Renewable Energy and Energy Efficiency Incentives: A Summary of Federal Programs
Released: 2018-07-11T00:00:00

Summary:
Energy is crucial to the operation of a modern industrial and services economy. Concerns about the availability and cost of energy and about environmental impacts of fossil energy use have led to the establishment of a wide variety of federal incentives for renewable energy and energy efficiency. These incentives are aimed at the implementation of renewable energy and energy efficiency measures and the development and commercialization of renewable energy and energy efficiency technologies.
Many of the existing energy efficiency and renewable energy programs have authorizations tracing back to the 1970s. Many of the programs have been reauthorized and redesigned repeatedly to meet changing economic factors. The programs apply broadly to sectors ranging from industry to academia, and from state and local governments to rural communities.
Since 2005, Congress has enacted several major energy laws: the Energy Policy Act of 2005 (EPACT 2005; P.L. 109-58); the Energy Independence and Security Act of 2007 (EISA; P.L. 110-140); the Energy Improvement and Extension Act (EIEA), enacted as Division B of the Emergency Economic Stabilization Act (EESA; P.L. 110-343); and the American Recovery and Reinvestment Act (ARRA; P.L. 111-5). Each of those laws established, expanded, or modified energy efficiency and renewable energy research, development, demonstration, and deployment (RDD&D) programs. The Department of Energy (DOE) operates the greatest number of efficiency and renewable energy incentive programs. The Department of the Treasury and the Department of Agriculture (USDA) operate several programs. A few programs can also be found among the Departments of the Interior (DOI), Labor (DOL), Housing and Urban Development (HUD), and Veterans Affairs (VA), and the Small Business Administration (SBA).
This report describes federal programs that provide grants, loans, loan guarantees, and other direct or indirect incentives for energy efficiency, energy conservation, and renewable energy. For each program, the report provides the administering agency, authorizing statute(s), annual funding, and the program expiration date. The appendixes provide summary information in a tabular format and also list recently expired programs.

subsections: section_title: Introduction
paragraphs: The United States has an abundance of natural resources. For much of the nation's history, energy availability was not a concern as commerce and industry needs could be met by domestic supplies. However, industrialization and population growth, and the continuing development of a consumer-oriented society, led to growing dependence on foreign sources of energy during the 20 th century to supplement the demands of a growing economy.
Recognition of the implications of dependence on foreign sources of energy, coupled with concerns over the volatility of prices driven by fluctuations in supply spurred by world events, prompted federal efforts to increase U.S. energy independence and reduce domestic consumption. A major result has been the establishment of a number of programs focused on energy efficiency and conservation of domestic resources and on research programs that target the development of renewable sources of energy. Many of these programs have roots going back almost 40 years and have been redesigned many times over that period.
Many of the current programs have been reauthorized and redesigned periodically to meet changing economic conditions and national interests. The programs apply broadly to sectors ranging from industry to academia, and from state and local governments to rural communities. Each program has been designed to meet current needs as well as future anticipated challenges.
Since 2005, Congress has enacted several major energy laws: the Energy Policy Act of 2005 (EPACT 2005; P.L. 109-58 ); the Energy Independence and Security Act of 2007 (EISA; P.L. 110-140 ); the Energy Improvement and Extension Act (EIEA), enacted as Division B of the Emergency Economic Stabilization Act (EESA; P.L. 110-343 ); and the American Recovery and Reinvestment Act (ARRA; P.L. 111-5 ). Each of those laws established, expanded, or modified energy efficiency and renewable energy research, development, demonstration, and deployment (RDD&D) programs. The Department of Energy (DOE) operates the greatest number of efficiency and renewable energy incentive programs. The Department of the Treasury and the Department of Agriculture (USDA) operate several programs. A few programs can also be found among the Departments of the Interior (DOI), Labor (DOL), Housing and Urban Development (HUD), and Veterans Affairs (VA), and the Small Business Administration (SBA).
This report outlines current federal programs and provisions providing grants, loans, loan guarantees, and other direct or indirect incentives for energy efficiency, energy conservation, and renewable energy RDD&D. The programs are grouped by administering agency with references to applicable federal agency websites. Incentives are summarized and indexed in the appendixes.
Most program descriptions were compiled from authorizing statutes, the U.S. Code, and Administration budget request documents. Other program descriptions and some funding information were compiled from The Database of State Incentives for Renewables and Efficiency (DSIRE), the Assistance Listings (formerly the Catalog of Federal Domestic Assistance or CFDA) housed on the beta.SAM.gov website , and the Energy Star website. Most budgetary figures were compiled from executive agency budget justifications and congressional committee reports. For more information on agriculture-related grant programs, please see CRS Report R43416, Energy Provisions in the 2014 Farm Bill (P.L. 113-79): Status and Funding , by [author name scrubbed]. For more information on programs supporting the development and deployment of alternatives to conventional fuels and engines in transportation, please also see CRS Report R42566, Alternative Fuel and Advanced Vehicle Technology Incentives: A Summary of Federal Programs , by [author name scrubbed] et al. 
section_title: I. Department of Energy Office of Energy Efficiency and Renewable Energy
subsections: section_title: Renewable Energy
subsections: section_title: Biomass
subsections: section_title: 1. Bioenergy Technologies Program (formerly the Biomass and Biorefinery Systems R&D Program)
section_title: 2. Regional Biomass Energy Grant Programs
section_title: 3. Geothermal Technologies Program (GTP)
section_title: Hydrogen and Fuel Cells
subsections: section_title: 4. Hydrogen & Fuel Cell Technologies Program
section_title: Solar
subsections: section_title: 5. Solar Energy Technologies Program (SETP)
section_title: Water Power
subsections: section_title: 6. Water Power Program (formerly Wind and Hydropower Technologies Program)
section_title: Wind Energy Program
subsections: section_title: 7. Wind Energy Program (formerly Wind and Hydropower Technologies Program)
section_title: Energy Efficiency
subsections: section_title: Buildings
subsections: section_title: 8. Building Technologies Program
section_title: 9. Weatherization Assistance Program (WAP)
section_title: Industrial
subsections: section_title: 10. Advanced Manufacturing Office (AMO, formerly the Industrial Technologies Program - ITP)
section_title: 11. Inventions and Innovations Program
section_title: Vehicles
subsections: section_title: 12. Vehicle Technologies Program
section_title: Other Energy Efficiency and Renewable Energy Programs
subsections: section_title: 13. Conservation Research and Development Grants
section_title: 14. Energy Efficiency and Renewable Energy Information Dissemination, Outreach, Training, and Technical Analysis/Assistance Grant Program
section_title: 15. Renewable Energy Production Incentive (REPI)
section_title: 16. Renewable Energy Research and Development Program
section_title: 17. State Energy Program (SEP)
section_title: 18. Tribal Energy Program (TEP)
section_title: Other DOE Offices/Cross-Cutting Programs
subsections: section_title: 19. Advanced Research Projects Energy Financial Assistance Program (ARPA-E)
section_title: 20. Electricity Delivery and Energy Reliability, Research, Development and Analysis Grant Program (Office of Electricity Delivery and Energy Reliability - OE)
section_title: 21. Federal Energy Management Program (FEMP)
section_title: 22. Financial Assistance Program (Office of Science)
section_title: 23. Loan Guarantee Program (Office of the Chief Financial Officer)
section_title: 24. Small Business Innovation Research Program (SBIR)/Small Business Technology Transfer Program (STTR)
section_title: II. U.S Department of the Treasury
paragraphs: Please note that tax credits for biofuels and vehicles are covered in detail another CRS Report R42566, Alternative Fuel and Advanced Vehicle Technology Incentives: A Summary of Federal Programs , by [author name scrubbed] et al.
subsections: section_title: Homeowner
subsections: section_title: 1. Residential Energy Conservation Subsidy Exclusion (Corporate and Personal)
section_title: 2. Residential Energy Efficiency Tax Credit
section_title: 3. Residential Renewable Energy Tax Credit
section_title: Business and Industry
subsections: section_title: 4. Business Energy Investment Tax Credit (ITC)
section_title: 5. Energy Efficient Commercial Buildings Tax Deduction
section_title: 6. Energy-Efficient New Homes Tax Credit for Home Builders
section_title: 7. Renewable Electricity Production Tax Credit
section_title: State, Local, and Tribal Governments
paragraphs: Cross-Cutting
subsections: section_title: 8. Modified Accelerated Cost-Recovery System (MACRS)
section_title: III. Department of Agriculture
subsections: section_title: 1. Assistance to High Energy Cost Rural Communities Program
section_title: 2. Bioenergy Program for Advanced Biofuels
section_title: 3. Biomass Crop Assistance Program (BCAP)
section_title: 4. Biorefinery, Renewable Chemical, and Biobased Product Manufacturing Assistance Program. (formerly the Biorefinery Assistance Program)
section_title: 5. Community Wood Energy Program
section_title: 6. Repowering Assistance Program (RAP)
section_title: 7. Rural Energy For America Program (REAP) Grants and Loans
section_title: 8. Sustainable Agriculture Research and Education Program (SARE)
section_title: IV. Department of the Interior
subsections: section_title: 1. Energy and Mineral Development Program (EMDP): Minerals and Mining on Indian Lands
section_title: 2. Tribal Energy Development Capacity Grant Program
section_title: V. Small Business Administration
subsections: section_title: 1. 7(a) Loan Guarantees
section_title: 2. 504 Loan Guarantees
section_title: VI. U.S. Department of Housing and Urban Development
subsections: section_title: 1. Energy Efficient Mortgages (EEMs)
section_title: 2. FHA PowerSaver Loan Program
section_title: VII. Department of Health and Human Services
subsections: section_title: 1. Low Income Home Energy Assistance Program (LIHEAP)
section_title: VIII. Department of Veterans Affairs
subsections: section_title: 1. Energy Efficient Mortgages (EEMs)
section_title: IX. Fannie Mae
subsections: section_title: 1. Fannie Mae Green Initiative-Loan Program
paragraphs: Appendix A. Summary of Federal Renewable Energy and Energy Efficiency Incentives/Index of Programs
Appendix B. Index of Programs by Applicant Eligibility and Technology Type
Appendix C. Expired Federal Energy Efficiency and Renewable Energy Incentive Programs
1. Assisted Housing Stability and Energy and Green Retrofit Investments Program (Recovery Act Funded)
2. Clean Renewable Energy Bonds (CREBs)
3. Energy Efficiency and Conservation Block Grants Program (EECBG)
4. Energy Efficiency and Renewable Energy Technology Deployment, Demonstration, and Commercialization Grant Program
5. Energy Efficient Appliance Rebate Program (EEARP)
6. Energy Efficient Appliance Tax Credit for Manufacturers
7. New Era Rural Technology Competitive Grants Program
8. Program of Competitive Grants for Worker Training and Placement in High Growth and Emerging Industry Sectors
9. Qualified Energy Conservation Bonds
10 . Qualifying Advanced Energy Manufacturing Investment Tax Credit
11. Renewable Energy Grants (1603 Program)
Appendix D. Appendix D. Summary of Expired Federal Renewable Energy and Energy Efficiency Incentives/Index of Programs