[Congressional Record Volume 152, Number 125 (Friday, September 29, 2006)]
[Senate]
[Page S10692]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. SMITH (for himself and Mr. Wyden):
  S. 4013. A bill to amend the Internal Revenue Code of 1986 to expand 
the resources eligible for the renewable energy credit to kinetic 
hydropower, and for other purposes; to the Committee on Finance.
  Mr. SMITH. Mr. President, I rise to introduce a bill that will 
further our Nation's energy independence, and provide for sustainable 
electricity generation. This bill, which is cosponsored by my colleague 
from Oregon Senator Wyden, will make facilities that generate 
electricity using kinetic hydropower eligible for a production tax 
credit.
  Under this bill, kinetic hydropower is defined as: ocean free flowing 
water derived from flows from tidal currents, ocean currents, waves, or 
estuary currents; ocean thermal energy; or free flowing water in 
rivers, lakes, man-made channels, or streams.
  These innovative technologies are renewable, non-emitting resources 
that can help meet our Nation's growing demand for electricity. In 
Oregon, it would be possible to produce and transmit over two hundred 
megawatts of wave energy without any upgrades to the existing 
transmission system on the coast. Already a number of preliminary 
permits have been filed at the Federal Energy Regulatory Commission for 
wave energy facilities off the Oregon coast.
  These facilities would be virtually invisible from shore, and could 
provide predictable generation that could be easily integrated with 
other electricity resources. In addition, according to a January 2005 
report issued by the Electric Power Research Institute, ``with proper 
siting, converting ocean wave energy to electricity is believed to be 
one of the most environmentally benign ways to generate electricity.''
  As with many emerging renewable technologies, wave and tidal energy 
are more costly than traditional generation using fossil fuels. Yet, 
for our environment and our energy security, we must provide incentives 
that will encourage the development and commercialization of these 
resources.
  I urge my colleagues to support this important legislation, and to 
provide this production tax credit.
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