[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2972 Introduced in House (IH)]

113th CONGRESS
  1st Session
                                H. R. 2972

 To amend the Internal Revenue Code of 1986 to provide tax incentives 
              for producing electricity from wasted heat.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             August 1, 2013

  Mr. Tonko introduced the following bill; which was referred to the 
                      Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
 To amend the Internal Revenue Code of 1986 to provide tax incentives 
              for producing electricity from wasted heat.

    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 ``Heat is Power Act''.

SEC. 2. ENERGY CREDIT FOR WASTED HEAT TO ELECTRICITY PROPERTY.

    (a) In General.--Subparagraph (A) of section 48(a)(3) of the 
Internal Revenue Code of 1986 is amended by striking ``or'' at the end 
of clause (vi), by inserting ``or'' at the end of clause (vii), and by 
adding at the end the following new clause:
                            ``(viii) wasted heat to electricity 
                        property,''.
    (b) Wasted Heat to Electricity Property.--Subsection (c) of section 
48 of such Code is amended by adding at the end the following new 
paragraph:
            ``(5) Wasted heat to electricity property.--
                    ``(A) Wasted heat to electricity property.--The 
                term `wasted heat to electricity property' means 
                property comprising a system which generates 
                electricity through the recovery of a qualified wasted 
                heat resource.
                    ``(B) Qualified wasted heat resource defined.--The 
                term `qualified wasted heat resource' means--
                            ``(i) exhaust heat or flared gas from any 
                        industrial process,
                            ``(ii) waste gas or industrial tail gas 
                        that would otherwise be flared, incinerated, or 
                        vented,
                            ``(iii) a pressure drop in any gas, 
                        excluding any pressure drop to a condenser that 
                        subvents the resulting head, or
                            ``(iv) such other forms of wasted heat 
                        resources as the Secretary may determine.
                    ``(C) Exception.--The term `qualified wasted heat 
                resource' does not include any heat resource from a 
                process whose primary purpose is the generation of 
                electricity utilizing a fossil fuel.''.
    (c) Temporarily 30-Percent Energy Property.--Clause (i) of section 
48(a)(2)(A) of such Code is amended by striking ``and'' at the end of 
subclause (III) and by adding at the end the following new subclause:
                                    ``(V) energy property described in 
                                (3)(A)(viii), but only with respect to 
                                periods ending before January 1, 2018, 
                                and''.
    (d) Effective Date.--The amendments made by this section shall 
apply to property placed in service after the date of the enactment of 
this Act.

SEC. 3. PRODUCTION CREDIT FOR ELECTRICITY PRODUCED FROM WASTED HEAT.

    (a) In General.--Paragraph (1) of section 45(c) of the Internal 
Revenue Code of 1986 is amended by striking ``and'' at the end of 
subparagraph (H), by striking the period at the end of subparagraph (I) 
and inserting ``, and'', and by adding at the end the following new 
subparagraph:
                    ``(J) wasted heat.''.
    (b) Wasted Heat.--Subsection (c) of section 45 of such Code is 
amended by adding at the end the following new paragraph:
            ``(11) Wasted heat.--The term `wasted heat' means a 
        qualified wasted heat resource (as defined by section 
        48(c)(5)).''.
    (c) Definition of Facility.--Subsection (d) of section 45 of such 
Code is amended by adding at the end the following new paragraph:
            ``(12) Wasted heat facility.--In the case of a facility 
        using wasted heat to produce electricity, the term `qualified 
        facility' means any facility owned by the taxpayer which is 
        originally placed in service before January 1, 2018.''.
    (d) Credit Rate.--Subparagraph (A) of section 45(b)(4) of such Code 
is amended by striking ``or (11)'' and inserting ``(11), or (12)''.
    (e) Effective Date.--The amendments made by this section shall 
apply to property placed in service after the date of the enactment of 
this Act.
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