[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5656 Reported in House (RH)]







                                                 Union Calendar No. 352
109th CONGRESS
  2d Session
                                H. R. 5656

                          [Report No. 109-611]

To provide for Federal energy research, development, demonstration, and 
       commercial application activities, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             June 21, 2006

Mrs. Biggert (for herself, Mr. Boehlert, Mr. Hall, Mr. Smith of Texas, 
 Mr. Calvert, Mr. Ehlers, Mr. Inglis of South Carolina, and Mr. Wamp) 
 introduced the following bill; which was referred to the Committee on 
                                Science

                             July 28, 2006

Additional sponsors: Mr. McCaul of Texas, Mr. Schwarz of Michigan, Mr. 
    Al Green of Texas, Mr. Bartlett of Maryland, Mr. Gilchrest, Mr. 
Reichert, Mr. Mario Diaz-Balart of Florida, Mr. Weldon of Pennsylvania, 
                          and Mr. Rohrabacher

                             July 28, 2006

  Reported with an amendment, committed to the Committee of the Whole 
       House on the State of the Union, and ordered to be printed
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]
 [For text of introduced bill, see copy of bill as introduced on June 
                               21, 2006]

_______________________________________________________________________

                                 A BILL


 
To provide for Federal energy research, development, demonstration, and 
       commercial application activities, and for other purposes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Energy Research, Development, 
Demonstration, and Commercial Application Act of 2006''.

SEC. 2. DEFINITIONS.

    For the purposes of this Act--
            (1) the term ``biomass'' has the meaning given that term in 
        section 932(a)(1) of the Energy Policy Act of 2005 (42 U.S.C. 
        16232(a)(1));
            (2) the term ``cellulosic feedstock'' has the meaning given 
        the term ``lignocellulosic feedstock'' in section 932(a)(2) of 
        the Energy Policy Act of 2005 (42 U.S.C. 16232(a)(2));
            (3) the term ``Department'' means the Department of Energy;
            (4) the term ``engineering-scale'' means the minimum size 
        required to predict with confidence all physical processes 
        controlling the performance of a full-scale industrial 
        facility;
            (5) the term ``institution of higher education'' has the 
        meaning given that term in section 101(a) of the Higher 
        Education Act of 1965 (20 U.S.C. 1001(a));
            (6) the term ``National Laboratory'' has the meaning given 
        the term ``nonmilitary energy laboratory'' in section 903(3) of 
        the Energy Policy Act of 2005 (42 U.S.C. 16182(3)); and
            (7) the term ``Secretary'' means the Secretary of Energy.

SEC. 3. FUTUREGEN.

    (a) In General.--The Secretary shall carry out a project of 
research, development, and demonstration designed to demonstrate the 
feasibility of the commercial application of advanced clean coal energy 
technology, including carbon capture and geological sequestration, for 
electricity generation.
    (b) Industry Involvement.--The Secretary may conduct the project 
through a financial assistance cooperative agreement with a consortium 
of coal-fired power producers, coal companies, and others.
    (c) Requirements.--The Secretary shall ensure that--
            (1) a FutureGen demonstration facility is operating by 
        2012;
            (2) the FutureGen demonstration facility is designed to be 
        able--
                    (A) to achieve at least a 99 percent reduction in 
                sulfur dioxide emissions or, when burning coal 
                containing 3 pounds or less of sulfur per million 
                British thermal units, the project shall be able to 
                emit no more than 0.03 pounds of sulfur dioxide 
                emissions per million British thermal units;
                    (B) to emit no more than 0.05 pounds of nitrogen 
                oxide emissions per million British thermal units;
                    (C) to achieve at least a 90 percent reduction in 
                mercury emissions;
                    (D) to emit no more than 0.005 pounds of total 
                particulate emissions in the flue gas per million 
                British thermal units;
                    (E) to achieve at least a 90 percent reduction in 
                carbon dioxide emissions;
                    (F) to demonstrate that the technology can be 
                applied to a diversity of United States coal types; and
                    (G) to demonstrate the feasibility of electricity 
                generation from coal using advanced clean coal 
                technology with carbon capture and geological 
                sequestration at a cost not greater than 10 percent 
                higher than the average of all commercial integrated 
                coal gasification combined cycle electric generating 
                plants operating in the United States as of the date of 
                enactment of this Act.
    (d) System Integration.--To reduce technical risk and focus 
development efforts on system integration, the Secretary shall, to the 
extent practicable, ensure that the FutureGen demonstration facility is 
designed to utilize available advanced clean coal technology, as well 
as first-of-a-kind technology components, as appropriate.
    (e) Data Protection.--The Secretary may agree to protect FutureGen 
information to the same extent authorized for the Clean Coal Power 
Initiative pursuant to section 402(h) of the Energy Policy Act of 2005 
(42 U.S.C. 16231(h)).
    (f) Contributions.--The Secretary may accept contributions from 
private and public sources, including foreign nations and international 
contributors, and use such contributions to offset a portion of the 
Federal share of the project costs.

SEC. 4. ADVANCED NUCLEAR FUEL CYCLE TECHNOLOGIES RESEARCH, DEVELOPMENT, 
              AND DEMONSTRATION PLAN.

    (a) Definition.--In this section, the term ``advanced recycling 
reactor'' means a nuclear reactor that is capable of significantly 
reducing the toxicity or radioactivity of spent nuclear fuel 
components.
    (b) Systems Analysis.--
            (1) In general.--The Secretary shall develop a 
        comprehensive modeling and simulation capability to enable a 
        thorough analysis of possible advanced nuclear fuel cycle 
        systems. The modeling and simulation capability shall be 
        capable of examining--
                    (A) all of the components of each advanced nuclear 
                fuel cycle system analyzed, including--
                            (i) spent fuel separations technologies;
                            (ii) advanced recycling reactor 
                        technologies;
                            (iii) fuel fabrication technologies;
                            (iv) advanced thermal reactor technologies, 
                        including advanced thermal reactor designs that 
                        would be capable of reducing the toxicity or 
                        radioactivity of spent nuclear fuel components; 
                        and
                            (v) waste disposal technologies;
                    (B) the manner in which possible technology and 
                engineering choices for individual components might 
                affect the overall system, and how various system 
                components would interact with one another;
                    (C) quantitative mass flows of nuclear fuel and 
                spent nuclear fuel, including projected inventories and 
                transportation requirements for nuclear fuel and spent 
                nuclear fuel, for any examined system; and
                    (D) estimated costs associated with building and 
                operating the examined fuel cycle system, including a 
                comparison with the estimated costs of building and 
                operating a more conventional future fuel cycle system 
                that includes geologic sequestration of high-level 
                nuclear waste but that does not include recycling of 
                spent fuel components.
            (2) Advanced nuclear fuel cycle technologies plan.--
                    (A) Analysis.--The Secretary shall conduct a 
                thorough analysis of more than 1 possible configuration 
                of an advanced nuclear fuel cycle system using the 
                analytical capability developed under paragraph (1). 
                Each analysis of a possible configuration of an 
                advanced nuclear fuel cycle system shall examine--
                            (i) the compatibility of fuel cycle system 
                        components, including each of the system 
                        component technologies described in paragraph 
                        (1)(A); and
                            (ii) the degree to which the examined 
                        system would--
                                    (I) minimize the toxicity and 
                                radioactivity of spent nuclear fuel;
                                    (II) increase the proliferation 
                                resistance of commercial nuclear power 
                                reactors and their associated fuel 
                                systems and infrastructure;
                                    (III) maximize the amount of useful 
                                energy that can be extracted from 
                                nuclear fuel; and
                                    (IV) minimize the costs of 
                                construction and operation of 
                                commercial nuclear power reactors and 
                                their associated fuel systems and 
                                infrastructure.
                    (B) Plan.--Using the results of the analyses 
                developed under subparagraph (A), and not later than 
                June 30, 2007, the Secretary shall develop a detailed 
                plan for research, development, and demonstration for 
                advanced nuclear fuel cycle system technologies, 
                including proposed technology options for each of the 
                system component technologies described in paragraph 
                (1)(A) and any proposed engineering-scale 
                demonstrations of such system component technologies. 
                The plan shall include an estimate of the design, 
                engineering, construction, and lifetime operating costs 
                of any proposed engineering-scale demonstration, 
                including decontamination and decommissioning costs. In 
                developing the plan, the Secretary shall consider the 
                integration into an advanced nuclear fuel cycle system 
                of advanced thermal reactors capable of reducing the 
                toxicity or radioactivity of spent nuclear fuel 
                components.
                    (C) Consultation.--In developing the plan under 
                subparagraph (B), the Secretary shall consult with--
                            (i) technical experts from United States 
                        and foreign companies that design or engineer 
                        nuclear power plants or nuclear fuel 
                        reprocessing facilities;
                            (ii) technical experts from United States 
                        electric utilities that operate nuclear power 
                        plants;
                            (iii) economists with expertise in nuclear 
                        power and electricity markets;
                            (iv) the Nuclear Energy Research Advisory 
                        Committee;
                            (v) the Chairman of the Nuclear Regulatory 
                        Commission; and
                            (vi) the Administrator of the Environmental 
                        Protection Agency.
            (3) National academy of sciences review.--The Secretary 
        shall enter into an arrangement with the National Academy of 
        Sciences to conduct a review of the plan developed under 
        paragraph (2)(B), including by reviewing the validity of the 
        underlying analyses required under paragraph (2)(A).
    (c) Report.--Not later than June 30, 2008, the Secretary shall 
transmit to Congress a report that includes--
            (1) the research, development, and demonstration plan 
        developed under subsection (b)(2)(B), and the report from the 
        National Academy of Sciences on the review conducted under 
        subsection (b)(3);
            (2) a revised research, development, and demonstration plan 
        that takes into account the findings, conclusions, and 
        recommendations of the report from the National Academy of 
        Sciences; and
            (3) an explanation of any instances where the Secretary 
        does not concur with the findings, conclusions, and 
        recommendations of the report from the National Academy of 
        Sciences.
    (d) Prohibition.--The Secretary shall not initiate detailed design 
or construction of any demonstration facility that is capable of 
processing 750 kilograms or more per year of nuclear fuel or spent 
nuclear fuel and that is designed to demonstrate the advanced nuclear 
fuel system component technologies described in subsection 
(b)(1)(A)(ii) and (iii) until 90 days after the report under subsection 
(c) has been transmitted to Congress.

SEC. 5. ADVANCED BIOFUEL TECHNOLOGIES.

    (a) In General.--The Secretary shall carry out a program of 
research, development, demonstration, and commercial application for 
production of motor and other fuels from biomass.
    (b) Objectives.--The Secretary shall design the program under this 
section to--
            (1) develop technologies that would make ethanol produced 
        from cellulosic feedstocks cost competitive with ethanol 
        produced from corn by 2012;
            (2) conduct research and development on how to apply 
        advanced genetic engineering and bioengineering techniques to 
        increase the efficiency and lower the cost of industrial-scale 
        production of liquid fuels from cellulosic feedstocks; and
            (3) conduct research and development on the production of 
        hydrocarbons other than ethanol from biomass.
    (c) Institution of Higher Education Grants.--The Secretary shall 
designate not less than 10 percent of the funds appropriated under 
subsection (d) for each fiscal year to carry out the program for grants 
to competitively selected institutions of higher education around the 
country focused on meeting the objectives stated in subsection (b).
    (d) Authorization of Appropriations.--From amounts authorized to be 
appropriated under section 931(c) of the Energy Policy Act of 2005 (42 
U.S.C. 16231(c)), there are authorized to be appropriated to the 
Secretary to carry out this section--
            (1) $150,000,000 for fiscal year 2007;
            (2) $160,000,000 for fiscal year 2008; and
            (3) $175,000,000 for fiscal year 2009.

SEC. 6. ADVANCED HYDROGEN STORAGE TECHNOLOGIES.

    (a) In General.--The Secretary shall carry out a program of 
research, development, demonstration, and commercial application for 
technologies to enable practical onboard storage of hydrogen for use as 
a fuel for light-duty motor vehicles.
    (b) Objective.--The Secretary shall design the program under this 
section to develop practical hydrogen storage technologies that would 
enable a hydrogen-fueled light-duty motor vehicle to travel 300 miles 
before refueling.

SEC. 7. ADVANCED SOLAR PHOTOVOLTAIC TECHNOLOGIES.

    (a) In General.--The Secretary shall carry out a program of 
research, development, demonstration, and commercial application for 
advanced solar photovoltaic technologies.
    (b) Objectives.--The Secretary shall design the program under this 
section to develop technologies that would--
            (1) make electricity generated by solar photovoltaic power 
        cost-competitive by 2015; and
            (2) enable the widespread use of solar photovoltaic power.
    (c) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretary to carry out this section--
            (1) $148,000,000 for fiscal year 2007;
            (2) $155,000,000 for fiscal year 2008;
            (3) $165,000,000 for fiscal year 2009; and
            (4) $180,000,000 for fiscal year 2010.

SEC. 8. ADVANCED WIND ENERGY TECHNOLOGIES.

    (a) In General.--The Secretary shall carry out a program of 
research, development, demonstration, and commercial application for 
advanced wind energy technologies.
    (b) Objectives.--The Secretary shall design the program under this 
section to--
            (1) improve the efficiency and lower the cost of wind 
        turbines;
            (2) minimize adverse environmental impacts; and
            (3) develop new small-scale wind energy technologies for 
        use in low wind speed environments.
    (c) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretary to carry out this section--
            (1) $44,000,000 for fiscal year 2007;
            (2) $48,400,000 for fiscal year 2008;
            (3) $53,240,000 for fiscal year 2009; and
            (4) $58,564,000 for fiscal year 2010.

SEC. 9. CONTINUING PROGRAMS.

    The Secretary shall continue to carry out the research, 
development, demonstration, and commercial application activities 
authorized in sections 921(b)(1) (for distributed energy), 923 (for 
micro-cogeneration technology), and 931(a)(2)(C), (D),and (E)(i) (for 
geothermal energy, hydropower, and ocean energy) of the Energy Policy 
Act of 2005.

SEC. 10. PLUG-IN HYBRID ELECTRIC VEHICLE TECHNOLOGY PROGRAM.

    (a) Short Title.--This section may be cited as the ``Plug-In Hybrid 
Electric Vehicle Act of 2006''.
    (b) Definitions.--In this section:
            (1) Battery.--The term ``battery'' means a device or system 
        for the electrochemical storage of energy.
            (2) E85.--The term ``E85'' means a fuel blend containing 85 
        percent ethanol and 15 percent gasoline by volume.
            (3) Electric drive transportation technology.--The term 
        ``electric drive transportation technology'' means--
                    (A) vehicles that use an electric motor for all or 
                part of their motive power and that may or may not use 
                offboard electricity, including battery electric 
                vehicles, hybrid electric vehicles, plug-in hybrid 
                electric vehicles, flexible fuel plug-in hybrid 
                electric vehicles, and electric rail; and
                    (B) related equipment, including electric equipment 
                necessary to recharge a plug-in hybrid electric 
                vehicle.
            (4) Flexible fuel plug-in hybrid electric vehicle.--The 
        term ``flexible fuel plug-in hybrid electric vehicle'' means a 
        plug-in hybrid electric vehicle warranted by its manufacturer 
        as capable of operating on any combination of gasoline or E85 
        for its onboard internal combustion or heat engine.
            (5) Hybrid electric vehicle.--The term ``hybrid electric 
        vehicle'' means a vehicle that--
                    (A) can be propelled using liquid combustible fuel 
                and electric power provided by an onboard battery; and
                    (B) utilizes regenerative power capture technology 
                to recover energy expended in braking the vehicle for 
                use in recharging the battery.
            (6) Plug-in hybrid electric vehicle.--The term ``plug-in 
        hybrid electric vehicle'' means a hybrid electric onroad light-
        duty vehicle that can be propelled solely on electric power for 
        a minimum of 20 miles under city driving conditions, and that 
        is capable of recharging its battery from an offboard 
        electricity source.
    (c) Program.--The Secretary shall conduct a program of research, 
development, demonstration, and commercial application on technologies 
needed for the development of plug-in hybrid electric vehicles and 
electric drive transportation, including--
            (1) high capacity, high efficiency batteries, to--
                    (A) improve battery life, energy storage capacity, 
                and power delivery capacity, and lower cost; and
                    (B) minimize waste and hazardous material 
                production in the entire value chain, including after 
                the end of the useful life of the batteries;
            (2) high efficiency onboard and offboard charging 
        components;
            (3) high power drive train systems for passenger and 
        commercial vehicles and for supporting equipment;
            (4) onboard energy management systems, power trains, and 
        systems integration for plug-in hybrid electric vehicles, 
        flexible fuel plug-in hybrid electric vehicles, and hybrid 
        electric vehicles, including efficient cooling systems and 
        systems that minimize the emissions profile of such vehicles; 
        and
            (5) lightweight materials, including research, development, 
        demonstration, and commercial application to reduce the cost of 
        materials such as steel alloys and carbon fibers.
    (d) Plug-In Hybrid Electric Vehicle Demonstration Program.--
            (1) Establishment.--The Secretary shall establish a 
        competitive grant pilot demonstration program to provide not 
        more than 25 grants annually to State governments, local 
        governments and public entities, metropolitan transportation 
        authorities, or combinations thereof to carry out a project or 
        projects for demonstration of plug-in hybrid electric vehicles.
            (2) Applications.--
                    (A) Requirements.--The Secretary shall issue 
                requirements for applying for grants under the 
                demonstration pilot program. The Secretary shall 
                require that applications, at a minimum, include a 
                description of how data will be--
                            (i) collected on the--
                                    (I) performance of the vehicle or 
                                vehicles and the components, including 
                                the battery, energy management, and 
                                charging systems, under various driving 
                                speeds, trip ranges, traffic, and other 
                                driving conditions;
                                    (II) costs of the vehicle or 
                                vehicles, including acquisition, 
                                operating, and maintenance costs, and 
                                how the project or projects will be 
                                self-sustaining after Federal 
                                assistance is completed; and
                                    (III) emissions of the vehicle or 
                                vehicles, including greenhouse gases, 
                                and the amount of petroleum displaced 
                                as a result of the project or projects; 
                                and
                            (ii) summarized for dissemination to the 
                        Department, other grantees, and the public.
                    (B) Partners.--An applicant under subparagraph (A) 
                may carry out a project or projects under the pilot 
                program in partnership with one or more private or 
                nonprofit entities, which may include institutions of 
                higher education, including Historically Black Colleges 
                and Universities, Hispanic Serving Institutions, and 
                other minority-serving institutions.
            (3) Selection criteria.--
                    (A) Preference.--When making awards under this 
                subsection, the Secretary shall consider each 
                applicant's previous experience involving plug-in 
                hybrid electric vehicles and shall give preference to 
                proposals that--
                            (i) provide the greatest demonstration per 
                        award dollar, with preference increasing as the 
                        number of miles that a plug-in hybrid electric 
                        vehicle can be propelled solely on electric 
                        power under city driving conditions increases; 
                        and
                            (ii) maximize the non-Federal share of 
                        project funding and demonstrate the greatest 
                        likelihood that each project proposed in the 
                        application will be maintained or expanded 
                        after Federal assistance under this subsection 
                        is completed.
                    (B) Breadth of demonstrations.--In awarding grants 
                under this subsection, the Secretary shall ensure the 
                program will demonstrate plug-in hybrid electric 
                vehicles under various circumstances, including--
                            (i) driving speeds;
                            (ii) trip ranges;
                            (iii) driving conditions;
                            (iv) climate conditions; and
                            (v) topography,
                to optimize understanding and function of plug-in 
                hybrid electric vehicles.
            (4) Pilot project requirements.--
                    (A) Subsequent funding.--An applicant that has 
                received a grant in one year may apply for additional 
                funds in subsequent years, but the Secretary shall not 
                provide more than $10,000,000 in Federal assistance 
                under the pilot program to any applicant for the period 
                encompassing fiscal years 2007 through fiscal year 
                2011.
                    (B) Information.--The Secretary shall establish 
                mechanisms to ensure that the information and knowledge 
                gained by participants in the pilot program are shared 
                among the pilot program participants and are available 
                to other interested parties, including other 
                applicants.
            (5) Award amounts.--The Secretary shall determine grant 
        amounts, but the maximum size of grants shall decline as the 
        cost of producing plug-in hybrid electric vehicles declines or 
        the cost of converting a hybrid electric vehicle to a plug-in 
        hybrid electric vehicle declines.
    (e) Cost Sharing.--The Secretary shall carry out the program under 
this section in compliance with section 988(a) through (d) and section 
989 of the Energy Policy Act of 2005 (42 U.S.C. 16352(a) through (d) 
and 16353).
    (f) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretary--
            (1) for carrying out subsection (c), $250,000,000 for each 
        of fiscal years 2007 through 2011, of which up to $50,000,000 
        may be used for the program described in paragraph (5) of that 
        subsection; and
            (2) for carrying out subsection (d), $50,000,000 for each 
        of fiscal years 2007 through 2011.

SEC. 11. PHOTOVOLTAIC DEMONSTRATION PROGRAM.

    (a) Short Title.--This section may be cited as the ``Solar 
Utilization Now Demonstration Act of 2006'' or the ``SUN Act of 2006''.
    (b) In General.--The Secretary shall establish a program of grants 
to States to demonstrate advanced photovoltaic technology.
    (c) Requirements.--
            (1) Ability to meet requirements.--To receive funding under 
        the program under this section, a State must submit a proposal 
        that demonstrates, to the satisfaction of the Secretary, that 
        the State will meet the requirements of subsection (g).
            (2) Compliance with requirements.--If a State has received 
        funding under this section for the preceding year, the State 
        must demonstrate, to the satisfaction of the Secretary, that it 
        complied with the requirements of subsection (g) in carrying 
        out the program during that preceding year, and that it will do 
        so in the future, before it can receive further funding under 
        this section.
            (3) Funding allocation.--Except as provided in subsection 
        (d), each State submitting a proposal that meets the 
        requirements under subsection (c) shall receive funding under 
        the program based on the proportion of United States population 
        in the State according to the 2000 census. In each fiscal year, 
        the portion of funds attributable under this paragraph to 
        States that have not submitted proposals that meet the 
        requirements under subsection (c) in the time and manner 
        specified by the Secretary shall be distributed pro rata to the 
        States that have submitted proposals that meet the requirements 
        under subsection (c) in the specified time and manner.
    (d) Competition.--If more than $80,000,000 is available for the 
program under this section for any fiscal year, the Secretary shall 
allocate 75 percent of the total amount of funds available according to 
subsection (c)(3), and shall award the remaining 25 percent on a 
competitive basis to the States with the proposals the Secretary 
considers most likely to encourage the widespread adoption of 
photovoltaic technologies. In awarding funds under this subsection, the 
Secretary may give preference to proposals that would demonstrate the 
use of newer materials or technologies.
    (e) Proposals.--Not later than 6 months after the date of enactment 
of this Act, and in each subsequent fiscal year for the life of the 
program, the Secretary shall solicit proposals from the States to 
participate in the program under this section.
    (f) Competitive Criteria.--In awarding funds in a competitive 
allocation under subsection (d), the Secretary shall consider--
            (1) the likelihood of a proposal to encourage the 
        demonstration of, or lower the costs of, advanced photovoltaic 
        technologies; and
            (2) the extent to which a proposal is likely to--
                    (A) maximize the amount of photovoltaics 
                demonstrated;
                    (B) maximize the proportion of non-Federal cost 
                share; and
                    (C) limit State administrative costs.
    (g) State Program.--A program operated by a State with funding 
under this section shall provide competitive awards for the 
demonstration of advanced photovoltaic technologies. Each State program 
shall--
            (1) require a contribution of at least 60 percent per award 
        from non-Federal sources, which may include any combination of 
        State, local, and private funds, except that at least 10 
        percent of the funding must be supplied by the State;
            (2) limit awards for any single project to a maximum of 
        $1,000,000;
            (3) prohibit any nongovernmental recipient from receiving 
        more than $1,000,000 per year;
            (4) endeavor to fund recipients in the commercial, 
        industrial, institutional, governmental, and residential 
        sectors;
            (5) limit State administrative costs to no more than 10 
        percent of the grant;
            (6) report annually to the Secretary on--
                    (A) the amount of funds disbursed;
                    (B) the amount of photovoltaics purchased; and
                    (C) the results of the monitoring under paragraph 
                (7);
            (7) provide for measurement and verification of the output 
        of a representative sample of the photovoltaics systems 
        demonstrated throughout the average working life of the 
        systems, or at least 20 years;
            (8) require that applicant buildings must have received an 
        independent energy efficiency audit during the 6-month period 
        preceding the filing of the application; and
            (9) encourage Historically Black Colleges and Universities, 
        Hispanic Serving Institutions, and other minority-serving 
        institutions to apply for grants under this program.
    (h) Unexpended Funds.--If a State fails to expend any funds 
received under subsection (c) or (d) within 3 years of receipt, such 
remaining funds shall be returned to the Treasury.
    (i) Reports.--The Secretary shall report to Congress 5 years after 
funds are first distributed to the States under this section--
            (1) the amount of photovoltaics demonstrated;
            (2) the number of projects undertaken;
            (3) the administrative costs of the program;
            (4) the amount of funds that each State has not received 
        because of a failure to submit a qualifying proposal, as 
        described in subsection (c)(3);
            (5) the results of the monitoring under subsection (g)(7); 
        and
            (6) the total amount of funds distributed, including a 
        breakdown by State.
    (j) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretary for the purposes of carrying out this 
section--
            (1) $50,000,000 for fiscal year 2007;
            (2) $100,000,000 for fiscal year 2008;
            (3) $150,000,000 for fiscal year 2009;
            (4) $200,000,000 for fiscal year 2010; and
            (5) $300,000,000 for fiscal year 2011.

SEC. 12. ENERGY EFFICIENT BUILDING GRANT PROGRAM.

    (a) Energy Efficient Building Pilot Grant Program.--
            (1) In general.--Not later than 6 months after the date of 
        enactment of this Act, the Secretary shall establish a pilot 
        program to award grants to businesses and organizations for new 
        construction of energy efficient buildings, or major 
        renovations of buildings that will result in energy efficient 
        buildings, to demonstrate innovative energy efficiency 
        technologies, especially those sponsored by the Department.
            (2) Awards.--The Secretary shall award grants under this 
        subsection competitively to those applicants whose proposals--
                    (A) best demonstrate--
                            (i) likelihood to meet or exceed the 
                        standards referred to in subsection (b)(2);
                            (ii) likelihood to maximize cost-effective 
                        energy efficiency opportunities; and
                            (iii) advanced energy efficiency 
                        technologies; and
                    (B) maximize the leverage of private investment for 
                costs related to increasing the energy efficiency of 
                the building.
            (3) Consideration.--The Secretary shall give due 
        consideration to proposals for buildings that are likely to 
        serve low and moderate income populations.
            (4) Amount of grants.--Grants under this subsection shall 
        be for up to 50 percent of design and energy modeling costs, 
        not to exceed $50,000 per building. No single grantee may be 
        eligible for more than 3 grants per year under this program.
            (5) Grant payments.--
                    (A) Initial payment.--The Secretary shall pay 50 
                percent of the total amount of the grant to grant 
                recipients upon selection.
                    (B) Remainder of payment.--The Secretary shall pay 
                the remaining 50 percent of the grant only after 
                independent certification, by a professional engineer 
                or other qualified professional, that operational 
                buildings are energy efficient buildings as defined in 
                subsection (b).
                    (C) Failure to comply.--The Secretary shall not 
                provide the remainder of the payment unless the 
                building is certified within 6 months after operation 
                of the completed building to meet the requirements 
                described in subparagraph (B), or in the case of major 
                renovations the building is certified within 6 months 
                of the completion of the renovations.
            (6) Report to congress.--Not later than 3 years after 
        awarding the first grant under this subsection, the Secretary 
        shall transmit to Congress a report containing--
                    (A) the total number and dollar amount of grants 
                awarded under this subsection; and
                    (B) an estimate of aggregate cost and energy 
                savings enabled by the pilot program under this 
                subsection.
            (7) Administrative expenses.--Administrative expenses for 
        the program under this subsection shall not exceed 10 percent 
        of appropriated funds.
    (b) Definition of Energy Efficient Building.--For purposes of this 
section the term ``energy efficient building'' means a building that--
            (1) achieves a reduction in energy consumption of--
                    (A) at least 30 percent for new construction, 
                compared to the energy standards set by the 2004 
                International Energy Conservation Code (in the case of 
                residential buildings) or ASHRAE Standard 90.1-2004; or
                    (B) at least 20 percent for major renovations, 
                compared to energy consumption before renovations are 
                begun;
            (2) is constructed or renovated in accordance with the most 
        current, appropriate, and applicable voluntary consensus 
        standards, as determined by the Secretary, such as those listed 
        in the assessment under section 914(b), or revised or developed 
        under section 914(c), of the Energy Policy Act of 2005; and
            (3) after construction or renovation--
                    (A) uses heating, ventilating, and air conditioning 
                systems that perform at no less than Energy Star 
                standards; or
                    (B) if Energy Star standards are not applicable, 
                uses Federal Energy Management Program recommended 
                heating, ventilating, and air conditioning products.
    (c) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretary for carrying out this section $10,000,000 
for each of the fiscal years 2008 through 2012.

SEC. 13. ENERGY TECHNOLOGY TRANSFER.

    Section 917 of the Energy Policy Act of 2005 (42 U.S.C. 16197) is 
amended to read as follows:

``SEC. 917. ADVANCED ENERGY EFFICIENCY TECHNOLOGY TRANSFER CENTERS.

    ``(a) Grants.--Not later than 18 months after the date of enactment 
of the Energy Research, Development, Demonstration, and Commercial 
Application Act of 2006, the Secretary shall make grants to nonprofit 
institutions, State and local governments, cooperative extension 
services, or universities (or consortia thereof), to establish a 
geographically dispersed network of Advanced Energy Efficiency 
Technology Transfer Centers, to be located in areas the Secretary 
determines have the greatest need of the services of such Centers. In 
establishing the network, the Secretary shall consider the special 
needs and opportunities for increased energy efficiency for 
manufactured and site-built housing, including construction, 
renovation, and retrofit. In making awards under this section, the 
Secretary shall--
            ``(1) give priority to applicants already operating or 
        partnered with an outreach program capable of transferring 
        knowledge and information about advanced energy efficiency 
        methods and technologies;
            ``(2) ensure that, to the extent practicable, the program 
        enables the transfer of knowledge and information--
                    ``(A) about a variety of technologies and
                    ``(B) in a variety of geographic areas; and
            ``(3) give preference to applicants that would 
        significantly expand on or fill a gap in existing programs in a 
        geographical region.
    ``(b) Activities.--Each Center shall operate a program to encourage 
demonstration and commercial application of advanced energy methods and 
technologies through education and outreach to building and industrial 
professionals, and to other individuals and organizations with an 
interest in efficient energy use. Funds awarded under this section may 
be used for the following activities:
            ``(1) Developing and distributing informational materials 
        on technologies that could use energy more efficiently.
            ``(2) Carrying out demonstrations of advanced energy 
        methods and technologies.
            ``(3) Developing and conducting seminars, workshops, long-
        distance learning sessions, and other activities to aid in the 
        dissemination of knowledge and information on technologies that 
        could use energy more efficiently.
            ``(4) Providing or coordinating onsite energy evaluations, 
        including instruction on the commissioning of building heating 
        and cooling systems, for a wide range of energy end-users.
            ``(5) Examining the energy efficiency needs of energy end-
        users to develop recommended research projects for the 
        Department.
            ``(6) Hiring experts in energy efficient technologies to 
        carry out activities described in paragraphs (1) through (5).
    ``(c) Application.--A person seeking a grant under this section 
shall submit to the Secretary an application in such form and 
containing such information as the Secretary may require. The Secretary 
may award a grant under this section to an entity already in existence 
if the entity is otherwise eligible under this section. The application 
shall include, at a minimum--
            ``(1) a description of the applicant's outreach program, 
        and the geographic region it would serve, and of why the 
        program would be capable of transferring knowledge and 
        information about advanced energy technologies that increase 
        efficiency of energy use;
            ``(2) a description of the activities the applicant would 
        carry out, of the technologies that would be transferred, and 
        of any other organizations that will help facilitate a regional 
        approach to carrying out those activities;
            ``(3) a description of how the proposed activities would be 
        appropriate to the specific energy needs of the geographic 
        region to be served;
            ``(4) an estimate of the number and types of energy end-
        users expected to be reached through such activities; and
            ``(5) a description of how the applicant will assess the 
        success of the program.
    ``(d) Selection Criteria.--The Secretary shall award grants under 
this section on the basis of the following criteria, at a minimum:
            ``(1) The ability of the applicant to carry out the 
        proposed activities.
            ``(2) The extent to which the applicant will coordinate the 
        activities of the Center with other entities as appropriate, 
        such as State and local governments, utilities, universities, 
        and National Laboratories.
            ``(3) The appropriateness of the applicant's outreach 
        program for carrying out the program described in this section.
            ``(4) The likelihood that proposed activities could be 
        expanded or used as a model for other areas.
    ``(e) Cost-Sharing.--In carrying out this section, the Secretary 
shall require cost-sharing in accordance with the requirements of 
section 988 for commercial application activities.
    ``(f) Duration.--
            ``(1) Initial grant period.--A grant awarded under this 
        section shall be for a period of 5 years.
            ``(2) Initial evaluation.--Each grantee under this section 
        shall be evaluated during its third year of operation under 
        procedures established by the Secretary to determine if the 
        grantee is accomplishing the purposes of this section described 
        in subsection (a). The Secretary shall terminate any grant that 
        does not receive a positive evaluation. If an evaluation is 
        positive, the Secretary may extend the grant for 3 additional 
        years beyond the original term of the grant.
            ``(3) Additional extension.--If a grantee receives an 
        extension under paragraph (2), the grantee shall be evaluated 
        again during the second year of the extension. The Secretary 
        shall terminate any grant that does not receive a positive 
        evaluation. If an evaluation is positive, the Secretary may 
        extend the grant for a final additional period of 3 additional 
        years beyond the original extension.
            ``(4) Limitation.--No grantee may receive more than 11 
        years of support under this section without reapplying for 
        support and competing against all other applicants seeking a 
        grant at that time.
    ``(g) Prohibition.--None of the funds awarded under this section 
may be used for the construction of facilities.
    ``(h) Definitions.--For purposes of this section:
            ``(1) Advanced energy methods and technologies.--The term 
        `advanced energy methods and technologies' means all methods 
        and technologies that promote energy efficiency and 
        conservation, including distributed generation technologies, 
        and life-cycle analysis of energy use.
            ``(2) Center.--The term `Center' means an Advanced Energy 
        Technology Transfer Center established pursuant to this 
        section.
            ``(3) Distributed generation.--The term `distributed 
        generation' means an electric power generation technology, 
        including photovoltaic, small wind and micro-combined heat and 
        power, that is designed to serve retail electric consumers on-
        site.
            ``(4) Cooperative extension.--The term `Cooperative 
        Extension' means the extension services established at the 
        land-grant colleges and universities under the Smith-Lever Act 
        of May 8, 1914.
            ``(5) Land-grant colleges and universities.--The term 
        `land-grant colleges and universities' means--
                    ``(A) 1862 Institutions (as defined in section 2 of 
                the Agricultural Research, Extension, and Education 
                Reform Act of 1998 (7 U.S.C. 7601));
                    ``(B) 1890 Institutions (as defined in section 2 of 
                that Act); and
                    ``(C) 1994 Institutions (as defined in section 2 of 
                that Act).
    ``(i) Authorization of Appropriations.--In addition to amounts 
otherwise authorized to be appropriated in section 911, there are 
authorized to be appropriated for the program under this section such 
sums as may be appropriated.''.

SEC. 14. GREEN ENERGY EDUCATION.

    (a) Definition.--For the purposes of this section:
            (1) Director.--The term ``Director'' means the Director of 
        the National Science Foundation.
            (2) High performance building.--The term ``high performance 
        building'' has the meaning given that term in section 914(a) of 
        the Energy Policy Act of 2005 (42 U.S.C. 16194(a)).
    (b) Graduate Training in Energy Research and Development.--
            (1) Funding.--In carrying out research, development, 
        demonstration, and commercial application activities authorized 
        for the Department, the Secretary may contribute funds to the 
        National Science Foundation for the Integrative Graduate 
        Education and Research Traineeship program to support projects 
        that enable graduate education related to such activities.
            (2) Consultation.--The Director shall consult with the 
        Secretary when preparing solicitations and awarding grants for 
        projects described in paragraph (1).
    (c) Curriculum Development for High Performance Building Design.--
            (1) Funding.--In carrying out advanced energy technology 
        research, development, demonstration, and commercial 
        application activities authorized for the Department related to 
        high performance buildings, the Secretary may contribute funds 
        to curriculum development activities at the National Science 
        Foundation for the purpose of improving undergraduate or 
        graduate interdisciplinary engineering and architecture 
        education related to the design and construction of high 
        performance buildings, including development of curricula, of 
        laboratory activities, of training practicums, or of design 
        projects. A primary goal of curriculum development activities 
        supported under this section shall be to improve the ability of 
        engineers, architects, and planners to work together on the 
        incorporation of advanced energy technologies during the design 
        and construction of high performance buildings.
            (2) Consultation.--The Director shall consult with the 
        Secretary when preparing solicitations and awarding grants for 
        projects described in paragraph (1).
            (3) Priority.--In awarding grants with respect to which the 
        Secretary has contributed funds under this subsection, the 
        Director shall give priority to applications from departments, 
        programs, or centers of a school of engineering that are 
        partnered with schools, departments, or programs of design, 
        architecture, and city, regional, or urban planning, and due 
        consideration to applications from Historically Black Colleges 
        and Universities and other minority serving institutions.

SEC. 15. ARPA-E STUDY.

    (a) In General.--The Secretary shall enter into an arrangement with 
the National Academy of Sciences to conduct a detailed study of, and 
make further recommendations on, the October 2005 National Academy of 
Sciences recommendation to establish an Advanced Research Projects 
Agency-Energy (in this section referred to as ARPA-E).
    (b) Report.--Not later than 12 months after the date of enactment 
of this Act, the Secretary shall transmit to Congress the study 
described in subsection (a) and the Secretary's response to the 
findings, conclusions, and recommendations of that study.
    (c) Terms of Reference.--The Secretary shall ensure that the study 
described in subsection (a) addresses the following questions:
            (1) What basic research related to new energy technologies 
        is occurring now, what entities are funding it, and what is 
        preventing the results of that research from reaching the 
        market?
            (2) What economic evidence indicates that the limiting 
        factor in the market penetration of new energy technologies is 
        a lack of basic research on pathbreaking new technologies? What 
        barriers do those trying to develop new energy technologies 
        face during later stages of research and development?
            (3) To what extent is the Defense Advanced Research 
        Projects Agency an appropriate model for an energy research 
        agency, given that the Federal Government would not be the 
        primary customer for its technology and where cost is an 
        important concern?
            (4) How would research and development sponsored by ARPA-E 
        differ from research and development conducted by the National 
        Laboratories or sponsored by the Department through the Office 
        of Science, the Office of Energy Efficiency and Renewable 
        Energy, the Office of Fossil Energy, the Office of Electricity 
        Delivery and Energy Reliability, and the Office of Nuclear 
        Energy?
            (5) Should industry or National Laboratories be recipients 
        of ARPA-E grants? What institutional or organizational 
        arrangements would be required to ensure that ARPA-E sponsors 
        transformational, rather than incremental, research and 
        development?

SEC. 16. COAL METHANATION.

    (a) Program.--The Secretary shall establish a program of research, 
development, demonstration, and commercial application of coal 
gasification facilities that convert coal into pipeline quality gaseous 
fuels for direct use or subsequent chemical or physical conversion.
    (b) Procedures.--The program established under subsection (a) shall 
be carried out using procedures described in title XVII of the Energy 
Policy Act of 2005.

SEC. 17. ALTERNATIVE BIOBASED FUELS AND ULTRA LOW SULFUR DIESEL.

    (a) Alternative Fuel and ULSD Infrastructure and Additives Research 
and Development.--The Secretary, in consultation with the National 
Institute of Standards and Technology, shall carry out a program of 
research, development, demonstration, and commercial application of 
materials to be added to alternative biobased fuels and Ultra Low 
Sulfur Diesel fuels to make them more compatible with existing 
infrastructure used to store and deliver petroleum-based fuels to the 
point of final sale. The program shall address--
            (1) materials to prevent or mitigate--
                    (A) corrosion of metal, plastic, rubber, cork, 
                fiberglass, glues, or any other material used in pipes 
                and storage tanks;
                    (B) dissolving of storage tank sediments;
                    (C) clogging of filters;
                    (D) contamination from water or other adulterants 
                or pollutants;
                    (E) poor flow properties related to low 
                temperatures;
                    (F) oxidative and thermal instability in long-term 
                storage and use;
                    (G) increased volatile emissions;
                    (H) microbial contamination;
                    (I) problems associated with electrical 
                conductivity; and
                    (J) increased nitrogen oxide emissions;
            (2) alternatives to conventional methods for refurbishment 
        and cleaning of gasoline and diesel tanks, including tank 
        lining applications; and
            (3) other problems as identified by the Secretary in 
        consultation with the National Institute of Standards and 
        Technology.
    (b) Sulfur Testing for Diesel Fuels.--
            (1) Program.--The Secretary, in consultation with the 
        National Institute of Standards and Technology, shall carry out 
        a research, development, and demonstration program on portable, 
        low-cost, and accurate methods and technologies for testing of 
        sulfur content in fuel, including Ultra Low Sulfur Diesel and 
        Low Sulfur Diesel.
            (2) Schedule of demonstrations.--Not later than 1 year 
        after the date of enactment of this Act, the Secretary shall 
        begin demonstrations of technologies under paragraph (1).
    (c) Standard Reference Materials and Data Base Development.--Not 
later than 6 months after the date of enactment of this Act, the 
National Institute of Standards and Technology shall develop a physical 
properties data base and standard reference materials for alternative 
fuels. Such data base and standard reference materials shall be 
maintained and updated as appropriate as additional alternative fuels 
become available.

SEC. 18. BIOENERGY.

    (a) Authorization of Appropriations.--Section 931 of the Energy 
Policy Act of 2005 (42 U.S.C. 16231) is amended--
            (1) in subsection (c)(1), by inserting ``, including 
        $25,000,000 for section 932(d)(1)(B)(v)'' after ``section 
        932(d)'';
            (2) in subsection (c)(2), by inserting ``, including 
        $25,000,000 for section 932(d)(1)(B)(v)'' after ``section 
        932(d)''; and
            (3) in subsection (c)(3), by inserting ``, including 
        $25,000,000 for section 932(d)(1)(B)(v)'' after ``section 
        932(d)''.
    (b) Bioenergy Program.--Section 932(d)(1)(B) of the Energy Policy 
Act of 2005 (42 U.S.C. 16232(d)(1)(B)) is amended--
            (1) by striking ``and'' at the end of clause (iii); and
            (2) by adding after clause (iv) the following new clause:
                            ``(v) biodegradable natural plastics from 
                        biomass; and''.
                                                 Union Calendar No. 352

109th CONGRESS

  2d Session

                               H. R. 5656

                          [Report No. 109-611]

_______________________________________________________________________

                                 A BILL

To provide for Federal energy research, development, demonstration, and 
       commercial application activities, and for other purposes.

_______________________________________________________________________

                             July 28, 2006

  Reported with an amendment, committed to the Committee of the Whole 
       House on the State of the Union, and ordered to be printed