ``(2) innovations to improve the efficiency of, and 
        decrease emissions at, existing power plants;
            ``(3) advanced separation technologies and direct air 
        capture technologies; and
            ``(4) carbon capture technologies used in conjunction with 
        the production from fossil fuel of hydrogen or ammonia to be 
        used in power systems.
    ``(b) Coal Applications.--In conducting the program under 
subsection (a), the Secretary shall devote substantial resources to 
carbon capture technologies for coal applications.
    ``(c) Large-Scale Pilots.--
            ``(1) In general.--In supporting technology development 
        activities under this section, the Secretary is encouraged to 
        support large-scale pilot projects that test carbon capture 
        technologies on power systems. Support for such large-scale 
        pilot projects shall be subject to the cost sharing 
        requirements in section 988(b).
            ``(2) Definition.--For purposes of this section, the term 
        `large-scale pilot project' means a pilot project that--
                    ``(A) represents the scale of technology 
                development beyond laboratory development and bench 
                scale testing, but not yet advanced to the point of 
                being tested under operational conditions at commercial 
                scale;
                    ``(B) represents the scale of technology necessary 
                to gain the operational data needed to understand the 
                technical and performance risks of the technology 
                before the application of that technology at commercial 
                scale or in commercial-scale demonstration; and
                    ``(C) is large enough--
                            ``(i) to validate scaling factors; and
                            ``(ii) to demonstrate the interaction 
                        between major components so that control 
                        philosophies for a new process can be developed 
                        and enable the technology to advance from 
                        large-scale pilot plant application to 
                        commercial-scale demonstration or application.
    ``(d) Cost and Performance Goals.--In carrying out the development, 
demonstration, and commercial application activities under subsection 
(a), the Secretary shall consider cost and performance goals, in order 
to advance development and deployment of carbon capture technologies 
that can become cost competitive in commercial applications.
    ``(e) Carbon Capture Pilot Test Centers.--
            ``(1) In general.--Not later than 1 year after the date of 
        the enactment of the Clean Energy Future Through Innovation Act 
        of 2020, the Secretary shall award grants to one or more 
        entities for the operation of Carbon Capture Test Centers (in 
        this subsection referred to as the `Centers') to provide unique 
        testing capabilities for innovative power system technologies 
        to capture carbon dioxide or otherwise produce a carbon dioxide 
        stream suitable for utilization or storage.
            ``(2) Purpose.--The Centers shall--
                    ``(A) advance research, development, demonstration, 
                and commercial application of carbon capture 
                technologies for power systems; and
                    ``(B) test technologies that represent the scale of 
                technology development beyond laboratory testing, but 
                not yet advanced to testing under operational 
                conditions at commercial scale.
            ``(3) Application.--An entity seeking to operate a Center 
        under this subsection shall submit to the Secretary an 
        application at such time and in such manner as the Secretary 
        may require.
            ``(4) Criteria.--In evaluating applications to operate the 
        Centers under this subsection, the Secretary shall prioritize 
        grants to applicants that meet one or more of the following 
        criteria:
                    ``(A) The applicant has access to existing or 
                planned research facilities with modular technology 
                capabilities.
                    ``(B) The applicant is an institution of higher 
                education with established expertise in engineering and 
                design for carbon capture technologies, or has a 
                partnership with such an institution.
                    ``(C) The applicant has access to existing research 
                and test facilities for precombustion, postcombustion, 
                or oxy-combustion technologies.
                    ``(D) The applicant has capability to test 
                integration of carbon capture technologies with 
                utility-scale power plants.
                    ``(E) Commercial market participants, including 
                equipment and technology suppliers and power 
                generators, are involved in the proposed Center.
            ``(5) Considerations.--In awarding grants for the operation 
        of the Centers under this subsection, the Secretary shall 
        ensure that--
                    ``(A) the Centers support pilot testing appropriate 
                to diverse regions and resource characteristics; and
                    ``(B) each Center receiving such a grant 
                demonstrates unique research capabilities, unique 
                regional benefits, or new technology development 
                opportunities.
            ``(6) Schedule.--Each grant to operate a Center under this 
        subsection shall be awarded for a term of not more than 5 
        years, subject to the availability of appropriations. The 
        Secretary may renew such 5-year term without limit, subject to 
        a rigorous merit review.
            ``(7) Cost sharing.--The Secretary shall require cost 
        sharing under this subsection in accordance with section 
        988(b).
            ``(8) Termination.--The Secretary may eliminate a Center 
        during any 5-year term described in paragraph (6) if such 
        Center is found to be underperforming.
    ``(f) Demonstration Projects.--
            ``(1) In general.--The Secretary may fund commercial-scale 
        demonstration projects for power systems that test the scale of 
        technology necessary for commercial operation, in accordance 
        with this subsection.
            ``(2) Engineering and design studies.--The Secretary is 
        authorized to fund engineering and design studies for 
        commercial-scale demonstration projects for power systems in 
        addition to, or in advance of, issuing an award for a 
        demonstration project under this subsection.
            ``(3) Application.--An entity seeking an award to conduct a 
        demonstration project under this subsection shall submit to the 
        Secretary an application at such time and in such manner as the 
        Secretary may require.
            ``(4) Limitations.--The Secretary may only provide an award 
        under this subsection after reviewing each application 
        regarding--
                    ``(A) the financial strength of the applicant;
                    ``(B) the construction schedule for the proposed 
                demonstration project;
                    ``(C) the market risk faced by the technology to be 
                demonstrated; and
                    ``(D) the experience of the applicant and 
                construction contractor with similar projects.
            ``(5) Requirements.--A demonstration project funded under 
        this subsection shall--
                    ``(A) utilize technologies that have completed 
                pilot-scale testing or the equivalent, as determined by 
                the Secretary;
                    ``(B) secure and maintain agreements for the 
                utilization or sequestration of captured carbon 
                dioxide; and
                    ``(C) upon completion, demonstrate carbon capture 
                technologies on a power system.
            ``(6) Cost sharing.--The Secretary shall require cost 
        sharing under this subsection in accordance with section 988.
    ``(g) Definition of Power System.--In this section, the term `power 
system' means any electricity generating unit that utilizes fossil 
fuels to generate electricity provided to the electric grid or directly 
to a consumer.
    ``(h) Authorization of Appropriations.--For activities under this 
section, there are authorized to be appropriated to the Secretary--
            ``(1) $600,000,000 for fiscal year 2021;
            ``(2) $600,000,000 for fiscal year 2022;
            ``(3) $600,000,000 for fiscal year 2023;
            ``(4) $600,000,000 for fiscal year 2024; and
            ``(5) $600,000,000 for fiscal year 2025.''.
    (b) GAO Study.--
            (1) In general.--The Comptroller General of the United 
        States shall conduct a study of the Department's successes, 
        failures, practices, and improvements in carrying out 
        demonstration projects for carbon capture technologies for 
        power systems. In conducting the study, the Comptroller General 
        shall consider, at a minimum--
                    (A) applicant and contractor qualifications;
                    (B) project management practices at the Department;
                    (C) economic or market changes and other factors 
                impacting project viability;
                    (D) completion of third-party agreements, including 
                power purchase agreements and carbon dioxide offtake 
                agreements;
                    (E) regulatory challenges; and
                    (F) construction challenges.
            (2) Report.--Not later than 3 years after the date of 
        enactment of this Act, the Comptroller General of the United 
        States shall submit to Congress a report on the results of the 
        study required under paragraph (1).
            (3) Consideration.--The Secretary shall consider any 
        relevant recommendations, as determined by the Secretary, 
        provided in the study required under paragraph (1), and shall 
        adopt such recommendations as the Secretary considers 
        appropriate.
            (4) Power system defined.--In this section, the term 
        ``power system'' means any electricity generating unit that 
        utilizes fossil fuels to generate electricity provided to the 
        electric grid or directly to a consumer.

SEC. 113. CARBON STORAGE VALIDATION AND TESTING.

    Section 963 of the Energy Policy Act of 2005 (42 U.S.C. 16293) is 
amended to read as follows:

``SEC. 963. CARBON STORAGE VALIDATION AND TESTING.

    ``(a) Carbon Storage.--The Secretary shall carry out a program of 
research, development, and demonstration for carbon storage. The 
program shall--
            ``(1) in coordination with relevant Federal agencies, 
        develop and maintain mapping tools and resources that assess 
        the capacity of geologic storage formations in the United 
        States;
            ``(2) develop monitoring tools, modeling of geologic 
        formations, and analyses to predict and verify carbon dioxide 
        containment and account for sequestered carbon dioxide in 
        geologic storage sites;
            ``(3) research potential environmental, safety, and health 
        impacts in the event of a leak to the atmosphere or to an 
        aquifer, and any corresponding mitigation actions or responses 
        to limit harmful consequences;
            ``(4) evaluate the interactions of carbon dioxide with 
        formation solids and fluids, including the propensity of 
        injections to induce seismic activity;
            ``(5) assess and ensure the safety of operations related to 
        geologic sequestration of carbon dioxide;
            ``(6) determine the fate of carbon dioxide concurrent with 
        and following injection into geologic formations; and
            ``(7) provide information to State, local, and Tribal 
        governments, the Environmental Protection Agency, and other 
        appropriate entities, to support development of a regulatory 
        framework for commercial-scale sequestration operations that 
        ensure the protection of human health and the environment.
    ``(b) Geologic Settings.--In carrying out research activities under 
this section, the Secretary shall consider a variety of candidate 
geologic settings, including--
            ``(1) operating oil and gas fields;
            ``(2) depleted oil and gas fields;
            ``(3) residual oil zones;
            ``(4) unconventional reservoirs and rock types;
            ``(5) unmineable coal seams;
            ``(6) deep saline formations;
            ``(7) deep geologic systems that may be used as engineered 
        reservoirs to extract economical quantities of brine from 
        geothermal resources of low permeability or porosity;
            ``(8) deep geologic systems containing in situ carbon 
        dioxide mineralization formations; and
            ``(9) offshore geologic formations.
    ``(c) Regional Carbon Sequestration Partnerships.--
            ``(1) In general.--The Secretary shall carry out large-
        scale carbon sequestration demonstrations for geologic 
        containment of carbon dioxide to collect and validate 
        information on the cost and feasibility of commercial 
        deployment of technologies for the geologic containment of 
        carbon dioxide. The Secretary may fund new demonstrations or 
        expand the work completed at one or more of the existing 
        regional carbon sequestration partnerships.
            ``(2) Demonstration components.--Each demonstration 
        described in paragraph (1) shall include longitudinal tests 
        involving carbon dioxide injection and monitoring, mitigation, 
        and verification operations.
            ``(3) Clearinghouse.--The National Energy Technology 
        Laboratory shall act as a clearinghouse of shared information 
        and resources for the regional carbon sequestration 
        partnerships and any new demonstrations funded under this 
        section.
            ``(4) Report.--Not later than 1 year after the date of 
        enactment of the Clean Energy Future Through Innovation Act of 
        2020, the Secretary shall provide to Congress a report that--
                    ``(A) assesses the progress of all regional carbon 
                sequestration partnerships;
                    ``(B) identifies the remaining challenges in 
                achieving carbon sequestration that is reliable and 
                safe for the environment and public health; and
                    ``(C) creates a roadmap to integrate geologic 
                sequestration sites and carbon utilization with large 
                sources of carbon dioxide in the United States economy.
            ``(5) Large-scale carbon sequestration demonstration.--For 
        purposes of this subsection, `large-scale carbon sequestration 
        demonstration' means the injection of more than 1,000,000 tons 
        of carbon dioxide annually or injection at a scale that 
        demonstrates the ability to inject and sequester several 
        million metric tons carbon dioxide for at least 10 years.
    ``(d) Integrated Storage Projects.--The Secretary may carry out a 
program for purposes of transitioning the large-scale storage 
demonstrations under subsection (c) into integrated, commercial storage 
complexes. The program shall focus on--
            ``(1) qualifying geologic storage sites in order to accept 
        large volumes of carbon dioxide acceptable for commercial 
        contracts;
            ``(2) understanding the technical and commercial viability 
        of storage sites;
            ``(3) developing the qualification processes that will be 
        necessary for a diverse range of geologic storage sites to 
        commercially accept carbon dioxide; and
            ``(4) any other activities the Secretary deems necessary to 
        transition the large-scale demonstration storage projects into 
        commercial ventures.
    ``(e) Cost Sharing.--The Secretary shall require cost sharing under 
this section in accordance with section 988.
    ``(f) Federal Data Collection.--The Secretary, in coordination with 
other Federal agencies including the United States Geological Survey, 
shall continue and expand ongoing Federal data collection and analysis 
activities related to carbon dioxide storage, economics, and spatial 
relationships on a local and regional scale, in coordination with State 
and regional entities.
    ``(g) Authorization of Appropriations.--For activities under this 
section, there are authorized to be appropriated to the Secretary--
            ``(1) $250,000,000 for fiscal year 2021;
            ``(2) $250,000,000 for fiscal year 2022;
            ``(3) $250,000,000 for fiscal year 2023;
            ``(4) $250,000,000 for fiscal year 2024; and
            ``(5) $250,000,000 for fiscal year 2025.''.

SEC. 114. CARBON UTILIZATION.

    (a) Program.--Subtitle F of title IX of the Energy Policy Act of 
2005 (42 U.S.C. 16291 et seq.) is amended by adding at the end the 
following:

``SEC. 969. CARBON UTILIZATION.

    ``(a) In General.--The Secretary shall carry out a program of 
research, development, and demonstration for carbon utilization. The 
program shall--
            ``(1) assess and monitor potential changes in life cycle 
        carbon dioxide emissions, and other environmental safety 
        indicators of new technologies, practices, processes, or 
        methods, used in enhanced hydrocarbon recovery;
            ``(2) identify and evaluate novel uses for carbon, 
        including the conversion of carbon dioxide for commercial and 
        industrial products, such as--
                    ``(A) chemicals;
                    ``(B) plastics;
                    ``(C) building materials;
                    ``(D) fuels;
                    ``(E) cement; or
                    ``(F) products of coal utilization in power systems 
                (as such term is defined in section 962(e)), or other 
                applications; and
            ``(3) identify and develop alternative uses for coal, 
        including products derived from carbon engineering, carbon 
        fiber, and coal conversion methods.
    ``(b) Authorization of Appropriations.--For activities under this 
section, there are authorized to be appropriated to the Secretary--
            ``(1) $75,000,000 for fiscal year 2021;
            ``(2) $75,000,000 for fiscal year 2022;
            ``(3) $75,000,000 for fiscal year 2023;
            ``(4) $75,000,000 for fiscal year 2024; and
            ``(5) $75,000,000 for fiscal year 2025.''.
    (b) Study.--No later than one year following the date of enactment 
of the Clean Energy Future Through Innovation Act of 2020, the 
Secretary shall enter into an agreement with the National Academies to 
conduct a study assessing the barriers and opportunities related to 
commercializing the utilization of carbon dioxide in the United States. 
Such study shall--
            (1) analyze the technical feasibility and related 
        challenges to commercial utilization of carbon dioxide, 
        including--
                    (A) creating a national system of carbon dioxide 
                pipelines;
                    (B) mitigating environmental impacts; and
                    (C) regional economic challenges and opportunities;
            (2) identify potential markets, industries, or sectors that 
        may benefit from greater access to commercial carbon dioxide;
            (3) assess the current state of infrastructure and any 
        necessary updates to allow for the integration of safe and 
        reliable carbon dioxide transportation, utilization, and 
        storage;
            (4) estimate the economic impact of a well-integrated 
        national carbon dioxide pipeline system;
            (5) assess the global status and progress of carbon 
        utilization technologies (both chemical and biological) in 
        practice today that utilize waste carbon (including carbon 
        dioxide, carbon monoxide, methane, and biogas) from power 
        generation, biofuels production, and other industrial 
        processes;
            (6) identify emerging technologies and approaches for 
        carbon utilization that show promise for scale-up, 
        demonstration, deployment, and commercialization;
            (7) analyze the factors associated with making carbon 
        utilization technologies viable at a commercial scale, 
        including carbon waste stream availability, economics, market 
        capacity, energy, and lifecycle requirements;
            (8) assess the major technical challenges associated with 
        increasing the commercial viability of carbon reuse 
        technologies, and identify the research and development 
        questions that will address those challenges;
            (9) assess current research efforts, including basic, 
        applied, engineering, and computational, that are addressing 
        these challenges and identify gaps in the current research 
        portfolio; and
            (10) develop a comprehensive research agenda that addresses 
        both long- and short-term research needs and opportunities.

SEC. 115. ADVANCED ENERGY SYSTEMS.

    Subtitle F of title IX of the Energy Policy Act of 2005 (42 U.S.C. 
16291 et seq.) is further amended by adding at the end the following:

``SEC. 969A. ADVANCED ENERGY SYSTEMS.

    ``(a) In General.--The Secretary shall carry out a program of 
research, development, demonstration, and commercial application of 
technologies that represent a significant change in the methods used to 
generate electricity from fuels and that will enable a step change in 
performance, efficiency, and cost of electricity, and that reduce 
emissions from fossil fuel power generation in the following areas:
            ``(1) High-efficiency turbines for any advanced power 
        system that will lead to natural gas turbine combined cycle 
        efficiency of 67 percent or combustion turbine efficiency of 50 
        percent.
            ``(2) Supercritical carbon dioxide, with an emphasis on 
        developing directly fired and indirectly fired cycles in the 
        next 10 years.
            ``(3) Advanced combustion systems, including oxy-combustion 
        systems and chemical looping.
            ``(4) Gasification systems to enable carbon capture, 
        improve efficiency, and reduce capital and operating costs.
            ``(5) Thermal cycling with ramping or rapid black start 
        capabilities that do not compromise efficiency or environmental 
        performance.
            ``(6) Small-scale and modular technologies with reduced 
        carbon outputs or carbon capture that can support incremental 
        power generation capacity needs.
            ``(7) Turbines and other technology for the use of hydrogen 
        and ammonia generated from fossil fuels for power generation.
    ``(b) Priority.--In carrying out the program under subsection (a), 
the Secretary shall give priority to potentially transformational 
technologies that would enable very substantial improvements in 
performance, efficiency, or cost of electricity as compared to the 
technology in existence on the date of enactment of this section.
    ``(c) Authorization of Appropriations.--For activities under this 
section, there are authorized to be appropriated to the Secretary 
$1,275,000,000 for each of fiscal years 2021 through 2025.''.

Subtitle B--Deployment of Carbon Capture, Utilization, and Storage With 
           Commercial-Scale Electricity Generation Facilities

SEC. 121. DEPLOYMENT OF CARBON CAPTURE, UTILIZATION, AND STORAGE 
              TECHNOLOGY WITH COMMERCIAL-SCALE ELECTRICITY GENERATION 
              FACILITIES.

    (a) In General.--Subtitle B of title IV of the Energy Policy Act of 
2005 (42 U.S.C. 15971 et seq.) is amended by adding after section 417 
the following:

``SEC. 418. FEDERAL SUPPORT FOR DEPLOYMENT OF CARBON CAPTURE, 
              UTILIZATION, AND STORAGE WITH ELECTRICITY GENERATION.

    ``(a) In General.--Subject to the limitations in subsection (b), 
the Secretary shall provide support for deployment and use of carbon 
capture, utilization, and storage at commercial-scale electricity 
generation facilities by entering into a contract for differences, 
which may not exceed a term of more than 30 years, to provide price 
certainty for the sale of the electricity generated by, or carbon 
dioxide captured by, an eligible power system to a third party.
    ``(b) Limitations.--
            ``(1) Initial cap.--Except as provided in paragraph (2), 
        the Secretary may not provide support described in subsection 
        (a)--
                    ``(A) for eligible power systems with more than 3 
                gigawatt of cumulative electricity generating capacity; 
                or
                    ``(B) in a cumulative amount projected to have a 
                value exceeding $10,000,000,000.
            ``(2) Additional support required.--If the Secretary 
        determines, based on the study undertaken pursuant to 
        subsection (c), that additional support for the commercial-
        scale deployment of carbon capture, utilization, and storage at 
        electricity generation facilities beyond that provided under 
        paragraph (1) is required to establish the market viability of 
        carbon capture, utilization and storage consistent with the 
        purposes of this title, the Secretary may provide support under 
        subsection (a) for additional eligible power systems with not 
        more than 8 gigawatts of additional cumulative electricity 
        generating capacity.
    ``(c) Study.--The Secretary shall conduct a study to evaluate 
whether the support provided under subsection (a), combined with other 
Federal programs and policies and with commercial technology 
deployments, has established the market viability of using carbon 
capture, utilization, and storage at commercial-scale electricity 
generating facilities consistent with the purposes of this title. The 
study shall be initiated no later than the earlier of--
            ``(1) the date the Secretary reaches the initial cap on 
        support for eligible power systems in subsection (b)(1); or
            ``(2) the date that is 7 years after the date of enactment 
        of this section.
    ``(d) Application.--
            ``(1) In general.--An entity seeking support provided under 
        subsection (a) shall submit to the Secretary an application at 
        such time and in such manner as the Secretary may require.
            ``(2) Criteria.--In evaluating such an application, the 
        Secretary shall consider technical, financial, and other 
        factors that the Secretary determines appropriate.
    ``(e) Considerations.--In implementing subsection (a), the 
Secretary shall seek to support the use of carbon capture, utilization, 
and storage with projects covering diverse fuel types and technologies, 
including first-of-its-kind technology for carbon capture, utilization, 
and storage capacity.
    ``(f) Definitions.--In this section:
            ``(1) Power system.--The term `power system' means an 
        electricity generating unit that utilizes fossil fuels to 
        generate electricity that is provided to the electric grid or 
        directly to a consumer.
            ``(2) Eligible power system.--The term `eligible power 
        system' means a power system that--
                    ``(A) is equipped with carbon capture technology, 
                or otherwise produces a separate carbon dioxide stream 
                that is suitable for utilization or storage;
                    ``(B) is designed to capture carbon dioxide that 
                would otherwise be emitted by the power system; and
                    ``(C) will utilize or store the captured carbon 
                dioxide, or has contracted with one or more other 
                entities to utilize or store the captured carbon 
                dioxide.''.
    (b) Table of Contents Amendment.--The table of contents for the 
Energy Policy Act of 2005 is amended by adding after the item relating 
to section 417 the following:

``Sec. 418. Federal support for deployment of carbon capture, 
                            utilization, and storage with electricity 
                            generation.''.

    Subtitle C--Federal Support for Commercial Deployment of Carbon 
                   Capture, Utilization, and Storage

SEC. 131. ENHANCEMENT OF CARBON DIOXIDE SEQUESTRATION CREDIT.

    (a) Extension of Credit Period.--Section 45Q(a) of the Internal 
Revenue Code of 1986 is amended--
            (1) by striking ``12-year'' in paragraph (3)(A) and 
        inserting ``20-year''; and
            (2) by striking ``12-year'' in paragraph (4)(A) and 
        inserting ``20-year''.
    (b) Extension of Qualified Facility Construction Beginning Date.--
Section 45Q(d)(1) of such Code is amended by striking ``January 1, 
2024'' and inserting ``January 1, 2033''.

SEC. 132. REFORM OF LOAN GUARANTEE PROGRAM.

    Section 1703 of the Energy Policy Act of 2005 (42 U.S.C. 16513) is 
amended--
            (1) by striking subsection (e) and inserting the following:
    ``(e) Qualification of Facilities Receiving Tax Credits or 
Financial Assistance.--Notwithstanding any other provision of law, a 
project that receives tax credits or other financial assistance for 
clean coal technology shall not be disqualified from receiving a 
guarantee under this subchapter.''; and
            (2) by inserting the following new subsection after 
        subsection (e):
    ``(f) Implemention.--In implementing the authority under this 
section with respect to loan guarantees issued after the date of 
enactment of the Clean Energy Future Through Innovation Act of 2020, 
the Secretary shall--
            ``(1) adjust fees and application requirements to the scale 
        of a project to ensure that the costs of preparing and 
        submitting an application are not an undue barrier to 
        participation by smaller, lower risk projects;
            ``(2) ensure that program credit rating requirements do 
        not, as applied, act as an obstacle to participation in the 
        loan guarantee program by first-of-a-kind projects, consistent 
        with the purpose of the loan guarantee program to enable debt 
        financing for first-of-a-kind projects that would not otherwise 
        have access to commercial debt markets; and
            ``(3) for first-of-a-kind projects, cover the cost of the 
        guarantee with appropriated funds rather than requiring the 
        borrower to pay some or all of the cost of the guarantee under 
        section 1702(b).''.

SEC. 133. PRIVATE ACTIVITY BONDS FOR CARBON DIOXIDE CAPTURE FACILITIES.

    (a) In General.--Section 142(a) of the Internal Revenue Code of 
1986 is amended by striking ``or'' at the end of paragraph (14), by 
striking the period at the end of paragraph (15) and inserting ``, 
or'', and by adding at the end the following new paragraph:
            ``(16) qualified carbon dioxide capture facilities.''.
    (b) Qualified Carbon Dioxide Capture Facility.--Section 142 of such 
Code is amended by adding at the end the following new subsection:
    ``(n) Qualified Carbon Dioxide Capture Facility.--
            ``(1) In general.--For purposes of subsection (a)(16), the 
        term `qualified carbon dioxide capture facility' means the 
        eligible components of an industrial carbon dioxide facility.
            ``(2) Definitions.--For purposes of this subsection--
                    ``(A) Eligible component.--The term `eligible 
                component' means, with respect to any industrial carbon 
                dioxide facility, any component installed in such 
                facility that--
                            ``(i) satisfies the requirements under 
                        paragraph (3), and
                            ``(ii)(I) is used for the purpose of 
                        capture, treatment and purification, 
                        compression, transportation, or on-site storage 
                        of carbon dioxide produced by such facility, or
                            ``(II) is integral or functionally related 
                        and subordinate to a process described in 
                        section 48B(c)(2) (determined by substituting 
                        `carbon dioxide' for `carbon monoxide').
                    ``(B) Industrial carbon dioxide facility.--
                            ``(i) In general.--The term `industrial 
                        carbon dioxide facility' means a facility that 
                        emits carbon dioxide (including from any 
                        fugitive emissions source) that is created as a 
                        result of any of the following processes:
                                    ``(I) Fuel combustion for 
                                electricity generation or other 
                                purposes.
                                    ``(II) Gasification for electricity 
                                generation or other purposes.
                                    ``(III) Bioindustrial.
                                    ``(IV) Fermentation.
                                    ``(V) Any manufacturing industry 
                                described in section 48B(c)(7).
                            ``(ii) Exceptions.--Such term shall not 
                        include--
                                    ``(I) any geological gas facility, 
                                or
                                    ``(II) any air separation unit that 
                                does not qualify as gasification 
                                equipment or is not a necessary 
                                component of an oxy-fuel combustion 
                                process, a supercritical carbon dioxide 
                                process, or other advanced power 
                                system.
                            ``(iii) Geological gas facility.--The term 
                        `geological gas facility' means a facility 
                        that--
                                    ``(I) produces a raw product 
                                consisting of gas or mixed gas and 
                                liquid from a geological formation,
                                    ``(II) transports or removes 
                                impurities from such product, or
                                    ``(III) separates such product into 
                                its constituent parts.
            ``(3) Capture and storage requirement.--For purposes of 
        this subsection--
                    ``(A) In general.--Except as provided in 
                subparagraph (B), a component shall not be treated as 
                meeting the requirements of this paragraph with respect 
                to an industrial carbon dioxide facility unless such 
                component has a capture and storage percentage that is 
                at least 65 percent.
                    ``(B) Exception.--In the case of an industrial 
                carbon dioxide facility with a capture and storage 
                percentage that is less than 65 percent, a component 
                with respect to such facility shall not be treated as 
                meeting the requirements of this paragraph unless the 
                percentage of the cost of such component that is 
                financed by tax-exempt bonds is not greater than such 
                capture and storage percentage.
                    ``(C) Capture and storage percentage.--
                            ``(i) In general.--The capture and storage 
                        percentage shall be an amount, expressed as a 
                        percentage, equal to the quotient of--
                                    ``(I) the total metric tons of 
                                carbon dioxide annually captured, 
                                transported, and injected into a 
                                facility for geologic storage, or an 
                                enhanced oil or gas recovery well 
                                followed by geologic storage, divided 
                                by
                                    ``(II) the total metric tons of 
                                carbon dioxide which would otherwise be 
                                released into the atmosphere each year 
                                as industrial emission of greenhouse 
                                gas if the component were not installed 
                                in the industrial carbon dioxide 
                                facility.
                            ``(ii) Limited application of eligible 
                        components.--In the case of eligible components 
                        that are designed to capture carbon dioxide 
                        solely from specific sources of emissions or 
                        portions thereof within an industrial carbon 
                        dioxide facility, the capture and storage 
                        percentage under this subparagraph shall be 
                        determined based only on such specific sources 
                        of emissions or portions thereof.''.
    (c) Volume Cap.--Section 146(g)(4) of such Code is amended by 
striking ``paragraph (11) of section 142(a) (relating to high-speed 
intercity rail facilities)'' and inserting ``paragraph (11) or (16) of 
section 142(a)''.
    (d) Clarification of Private Business Use.--Section 141(b)(6) of 
such Code is amended by adding at the end the following new 
subparagraph:
                    ``(C) Clarification relating to qualified carbon 
                dioxide capture facilities.--For purposes of this 
                subsection, the sale of carbon dioxide produced by a 
                qualified carbon dioxide capture facility (as defined 
                in section 142(n)) which is owned by a governmental 
                unit shall not constitute private business use.''.
    (e) Effective Date.--The amendments made by this section shall 
apply to obligations issued after the date of enactment of this Act.

SEC. 134. EXTENSION OF PUBLICLY TRADED PARTNERSHIP OWNERSHIP STRUCTURE.

    (a) In General.--Section 7704(d)(1)(E) of the Internal Revenue Code 
of 1986 is amended--
            (1) by striking ``income and gains derived from the 
        exploration'' and inserting ``income and gains derived from any 
        of the following:
                            ``(i) The exploration''; and
            (2) by inserting a period after ``40A(d)(1)'' and inserting 
        thereafter the following:
                            ``(ii) The production, storage, or 
                        transportation of any fuel which--
                                    ``(I) uses carbon dioxide captured 
                                from an anthropogenic source or the 
                                atmosphere as its primary feedstock, 
                                and
                                    ``(II) is determined by the 
                                Secretary, in consultation with the 
                                Secretary of Energy and the 
                                Administrator of the Environmental 
                                Protection Agency, to achieve a 
                                reduction of not less than a 60 percent 
                                in lifecycle greenhouse gas emissions 
                                (as defined in section 211(o)(1)(H) of 
                                the Clean Air Act) compared to baseline 
                                lifecycle greenhouse gas emissions (as 
                                defined in section 211(o)(1)(C) of such 
                                Act).
                        This clause shall not apply to any fuel which 
                        uses as its primary feedstock carbon dioxide 
                        which is deliberately released from naturally 
                        occurring subsurface springs.
                            ``(iii) The production of any product or 
                        the generation of electric power from a 
                        project--
                                    ``(I) which meets the requirements 
                                of subparagraphs (A) and (B) of section 
                                48B(c)(1), and
                                    ``(II) not less than 75 percent of 
                                the total carbon dioxide emissions of 
                                which is qualified carbon oxide (as 
                                defined in section 45Q(c)) which is 
                                disposed of or utilized as provided in 
                                paragraph (6).
                            ``(iv) The generation or storage of 
                        electric power (including associated income 
                        from the sale or marketing of energy, capacity, 
                        resource adequacy, and ancillary services) 
                        produced from any power generation facility 
                        which is, or from any power generation unit 
                        within, a qualified facility under section 
                        45Q(d) and not less than 50 percent (30 percent 
                        in the case of a facility or unit placed in 
                        service before January 1, 2017) of the total 
                        carbon dioxide emissions of which is qualified 
                        carbon oxide which is disposed of or utilized 
                        as provided in paragraph (7).
                            ``(v) The sale of any good or service from 
                        any facility (other than a power generation 
                        facility) which is a qualified facility 
                        described in section 45Q(c) and the captured 
                        qualified carbon oxide (as so defined) of which 
                        is disposed of as provided in paragraph (6).''.
    (b) Disposal and Utilization of Captured Carbon Dioxide.--Section 
7704(d) of such Code is amended by adding at the end the following new 
paragraph:
            ``(6) Disposal and utilization of captured carbon 
        dioxide.--For purposes of clauses (iii)(II) and (iv)(II) of 
        paragraph (1)(E), carbon dioxide is disposed of or utilized as 
        provided in this paragraph if such carbon dioxide is--
                    ``(A) placed into secure geological storage (as 
                determined under section 45Q(f)(2)),
                    ``(B) used as a tertiary injectant (as defined in 
                section 45Q(e)(3)) in a qualified enhanced oil or 
                natural gas recovery project (as defined in section 
                45Q(e)(2)) and placed into secure geological storage 
                (as so determined),
                    ``(C) fixed through photosynthesis or 
                chemosynthesis (including through the growing of algae 
                or bacteria),
                    ``(D) chemically converted to a material or 
                chemical compound in which it is securely stored, or
                    ``(E) used for any other purpose which the 
                Secretary determines has the potential to strengthen or 
                significantly develop a competitive market for carbon 
                dioxide captured from man-made sources.''.
    (c) Effective Date.--The amendments made by this section shall take 
effect on the date of the enactment of this Act, in taxable years 
ending after such date.

SEC. 135. PRODUCTION TAX CREDIT FOR CERTAIN ELECTRICITY GENERATION 
              USING CARBON CAPTURE UTILIZATION AND STORAGE.

    (a) In General.--Subpart D of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 is amended by adding at the end 
the following new section:

``SEC. 45U. ELECTRICITY PRODUCED USING CARBON CAPTURE UTILIZATION AND 
              STORAGE TECHNOLOGY.

    ``(a) General Rule.--For purposes of section 38, the carbon capture 
production credit for any taxable year is an amount equal to--
            ``(1) in the case of a qualified facility using fossil 
        fuels, the product of--
                    ``(A) the megawatt hours of electricity--
                            ``(i) produced by the taxpayer at a 
                        qualified facility during the 20-year period 
                        beginning on the date the facility was 
                        originally placed in service, and
                            ``(ii) sold by the taxpayer to an unrelated 
                        person during the taxable year, multiplied by
                    ``(B)(i) $30 per megawatt hour in the case of a 
                qualified facility storing carbon in secure geological 
                storage, or
                    ``(ii) $24 per megawatt hour in the case of a 
                qualified facility using captured carbon oxide as a 
                tertiary injectant in a qualified enhanced oil or 
                natural gas recovery project, multiplied by
                    ``(C) the discount factor,
            ``(2) in the case of electricity generation facilities 
        using exclusively qualified hydrogen, qualified ammonia, or 
        qualified blends, the product of--
                    ``(A) the megawatt hours of electricity--
                            ``(i) produced by the taxpayer at a 
                        qualified facility during the 20-year period 
                        beginning on the date the facility was 
                        originally placed in service, and
                            ``(ii) sold by the taxpayer to an unrelated 
                        person during the taxable year, multiplied by
                    ``(B) $100 per megawatt hour.
    ``(b) Definitions.--For purposes of this section:
            ``(1) Discount factor.--The term `discount factor' means an 
        amount equal to 90 divided by the annual carbon dioxide 
        emissions rate expressed in pounds per megawatt-hour for a 
        qualified facility, except that--
                    ``(A) if the annual carbon dioxide emissions rate 
                for a qualified facility is less than 90 pounds per 
                megawatt-hour, the discount factor is equal to 1, and
                    ``(B) if the annual carbon dioxide emissions rate 
                for a qualified facility is greater 180 pounds per 
                megawatt-hour, the discount factor is equal to 0.
            ``(2) Qualified ammonia.--The term `qualified ammonia' 
        means ammonia fuel produced with less than 17.5 pounds of 
        carbon dioxide emissions per million Btu of gross fuel heating 
        value.
            ``(3) Qualified blend.--The term `qualified blend' means a 
        blend of qualified hydrogen or qualified ammonia with fossil 
        fuel in which the fossil fuel provides no more than 30 percent 
        of the heating value input.
            ``(4) Qualified facility.--The term `qualified facility' 
        means an electricity generation plant that--
                    ``(A) is equipped with carbon capture equipment, 
                the construction of which commenced before January 1, 
                2033,
                    ``(B) captures carbon oxide using carbon capture 
                equipment,
                    ``(C) stores captured carbon oxide in secure 
                geological storage or uses captured carbon oxide as a 
                tertiary injectant in a qualified enhanced oil or 
                natural gas recovery project, and
                    ``(D) has not been the basis for a credit received 
                under section 45Q.
            ``(5) Qualified hydrogen.--The term `qualified hydrogen' 
        means hydrogen fuel produced with less than 17.5 pounds of 
        carbon dioxide emissions per million Btu of gross fuel heating 
        value.''.
    (b) Part of General Business Credit.--Section 38(B) of such Code is 
amended by striking ``plus'' at the end of paragraph (32), by striking 
the period at the end of paragraph (33) and inserting ``, plus'', and 
by adding at the end the following new paragraph:
            ``(34) the carbon capture production credit under section 
        45U(a).''.
    (c) Clerical Amendment.--The table of sections for subpart D of 
part IV of subchapter A of chapter 1 is amended by adding at the end 
the following new item:

``Sec. 45U. Electricity produced using carbon capture utilization and 
                            storage technology.''.
    (d) Effective Date.--The amendments made by this section shall 
apply with respect to electricity sold and produced after the date of 
the enactment of this Act.

SEC. 136. ELECTIVE PAYMENT OF CREDIT.

    (a) Subchapter B of chapter 65 of the Internal Revenue Code is 
amended by adding at the end the following new section:

``SEC. 6431. ELECTIVE PAYMENT OF CREDITS RELATING TO CARBON OXIDE 
              SEQUESTRATION.

    ``(a) Election.--In the case of a taxpayer making an election (at 
such time and in such manner as the Secretary may provide) under this 
section with respect to any portion of an applicable credit, such 
taxpayer shall be treated as making a payment against the tax imposed 
by subtitle A for the taxable year equal to the amount of such portion.
    ``(b) Definitions and Special Rules.--For purposes of this 
section--
            ``(1) Governmental entities treated as taxpayers.--In the 
        case of an election under this section--
                    ``(A) any State or local government, or a political 
                subdivision thereof, or
                    ``(B) an Indian Tribal government,
        shall be treated as a taxpayer for purposes of this section and 
        determining any applicable credit.
            ``(2) Applicable credit.--The term `applicable credit' 
        means each of the following credits that would (without regard 
        to this section) be determined with respect to the taxpayer:
                    ``(A) A carbon oxide sequestration credit under 
                section 45Q.
                    ``(B) A carbon capture production credit under 
                section 45U.
            ``(3) Indian tribal government.--The term `Indian Tribal 
        government' shall have the meaning given such term by section 
        139E.
            ``(4) Timing.--The payment described in subsection (a) 
        shall be treated as made on--
                    ``(A) in the case of any government, or political 
                subdivision, to which paragraph (1) applies and for 
                which no return is required under section 6011 or 
                6033(a), the later of the date that a return would be 
                due under section 6033(a) if such government or 
                subdivision were described in that section or the date 
                on which such government or subdivision submits a claim 
                for credit or refund (at such time and in such manner 
                as the Secretary shall provide), and
                    ``(B) in any other case, the later of the due date 
                of the return of tax for the taxable year or the date 
                on which such return is filed.
            ``(5) Waiver of special rules.--In the case of an election 
        under this section, the determination of any applicable credit 
        shall be without regard to paragraphs (3) and (4)(A)(i) of 
        section 50(b).
    ``(c) Exclusion From Gross Income.--Gross income of the taxpayer 
shall be determined without regard to this section.
    ``(d) Denial of Double Benefit.--Solely for purposes of section 38, 
in the case of a taxpayer making an election under this section, the 
applicable credit shall be reduced by the amount of the portion of such 
credit with respect to which the taxpayer makes such election.''.
    (b) Clerical Amendment.--The table of sections for subchapter B of 
chapter 65 is amended by adding at the end the following new item:

``Sec. 6432. Elective payment of credits related to carbon oxide 
                            sequestration.''.

Subtitle D--Support for Carbon Dioxide Transportation and Sequestration 
                             Infrastructure

SEC. 141. SECURING GEOLOGIC RESERVOIRS FOR CARBON DIOXIDE.

    (a) In General.--Subtitle B of title IV of the Energy Policy Act of 
2005 (42 U.S.C. 15971 et seq.) is further amended by adding after 
section 418 (as added by this Act) the following new section:

``SEC. 419. SECURING GEOLOGIC RESERVOIRS FOR STORAGE OF CARBON DIOXIDE.

    ``(a) In General.--The Secretary shall establish a program to--
            ``(1) identify geological formations that are capable of 
        storing, cumulatively, at least 250,000,000 tons of carbon 
        dioxide with a target storage cost of less than $10 per ton;
            ``(2) assess the cost of developing and operating a carbon 
        dioxide sequestration facility at the geological formations 
        identified under paragraph (1); and
            ``(3) support the development of such carbon dioxide 
        sequestration facility by providing grants or other appropriate 
        financial assistance to storage facility developers to--
                    ``(A) secure property rights that are necessary to 
                enable carbon dioxide storage in such geologic 
                formations; and
                    ``(B) obtain necessary permits and approval to 
                enable carbon dioxide storage in such geologic 
                formations.
    ``(b) Geographic Diversity.--The Secretary shall carry out 
subsection (a) with the goal of supporting development of carbon 
dioxide sequestration facilities that are capable of storing 
significant volumes of carbon dioxide at reasonable cost in each of the 
regions covered by the regional carbon sequestration partnerships 
established pursuant to section 963.
    ``(c) Application.--An entity seeking a grant or other appropriate 
financial assistance provided under this section shall submit to the 
Secretary an application at such time and in such manner as the 
Secretary may require.
    ``(d) Cost Sharing.--The Secretary shall consider the activities 
described under subsection (a)(3) to be subject to the cost share 
requirement for demonstration and commercial application activities 
under section 988(c).''.
    (b) Table of Contents Amendment.--The table of contents for the 
Energy Policy Act of 2005 is further amended by adding after the item 
relating to section 418 (as added by this Act) the following:

``Sec. 419. Securing geologic reservoirs for storage of carbon 
                            dioxide.''.

SEC. 142. FINANCIAL ASSISTANCE FOR CARBON DIOXIDE SEQUESTRATION 
              INFRASTRUCTURE DEVELOPMENT.

    (a) In General.--Subtitle B of title IV of the Energy Policy Act of 
2005 (42 U.S.C. 15971 et seq.) is further amended by adding after 
section 419 (as added by this Act) the following new section:

``SEC. 420. CARBON DIOXIDE SEQUESTRATION INFRASTRUCTURE DEVELOPMENT.

    ``(a) In General.--The Secretary shall establish a program to 
provide grants to support--
            ``(1) the development of carbon dioxide pipeline 
        infrastructure that is necessary to support the transportation 
        of the volumes of carbon dioxide that are expected to be 
        captured at electricity generation facilities to appropriate 
        sites for long term sequestration, giving priority to pipeline 
        projects of significant length and significant throughput 
        capacity; and
            ``(2) the development of geologic sequestration facilities 
        that are necessary to support long-term sequestration of the 
        volumes of carbon dioxide that are expected to be captured at 
        electricity generation facilities.
    ``(b) Application.--Applications for a grant provided under this 
section shall be submitted at such time and in such manner as the 
Secretary may require.
    ``(c) Cost Sharing.--The Secretary shall consider support for the 
development of carbon dioxide pipeline infrastructure or the 
development of geologic sequestration facility under subsection (a) to 
be subject to the cost share requirement for demonstration and 
commercial application activities under section 988(c).
    ``(d) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretary to carry out this section $2,000,000,000 
for each of fiscal years 2021 through 2025.''.
    (b) Table of Contents Amendment.--The table of contents for the 
Energy Policy Act of 2005 is further amended by adding after the item 
relating to section 419 (as added by this Act) the following:

``Sec. 420. Carbon dioxide sequestration infrastructure development.''.

SEC. 143. GEOLOGIC CARBON DIOXIDE SEQUESTRATION UTILITIES.

    (a) In General.--The Secretary, in collaboration with the Secretary 
of Transportation and the Administrator of the Environmental Protection 
Agency, as appropriate, may provide technical assistance to a State 
that is seeking to--
            (1) establish a government-owned carbon dioxide 
        sequestration utility; or
            (2) regulate a privately owned carbon dioxide sequestration 
        utility.
    (b) Technical Assistance.--Technical assistance provided under 
subsection (a) may include--
            (1) with respect to a government-owned carbon dioxide 
        sequestration utility--
                    (A) conducting engineering studies to support the 
                development of a geologic sequestration facility; and
                    (B) identifying potential carbon dioxide pipeline 
                routes; and
            (2) with respect to State regulation of a privately owned 
        carbon dioxide sequestration utility--
                    (A) helping with the development of a State 
                permitting system for a privately owned carbon dioxide 
                sequestration utility; and
                    (B) assisting with the developing regulations for 
                services provided by a privately owned carbon dioxide 
                sequestration utility and the setting of rates charged 
                for such services.
    (c) Report.--Not later than 1 year of the date of enactment of this 
section, the Secretary shall submit to Congress a report that--
            (1) characterizes Federal, State, and local regulations 
        that apply to carbon dioxide pipeline and sequestration 
        facility development and operation;
            (2) identifies any gaps in applicable regulations or 
        standards that need to be addressed to ensure that carbon 
        dioxide pipeline and sequestration facilities are operated in a 
        safe and effective manner;
            (3) evaluates whether regulation of the rates or terms of 
        service for carbon dioxide transportation services or geologic 
        sequestration services are necessary to ensure fair access to 
        such services;
            (4) evaluates whether eminent domain authority is necessary 
        to enable development of carbon dioxide infrastructure in the 
        public interest; and
            (5) provides recommended changes to Federal law that would 
        support the development and use of carbon dioxide pipeline and 
        geologic sequestration facilities in the public interest.

SEC. 144. COORDINATED FEDERAL PERMITTING FOR CARBON DIOXIDE PIPELINE 
              AND SEQUESTRATION FACILITIES.

    Section 41001(6)(A) of the FAST Act (42 U.S.C. 4370m note(6)(A)) is 
amended by striking ``pipelines'' and inserting ``pipelines (including 
pipelines for the transportation of carbon dioxide), facilities for the 
geologic sequestration of carbon dioxide''.

SEC. 145. INTERAGENCY TASK FORCE ON CARBON DIOXIDE PIPELINES.

    (a) In General.--Not later than 90 days after the date of enactment 
of this section, the Secretary shall establish an interagency task 
force (in this section referred to as the ``Task Force'') to assess the 
potential for a national system of carbon dioxide pipelines.
    (b) Membership.--The Task Force shall include representatives from 
each of the following:
            (1) The Department of Energy.
            (2) The Department of the Interior.
            (3) The Environmental Protection Agency.
            (4) The Department of Transportation.
            (5) The Federal Energy Regulatory Commission.
            (6) State, local, and Tribal governments.
            (7) Any other Federal agency that the Secretary determines 
        has a significant interest or role in development of a national 
        system of carbon dioxide pipelines.
    (c) Duties.--The Task Force shall--
            (1) conduct annual public workshops to discuss the 
        potential of, and progress towards, an accessible and 
        functioning national system of carbon dioxide pipelines;
            (2) provide to the public notice of such workshops not less 
        than 60 days before the date on which each such workshop is 
        conducted;
            (3) submit to Congress annual reports that summarize the 
        activities and progress of the Task Force; and
            (4) as soon as practical, but not later than 5 years after 
        the date on which the Task Force is established, submit to 
        Congress a report that provides a plan to establish a national 
        carbon dioxide pipeline system, which shall include--
                    (A) information and recommendations related to 
                engineering, building, siting, constructing, and 
                maintaining a national carbon dioxide pipeline system;
                    (B) recommendations for how to streamline the 
                permitting process for new carbon dioxide pipelines;
                    (C) information on how to integrate new carbon 
                dioxide pipelines into existing carbon dioxide pipeline 
                infrastructure;
                    (D) a determination on whether incentives or other 
                policies are needed to encourage the utilization of the 
                advanced leak detection and mitigation technology and 
                monitoring capabilities for the national carbon dioxide 
                pipeline system;
                    (E) recommendations for how to regulate the 
                national carbon dioxide pipeline system to ensure 
                safety and mitigate environmental impacts; and
                    (F) an identification of other Federal and State 
                policy challenges related to the development of a 
                national system of carbon dioxide pipelines.
    (d) Sunset.--This section shall cease to be effective on the date 
that is 5 years after the date on which the Task Force is established.

   TITLE II--INNOVATION IN RENEWABLE ENERGY, ENERGY EFFICIENCY, AND 
                                STORAGE

SEC. 201. ESTABLISHMENT OF TECHNOLOGY PERFORMANCE AND COST TARGETS.

    (a) In General.--Not later than one year after the date of 
enactment of this section, the Secretary shall establish technology 
performance and cost targets for three 5-year periods to address 
existing gaps in technology, with the first such period starting on the 
date of enactment of this section and the last such period ending on 
the date that is 15 years following enactment.
    (b) Targets.--Technology and performance cost targets shall be 
established for each of the following technology categories:
            (1) Advanced renewable power technologies, which include--
                    (A) large-scale, novel renewable power plants;
                    (B) renewable hydrogen power plants, including 
                plants for which the hydrogen comes from renewable 
                natural gas or biogas;
                    (C) on-shore or off-shore wind power;
                    (D) thermal or photovoltaic solar power;
                    (E) hydropower;
                    (F) geothermal power;
                    (G) biomass power; and
                    (H) advanced renewable energy manufacturing 
                techniques.
            (2) Mechanical, chemical, and thermal energy storage 
        technologies, which include--
                    (A) advanced grid-scale energy storage technologies 
                with storage durations in the range of 10 to 50 hours; 
                and
                    (B) grid-scale energy storage projects that can 
                economically balance electricity supply and demand 
                across seasons.
            (3) Electricity transmission technologies, which include 
        underground high-voltage direct current electricity 
        transmission.
            (4) Commercial, industrial, and residential energy 
        efficiency technologies, which include--
                    (A) retrofit packages that reduce the energy used 
                by an average single-family home by at least 50 percent 
                at a cost of no more than $25,000 per such home;
                    (B) smart heating, ventilation, and air 
                conditioning control technologies that--
                            (i) can be used in commercial buildings 
                        that have between 5,000 and 30,000 square feet 
                        of floor area;
                            (ii) can reduce heating, ventilation, and 
                        air conditioning energy consumption by an 
                        average of at least 20 percent compared to 
                        average commercial buildings;
                            (iii) yield energy cost savings that can 
                        provide at least a 50-percent annual return on 
                        the original investment; and
                            (iv) may include a cloud-based information 
                        technology;
                    (C) those technologies that the Secretary 
                identifies as having the ability to improve energy 
                efficiency or reduce emissions in heavy industries, 
                which include those that produce or refine aluminum, 
                steel, cement, oil, or fertilizer; and
                    (D) flexible load technology improvements to reduce 
                peak demand.
            (5) Industrial process and building electrification 
        technologies, which include--
                    (A) heat pump space heaters;
                    (B) heat pump water heaters;
                    (C) induction stoves; and
                    (D) advanced industrial process heat technologies.
    (c) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section the following:
            (1) With respect to the advanced renewable energy 
        technologies projects described in subparagraph (b)(1), 
        $2,000,000,000 for each of fiscal years 2021 through 2025.
            (2) With respect to the energy storage technologies 
        projects described in subparagraph (b)(2), $400,000,000 for 
        each of fiscal years 2021 through 2025.
            (3) With respect to the transmission technologies and 
        projects described in subparagraph (b)(3), $600,000,000 for 
        each of fiscal years 2021 through 2025.

SEC. 202. ADVANCED INNOVATION AND COMMERCIALIZATION PROGRAM.

    (a) In General.--The Secretary, in collaboration with the National 
Laboratories, other Federal agencies, and private sector and university 
partners as the Secretary determines necessary, shall establish a 
program, to be known as the ``Advanced Innovation and Commercialization 
Program'', to carry out research, development, and demonstration of 
technology that meets the targets established for those technologies 
identified in section 201(b).
    (b) Early Deployment.--
            (1) In general.--The Secretary shall establish a program to 
        provide grants for early deployment of the technologies 
        demonstrated under the Advanced Innovation and 
        Commercialization program under this section.
            (2) Authorization of appropriations.--There is authorized 
        to be appropriated to carry out this subsection $3,000,000,000 
        for each of fiscal years 2021 through 2025.
    (c) Federal Procurement.--
            (1) In general.--The Secretary, in collaboration with the 
        Secretary of Defense and the Administrator of the General 
        Services Administration, shall establish Federal procurement 
        goals and deadlines for achieving such goals for those 
        technologies identified in section 201(b)(1) through (5).
            (2) Federal energy and advanced technology energy 
        procurement.--The Secretary, in collaboration with the 
        Secretary of Defense and the Administrator of General Services, 
        shall--
                    (A) through administrative and regulatory actions, 
                improve Federal procurement of the technologies 
                described in paragraph (1);
                    (B) identify and report on barriers to improving 
                Federal procurement of energy and technologies that 
                require legislative changes; and
                    (C) take due regard of the recommendations from the 
                2016 report entitled ``Secretary of Energy Advisory 
                Board Report of the Task Force on Federal Energy 
                Management''.

SEC. 203. UPDATING MOBILE HOMES.

    (a) Updating Mobile Homes.--Not later than one year after the date 
of enactment of this section, the Secretary shall establish a program 
to provide grants and technical assistance to individuals or businesses 
to facilitate the replacement of energy-inefficient mobile homes with 
highly efficient zero-energy modular homes.
    (b) Authorization.--There are authorized to be appropriated to 
carry out this section $2,500,000,000 for each of fiscal years 2021 
through 2025, to remain available until expended.

SEC. 204. INVESTMENT TAX CREDITS FOR ENERGY BATTERY STORAGE, OFFSHORE 
              WIND, AND CERTAIN HYDROPOWER TECHNOLOGIES.

    (a) In General.--Section 48(a)(3)(A) of the Internal Revenue Code 
of 1986, as amended by section 121, is amended by striking ``or'' at 
the end of clause (vii), and by adding at the end the following new 
clauses:
                            ``(ix) equipment which generates wind 
                        energy from an offshore facility,
                            ``(x) energy storage equipment,
                            ``(xi) equipment which makes a 
                        nonhydroelectric dam capable of generating 
                        hydropower, or
                            ``(xii) equipment which generates 
                        geothermal electricity through an enhanced 
                        geothermal system.''.
    (b) Allowance of 30 Percent Credit.--
            (1) In general.--Section 48(a)(2)(A)(i)(II) of the Internal 
        Revenue Code of 1986 is amended by striking ``paragraph 
        (3)(A)(i)'' and inserting ``clause (i), (ix), (x), (xi), or 
        (xii) of paragraph (3)(A)''.
            (2) Phaseout.--Section 48(a)(6) of such Code is amended--
                    (A) by striking ``solar energy'' in the heading and 
                inserting ``certain'', and
                    (B) by striking ``paragraph (3)(A)(i)'' both places 
                it appears and inserting ``clause (i), (ix), (x), (xi), 
                or (xii) of paragraph (3)(A)''.
    (c) Definitions.--
            (1) Energy credit.--Section 48(c) of the Internal Revenue 
        Code of 1986 is amended by adding at the end the following new 
        paragraphs:
            ``(5) Qualified offshore wind property.--
                    ``(A) In general.--The term `qualified offshore 
                wind property' means an offshore facility using wind to 
                produce electricity.
                    ``(B) Offshore facility.--The term `offshore 
                facility' means any facility located in the inland 
                navigable waters of the United States, including the 
                Great Lakes, or in the coastal waters of the United 
                States, including the territorial seas of the United 
                States, the exclusive economic zone of the United 
                States, and the outer Continental Shelf of the United 
                States.
            ``(6) Energy storage equipment.--The term `energy storage 
        equipment' means equipment which receives, stores, and delivers 
        energy using batteries, compressed air, pumped hydropower, 
        hydrogen storage (including hydrolysis and electrolysis), 
        thermal energy storage, regenerative fuel cells, flywheels, 
        capacitors, superconducting magnets, or other technologies 
        identified by the Secretary in consultation with the Secretary 
        of Energy, and which has a capacity of not less than 5 Kilowatt 
        hours.
            ``(7) Nonhydroelectric dam.--The term `nonhydroelectric 
        dam' means a nonhydroelectric dam that--
                    ``(A) is licensed by the Federal Energy Regulatory 
                Commission and meets all other applicable 
                environmental, licensing, and regulatory requirements,
                    ``(B) was placed in service before the date of the 
                enactment of this paragraph and operated for flood 
                control, navigation, or water supply purposes and did 
                not produce hydroelectric power on the date of the 
                enactment of this paragraph,
                    ``(C) is operated so that the water surface 
                elevation at any given location and time that would 
                have occurred in the absence of the hydroelectric 
                project is maintained, subject to any license 
                requirements imposed under applicable law that change 
                the water surface elevation for the purpose of 
                improving environmental quality of the affected 
                waterway, and
                    ``(D) includes one more hydroelectric projects 
                which have been certified by the Secretary, after 
                consultation with the Federal Energy Regulatory 
                Commission, as meeting the requirements of clause 
                (iii).
            ``(8) Enhanced geothermal system.--The term `enhanced 
        geothermal system' means a system to extract heat by creating a 
        subsurface fracture system to which water can be added through 
        injection wells.''.
            (2) Qualifying advanced energy project credit.--Section 
        48C(c)(1)(A)(i)(IV) of the Internal Revenue Code of 1986 is 
        amended by inserting ``, including through direct air capture 
        or carbon dioxide removal'' after ``emissions''.
    (d) Effective Date.--The amendments made by this section shall 
apply to property placed in service after December 31, 2019.
    (e) Coordination With Federal Power Act.--Nothing in this section, 
or the amendments made by this section, shall affect the standards 
under which the Federal Energy Regulatory Commission issues licenses 
for and regulates hydropower projects under part I of the Federal Power 
Act.

SEC. 205. EXTENSION OF PRODUCTION TAX CREDIT FOR SOLAR AND ON-SHORE 
              WIND.

    (a) Wind.--Section 45(d)(1) of the Internal Revenue Code of 1986 is 
amended by striking ``January 1, 2021'' and inserting ``January 1, 
2031''.
    (b) Solar.--Section 45(d)(4)(A) of such Code is amended by striking 
``placed in service before January 1, 2006'' and inserting 
``construction of which begins before January 1, 2031''.
    (c) Application of Phaseout Percentage to Wind Facilities.--Section 
45(b)(5)(D) of such Code is amended by striking ``January 1, 2021'' and 
inserting ``January 1, 2031''.
    (d) Effective Date.--The amendments made by this section shall 
apply to facilities the construction of which begins after December 31, 
2020.

SEC. 206. RENEWAL OF QUALIFYING ADVANCED ENERGY PROJECT CREDIT.

    (a) In General.--Section 48C(d)(2)(A) of the Internal Revenue Code 
of 1986 is amended by striking ``during the 2-year period beginning on 
the date the Secretary establishes the program under paragraph (1)''.
    (b) Effective Date.--The amendment made by this section shall apply 
to applications received after the date of the enactment of this Act.

SEC. 207. PERFORMANCE-BASED TAX CREDITS FOR COMMERCIAL AND RESIDENTIAL 
              BUILDINGS.

    (a) The Internal Revenue Code of 1986 is amended by inserting the 
following after section 45U (as added by this Act):

``SEC. 45V. DEEP ENERGY RETROFITS AND ZERO-ENERGY COMMERCIAL AND 
              RESIDENTIAL BUILDINGS.

    ``(a) Definitions.--In this section:
            ``(1) Btu.--The term `Btu' means British Thermal Unit.
            ``(2) Building energy.--The term `building energy' means 
        energy consumed at the building site as measured at the site 
        boundary, which includes heating, cooling, ventilation, 
        domestic hot water, indoor and outdoor lighting, plug loads, 
        process energy, elevators and conveying systems, and 
        intrabuilding transportation systems.
            ``(3) Deep energy retrofit.--The term `deep energy 
        retrofit' means a project that uses energy efficiency measures 
        and renewable energy resources to reduce the energy use of an 
        existing building by at least 50 percent on an annual basis 
        relative to the most recent 12-month period in which the 
        building was fully occupied prior to the project, provided that 
        energy efficiency measures must account for at least 80 percent 
        of the reduction in energy use.
            ``(4) Delivered energy.--The term `delivered energy' means 
        any type of energy that could be bought or sold as building 
        energy, including electricity, steam, hot or chilled water, 
        natural gas, biogas, landfill gas, coal, coke, propane, 
        petroleum and its derivatives, residual fuel oil, alcohol-based 
        fuels, wood, biomass, and any other material consumed as fuel.
            ``(5) Exported energy.--The term `exported energy' means 
        on-site renewable energy supplied through the site boundary and 
        used outside the site boundary.
            ``(6) High rise commercial building.--The term `high rise 
        commercial building' means a commercial building of four or 
        more above grade stories.
            ``(7) High rise residential building.--The term `high rise 
        residential building' means a multifamily building with four or 
        more above grade stories.
            ``(8) kWh.--The term `kWh' means Kilowatt Hour.
            ``(9) Low rise residential building.--The term `low rise 
        residential building' means a single-family home or multifamily 
        building with no more than three above grade stories.
            ``(10) On-site renewable energy.--The term `on-site 
        renewable energy' means any renewable energy collected and 
        generated within the site boundary that is used for building 
        energy, and the excess renewable energy exported outside the 
        site boundary, provided that any renewable energy certificates 
        associated with the on-site renewable energy must be retained 
        or retired by the building owner or lessee to be claimed as on-
        site renewable energy.
            ``(11) Renewable energy.--The term `renewable energy' means 
        energy generated by biomass, hydro, geothermal, solar, wind, 
        ocean thermal, wave action, or tidal action resources.
            ``(12) Renewable energy certificate.--The term `renewable 
        energy certificate' means a certificate or credit that 
        represents and conveys the environmental, social, or other 
        nonpower qualities of one megawatt hour of renewable energy, 
        and can be sold separately from the underlying physical 
        electricity associated with the renewable energy resource.
            ``(13) Site boundary.--The term `site boundary' means the 
        limits of the building site across which delivered energy and 
        exported energy are measured.
            ``(14) Source energy.--The term `source energy' means 
        building energy plus the energy losses in thermal combustion in 
        electricity generation resources; and energy losses in 
        transmission and distribution to the building site.
            ``(15) Zero-energy building.--The term `zero-energy 
        building' means a building for which, on a source energy basis, 
        the actual annual delivered energy is less than or equal to the 
        on-site renewable exported energy, provided that energy 
        purchased from off-site and renewable energy generated on-site 
        and then sold off-site shall be valued at 6000 Btu/kWh.
            ``(16) Zero-energy-ready building.--The term `zero-energy-
        ready building' means a building that--
                    ``(A) if it is a commercial building or high rise 
                residential building--
                            ``(i) is in compliance with Standard 90.1-
                        2019 published by the American Society of 
                        Heating, Refrigerating and Air-Conditioning 
                        Engineers;
                            ``(ii) is in compliance with Appendix CA 
                        (Solar-Ready Zone) of the 2021 International 
                        Energy Conservation Code; and
                            ``(iii) demonstrates that its energy 
                        consumption is at least 30 percent below the 
                        maximum permitted under American Society of 
                        Heating, Refrigerating and Air-Conditioning 
                        Engineers Standard 90.1-2019, as calculated 
                        using the methodology in Appendix G of such 
                        standard; and
                    ``(B) if it is a low rise residential building--
                            ``(i) has an Energy Rating Index of 40 or 
                        less as calculated using the procedures in 
                        Chapter 3 of the residential section of the 
                        2012 International Energy Conservation Code but 
                        excluding any renewable energy resources in the 
                        calculation, provided that certification of 
                        compliance with the Energy Rating Index 
                        requirement shall be made by a registered 
                        architect or engineer by another professional 
                        authorized by the Secretary of Energy by rule;
                            ``(ii) is in compliance with Appendix RA 
                        (Solar-Ready Zone) of the 2021 International 
                        Energy Conservation Code; and
                            ``(iii) is certified under--
                                    ``(I) the Zero Energy Ready Homes 
                                program administered by the Department 
                                of Energy; or
                                    ``(II) the Passive House 
                                specifications of the Passive Institute 
                                US or the International Passive House 
                                Institute.
    ``(b) Eligibility for Tax Credit.--To be eligible to receive a tax 
credit under this section, the builder or owner of a building must 
demonstrate that--
            ``(1) the building is located in the United States;
            ``(2) the building is at least 50 percent occupied when the 
        tax credit is claimed;
            ``(3) if the building has implemented a deep energy 
        retrofit, the project has been completed and certified as a 
        deep energy retrofit by a registered architect or engineer, or 
        by another professional authorized by the Secretary of Energy 
        by rule; and
            ``(4) if the building is a zero-energy building, the 
        building has been zero-energy over a span of 12 continuous 
        months with at least 50 percent occupancy as verified--
                    ``(A) through certification by the Living Buildings 
                Institute Zero Energy Certification Program;
                    ``(B) through certification by the LEED Zero Energy 
                Certification Program Verification; or
                    ``(C) by another professional authorized by the 
                Secretary of Energy by rule.
    ``(c) Tax Credit Amounts.--
            ``(1) Zero-energy-ready buildings.--The following tax 
        credit amounts shall be awarded for certified zero-energy-ready 
        buildings--
                    ``(A) for a residential building with no more than 
                four dwelling units, $5,000 per dwelling unit;
                    ``(B) for a residential building with five or more 
                dwelling units, $3,500 per dwelling unit; and
                    ``(C) for a commercial building, $3 per square foot 
                of floor area.
            ``(2) Zero-energy buildings.--The following tax credit 
        amounts shall be awarded for certified zero-energy buildings--
                    ``(A) for a residential building with no more than 
                four dwelling units, $5,000 per dwelling unit;
                    ``(B) for a residential building with five or more 
                dwelling units, $3,500 per dwelling unit; and
                    ``(C) for a commercial building that is a zero-
                energy building for a period of 12 continuous months 
                starting after the building is at least 50 percent 
                occupied, $3 per square foot of floor area, provided 
                that a zero-energy building may also receive the zero-
                energy-ready building incentive if it meets the 
                criteria for this incentive.
            ``(3) Deep energy retrofits.--The following tax credit 
        amounts shall be awarded to buildings upon completion of a deep 
        energy retrofit--
                    ``(A) for a residential building, $10,000 per 
                dwelling unit, up to a maximum of $1,000,000 per 
                building; and
                    ``(B) for a commercial building, $25 per square 
                foot of floor area, up to a maximum of $2,000,000 per 
                building.
    ``(d) Tax Credit Recipient.--
            ``(1) In general.--The person eligible to receive a tax 
        credit under this section shall be--
                    ``(A) for a new residential building, the builder;
                    ``(B) for an existing residential building that has 
                undergone a deep energy retrofit, the builder;
                    ``(C) for a new commercial building, the building 
                owner; and
                    ``(D) for an existing commercial building that has 
                undergone a deep energy retrofit, the building owner.
            ``(2) Transfer of credit.--A building owner who is eligible 
        to receive a tax credit under subparagraphs (C) and (D) of 
        paragraph (1) may transfer such tax credit to the architect, 
        builder, or contractor.
    ``(e) Exclusions.--A building project is not eligible for tax 
credits under this section if the owner or builder has used another 
Federal tax incentive for the same project, including incentives under 
sections 25C, 25D, and 179D of this title.
    ``(f) Sunset of Tax Credit Authority.--The tax credit authority 
under this section shall terminate--
            ``(1) for zero-energy and zero-energy-ready residential 
        buildings, one year after the Secretary of Energy determines by 
        rule that such buildings accounted for at least 20 percent of 
        new residential buildings in the most recent calendar year;
            ``(2) for zero-energy and zero-energy-ready commercial 
        buildings, one year after the Secretary of Energy determines by 
        rule that such buildings accounted for at least 20 percent of 
        new commercial building construction in the most recent 
        calendar year;
            ``(3) for deep energy retrofits to residential buildings, 
        one year after the Secretary of Energy determines by rule that 
        at least 10 percent of units at residential buildings have 
        undergone such retrofits; and
            ``(4) for deep energy retrofits to commercial buildings, 
        one year after the Secretary of Energy determines by rule that 
        at least 10 percent of the floor area of commercial buildings 
        has undergone such retrofits.
    ``(g) Rulemaking.--Not later than one year after enactment of this 
section, the Secretary, in coordination with the Secretary of Energy, 
shall promulgate rules to implement this section.
    ``(h) Report to Congress.--Not later than two years after enactment 
of this section, and each calendar year thereafter, the Secretary shall 
report to Congress on the use of tax credits under this section broken 
down by the categories in subsection (c), which report shall include--
            ``(1) the dollar value of tax credits awarded to date and 
        in the prior calendar year; and
            ``(2) the number of units at residential buildings and the 
        number of square feet of floor area in commercial buildings for 
        which tax credits were awarded to date and in the prior year 
        calendar year.''.
    (b) Table of Contents.--The table of contents of the Internal 
Revenue Code of 1986 is further amended by inserting after the item 
relating to section 45U (as added by this Act) the following:

``Sec. 45V. Deep energy retrofits and zero-energy commercial and 
                            residential buildings.''.

SEC. 208. EXTENSION OF PUBLICLY TRADED PARTNERSHIP OWNERSHIP STRUCTURE 
              TO RENEWABLE ENERGY PROJECTS.

    (a) In General.--Section 7704(d)(1)(E) of the Internal Revenue Code 
of 1986, as amended by section 134 of this Act, is further amended by 
adding after clause (v) the following:
                            ``(vi) The generation of electric power 
                        (including the leasing of tangible personal 
                        property used for such generation) exclusively 
                        utilizing any resource described in section 
                        45(c)(1) or energy property described in 
                        section 48 (determined without regard to any 
                        termination date) or, in the case of a facility 
                        described in paragraph (3) or (7) of section 
                        45(d) (determined without regard to any placed 
                        in service date or date by which construction 
                        of the facility is required to begin), the 
                        accepting or processing of such resource.
                            ``(vii) The sale of electric power, 
                        capacity, resource adequacy, demand response 
                        capabilities, or ancillary services that is 
                        produced or made available from any equipment 
                        or facility (operating as a single unit or as 
                        an aggregation of units) the principal function 
                        of which is to--
                                    ``(I) use mechanical, chemical, 
                                electrochemical, hydroelectric, or 
                                thermal processes to store energy that 
                                was generated at one time for 
                                conversion to electricity at a later 
                                time, or
                                    ``(II) store thermal energy for 
                                direct use for heating or cooling at a 
                                later time in a manner that avoids the 
                                need to use electricity at that later 
                                time.
                            ``(viii) The generation, storage, or 
                        distribution of thermal energy exclusively 
                        utilizing property described in section 
                        48(c)(3) (determined without regard to 
                        subparagraphs (B) and (D) thereof and without 
                        regard to any placed in service date).
                            ``(ix) The generation, storage, or 
                        distribution of thermal energy exclusively 
                        using any resource described in section 
                        45(c)(1) or energy property described in clause 
                        (i) or (iii) of section 48(a)(3)(A).
                            ``(x) The use of recoverable waste energy, 
                        as defined in section 371(5) of the Energy 
                        Policy and Conservation Act (42 U.S.C. 
                        6341(5)).''.
    (b) Effective Date.--The amendment made by this section shall apply 
to taxable years beginning after December 31, 2020.

SEC. 209. MANUFACTURER CREDIT FOR HIGH-EFFICIENCY HEAT PUMPS AND HEAT 
              PUMP WATER HEATERS.

    (a) In General.--The Internal Revenue Code of 1986 is further 
amended by adding after section 45V (as added by this Act) the 
following new section:

``SEC. 45W. MANUFACTURER CREDIT FOR HIGH-EFFICIENCY HEAT PUMPS AND HEAT 
              PUMP WATER HEATERS.

    ``(a) Credit Amounts.--
            ``(1) In general.--For purposes of section 38, the energy 
        efficient heat pump credit determined under this section for 
        any taxable year is an amount equal to the sum of the credit 
        amounts determined under paragraph (2) for each type of 
        qualified energy efficient heat pump produced by the taxpayer 
        during the calendar year ending with or within the taxable 
        year.
            ``(2) Calculation of credits.--The credit amount determined 
        for any type of qualified energy efficient appliance is--
                    ``(A) the applicable amount determined under 
                subsection (b) with respect to such type, multiplied by
                    ``(B) the eligible production for such type under 
                subsection (c).
    ``(b) Applicable Amount.--For purposes of subsection (a):
            ``(1) Consumer heat pump water heaters.--The applicable 
        amount is $600 in the case of a consumer heat pump water heater 
        that is manufactured in calendar years 2022 through 2030 and 
        that has a Uniform Energy Factor of 3.3 or more for electric 
        water heaters and 1.3 or more for gas water heaters.
            ``(2) Commercial heat pump water heaters.--The applicable 
        amount is $600 in the case of a commercial heat pump water 
        heater manufactured in calendar years 2022 through 2030 and 
        that has a Coefficient of Performance of 3.0 or more for 
        electric water heaters and 1.3 or more for gas water heaters.
            ``(3) Consumer unitary heat pumps.--The applicable amount 
        is $800 in the case of a consumer unitary heat pump that--
                    ``(A) is manufactured in calendar years 2022 
                through 2030,
                    ``(B) in the case of an electric heat pump meets 
                either--
                            ``(i) the most recent requirements of the 
                        Energy Star Most Efficient Specification 
                        promulgated by the United States Environmental 
                        Protection Agency before the date of enactment 
                        of this section, or
                            ``(ii) the most recent Cold Climate Air-
                        Source Heat Pump Specification promulgated by 
                        Northeast Energy Efficiency Partnerships before 
                        the date of enactment of this section, and
                    ``(C) in the case of a gas heat pump, has an Annual 
                Fuel Utilization Efficiency of 140 percent or more.
            ``(4) Commercial heat pumps.--The applicable amount is $24 
        per thousand British Thermal Units of heating capacity measured 
        at a 17 degree Fahrenheit ambient temperature in the case of a 
        commercial heat pump that is manufactured in calendar years 
        2022 through 2030 and that has a Coefficient of Performance of 
        2.3 or more at a 17 degree F ambient temperature for electric 
        heat pumps, and 1.2 or more at a 17 degree F ambient 
        temperature for gas heat pumps.
            ``(5) Industrial heat pumps.--The applicable amount is $36 
        per thousand British Thermal Units of heating capacity for heat 
        pumps with a heating capacity of 2,400 thousand British Thermal 
        Units or less and $18 per thousand British Thermal Units of 
        heating capacity for heat pumps with a heating capacity above 
        2,400 thousand British Thermal Units in the case of an 
        industrial heat pump that is manufactured and installed in an 
        industrial facility in calendar years 2022 through 2030 and 
        that has a Coefficient of Performance of 2.0 or more.
    ``(c) Eligible Production.--The eligible production in a calendar 
year with respect to each type of energy efficient heat pump is--
            ``(1) the number of heat pumps of such type that are 
        produced by the taxpayer in the United States during such 
        calendar year, less
            ``(2) the average number of heat pumps of such type that 
        were produced by the taxpayer (or any predecessor) in the 
        United States during the preceding 2-calendar year period.
    ``(d) Types of Energy Efficient Heat Pumps.--For purposes of this 
section, the types of energy efficient heat pumps are--
            ``(1) consumer heat pump water heaters described in 
        subsection (b)(1),
            ``(2) commercial heat pump water heaters described in 
        subsection (b)(2),
            ``(3) consumer unitary heat pumps described in subsection 
        (b)(3),
            ``(4) commercial heat pumps described in subsection (b)(4), 
        and
            ``(5) industrial heat pumps described in subsection (b)(5).
    ``(e) Limitations.--
            ``(1) Aggregate credit amount allowed.--The aggregate 
        amount of credit allowed under subsection (a) with respect to a 
        taxpayer for any taxable year shall not exceed $250,000,000, 
        reduced by the amount of the credit allowed under subsection 
        (a) to the taxpayer (or any predecessor) for all prior taxable 
        years beginning after December 31, 2021.
            ``(2) Limitation based on gross receipts.--The credit 
        allowed under subsection (a) with respect to a taxpayer for the 
        taxable year shall not exceed an amount equal to 4 percent of 
        the average annual gross receipts of the taxpayer for the 3 
        taxable years preceding the taxable year in which the credit is 
        determined.
            ``(3) Gross receipts.--For purposes of this subsection, the 
        rules of paragraphs (2) and (3) of section 448(c) shall apply.
    ``(f) Adjustment of Energy Efficiency Criteria.--No later than 
December 31, 2022, and every two years thereafter, the Secretary, in 
consultation with the Secretary of Energy, shall review the efficiency 
levels in section (b) and revise these levels upward if necessary to 
include only the most efficient commercially available heat pumps of 
each type, while ensuring that at least three manufacturers are 
represented in each type across a range of product heating capacities.
    ``(g) Test Procedures.--
            ``(1) The Department of Energy shall develop test 
        procedures to determine Coefficient of Performance for--
                    ``(A) gas commercial heat pump water heaters,
                    ``(B) gas commercial heat pumps, and
                    ``(C) industrial heat pumps.
            ``(2) Such test procedures shall build upon the foundation 
        of relevant current American National Standard Institute and 
        International Organization of Standard test procedures.
    ``(h) Definitions.--For purposes of this section:
            ``(1) Qualified energy efficient heat pump.--The term 
        `qualified energy efficient heat pump' means--
                    ``(A) any consumer heat pump water heater described 
                in subsection (b)(1),
                    ``(B) any commercial heat pump water heater 
                described in subsection (b)(2),
                    ``(C) any consumer unitary heat pump described in 
                subsection (b)(3),
                    ``(D) any commercial heat pump described in 
                subsection (b)(4), and
                    ``(E) any industrial heat pump described in 
                subsection (b)(5).
            ``(2) Consumer heat pump water heater.--The term `consumer 
        heat pump water heater' means a water heater that uses a heat 
        pump to heat water and has an electric input of 12 Kilowatt or 
        less or a gas input of 75,000 British Thermal Units per hour or 
        less, measured in accordance with applicable Department of 
        Energy test procedures.
            ``(3) Commercial heat pump water heaters.--The term 
        `commercial heat pump water heater' means a water heater that 
        uses a heat pump to heat water and has an electric input of 
        more than 12 Kilowatt or a gas input of more than 75,000 
        British Thermal Units per hour, measured in accordance with 
        applicable Department of Energy test procedures.
            ``(4) Consumer unitary heat pump.--The term `consumer 
        unitary heat pump' means a heat pump designed to provide space 
        heating and cooling with a cooling capacity of 65,000 British 
        Thermal Units per hour or less, measured in accordance with the 
        applicable Department of Energy test procedures.
            ``(5) Commercial heat pump.--The term `commercial heat 
        pump' means a heat pump designed to provide space heating and 
        cooling with a cooling capacity of more than 65,000 British 
        Thermal Units per hour, measured in accordance with the 
        applicable Department of Energy test procedures.
            ``(6) Industrial heat pump.--The term `industrial heat 
        pump' means a heat pump that upgrades industrial waste heat to 
        a higher temperature such that the delivered heat is produced 
        and supplied to the facility more efficiently than conventional 
        heating methods, such as a steam or electric resistance boiler.
            ``(7) Produced.--The term `produced' includes manufactured.
            ``(8) Uniform energy factor.--The term `Uniform Energy 
        Factor' is a metric used to measure the efficiency of consumer 
        water heaters, with details specified in applicable Department 
        of Energy test procedures.
            ``(9) Coefficient of performance.--The term `Coefficient of 
        Performance' means the ratio of heat output to energy input, 
        with details specified in applicable Department of Energy test 
        procedures. For gas commercial heat pump water heaters, until 
        there is a Department of Energy test procedure, American 
        National Standards Institute and American Society of Heating, 
        Refrigerating and Air-Conditioning Engineers Standard 118.1 
        shall be used. For gas commercial heat pumps, until there is a 
        Department of Energy test procedure, American National 
        Standards Standard Z21.40.4 shall be used. For industrial heat 
        pumps, until there is a Department of Energy test procedure, 
        manufacturers may use their own tests, provided they publicly 
        post the test conditions and assumptions they used in 
        developing their stated Coefficient of Performance values.
    ``(i) Special Rules.--For purposes of this section:
            ``(1) In general.--Rules similar to the rules of 
        subsections (c), (d), and (e) of section 52 shall apply.
            ``(2) Controlled group.--
                    ``(A) In general.--All persons treated as a single 
                employer under subsection (a) or (b) of section 52 or 
                subsection (m) or (o) of section 414 shall be treated 
                as a single producer.
                    ``(B) Inclusion of foreign corporations.--For 
                purposes of subparagraph (A), in applying subsections 
                (a) and (b) of section 52 to this section, section 1563 
                shall be applied without regard to subsection (b)(2)(C) 
                thereof.
            ``(3) Verification.--No amount shall be allowed as a credit 
        under subsection (a) with respect to which the taxpayer has not 
        submitted such information or certification as the Secretary, 
        in consultation with the Secretary of Energy, determines 
        necessary.
            ``(4) Production in united states.--The requirement for 
        production in the United States in section (c) does not take 
        effect until January 1, 2024.''.
    (b) Clerical Amendment.--The table of sections for subpart D of 
part IV of subchapter A of chapter 1 is further amended by adding after 
the item relating to section 45V the following new item:

``Sec. 45W. Manufacturer credit for high-efficiency heat pumps and heat 
                            pump water heaters.''.

SEC. 210. OTHER AUTHORIZATIONS OF APPROPRIATIONS.

    (a) Amendment to America COMPETES Act.--Section 5012(o)(2) of the 
America COMPETES Act (42 U.S.C. 16538(o)(2)) is amended--
            (1) in subparagraph (D), by striking ``; and'' and 
        inserting ``;'';
            (2) in subparagraph (E), by striking ``2013.'' and 
        inserting ``2013;''; and
            (3) by adding at the end the following:
                    ``(F) $569,000,000 for fiscal year 2021;
                    ``(G) $713,000,000 for fiscal year 2022;
                    ``(H) $856,000,000 for fiscal year 2023; and
                    ``(I) $1,000,000,000 for fiscal year 2024.''.
    (b) Regional Innovation Models.--There are authorized to be 
appropriated to the Secretary for purposes of developing regional 
innovation models--
            (1) $100,000,000 for fiscal year 2021;
            (2) $200,000,000 for fiscal year 2022;
            (3) $300,000,000 for fiscal year 2023; and
            (4) $500,000,000 for fiscal year 2024.
    (c) Grid Modernization.--There are authorized to be appropriated to 
the Secretary for purposes of research, development, demonstration, 
analysis, technology validation, market transformation, and technical 
assistance to support grid modernization--
            (1) $238,000,000 for fiscal year 2021;
            (2) $375,000,000 for fiscal year 2022;
            (3) $513,000,000 for fiscal year 2023; and
            (4) $650,000,000 for fiscal year 2024.
    (d) Advanced Land-Based and Offshore Wind Power.--There are 
authorized to be appropriated to the Secretary for the purposes of 
research, development, demonstration, analysis, technology validation, 
market transformation, and technical assistance to support advanced 
land-based and offshore wind power--
            (1) $178,000,000 for fiscal year 2021;
            (2) $252,000,000 for fiscal year 2022;
            (3) $326,000,000 for fiscal year 2023; and
            (4) $400,000,000 for fiscal year 2024.
    (e) Advanced Solar Power.--There are authorized to be appropriated 
to the Secretary for the purposes of research, development, 
demonstration, analysis, technology validation, market transformation, 
and technical assistance to support advanced solar power--
            (1) $360,000,000 for fiscal year 2021;
            (2) $440,000,000 for fiscal year 2022;
            (3) $520,000,000 for fiscal year 2023; and
            (4) $600,000,000 for fiscal year 2024.
    (f) Mechanical, Chemical, and Thermal Storage Technology.--There 
are authorized to be appropriated to the Secretary for the purposes of 
research, development, demonstration, analysis, technology validation, 
market transformation, and technical assistance to support mechanical, 
chemical, and thermal storage technology--
            (1) $150,000,000 for fiscal year 2021;
            (2) $150,000,000 for fiscal year 2022;
            (3) $150,000,000 for fiscal year 2023; and
            (4) $150,000,000 for fiscal year 2024.
    (g) Buildings.--There are authorized to be appropriated to the 
Secretary for the purposes of research, development, demonstration, 
analysis, technology validation, market transformation, and technical 
assistance to support technologies that improve the energy efficiency 
of building equipment, the building envelope, building controls, and 
that improve information sharing between the building and the grid, 
which technologies may include energy efficiency, demand response and 
electrification technologies in residential, commercial, and industrial 
buildings--
            (1) $381,000,000 for fiscal year 2021;
            (2) $478,000,000 for fiscal year 2022;
            (3) $574,000,000 for fiscal year 2023; and
            (4) $670,000,000 for fiscal year 2024.
    (h) Industry.--There are authorized to be appropriated to the 
Secretary for the purposes of research, development, demonstration, 
analysis, technology validation, market transformation, and technical 
assistance to support technologies to reduce emissions in industrial 
and manufacturing processes, including such technologies relating to 
energy efficiency and electrification--
            (1) $381,000,000 for fiscal year 2021;
            (2) $478,000,000 for fiscal year 2022;
            (3) $574,000,000 for fiscal year 2023; and
            (4) $840,000,000 for fiscal year 2024.
    (i) Enhanced Geothermal Technologies.--There are authorized to the 
Secretary for the purposes of research, development, and demonstration 
of enhanced geothermal technologies an increase in the amount from 
fiscal year 2019 appropriations by $100,000,000 for each year until 
fiscal year 2025, of which--
            (1) $70,000,000 is authorized for the Secretary to use each 
        year to establish a supercritical enhanced geothermal system 
        demonstration program; and
            (2) $30,000,000 is authorized for the Secretary to use each 
        year in collaboration with the National Laboratories for 
        supercritical enhanced geothermal systems research and 
        development.

         TITLE III--EXISTING AND ADVANCED NUCLEAR POWER PLANTS

SEC. 301. ZERO-EMISSIONS CREDIT PROGRAM.

    (a) Establishment.--Not later than 2 years after the date of 
enactment of this section, the Secretary shall establish a program to 
be known as the ``Zero-Emissions Credit Program''.
    (b) Issuance of Credits.--Not later than March 1 of each calendar 
year beginning after the date on which the Zero-Emissions Credit 
Program is established, under the Zero-Emissions Credit Program the 
Secretary shall issue an amount of zero-emissions credits to each owner 
or operator of a qualified nuclear power plant in the quantity that is 
equal to the amount of the megawatt hours of electricity sold by such 
owner or operator to an organized power market in the prior year.
    (c) Payment for Receipt of Credits.--
            (1) In general.--Except as provided in paragraphs (2), (3), 
        and (4), under the Zero-Emissions Credit Program the Secretary 
        shall pay an owner or operator of a qualified nuclear power 
        plant $13.25 for each zero-emissions credit an owner or 
        operator submits to the Secretary.
            (2) Adjustments for inflation.--Each year, the Secretary 
        shall adjust the amount to be paid under the Zero-Emissions 
        Credit Program for each zero-emissions credit to account for 
        the effects of inflation.
            (3) Reduction in value of credit.--If the price for the 
        sale of electricity increases such that payments for zero-
        emissions credits are no longer needed to prevent the 
        retirement of a qualified nuclear power plant, the Secretary 
        shall reduce the amount to be paid for each zero-emissions 
        credit for such qualifying nuclear power plant in accordance 
        with such change in price.
            (4) Offset for value of clean electricity credits.--The 
        Secretary shall reduce the payment to a qualified nuclear power 
        plant for a zero-emissions credit by the value of any clean 
        electricity credits issued to the plant for the same quantity 
        of megawatt hours pursuant to the Federal Clean Electricity 
        Standard program established under section 611 of the Public 
        Utility Regulatory Policies Act of 1978.
    (d) Termination Date.--The Zero-Emissions Credit Program shall 
terminate on the date that is 5 years after the program effective date 
of the Federal Clean Electricity Standard established under section 611 
of the Public Utility Regulatory Policies Act of 1978.
    (e) Definitions.--In this section:
            (1) Organized power market.--The term ``organized power 
        market'' means any market--
                    (A) for the wholesale sale of electricity; and
                    (B) that is controlled by a regional transmission 
                organization or an independent system operator as 
                defined in section 3 of the Federal Power Act (16 
                U.S.C. 796).
            (2) Qualified nuclear power plant.--
                    (A) In general.--The term ``qualified nuclear power 
                plant'' means any nuclear power plant that the 
                Secretary determines, based on an application submitted 
                by such plant to the Secretary, is not financially 
                viable or will otherwise be required to retire if it 
                does not receive zero-emissions credits under the Zero-
                Emissions Credit Program.
                    (B) Exclusion.--The term ``qualified nuclear power 
                plant'' does not include a nuclear power plant that 
                receives a tax credit under section 48 of the Internal 
                Revenue Code of 1986.
            (3) Zero-emissions credit.--The term ``zero-emissions 
        credit'' means a credit issued by the Secretary under the Zero-
        Emissions Credit Program that represents 1 megawatt of 
        electricity sold by the owner or operator of a qualified 
        nuclear power plant to an organized power market.
    (f) Rulemaking.--Not later than one year after the date of 
enactment of this section, the Secretary shall finalize rules for--
            (1) the application and decision process for qualified 
        nuclear power plants; and
            (2) the schedule and process for issuance of credits and 
        periodic review and adjustment of issuances.

SEC. 302. INVESTMENT TAX CREDIT FOR NUCLEAR ENERGY PROPERTY.

    (a) In General.--Section 48(a)(3)(A) of the Internal Revenue Code 
of 1986 is amended--
            (1) in clause (vi), by striking ``or'';
            (2) in clause (vii), by inserting ``or'' at the end; and
            (3) by adding at the end the following new clause:
                            ``(viii) qualified nuclear energy 
                        property,''.
    (b) Eligible for 30-Percent Credit.--Section 48(a)(2)(A)(i) of such 
Code is amended by striking ``and'' in subclause (III) and by adding at 
the end the following new subclause:
                                    ``(V) energy property described in 
                                paragraph (3)(A)(viii) but only with 
                                respect to property placed in service 
                                before January 1, 2024, and''.
    (c) Qualified Nuclear Energy Property.--Section 48(c) of such Code 
is amended by adding at the end the following new paragraph:
            ``(5) Qualified nuclear energy property.--
                    ``(A) In general.--The term `qualified nuclear 
                energy property' means any amounts paid or incurred for 
                the refueling of, and any other expenditures described 
                in section 263(a) with respect to, a qualifying nuclear 
                power plant.
                    ``(B) Qualifying nuclear power plant.--The term 
                `qualifying nuclear power plant' means a nuclear power 
                plant which--
                            ``(i) submitted an application for license 
                        renewal to the Nuclear Regulatory Commission in 
                        accordance with part 54 of title 10, Code of 
                        Federal Regulations, before January 1, 2026, or
                            ``(ii) certified to the Secretary (at such 
                        time and in such form and in such manner as the 
                        Secretary prescribes) that such plant will 
                        submit an application for license renewal to 
                        the Nuclear Regulatory Commission in accordance 
                        with part 54 of title 10, Code of Federal 
                        Regulations, before January 1, 2026.
                    ``(C) Special rules.--
                            ``(i) Basis.--For purposes of subsection 
                        (a), the cumulative amounts paid or incurred by 
                        the taxpayer during the taxable year with 
                        respect to a qualifying nuclear power plant, 
                        which are properly chargeable to capital 
                        account, shall be treated as the basis of the 
                        qualified nuclear energy property placed in 
                        service for that taxable year.
                            ``(ii) Placed in service.--For purposes of 
                        subsection (a), qualified nuclear energy 
                        property shall be treated as having been placed 
                        in service on the last day of the taxable year 
                        in which the taxpayer pays or incurs such 
                        amounts described in clause (i).
                            ``(iii) Recapture.--The Secretary shall, by 
                        regulations, provide for recapturing the 
                        benefit of any credit allowable under 
                        subsection (a) to any qualifying nuclear power 
                        plant which made a certification pursuant to 
                        subparagraph (B) but does not file an 
                        application of license renewal to the Nuclear 
                        Regulatory Commission in accordance with part 
                        54 of title 10, Code of Federal Regulations, 
                        before January 1, 2026.''.
    (d) Phaseout of 30-Percent Credit Rate for Nuclear Energy 
Property.--Section 48(a) of such Code is amended by adding at the end 
the following new paragraph:
            ``(7) Phaseout for qualified nuclear energy property.--In 
        the case of qualified nuclear energy property, the energy 
        percentage determined under paragraph (2) shall be equal to--
                    ``(A) in the case of any property placed in service 
                after December 31, 2023, and before January 1, 2025, 26 
                percent, and
                    ``(B) in the case of any property placed in service 
                after December 31, 2022, and before January 1, 2026, 22 
                percent.''.
    (e) Coordination With Credit for Production From Advanced Nuclear 
Power Facilities.--The last sentence of section 48(a)(3) of such Code 
is amended by inserting ``or 45J'' after ``section 45''.
    (f) Transfer of Credit by Certain Public Entities.--
            (1) In general.--Section 48 of such Code is amended by 
        adding at the end the following new subsection:
    ``(e) Special Rule for Qualified Nuclear Energy Property.--
            ``(1) In general.--In the case of any qualified nuclear 
        energy property, if, with respect to a credit under subsection 
        (a) for any taxable year--
                    ``(A) the taxpayer would be a qualified public 
                entity, and
                    ``(B) such entity elects the application of this 
                subsection for such taxable year with respect to all 
                (or any portion specified in such election) of such 
                credit, the eligible project partner specified in such 
                election (and not the qualified public entity) shall be 
                treated as the taxpayer for purposes of this title with 
                respect to such credit (or such portion thereof).
            ``(2) Definitions.--For purposes of this subsection:
                    ``(A) Qualified public entity.--The term `qualified 
                public entity' means--
                            ``(i) a Federal, State, or local government 
                        entity, or any political subdivision, agency, 
                        or instrumentality thereof,
                            ``(ii) a mutual or cooperative electric 
                        company described in section 501(c)(12) or 
                        section 1381(a)(2), or
                            ``(iii) a not-for-profit electric utility 
                        which has or had received a loan or loan 
                        guarantee under the Rural Electrification Act 
                        of 1936.
                    ``(B) Eligible project partner.--The term `eligible 
                project partner' means--
                            ``(i) any person responsible for operating, 
                        maintaining, or repairing the qualifying 
                        nuclear power plant to which the credit under 
                        subsection (a) relates,
                            ``(ii) any person who participates in the 
                        provision of the nuclear steam supply system to 
                        the qualifying nuclear power plant to which the 
                        credit under subsection (a) relates,
                            ``(iii) any person who participates in the 
                        provision of nuclear fuel to the qualifying 
                        nuclear power plant to which the credit under 
                        subsection (a) relates, or
                            ``(iv) any person who has an ownership 
                        interest in such facility.
            ``(3) Special rules.--
                    ``(A) Application to partnerships.--In the case of 
                a credit under subsection (a) which is determined with 
                respect to qualified nuclear energy property at the 
                partnership level--
                            ``(i) for purposes of paragraph (1)(A), a 
                        qualified public entity shall be treated as the 
                        taxpayer with respect to such entity's 
                        distributive share of such credit, and
                            ``(ii) the term `eligible project partner' 
                        shall include any partner of the partnership.
                    ``(B) Taxable year in which credit taken into 
                account.--In the case of any credit (or portion 
                thereof) with respect to which an election is made 
                under subsection (e), such credit shall be taken into 
                account in the first taxable year of the eligible 
                project partner ending with, or after, the qualified 
                public entity's taxable year with respect to which the 
                credit was determined.
                    ``(C) Treatment of transfer under private use 
                rules.--For purposes of section 141(b)(1), any benefit 
                derived by an eligible project partner in connection 
                with an election under this subsection shall not be 
                taken into account as a private business use.''.
            (2) Special rule for proceeds of transfers for mutual or 
        cooperative electric companies.--Section 501(c)(12) of such 
        Code is amended by adding at the end the following new 
        subparagraph:
                    ``(I) In the case of a mutual or cooperative 
                electric company described in this paragraph or an 
                organization described in section 1381(a)(2), income 
                received or accrued in connection with an election 
                under section 48(e) shall be treated as an amount 
                collected from members for the sole purpose of meeting 
                losses and expenses.''.
    (g) Conforming Amendment.--Section 48(a)(2)(A) of such Code is 
amended by striking ``paragraph (6)'' and inserting ``paragraphs (6) 
and (7)''.
    (h) Effective Date.--The amendments made by this section shall 
apply to periods after December 31, 2019, in taxable years ending after 
such date, under rules similar to the rules of section 48(m) of the 
Internal Revenue Code of 1986 (as in effect on the day before the 
enactment of the Revenue Reconciliation Act of 1990).

SEC. 303. EXPANDING FEDERAL CLEAN ELECTRICITY PURCHASING REQUIREMENTS.

    (a) Amendments to the Federal Purchase Requirements of the Energy 
Policy Act of 2005.--Section 203 of the Energy Policy Act of 2005 (42 
U.S.C. 15852) is amended--
            (1) in subsection (a), by striking ``, the following 
        amounts shall be renewable energy:'' and inserting ``, such 
        amount shall be made up of the following:'';
            (2) in subsection (a)(1), by inserting ``shall be renewable 
        energy'' after ``2009'';
            (3) in subsection (a)(2), by inserting ``shall be renewable 
        energy'' after ``2012'';
            (4) in subsection (a)(3), by striking ``7.5 percent in 
        fiscal year 2013 and each fiscal year thereafter.'' and 
        inserting ``7.5 percent in fiscal years 2013 through 2019 shall 
        be renewable energy.'';
            (5) in subsection (a), by adding at the end the following:
            ``(4) Not less than 35 percent in fiscal year 2020 and each 
        year thereafter shall be clean electricity.'';
            (6) in subsection (b), by adding at the end the following:
            ``(3) Clean electricity.--The term `clean electricity' 
        means--
                    ``(A) renewable energy;
                    ``(B) any electric energy generated by a nuclear 
                power plant; and
                    ``(C) the percentage of electric energy generated 
                by a power plant that equals the percentage of carbon 
                dioxide emissions of such plant that are captured and 
                sequestered.'';
            (7) in subsection (c), by striking ``renewable energy'' and 
        inserting ``clean electricity'' in each place it occurs;
            (8) by redesignating subsection (d) as subsection (e); and
            (9) by inserting after subsection (c) the following:
    ``(d) Power Purchase Agreement.--For the purposes of this section, 
the Secretary may enter into a power purchase agreement for as much as 
all of the electricity output of a nuclear power plant for the duration 
of the operational life of such plant if such plant supplies 
electricity for purposes of national security or mission-critical 
activities.''.
    (b) Amendments to Energy Policies of the Department of Defense and 
the Department of Homeland Security.--Subtitle B of title VI of the 
Energy Policy Act of 2005 is amended by adding at the end the 
following:

``SEC. 639A. LONG-TERM NUCLEAR POWER PURCHASE AGREEMENT PILOT PROGRAM.

    ``(a) Establishment.--The Secretary shall establish and carry out a 
pilot program for long-term power purchase agreements for electricity 
generated by nuclear power.
    ``(b) Requirements.--In carrying out the pilot program established 
under subsection (a), the Secretary shall--
            ``(1) consult and coordinate with the heads of other 
        Federal agencies that may benefit from purchasing nuclear power 
        for a period of longer than 10 years, including--
                    ``(A) the Secretary of Defense;
                    ``(B) the Administrator of General Services; and
                    ``(C) the Secretary of Homeland Security; and
            ``(2) not later than 5 years after the date of enactment of 
        this section, enter into at least 1 power purchase agreement 
        with the owner or operator of a commercial nuclear power plant 
        for up to 30 years.
    ``(c) Priority.--In carrying out the pilot program established 
under subsection (a), the Secretary shall prioritize entering into a 
power purchase agreement with the owner or operator of a plant that 
uses first-of-a-kind or early deployment nuclear technologies that can 
provide reliable and resilient power to high-value assets for national 
security purposes or other purposes, which the Secretary determines are 
in the national interest, especially in remote off-grid scenarios or 
grid-connected scenarios that can provide capabilities commonly known 
as `islanding power capabilities' during an emergency scenario.
    ``(d) Effect on Rates.--A power purchase agreement entered into 
under this section may be at a rate that is higher than the average 
market rate if the power purchase agreement fulfills an applicable 
consideration described in subsection (c).''.
    (c) Table of Contents.--The table of contents of the Energy Policy 
Act of 2005 (Public Law 109-58; 119 Stat. 594) is amended by inserting 
after the item relating to section 639 the following:

``Sec. 639A. Long-term nuclear power purchase agreement pilot 
                            program.''.
    (d) Authorization of Long-Term Power Purchase Agreements.--Section 
501(b)(1) of title 40, United States Code, is amended by striking 
subparagraph (B) and inserting the following:
                    ``(B) Public utility contracts.--
                            ``(i) Term.--
                                    ``(I) In general.--A contract under 
                                this paragraph to purchase electricity 
                                service from a public utility may be 
                                for a period of not more than 40 years.
                                    ``(II) Other public utility 
                                services.--A contract under this 
                                paragraph for a public utility service 
                                other than a service described in 
                                subclause (I) may be for a period of 
                                not more than 10 years.
                            ``(ii) Costs.--The cost of a contract under 
                        this paragraph for any fiscal year may only be 
                        paid from the appropriations for that fiscal 
                        year.''.

SEC. 304. MODERNIZING THE NUCLEAR REGULATORY COMMISSION.

    (a) Reducing the Administrative Burden of Licensing Activities for 
New Designs of Advanced Nuclear Reactors.--
            (1) Report.--Not later than 90 days after the date of 
        enactment of this section, the Commission shall submit to the 
        Committee on Energy and Commerce of the House of 
        Representatives and the Committee on Energy and Natural 
        Resources of the Senate a report that recommends how to improve 
        the processes, procedures, and, if appropriate, regulations of 
        the Commission with respect to licensing, certification, and 
        approval of advanced nuclear reactor designs.
            (2) Required recommendations.--The report submitted under 
        paragraph (1) shall include recommendations to--
                    (A) improve all Commission actions with respect to 
                licensing, certification, and approval of advanced 
                nuclear reactor designs, including actions to meet the 
                Commission's obligations under the National 
                Environmental Policy Act of 1969 (42 U.S.C. 4231 et 
                seq.);
                    (B) emphasize risk-informed and performance-based 
                regulatory approaches; and
                    (C) enable the Commission to finalize its review of 
                an application to approve the design of an advanced 
                nuclear reactor in no more than two years.
    (b) Study on Elimination of Foreign Licensing Restrictions.--Not 
later than 18 months after the date of enactment of this section, the 
Comptroller General, in consultation with the Secretary, shall submit 
to Congress a report containing the results of a study on the 
feasibility and implications of repealing restrictions under sections 
103 d. and 104 d. of the Atomic Energy Act of 1954 (42 U.S.C. 2011 et 
seq.).
    (c) Study on the Impact of the Elimination of Mandatory Hearings 
for Uncontested Licensing Applications.--Not later than 18 months after 
the date of enactment of this section, the Comptroller General, in 
consultation with the Secretary, shall submit to Congress a report 
containing the results of a study on the estimated effect of 
eliminating the requirement to hold a hearing for uncontested 
applications for an operating license or construction permit under 
section 189 of the Atomic Energy Act of 1954 (42 U.S.C. 2239).
    (d) Informal Hearing Procedures.--
            (1) Procedures.--Section 189 a. of the Atomic Energy Act of 
        1954 (42 U.S.C. 2239(a)) is amended by adding at the end the 
        following:
    ``(3) Any hearing under this section shall be conducted using 
informal adjudicatory procedures in accordance with section 555 of 
title 5, United States Code, unless the Commission determines that 
formal adjudicatory procedures under section 554, 556, or 557 of title 
5, United States Code are necessary--
            ``(A) to develop a sufficient record; or
            ``(B) to achieve fairness.''.
            (2) Hearings on licensing of uranium enrichment 
        facilities.--Section 193(b) of the Atomic Energy Act of 1954 
        (42 U.S.C. 2243(b)) is amended--
                    (A) in paragraph (1), by striking ``on the record'' 
                and all that follows through ``and 63'' and inserting 
                ``upon a request for a hearing on the licensing of 
                construction and operation of a uranium enrichment 
                facility under sections 53 and 63, the Commission shall 
                conduct a single adjudicatory hearing''; and
                    (B) in paragraph (2), by striking ``Such hearing'' 
                and inserting ``If a hearing is held under paragraph 
                (1), the hearing''.
    (e) Application Reviews for Nuclear Energy Projects.--Section 185 
of the Atomic Energy Act of 1954 (42 U.S.C. 2235) is amended by adding 
at the end the following:
    ``c. Application Review for Nuclear Energy Projects.--
            ``(1) Streamlining license application review.--With 
        respect to an application for a construction permit, operating 
        license, or combined construction permit and operating license 
        for a production facility or utilization facility, the 
        Commission shall--
                    ``(A) undertake an expedited environmental review 
                process and issue any draft environmental impact 
                statements (as required under the National 
                Environmental Policy Act of 1969 (42 U.S.C. 4321 et 
                seq.)) for the application not later than 24 months 
                after the date on which the application is accepted for 
                docketing; and
                    ``(B) complete the technical review process of the 
                application, issue any safety evaluation reports, and 
                issue any final environmental impact statements (as 
                required under the National Environmental Policy Act of 
                1969 (42 U.S.C. 4321 et seq.) for the application) not 
                later than 24 months after the date on which the 
                application is accepted for docketing.
            ``(2) Use of early site permit environmental impact 
        statement.--
                    ``(A) Supplemental environmental impact 
                statement.--In a proceeding for a combined construction 
                permit and operating license for a site for which an 
                early site permit has been issued, any environmental 
                impact statement prepared by the Commission and 
                cooperating agencies (as required under the National 
                Environmental Policy Act of 1969 (42 U.S.C. 4321 et 
                seq.)) shall be prepared as a supplement to the 
                environmental impact statement prepared for the early 
                site permit.
                    ``(B) Incorporation by reference.--The supplemental 
                environmental impact statement prepared under 
                subparagraph (A) shall--
                            ``(i) incorporate by reference the 
                        analysis, findings, and conclusions from the 
                        environmental impact statement prepared for the 
                        applicable early site permit; and
                            ``(ii) include additional discussion, 
                        analyses, findings, and conclusions on matters 
                        resolved in the early site permit proceeding 
                        only to the extent necessary to address 
                        information that--
                                    ``(I) is new; and
                                    ``(II) would materially change the 
                                prior findings or conclusions.
            ``(3) Production or utilization facility located at an 
        existing site.--In reviewing an application for an early site 
        permit, construction permit, operating license, or combined 
        construction permit and operating license for a proposed 
        production facility or utilization facility that is to be 
        located at the site of an already licensed production facility 
        or utilization facility, the Commission shall, to the extent 
        practicable, use information that was part of the determination 
        to issue a license for the already licensed production facility 
        or utilization facility.
            ``(4) Hearing on early site permit, construction permit, 
        and combined construction permit and operating license.--
                    ``(A) In general.--The Commission shall issue and 
                make immediately effective an early site permit or 
                construction permit for a production facility or 
                utilization facility upon the Commission's finding that 
                the application therefor satisfies the requirements of 
                this Act, notwithstanding any outstanding request for a 
                hearing for such license.
                    ``(B) Appropriate action.--Following completion of 
                any required hearing, the Commission shall take any 
                appropriate action with respect to the early site 
                permit, construction permit, or combined construction 
                permit and operating license to the extent necessary to 
                account for the hearing results.
            ``(5) Early site permit defined.--In this subsection, the 
        term `early site permit' has the meaning given such term in 
        section 52.1 of title 10, Code of Federal Regulations (as in 
        effect on the date of enactment of this subsection).''.
    (f) Definitions.--In this section:
            (1) Advanced nuclear reactor.--The term ``advanced nuclear 
        reactor'' means a nuclear fission or nuclear fusion reactor, 
        including a prototype plant (as such term is defined in section 
        50.2 or section 52.1 of title 10, Code of Federal Regulations, 
        as in effect on the date of enactment of this section), with 
        significant improvements compared to a commercial nuclear 
        reactor that is under construction as of the date of enactment 
        of this section, including improvements such as--
                    (A) additional inherent safety features;
                    (B) significantly lower levelized cost of 
                electricity;
                    (C) lower waste yields;
                    (D) greater fuel utilization;
                    (E) enhanced reliability;
                    (F) increased proliferation resistance;
                    (G) increased thermal efficiency;
                    (H) reduced consumption of cooling water;
                    (I) the ability to integrate into electric 
                applications and nonelectric applications;
                    (J) modular sizes to allow for deployment that 
                corresponds with the demand for electricity; or
                    (K) operational flexibility to respond to changes 
                in demand for electricity and to complement integration 
                with intermittent renewable energy.
            (2) Applicant.--The term ``applicant'' means an applicant 
        for a license, certification, permit, or other form of approval 
        from the Commission for an advanced nuclear reactor or a 
        research and test reactor.
            (3) Commission.--The term ``Commission'' means the Nuclear 
        Regulatory Commission.
    (g) Authorization of Appropriations.--
            (1) In general.--There are authorized to be appropriated to 
        carry out subsections (a), (b), and (c) $20,000,000 for each of 
        fiscal years 2021 through 2030, to remain available until 
        expended.
            (2) Off-fee appropriation.--Any funds appropriated to carry 
        out this section may not be recovered by the Commission through 
        the collection of user fees from existing licensees.

SEC. 305. DEMONSTRATION AND EARLY DEPLOYMENT OF ADVANCED NUCLEAR 
              REACTORS.

    (a) In General.--Subtitle B of title VI of the Energy Policy Act of 
2005 (Public Law 109-58; 119 Stat. 782) is further amended by adding 
after section 639(A) (as added by this Act) the following:

``SEC. 639B. ADVANCED NUCLEAR REACTOR RESEARCH AND DEVELOPMENT GOALS.

    ``(a) In General.--The Secretary shall, as soon as practicable 
after the date of enactment of this section, enable the commercial 
deployment of domestic, advanced, affordable, and clean nuclear energy 
by--
            ``(1) demonstrating different advanced nuclear reactor 
        technologies that may be used by the private sector to 
        produce--
                    ``(A) emission-free power at a cost of not more 
                than $70 per mWh;
                    ``(B) heat for industrial purposes or synthetic 
                fuel production;
                    ``(C) a supply of remote or off-grid energy; or
                    ``(D) a power supply that is a necessary backup to 
                a mission for which uninterrupted power is critical;
            ``(2) developing goals for nuclear energy research 
        programs, which are carried out by the Office of Nuclear Energy 
        of the Department of Energy;
            ``(3) identifying research that the private sector is 
        unable or unwilling to undertake due to the cost of, or risks 
        associated with, the research; and
            ``(4) facilitating the access of the private sector--
                    ``(A) to Federal research facilities; and
                    ``(B) to the results of research funded by the 
                Federal Government.
    ``(b) Demonstration Projects.--
            ``(1) In general.--Not later than December 31, 2025, the 
        Secretary shall establish a program to enter into agreements to 
        carry out no fewer than 5 demonstration projects pursuant to 
        subsection (a)(1) to demonstrate the suitability of advanced 
        nuclear reactors for commercial applications.
            ``(2) Requirements.--In carrying out demonstration projects 
        under paragraph (1), the Secretary shall--
                    ``(A) ensure the demonstration projects under 
                paragraph (1) cover a diverse range of designs, 
                including designs using different primary coolants;
                    ``(B) ensure that--
                            ``(i) the long-term cost of electricity or 
                        heat for each design involved in a 
                        demonstration project carried out under this 
                        subsection is cost-competitive in the 
                        applicable market; and
                            ``(ii) such cost-competitiveness is 
                        verified by an external review;
                    ``(C) enter into cost-sharing agreements with 
                partners in accordance with section 988 for the conduct 
                of activities relating to the research, development, 
                and demonstration of private-sector advanced nuclear 
                reactor designs under the program established under 
                paragraph (1);
                    ``(D) work with private sector partners to identify 
                potential sites, including sites owned by the 
                Department, to carry out demonstration projects, as 
                appropriate; and
                    ``(E) align specific activities carried out under 
                demonstration projects that are carried out under this 
                subsection, with priorities identified through direct 
                consultation between--
                            ``(i) the Secretary;
                            ``(ii) the National Laboratories;
                            ``(iii) traditional end-users (such as an 
                        electric utility);
                            ``(iv) potential end-users of new 
                        technologies (such as petrochemical companies); 
                        and
                            ``(v) developers of advanced nuclear 
                        reactor technology.
    ``(c) Research and Development Goals.--
            ``(1) In general.--The Secretary shall establish and 
        annually update goals for the research to support the 
        demonstration of advanced reactors under subsection (b) and the 
        deployment of subsequent advanced reactors.
            ``(2) Coordination.--In developing and updating the goals, 
        the Secretary shall coordinate with members of private 
        industry.
            ``(3) Requirements.--In developing the goals, the Secretary 
        shall ensure that--
                    ``(A) research activities are focused on--
                            ``(i) key areas of nuclear research, 
                        development, and deployment that range from 
                        basic research on advanced nuclear reactor 
                        generation to full-design development, safety 
                        evaluation, and licensing;
                            ``(ii) resolving materials challenges 
                        relating to radiation damage or corrosive 
                        coolants; and
                            ``(iii) qualification of advanced nuclear 
                        fuel;
                    ``(B) infrastructure, such as a versatile reactor-
                based fast neutron source, which is required to be 
                established in section 955(c)(1) of the Energy Policy 
                Act of 2005 (42 U.S.C. 16275(c)(1)), or a molten salt 
                testing facility to aid in research, is constructed; 
                and
                    ``(C) advanced manufacturing and construction 
                techniques and materials are analyzed to identify 
                strategies to reduce the commercialization cost of 
                advanced nuclear reactors.
    ``(d) Definitions.--In this section:
            ``(1) Advanced nuclear reactor.--The term `advanced nuclear 
        reactor' means a nuclear fission or nuclear fusion reactor, 
        including a prototype plant (as such term is defined in section 
        50.2 or section 52.1 of title 10, Code of Federal Regulations 
        (as in effect on the date of enactment of this section)), with 
        significant improvements compared to a commercial nuclear 
        reactor that is under construction as of the date of enactment 
        of this section, including improvements such as--
                    ``(A) additional inherent safety features;
                    ``(B) significantly lower levelized cost of 
                electricity;
                    ``(C) lower waste yields;
                    ``(D) greater fuel utilization;
                    ``(E) enhanced reliability;
                    ``(F) increased proliferation resistance;
                    ``(G) increased thermal efficiency;
                    ``(H) reduced consumption of cooling water;
                    ``(I) the ability to integrate into electric 
                applications and nonelectric applications;
                    ``(J) modular sizes to allow for deployment that 
                corresponds with the demand for electricity; or
                    ``(K) operational flexibility to respond to changes 
                in demand for electricity and to complement integration 
                with intermittent renewable energy.
            ``(2) Demonstration project.--The term `demonstration 
        project' means a project carried out under subsection (b) 
        that--
                    ``(A) includes operation of an advanced nuclear 
                reactor as part of the power generation facilities of 
                an electric utility system; or
                    ``(B) demonstrates the suitability of an advanced 
                nuclear reactor for commercial application.
    ``(e) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretary to carry out this section $1,000,000,000 
for each of fiscal years 2021 through 2030.''.
    (b) Table of Contents Amendment.--The table of contents of the 
Energy Policy Act of 2005 (42 U.S.C. 15801 note) is further amended by 
adding after the item relating to section 639A (as added by this Act) 
the following:

``Sec. 639B. Advanced nuclear reactor research and development 
                            goals.''.

SEC. 306. ADVANCED NUCLEAR FUEL SECURITY PROGRAM.

    (a) Findings.--Congress finds that--
            (1) the national security nuclear enterprise, which 
        supports the nuclear weapons stockpile stewardship and reactors 
        functions of the National Nuclear Security Administration, 
        requires a domestic fuel cycle, including uranium mining, 
        uranium processing, uranium enrichment, and fuel fabrication, 
        capable of producing low- and high-enriched uranium;
            (2) many domestic advanced nuclear power industry 
        participants require access to high-assay, low-enriched uranium 
        fuel for--
                    (A) initial fuel testing;
                    (B) operation of demonstration reactors; and
                    (C) commercial operation of advanced nuclear 
                reactors;
            (3) as of the date of enactment of this Act, no domestic 
        uranium enrichment or fuel fabrication capability exists for 
        uranium fuel enriched to greater than 10 weight percent of the 
        uranium-235 isotope;
            (4) a healthy commercial nuclear fuel cycle capable of 
        providing higher levels of enriched uranium would benefit--
                    (A) the relevant national security functions of the 
                National Nuclear Security Administration; and
                    (B) the domestic advanced nuclear industry of the 
                United States; and
            (5) making limited quantities of high-assay, low-enriched 
        uranium available from Department stockpiles of uranium would 
        allow for initial fuel testing and demonstration of advanced 
        nuclear reactor concepts, accelerating--
                    (A) the path to market of those concepts; and
                    (B) the development of--
                            (i) a market for advanced nuclear reactors; 
                        and
                            (ii) a resulting growing commercial nuclear 
                        fuel cycle capability.
    (b) Nuclear Energy.--
            (1) In general.--Subtitle E of title IX of the Energy 
        Policy Act of 2005 (42 U.S.C. 16271 et seq.) is amended by 
        adding at the end the following:

``SEC. 959A. ADVANCED NUCLEAR FUEL SECURITY PROGRAM.

    ``(a) High-Assay, Low-Enriched Uranium Program for Advanced Nuclear 
Reactors.--
            ``(1) Establishment.--Not later than 1 year after the date 
        of enactment of this section, the Secretary shall establish a 
        program (in this section known as the `Program') to make 
        available high-assay, low-enriched uranium, through contracts 
        for sale, resale, transfer, or lease, for use in advanced 
        nuclear reactors.
            ``(2) Nuclear fuel ownership.--Each contract under 
        paragraph (1) shall include a provision that--
                    ``(A) requires that any high-assay, low-enriched 
                uranium sold, resold, transferred, or leased under such 
                contract shall remain the property of the Secretary; 
                and
                    ``(B) the Secretary shall be responsible for the 
                final disposition of all radioactive waste created by 
                the irradiation, processing, or purification of any 
                such uranium.
            ``(3) Quantity.--In carrying out the Program, the Secretary 
        shall make available--
                    ``(A) by December 31, 2022, high-assay, low-
                enriched uranium containing not less than 2 metric tons 
                of the uranium-235 isotope; and
                    ``(B) by December 31, 2025, high-assay, low-
                enriched uranium containing not less than 10 metric 
                tons of the uranium-235 isotope, which shall include 
                the quantities of the uranium-235 isotope required to 
                be made available under subparagraph (A).
            ``(4) Factors for consideration.--In carrying out the 
        Program, the Secretary shall take into consideration options 
        for providing high-assay, low-enriched uranium from the 
        stockpile of uranium owned by the Department (including the 
        National Nuclear Security Administration), including by 
        providing from among such stockpile--
                    ``(A) fuel that--
                            ``(i) directly meets the needs of an end-
                        user; and
                            ``(ii) has been previously used or 
                        fabricated for another purpose;
                    ``(B) fuel that can meet the needs of an end-user 
                after removing radioactive contaminants or other 
                contaminants that resulted from a previous use or 
                fabrication of the fuel for research, development, 
                demonstration, or deployment activities of the 
                Department (including activities of the National 
                Nuclear Security Administration); and
                    ``(C) fuel from a high-enriched uranium stockpile, 
                which can be blended with lower-assay uranium to become 
                high-assay, low-enriched uranium that may be used in an 
                advanced nuclear reactor.
            ``(5) Limitation.--The Secretary shall not barter or 
        otherwise sell, resell, or transfer uranium in any form in 
        exchange for services relating to the final disposition of 
        radioactive waste from uranium that is the subject of a sale, 
        lease, release, or transfer under this section.
            ``(6) Sunset.--The Program shall terminate on the earlier 
        of--
                    ``(A) January 1, 2035; or
                    ``(B) the date on which uranium enriched up to, but 
                not equal to, 20 weight percent can be obtained in the 
                commercial market from domestic suppliers, as 
                determined by the Secretary.
    ``(b) Report.--
            ``(1) In general.--Not later than 180 days after the date 
        of enactment of this section, the Secretary shall submit to the 
        Committee on Energy and Natural Resources of the Senate and the 
        Committee on Energy and Commerce of the House of 
        Representatives a report that--
                    ``(A) describes the actions the Secretary proposes 
                to carry out under the Program; and
                    ``(B) includes--
                            ``(i) the estimates under paragraph (3); 
                        and
                            ``(ii) the evaluations under paragraph (4).
            ``(2) Coordination and stakeholder input.--In developing 
        the report required under paragraph (1), the Secretary shall 
        seek input from--
                    ``(A) the Nuclear Regulatory Commission;
                    ``(B) the National Laboratories;
                    ``(C) institutions of higher education (as such 
                term is defined in section 101 of the Higher Education 
                Act of 1965 (20 U.S.C. 1001(a)));
                    ``(D) a diverse group of entities operating in the 
                nuclear energy industry; and
                    ``(E) a diverse group of technology developers.
            ``(3) Cost and schedule estimates.--The report required 
        under paragraph (1) shall include estimated costs, budgets, and 
        timeframes for enabling the use of high-assay, low-enriched 
        uranium.
            ``(4) Required evaluations.--The report required under 
        paragraph (1) shall evaluate--
                    ``(A) the costs of the actions required to 
                establish and carry out the Program, including with 
                respect to--
                            ``(i) proposed preliminary terms for the 
                        sale, resale, transfer, and leasing of high-
                        assay, low-enriched uranium (including 
                        guidelines defining the roles and 
                        responsibilities of the Department and the 
                        purchaser, transfer recipient, or lessee); and
                            ``(ii) the potential to coordinate with 
                        purchasers, transfer recipients, and lessees 
                        regarding--
                                    ``(I) fuel fabrication; and
                                    ``(II) fuel transportation;
                    ``(B) the potential sources of uranium and fuel 
                forms available to carry out the Program;
                    ``(C) options to coordinate carrying out the 
                Program with the operation of the versatile reactor-
                based fast neuron source, which is required to be 
                established under section 955(c) of the Energy Policy 
                Act of 2005 (42 U.S.C. 16275(c));
                    ``(D) the ability of the domestic uranium market to 
                provide materials for advanced nuclear reactor fuel; 
                and
                    ``(E) any associated legal, regulatory, and policy 
                issues that should be addressed to--
                            ``(i) carry out the Program; and
                            ``(ii) enable the establishment of a 
                        domestic industry capable of providing high-
                        assay, low-enriched uranium for commercial and 
                        noncommercial purposes, including with respect 
                        to the needs of--
                                    ``(I) the Department;
                                    ``(II) the Secretary of Defense; 
                                and
                                    ``(III) the under Secretary of the 
                                National Nuclear Security 
                                Administration.
    ``(c) Definitions.--In this section:
            ``(1) High-assay, low-enriched uranium.--The term `high-
        assay, low-enriched uranium' means uranium that is enriched 
        with the uranium-235 isotope in an assay weight that is greater 
        than 5 percent, but less than 20 percent.
            ``(2) High-enriched uranium.--The term `high-enriched 
        uranium' means uranium that is enriched with the uranium-235 
        isotope in an assay weight of 20 percent or more.''.
            (2) Table of contents.--The table of contents of the Energy 
        Policy Act of 2005 (Public Law 109-58; 119 Stat. 594) is 
        amended--
                    (A) in the item relating to section 957, by 
                inserting ``Sec.'' before ``957'';
                    (B) in the item relating to section 958, by 
                inserting ``Sec.'' before ``958'';
                    (C) in the item relating to section 959, by 
                inserting ``Sec.'' before ``959''; and
                    (D) by adding after the item relating to section 
                959 (as amended by this paragraph) the following:

``Sec. 959A. Advanced nuclear fuel security program.''.

SEC. 307. AUTHORIZATION OF APPROPRIATIONS FOR LOAN GUARANTEES FOR 
              ADVANCED NUCLEAR FACILITIES.

    Section 1704 of the Energy Policy Act of 2005 (42 U.S.C. 16514) is 
amended by adding at the end the following:
    ``(c) Advanced Nuclear Energy Facilities.--The Secretary is 
authorized to make guarantees and credit subsidies for advanced nuclear 
energy facilities under section 1703(b)(4) for loans of $10,000,000,000 
for each of fiscal years 2021 through 2030, to remain available until 
expended.''.

SEC. 308. EXPANDING THE PRODUCTION TAX CREDIT FOR NUCLEAR POWER.

    Section 45J of the Internal Revenue Code of 1986 is amended--
            (1) in subsection (a)(1), by striking ``1.8 cents'' and 
        inserting ``2.7 cents'';
            (2) in subsection (b)(5)(B)(ii), by striking ``6,000 
        megawatts'' and inserting ``15,000 megawatts''; and
            (3) in subsection (e), by striking paragraph (1) and 
        redesignating paragraphs (2) and (3) as (1) and (2), 
        respectively.

SEC. 309. AUTHORIZATIONS OF APPROPRIATIONS FOR INNOVATION IN NUCLEAR 
              POWER.

    There are authorized to be appropriated to the Secretary 
$1,000,000,000 for each of fiscal years 2021 through 2030--
            (1) for Gateway for Accelerated Innovation in Nuclear 
        vouchers;
            (2) for advanced nuclear technology development funding 
        opportunity announcements;
            (3) for advanced small modular reactor research and 
        development;
            (4) for the advanced reactor demonstration program; and
            (5) up to $60,000,000 for the Nuclear Reactor Innovation 
        Center.

                  TITLE IV--CLEAN ELECTRICITY STANDARD

SEC. 401. CERTIFICATION OF COST-EFFECTIVE MARKET PENETRATION OF CLEAN 
              ELECTRICITY TECHNOLOGIES.

    Title VI of the Public Utility Regulatory Policies Act of 1978 (16 
U.S.C. 2601 et seq.) is amended by adding at the end the following:

``SEC. 610. FEDERAL DECARBONIZATION AND INNOVATION ASSESSMENT PROGRAM.

    ``(a) In General.--Not later than 2 years after the date of 
enactment of this section, the Secretary, after consultation with the 
Administrator of the Environmental Protection Agency, shall establish a 
program, to be known as the `Federal Decarbonization and Innovation 
Assessment Program', to annually review and monitor progress towards 
the achievement of--
            ``(1) an 80 percent reduction in annual power sector carbon 
        dioxide emissions, below the level in the year of enactment, by 
        2050; and
            ``(2) cost-effective market penetration of advanced clean 
        power generation technologies, in accordance with subsection 
        (b).
    ``(b) Cost-Effective Market Penetration.--Cost-effective market 
penetration of advanced clean power generation technologies shall be 
deemed to have occurred on the date when the Secretary determines 
that--
            ``(1) at least 3 gigawatts of new electricity generating 
        capacity using any type of eligible technology has come into 
        commercial operation since enactment of this section, provided 
        that--
                    ``(A) less than 50 percent of the capital costs of 
                such capacity has been subsidized with Federal funds; 
                and
                    ``(B) at least 1 gigawatt of the new electricity 
                generating capacity using eligible technology is coal-
                fired electricity generation using carbon capture 
                utilization and storage technology; or
            ``(2) at least one type of eligible technology has similar 
        operating characteristics, such as dispatchability upon demand 
        and duty cycle, as existing fossil-fueled electricity 
        generation and, based on data provided by the Energy 
        Information Administration, has a total cost of electricity 
        generation that is not more than 10 percent higher than the 
        average total cost of electricity generation from such existing 
        fossil-fueled electricity generation that has been constructed 
        within the 5 years prior to enactment of this section.
    ``(c) Certification of Cost-Effective Market Penetration.--Upon 
making the determination described under subsection (b), but no earlier 
than 5 years after enactment of this section, the Secretary shall 
certify that cost-effective market penetration of advanced clean power 
generation technologies has occurred.
    ``(d) Definitions.--In this section:
            ``(1) Advanced dispatchable renewable generation.--The term 
        `advanced dispatchable renewable generation' means renewable 
        electricity generation capacity that the Secretary has 
        determined can be used upon demand by grid operators, including 
        renewable electricity generation facilities that are supported 
        by long-duration energy storage.
            ``(2) Advanced nuclear power generation.--The term 
        `advanced nuclear power generation' means electricity 
        generation capacity using an advanced nuclear reactor, as such 
        term is defined in section 640 of the Energy Policy Act of 
        2005.
            ``(3) Eligible technologies.--The term `eligible 
        technologies' means the following types of technologies:
                    ``(A) Advanced nuclear power generation.
                    ``(B) Advanced dispatchable renewable generation.
                    ``(C) Fossil-fueled electricity generation equipped 
                with carbon capture technology, from which at least 90 
                percent of carbon dioxide output is captured and 
                utilized or stored in a manner that prevents emission 
                to the atmosphere.''.

SEC. 402. FEDERAL CLEAN ELECTRICITY STANDARD.

    Title VI of the Public Utility Regulatory Policies Act of 1978 (16 
U.S.C. 2601 et seq.) is further amended by adding after section 610 (as 
added by this Act) the following:

``SEC. 611. FEDERAL CLEAN ELECTRICITY STANDARD.

    ``(a) Clean Electricity Requirement.--
            ``(1) Definition of retail electricity supplier.--In this 
        section, as determined for each calendar year, the term `retail 
        electricity supplier' means an entity in the United States that 
        sold not fewer than 20 megawatt-hours of electric energy to 
        electric consumers for purposes other than resale during the 
        preceding calendar year.
            ``(2) In general.--Effective beginning in the first 
        compliance period of the program, and for each compliance 
        period thereafter, each retail electricity supplier shall 
        surrender clean electricity credits corresponding to the 
        required percentage, as determined under paragraph (3), of the 
        electric energy it sells to electric consumers.
            ``(3) Determination of required percentage.--The Secretary 
        shall determine, and may adjust as needed, the required 
        percentage for each compliance period, such that the power 
        sector achieves, by 2050, a reduction in carbon dioxide 
        emissions of 80 percent from emission levels in the year of 
        enactment of this section, and that carbon dioxide emission 
        levels are reduced linearly in each compliance period through 
        2050, provided that--
                    ``(A) in 2026, the Secretary shall make a 
                projection of the electricity generated in 2030 that 
                could qualify for clean electricity credits under 
                subsection (d);
                    ``(B) the required percentage for the first 
                compliance period shall be the greater of--
                            ``(i) the percentage of electricity 
                        generated that would qualify for issuance of 
                        clean electricity credits under subsection (d) 
                        in the year of enactment of this section; and
                            ``(ii) the Secretary's projection for 2030 
                        under subparagraph (A); and
                    ``(C) the required percentage shall be uniform for 
                each retail electric supplier regulated under this 
                section for any compliance period.
            ``(4) Early projection of required percentage to promote 
        compliance planning.--Not later than two years after the date 
        of enactment of this section, the Secretary shall make a 
        projection of the required percentage for the first compliance 
        period, extrapolating from the prior five years of electricity 
        generation.
    ``(b) Compliance.--A retail electric supplier shall meet the 
requirements of subsection (a) for each compliance period by--
            ``(1) submitting to the Secretary a number of clean 
        electricity credits equal to the product of the required 
        percentage for the compliance period times the volume of 
        electric energy the retail electric supplier sold to consumers 
        during the compliance period;
            ``(2) paying an amount equal to the product of the 
        alternative compliance payment, in the amount specified in 
        subsection (h), times the number of clean electricity credits 
        that would otherwise be due under paragraph (1) in the 
        compliance period; or
            ``(3) taking a combination of the actions described in 
        paragraphs (1) and (2).
    ``(c) Federal Clean Electricity Credit Trading Program.--
            ``(1) Establishment.--Not later than 180 days after the 
        program trigger date, the Secretary shall establish a Federal 
        clean electricity credit accounting and trading program under 
        which clean electricity credits may be acquired, sold, 
        transferred, and held and electric utilities may submit to the 
        Secretary clean electricity credits to comply with the 
        requirements of this section.
            ``(2) Clean electricity credits.--Each year, the Secretary 
        shall issue to each generator of electric energy a quantity of 
        clean electricity credits determined in accordance with 
        subsection (d).
            ``(3) Administration.--Each clean electricity credit issued 
        under this subsection shall be used only once for the purpose 
        of complying with the requirements of this section.
            ``(4) Delegation of program administration.--In carrying 
        out this subsection, the Secretary may delegate--
                    ``(A) to the Commission, the implementation of some 
                or all of the program established under paragraph (1); 
                and
                    ``(B) to appropriate entities, the tracking of 
                clean electricity credits.
            ``(5) Banking of clean electricity credits.--Clean 
        electricity credits issued under subsection (d) shall be valid 
        for the compliance period in which the clean electricity credit 
        is issued or in any subsequent compliance period.
    ``(d) Issuance of Clean Electricity Credits.--
            ``(1) In general.--For each calendar year, starting with 
        the year of the program effective date, the Secretary shall 
        issue clean electricity credits to each electricity generator 
        in the United States that has sold electricity and has an 
        annual carbon intensity of less than 0.825 metric tons per 
        megawatt-hour.
            ``(2) Determination of credits issued.--The number of clean 
        electricity credits issued under paragraph (1) shall be equal 
        to the product of--
                    ``(A) the number of megawatt-hours of electric 
                energy sold from the electricity generator; and
                    ``(B) 1.0 minus the quotient obtained by dividing--
                            ``(i) the annual carbon intensity of the 
                        generator, as determined in accordance with 
                        paragraph (3), expressed in metric tons per 
                        megawatt-hour; by
                            ``(ii) 0.82.
            ``(3) Determination of annual carbon intensity of 
        generating facilities.--With respect to paragraph (2)(B)(i), 
        the Secretary shall determine, in consultation with the 
        Administrator of the Environmental Protection Agency, the 
        annual carbon intensity of each generator by dividing--
                    ``(A) the net annual carbon dioxide emissions of 
                the generator; by
                    ``(B) the annual quantity of electric energy 
                generated and sold by the generator.
    ``(e) Dynamic Crediting.--If the Secretary approves use of a 
dynamic crediting methodology or methodologies under section 612(c), 
the Secretary shall implement such methodology or methodologies in lieu 
of the crediting methodology established under subsection (d)(2) as a 
means of issuing clean electricity credits.
    ``(f) Civil Penalties.--
            ``(1) In general.--Subject to paragraph (2), a retail 
        electric supplier that fails to meet the requirements to submit 
        clean electricity credits or make alternative compliance 
        payments as required by subsection (b) shall be subject to a 
        civil penalty in an amount equal to the product obtained of--
                    ``(A) the number of megawatt-hours of electric 
                energy sold by the retail electric supplier to electric 
                consumers in violation of subsection (b); and
                    ``(B) 200 percent of the value of the applicable 
                alternative compliance payment as determined under 
                subsection (h).
            ``(2) Procedure for assessing penalty.--The Secretary shall 
        assess a civil penalty under this subsection in accordance with 
        the procedures for assessing a penalty against a person under 
        section 333(d) of the Energy Policy and Conservation Act (42 
        U.S.C. 6303(d)).
    ``(g) Savings Provision.--Nothing in this section affects the 
authority of a State, or a political subdivision of a State, to adopt 
or enforce any law relating to--
            ``(1) clean electricity or renewable energy;
            ``(2) carbon dioxide emissions; or
            ``(3) the regulation of a retail electric supplier.
    ``(h) Alternative Compliance Payment.--
            ``(1) Initial amount.--The alternative compliance payment 
        for the first year of the first compliance period shall be $30 
        per megawatt hour.
            ``(2) Annual adjustments to alternative compliance 
        payment.--For each year after the first year of the first 
        compliance period, the Secretary shall increase the amount of 
        the alternative compliance payment from the amount for the 
        prior year by 5 percent. The Secretary may make an additional 
        annual adjustment to account for inflation, as the Secretary 
        may determine necessary.
    ``(i) Regulations.--Not later than 1 year after the date of 
enactment of this section, the Secretary shall promulgate regulations 
to implement this section.
    ``(j) Definitions.--In this section:
            ``(1) Compliance period.--The term `compliance period' 
        means the 3-year period starting on the program effective date 
        and each 3-year period thereafter until 2050.
            ``(2) Program trigger date.--The term `program trigger 
        date' means January 1 of the first calendar year after the 
        Secretary issues the certification under section 610(c).
            ``(3) Program effective date.--The term `program effective 
        date' means the earlier of--
                    ``(A) January 1 of the first calendar year that 
                starts two years after the program trigger date; or
                    ``(B) January 1 of the first calendar year that is 
                more than 10 years after the date of enactment of this 
                section.

``SEC. 612. USE OF DYNAMIC CREDITING TO ISSUE CLEAN ELECTRICITY 
              CREDITS.

    ``(a) Identification of Dynamic Crediting Methodologies.--Not later 
than 2 years after the date of enactment of this section, the 
Secretary, in consultation with the Administrator of the Environmental 
Protection Agency, shall identify methodologies for calculating the 
carbon dioxide emissions from electricity generating resources that are 
avoided or displaced by increasing the generation from generating 
facilities eligible to receive clean electricity credits under section 
611(d). In carrying out this subsection, the Secretary shall--
            ``(1) identify methodologies that estimate in an accurate 
        manner the net carbon dioxide emissions avoided or displaced 
        due to the electricity generated by each specific generating 
        facility in each generation dispatch interval; and
            ``(2) identify such a methodology or methodologies, as 
        appropriate for generation resources located within the region 
        served by a regional transmission organization or independent 
        system operator, as defined in section 3 of the Federal Power 
        Act (16 U.S.C. 796), and for generation resources operating 
        outside such regions.
    ``(b) Commission Review of Dynamic Crediting Methodologies.--
            ``(1) The Secretary shall share the identified dynamic 
        crediting methodologies with the Commission.
            ``(2) Not later than 120 days after its receipt of the 
        dynamic crediting methodologies from the Secretary, the 
        Commission shall hold a technical conference in partnership 
        with State electric utility regulators to evaluate the dynamic 
        crediting methodologies, including evaluation of alternatives.
            ``(3) Not later than 180 days after the technical 
        conference held pursuant to paragraph (2), and after providing 
        an opportunity for public comment, the Commission shall provide 
        a report to the Secretary on the technical conference and any 
        Commission recommendations or evaluation concerning dynamic 
        crediting methodologies.
    ``(c) Determination.--No later than 180 days following receipt of 
the report provided pursuant to subsection (b)(3), the Secretary, in 
consultation with the Administrator of the Environmental Protection 
Agency, shall approve use of one or more identified dynamic crediting 
methodologies to issue clean electricity credits if the Secretary 
determines that such use would--
            ``(1) significantly enhance confidence that a clean 
        electricity standard would achieve the carbon dioxide emission 
        reduction targets set forth in section 611(a)(2); or
            ``(2) significantly reduce the costs of achieving such 
        targets.
    ``(d) Use of Dynamic Crediting Methodologies.--If the Secretary 
approves one or more identified dynamic crediting methodologies under 
subsection (c), the Secretary shall implement the approved methodology 
to determine the number of clean electricity credits to be issued to an 
electricity generator in lieu of the methodology provided in 611(d)(2). 
The Secretary shall apply a dynamic crediting factor approved under 
subsection (c) for the first full calendar year after such approval, or 
for the first year of the first compliance period, whichever is later, 
except that the Secretary may delay use of approved dynamic crediting 
methodologies by one year if the Secretary finds that additional time 
is needed for the Secretary or the Commission to take actions necessary 
for implementation under subsection (e).
    ``(e) Implementation.--
            ``(1) The Secretary may, by rule, require that the regional 
        transmission organizations, independent system operators, other 
        balancing authorities, and other appropriate entities provide 
        the Secretary with the information necessary for the Secretary 
        to apply any approved dynamic crediting methodology.
            ``(2) At the request of the Secretary, or upon its own 
        initiative, the Commission shall consider whether changes to 
        tariffs on file under section 205 of the Federal Power Act (16 
        U.S.C. 824d) are necessary to implement the requirements of any 
        rule promulgated by the Secretary under paragraph (1).''.

SEC. 403. REGIONAL CLEAN ELECTRICITY PLANNING MODELS.

    (a) Development of Planning Models and Data.--Not later than 2 
years after the date of enactment this Act, the Secretary shall make 
available one or more regional electricity planning models and 
standardized sets of data, including potential renewable energy hourly 
production profiles at all potential locations for renewable energy 
deployment, that States can use to develop plans for portfolios of 
clean electricity resources that are capable of achieving the emission 
reduction trajectory provided in the clean electricity requirements 
established under section 611 of the Public Utility Regulatory Policies 
Act of 1978 at least cost and consistent with the need to maintain 
reliability.
    (b) Development Process.--In making planning models and data 
available under subsection (a), the Secretary shall--
            (1) solicit planning models and standardized, accurate data 
        sets from the national laboratories and universities;
            (2) hold jointly with the Commission a technical conference 
        on planning models and standardized data sets, including hourly 
        profiles of renewable energy production at potential deployment 
        locations, and consider the input from such conference in 
        choosing planning models and data sets to make available; and
            (3) update the planning models and data sets made available 
        from time to time in response to new information.
    (c) Use of Models by States.--The Secretary shall encourage States 
to use the models and data sets to--
            (1) plan collaboratively with other States in the same 
        North American Electric Reliability Corporation reliability 
        region or organized electricity market on least-cost and 
        reliable compliance with the clean electricity standard 
        established under section 611 of the Public Utility Regulatory 
        Policies Act of 1978; and
            (2) adopt, and from time to time update, multi-State clean 
        electricity resource deployment goals that promote least-cost 
        deployment consistent with maintaining electric reliability.

SEC. 404. STAND-BY EMISSION PERFORMANCE STANDARDS.

    (a) Annual Review of Electric Power Sector Emissions.--Not later 
than February 1 of the first year after enactment of this section, and 
each February 1 thereafter, the Secretary, in consultation with the 
Administrator of the Environmental Protection Agency, shall publish a 
determination of the annual average level of greenhouse gas emissions 
from the electric power sector for the prior three calendar years.
    (b) Enforceability.--Emission limitations for carbon dioxide 
emissions from fossil fuel-fired power plants established under title I 
of the of the Clean Air Act (42 U.S.C. 7401 et seq.) may be enforced by 
a State or by the Administrator of the Environmental Protection 
Agency--
            (1) before the clean electricity standard program trigger 
        date, only if--
                    (A) the Secretary, not earlier than 5 years after 
                the date of enactment of this Act, determines under 
                subsection (a) that the 5-year annual average level of 
                electric power sector greenhouse gas emissions exceeded 
                the annual average level of such emissions for the 
                preceding 5-year period by at least 6 percent; or
                    (B) the Secretary finds that significantly less 
                than the full amount of funding authorized for programs 
                under this Act has been appropriated, resulting in 
                substantial limitation to or delay of the technology 
                advancement program elements of this Act; or
            (2) after the end of a clean electricity standard 
        compliance period, if the clean electricity requirement is not 
        enforced for the compliance period.
    (c) Clean Air Act Authorities.--Except as provided in this section, 
neither a State nor the Administrator of the Environmental Protection 
Agency may enforce any emission limitation for carbon dioxide emissions 
from fossil fuel-fired electric power generating units established 
under title I of the of the Clean Air Act (42 U.S.C. 7401 et seq.).
    (d) Definitions.--In this section:
            (1) Compliance period.--The term ``compliance period'' has 
        the meaning given such term in section 611(k)(1) of the Public 
        Utility Regulatory Policies Act of 1978.
            (2) Program trigger date.--The term ``program trigger 
        date'' has the meaning given such term in section 611(k)(2) of 
        the Public Utility Regulatory Policies Act of 1978.
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