[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[S. 545 Introduced in Senate (IS)]

113th CONGRESS
  1st Session
                                 S. 545

             To improve hydropower, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             March 13, 2013

  Ms. Murkowski (for herself, Mr. Wyden, Mr. Risch, Ms. Cantwell, Mr. 
  Crapo, Mrs. Murray, and Mr. Begich) introduced the following bill; 
   which was read twice and referred to the Committee on Energy and 
                           Natural Resources

_______________________________________________________________________

                                 A BILL


 
             To improve hydropower, 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; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Hydropower 
Improvement Act of 2013''.
    (b) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings.
Sec. 3. Definitions.
Sec. 4. Sense of the Senate on the use of hydropower renewable 
                            resources.
Sec. 5. Promoting hydropower development at nonpowered dams and closed 
                            loop pumped storage projects.
Sec. 6. Promoting conduit hydropower projects.
Sec. 7. Promoting small hydroelectric power projects.
Sec. 8. FERC authority to extend preliminary permit terms.
Sec. 9. Study of pumped storage and potential hydropower from conduits.
Sec. 10. Report on memorandum of understanding on hydropower.

SEC. 2. FINDINGS.

    Congress finds that--
            (1) hydropower is the largest source of clean, renewable 
        electricity in the United States;
            (2) as of the date of enactment of this Act, hydropower 
        resources, including pumped storage facilities, provide--
                    (A) nearly 7 percent of the electricity generated 
                in the United States, avoiding approximately 
                200,000,000 metric tons of carbon emissions each year; 
                and
                    (B) approximately 100,000 megawatts of electric 
                capacity in the United States;
            (3) only 3 percent of the 80,000 dams in the United States 
        generate electricity so there is substantial potential for 
        adding hydropower generation to nonpower dams;
            (4) in every State, a tremendous untapped growth potential 
        exists in hydropower resources, including--
                    (A) efficiency improvements and capacity additions;
                    (B) adding generation to nonpower dams;
                    (C) conduit hydropower;
                    (D) conventional hydropower;
                    (E) pumped storage facilities; and
                    (F) new marine and hydrokinetic resources; and
            (5) improvements in increased hydropower production in the 
        United States have the potential--
                    (A) to increase the clean energy generation of the 
                United States;
                    (B) to improve project performance and result in 
                better environmental outcomes; and
                    (C) to provide ancillary benefits that include grid 
                reliability, energy storage, and integration services 
                for variable renewable resources.

SEC. 3. DEFINITIONS.

    In this Act:
            (1) Conduit.--The term ``conduit'' means any tunnel, canal, 
        pipeline, aqueduct, flume, ditch, or similar manmade water 
        conveyance that is operated for the distribution of water for 
        agricultural, municipal, or industrial consumption and not 
        primarily for the generation of electricity.
            (2) Secretary.--The term ``Secretary'' means the Secretary 
        of Energy.
            (3) Small hydroelectric power project.--The term ``small 
        hydroelectric power project'' has the meaning given the term in 
        section 4.30 of title 18, Code of Federal Regulations.

SEC. 4. SENSE OF THE SENATE ON THE USE OF HYDROPOWER RENEWABLE 
              RESOURCES.

    It is the sense of the Senate that the United States should 
increase substantially the capacity and generation of clean, renewable 
hydropower which will improve the environmental quality of resources in 
the United States and support local job creation and economic 
investment across the United States.

SEC. 5. PROMOTING HYDROPOWER DEVELOPMENT AT NONPOWERED DAMS AND CLOSED 
              LOOP PUMPED STORAGE PROJECTS.

    (a) In General.--To improve the regulatory process and reduce 
delays and costs for hydropower development at nonpowered dams and 
closed loop pumped storage projects, the Federal Energy Regulatory 
Commission (referred to in this section as the ``Commission'') shall 
investigate the feasibility of the issuance of a license for certain 
hydropower development during the 2-year period beginning on the date 
of commencement of the prefiling licensing process of the Commission 
(referred to in this section as a ``2-year process'').
    (b) Workshops and Pilots.--The Commission shall--
            (1) not later than 60 days after the date of enactment of 
        this Act, hold an initial workshop to solicit public comment 
        and recommendations on how to implement a 2-year process;
            (2) develop criteria for identifying projects featuring 
        hydropower development at nonpowered dams and closed loop 
        pumped storage projects that may be appropriate for licensing 
        within a 2-year process;
            (3) not later than 180 days after the date of enactment of 
        this Act, develop and implement pilot projects to test a 2-year 
        process, if practicable; and
            (4) not later than 3 years after the date of implementation 
        of any pilot project to test a 2-year process, hold a final 
        workshop to solicit public comment on the effectiveness of the 
        pilot project.
    (c) Memorandum of Understanding.--The Commission shall, to the 
maximum extent practicable, enter into a memorandum of understanding 
with any applicable Federal or State agency to implement a pilot 
project described in subsection (b).
    (d) Reports.--
            (1) Pilot projects not implemented.--If the Commission 
        determines that the pilot projects described in subsection (b) 
        are not practicable, not later than 240 days after the date of 
        enactment of this Act, the Commission 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 public comments received as part 
                of the initial workshop held under subsection (b)(1); 
                and
                    (B) identifies the process, legal, environmental, 
                economic, and other issues that justify the 
                determination of the Commission that a 2-year process 
                is not practicable, with recommendations on how 
                Congress may address or remedy the identified issues.
            (2) Pilot projects implemented.--If the Commission develops 
        and implements pilot projects involving a 2-year process 
        described in subsection (b), not later than 60 days after the 
        date of completion of any final workshop held under subsection 
        (b)(4), the Commission 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 outcomes of the pilot projects;
                    (B) describes the public comments from the final 
                workshop on the effectiveness of the pilot projects; 
                and
                    (C)(i) outlines how the Commission will adopt 
                policies under existing law (including regulations) 
                that result in a 2-year process;
                    (ii) outlines how the Commission will proceed with 
                a rulemaking to adopt a 2-year process in the 
                regulations of the Commission; or
                    (iii) identifies the process, legal, environmental, 
                economic, and other issues that justify the 
                determination of the Commission that a 2-year process 
                is not practicable, with recommendations on how 
                Congress may address or remedy the identified issues.

SEC. 6. PROMOTING CONDUIT HYDROPOWER PROJECTS.

    (a) Applicability of, and Exemption From, Licensing Requirements.--
Section 30 of the Federal Power Act (16 U.S.C. 823a) is amended--
            (1) by redesignating subsections (c) through (e) as 
        subsections (d) through (f), respectively;
            (2) by striking ``Sec. 30.'' and all that follows through 
        the end of subsection (b) and inserting the following:

``SEC. 30. CONDUIT HYDROPOWER FACILITIES.

    ``(a) Definitions.--In this section:
            ``(1) Conduit.--The term `conduit' means any tunnel, canal, 
        pipeline, aqueduct, flume, ditch, or similar manmade water 
        conveyance that is operated--
                    ``(A) for the distribution of water for 
                agricultural, municipal, or industrial consumption; and
                    ``(B) not primarily for the generation of 
                electricity.
            ``(2) Qualifying conduit hydropower facility.--The term 
        `qualifying conduit hydropower facility' means a facility (not 
        including any dam or other impoundment) that is determined or 
        deemed under subsection (b)(2)(D) to meet the qualifying 
        criteria.
            ``(3) Qualifying criteria.--The term `qualifying criteria' 
        means, with respect to a facility, that--
                    ``(A) the facility is constructed, operated, or 
                maintained for the generation of electric power and 
                uses for the generation only the hydroelectric 
                potential of a non-federally owned conduit;
                    ``(B) the facility has an installed capacity that 
                does not exceed 5 megawatts; and
                    ``(C) on or before the date of enactment of the 
                Hydropower Improvement Act of 2013, the facility is not 
                licensed under, or exempted from the license 
                requirements contained in, this part.
    ``(b) Administration.--
            ``(1) In general.--A qualifying conduit hydropower facility 
        shall not be required to be licensed under this part.
            ``(2) Notice of intent to construct facility.--
                    ``(A) In general.--Any person, State, or 
                municipality proposing to construct a qualifying 
                conduit hydropower facility shall file with the 
                Commission a notice of intent to construct the 
                qualifying conduit hydropower facility.
                    ``(B) Information.--The notice shall include 
                sufficient information to demonstrate that the facility 
                meets the qualifying criteria.
                    ``(C) Initial determination.--Not later than 15 
                days after receipt of a notice of intent is filed under 
                subparagraph (A), the Commission shall--
                            ``(i) make an initial determination as to 
                        whether the facility meets the qualifying 
                        criteria; and
                            ``(ii) if the Commission makes an initial 
                        determination, pursuant to clause (i) that the 
                        facility meets the qualifying criteria, publish 
                        public notice of the notice of intent filed 
                        under subparagraph (A).
                    ``(D) Final determination.--If, not later than 45 
                days after the date of publication of the public notice 
                described in subparagraph (C)(ii)--
                            ``(i) an entity contests whether the 
                        facility meets the qualifying criteria, the 
                        Commission shall promptly issue a written 
                        determination as to whether the facility meets 
                        the qualifying criteria; or
                            ``(ii) no entity contests whether the 
                        facility meets the qualifying criteria, the 
                        facility shall be considered to meet the 
                        qualifying criteria.
    ``(c) Exemptions.--Subject to subsection (d), the Commission may 
grant an exemption in whole or in part from the requirements of this 
part, including any license requirements contained in this part, to any 
facility (not including any dam or other impoundment) constructed, 
operated, or maintained for the generation of electric power that the 
Commission determines, by rule or order--
            ``(1) uses for the generation only the hydroelectric 
        potential of a conduit; and
            ``(2) has an installed capacity that does not exceed 40 
        megawatts.'';
            (3) in subsection (d) (as redesigned by paragraph (1)), by 
        striking ``subsection (a)'' and inserting ``subsection (c)''; 
        and
            (4) in subsection (e) (as so redesignated), by striking 
        ``subsection (a)'' and inserting ``subsection (c)''.
    (b) Conforming Amendments.--
            (1) Section 210(j)(3) of the Public Utility Regulatory 
        Policies Act of 1978 (16 U.S.C. 824a-3(j)(3)) is amended by 
        striking ``section 30(c)'' and inserting ``section 30(d)''.
            (2) Section 405(d) of the Public Utility Regulatory 
        Policies Act of 1978 (16 U.S.C. 2705(d)) is amended in the 
        first sentence--
                    (A) by striking ``subsections (c) and (d)'' each 
                place it appears and inserting ``subsections (d) and 
                (e)''; and
                    (B) by striking ``subsection (a) of such section 
                30'' and inserting ``section 30(c) of that Act''.
            (3) Section 3401(a)(2) of the Omnibus Budget Reconciliation 
        Act of 1986 (42 U.S.C. 7178(a)(2)) is amended by striking 
        ``30(e)'' and inserting ``30(f)''.
            (4) Section 242(b)(3) of the Energy Policy Act of 2005 (42 
        U.S.C. 15881(b)(3)) is amended by striking ``section 30(a)(2) 
        of the Federal Power Act (16 U.S.C. 823a(a)(2))'' and inserting 
        ``section 30(a) of the Federal Power Act (16 U.S.C. 823a(a))''.

SEC. 7. PROMOTING SMALL HYDROELECTRIC POWER PROJECTS.

    Section 405(d) of the Public Utility Regulatory Policies Act of 
1978 (16 U.S.C. 2705(d)) is amended in the first sentence by striking 
``5,000'' and inserting ``10,000''.

SEC. 8. FERC AUTHORITY TO EXTEND PRELIMINARY PERMIT TERMS.

    Section 5 of the Federal Power Act (16 U.S.C. 798) is amended--
            (1) by designating the first, second, and third sentences 
        as subsections (a), (c), and (d), respectively; and
            (2) by inserting after subsection (a) (as so designated) 
        the following:
    ``(b) Extension.--The Commission may extend the term of a 
preliminary permit once for not more than 2 additional years if the 
Commission finds that the permittee has carried out activities under 
the permit in good faith and with reasonable diligence.''.

SEC. 9. STUDY OF PUMPED STORAGE AND POTENTIAL HYDROPOWER FROM CONDUITS.

    (a) In General.--The Secretary shall conduct a study--
            (1)(A) of the technical flexibility that existing pumped 
        storage facilities can provide to support intermittent 
        renewable electric energy generation, including the potential 
        for those existing facilities to be upgraded or retrofitted 
        with advanced commercially available technology; and
            (B) of the technical potential of existing pumped storage 
        facilities and new advanced pumped storage facilities, to 
        provide grid reliability benefits; and
            (2)(A) to identify the range of opportunities for 
        hydropower that may be obtained from conduits (as defined by 
        the Secretary) in the United States; and
            (B) through case studies, to assess amounts of potential 
        energy generation from such conduit hydropower projects.
    (b) Report.--Not later than 1 year after the date of enactment of 
this Act, 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 describes the 
results of the study conducted under subsection (a), including any 
recommendations.

SEC. 10. REPORT ON MEMORANDUM OF UNDERSTANDING ON HYDROPOWER.

    Not later than 180 days after the date of enactment of this Act, 
the President 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 on actions taken by the Department of 
Energy, the Department of the Interior, and the Corps of Engineers to 
carry out the memorandum of understanding on hydropower entered into on 
March 24, 2010, with particular emphasis on actions taken by the 
agencies to work together and investigate ways to efficiently and 
responsibly facilitate the Federal permitting process for Federal and 
non-Federal hydropower projects at Federal facilities, within existing 
authority.
                                 <all>