[Congressional Record Volume 156, Number 103 (Tuesday, July 13, 2010)]
[Senate]
[Pages S5787-S5790]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Ms. MURKOWSKI (for herself, Mrs. Murray, Ms. Cantwell, and Mr. 
        Crapo):
  S. 3570. A bill to improve hydropower, and for other purposes; to the 
Committee on Energy and Natural Resources.
  Ms. MURKOWSKI. Mr. President, I rise today to introduce two pieces of 
legislation aimed at increasing the production of our hardest working 
renewable resource, one that often gets overlooked in the clean energy 
debate--hydropower. The first bill I would like to

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introduce today is the Hydropower Improvement Act of 2010, co-sponsored 
by my colleagues Senators Murray, Cantwell, and Crapo, true hydropower 
advocates. The Hydropower Improvement Act of 2010 seeks to 
substantially increase the capacity and generation of our clean, 
renewable hydropower resources that will improve environmental quality 
and support hundreds of thousands of green energy jobs.
  There is no question that hydropower is, and must continue to be, 
part of our energy solution. It is the largest source of renewable 
electricity in the United States. The 96,000 megawatts of hydroelectric 
capacity we now have today provide about 7 percent of the Nation's 
electricity needs. Hydroelectric generation is carbon-free baseload 
power that allows us to avoid 225 million metric tons of carbon 
emissions each year. Hydropower is clean efficient, and inexpensive. 
Yet, despite its tremendous benefits, I am constantly amazed at how 
some undervalue this important resource.
  Perhaps it is because conventional wisdom dismisses our Nation's 
hydropower capacity as tapped out. That is simply not the case. If 
anything, hydropower is really an under-developed resource--something 
we certainly understand in my home state of Alaska where hydro already 
supplies 24 percent of the state's electricity needs and over 200 
promising sites for further hydropower development have been 
identified. There is great potential for additional hydropower 
development in every State, not just Alaska.
  According to the Obama administration, conventional hydropower 
facilities have the capacity to generate an additional 75,000 megawatts 
of power--a staggering amount of clean, inexpensive power. Now that 
doesn't seem possible until you realize that only 3 percent of the 
country's 80,000 existing dams are even electrified. Significant 
amounts of new capacity--anywhere between 20,000 and 60,000 megawatts--
can be derived from simple efficiency improvements or capacity 
additions at existing facilities.
  Additional hydropower can be captured in existing man-made conduits 
and hydroelectric pumped storage projects can help reliably integrate 
other renewable resources that are intermittent, such as wind, onto our 
grid.
  The Hydropower Improvement Act of 2010 seeks to increase 
substantially our nation's hydropower capacity in an effort to expand 
renewable power generation and create much needed American jobs. The 
legislation establishes a competitive grants program to support further 
hydropower development and directs the Energy Department to produce and 
implement a plan for the research, development and demonstration of 
increased hydropower capacity. The bill provides the Federal Energy 
Regulatory Commission with additional authority to extend preliminary 
permit terms; to work with Federal resource agencies to streamline the 
review process for conduit hydropower projects; and to conduct a Notice 
of Inquiry into a possible two-year licensing process for certain 
minimal impact projects. The Act also calls for studies on pumped 
storage sites and the potential for nonfederal development at Bureau of 
Reclamation facilities, and authorizes training for hydroelectric power 
technology at community colleges.
  It is my hope that as the Senate turns to energy legislation, we can 
finally recognize the important contribution the renewable resource of 
hydropower makes, and will continue to make, to our clean energy goals. 
This legislation is supported by the National Hydropower Association, 
the American Public Power Association, the Family Farm Alliance, the 
National Rural Electric Cooperative Association, the Edison Electric 
Institute, and the National Water Resources Association. I ask my 
colleagues to join me in supporting the Hydropower Improvement Act of 
2010 to promote the further development of our most cost-effective, 
clean energy option while creating hundreds of thousands of new green 
jobs.
  Mr. President, I ask unanimous consent that the text of the bill be 
printed in the Record.
  There being no objection, the text of the bill was ordered to be 
printed in the Record, as follows:

                                S. 3570

       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 2010''.
       (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 Congress on the use of hydropower renewable resources.
Sec. 5. Grants for improvements for increased hydropower production.
Sec. 6. Plan for research, development, and demonstration to increase 
              hydropower capacity.
Sec. 7. Notice of inquiry for minimal impact hydropower projects.
Sec. 8. FERC authority to extend preliminary permit terms.
Sec. 9. Streamlining review process for conduit hydropower projects.
Sec. 10. Non-Federal hydropower development at Bureau of Reclamation 
              projects.
Sec. 11. Pumped storage study.
Sec. 12. National Renewable Energy Deployment Program.
Sec. 13. Hydroelectric power worker training.
Sec. 14. Report on memorandum of understanding on hydropower.
Sec. 15. Nonapplication to Federal Power Marketing Administrations.
Sec. 16. Budgetary effects.

     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) 7 percent of the electricity generated in the United 
     States, avoiding 225,000,000 metric tons of carbon emissions 
     each year; and
       (B) approximately 96,000 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 create hundreds of thousands of new green jobs 
     during the next 15 years;
       (B) to increase the clean energy generation of the United 
     States; 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.

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

       It is the sense of Congress that the United States should 
     increase substantially the capacity and generation of clean, 
     renewable hydropower resources which will improve 
     environmental quality in the United States and support 
     hundreds of thousands of green energy jobs.

     SEC. 5. GRANTS FOR IMPROVEMENTS FOR INCREASED HYDROPOWER 
                   PRODUCTION.

       (a) In General.--As soon as practicable after the date of 
     enactment of this Act, the Secretary shall establish in the 
     Department of Energy a program under which the Secretary 
     shall make competitive grants to eligible entities that--
       (1) make efficiency improvements or capacity additions at 
     an existing hydroelectric power generating facility;
       (2) add hydropower generation to a nonpower dam;
       (3) develop pumped storage facilities;
       (4) address aging infrastructure at existing hydroelectric 
     power generating facilities; and
       (5) develop hydroelectric generation within existing 
     conduits.
       (b) Administration.--
       (1) In general.--The Secretary shall establish terms and 
     conditions, including eligibility, for the receipt of grants 
     under this section.
       (2) Inclusions.--In carrying out this section, the 
     Secretary shall ensure that powerhouses and projects that 
     require new dam infrastructure are included among the 
     eligible entities that may receive grants under this section.
       (c) Cost Sharing.--The Secretary shall carry out the 
     program under this section in compliance with sections 988 
     and 989 of the Energy Policy Act of 2005 (42 U.S.C. 16352, 
     16353).

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       (d) Funding.--From amounts made available under section 
     625(e) of the Energy Independence and Security Act of 2007 
     (42 U.S.C. 17204(e)), the Secretary may use to carry out this 
     section $50,000,000 for each of fiscal years 2011 through 
     2015, of which not more than 20 percent of the amount made 
     available for a fiscal year may be used to carry out an 
     individual project.

     SEC. 6. PLAN FOR RESEARCH, DEVELOPMENT, AND DEMONSTRATION TO 
                   INCREASE HYDROPOWER CAPACITY.

       (a) In General.--Not later than 270 days after the date of 
     enactment of this Act, the Secretary shall establish, and 
     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 plan--
       (1) to facilitate through technology research, development, 
     and demonstration the increased use of hydropower renewable 
     resources in accordance with section 4; and
       (2) to coordinate research and development on advanced 
     hydropower technologies.
       (b) Administration.--The Secretary shall--
       (1) implement the plan established under this section as 
     soon as practicable after the date of enactment of this Act; 
     and
       (2) review and update the plan on an annual basis.
       (c) Cost Sharing.--The Secretary shall carry out the 
     program under this section in compliance with sections 988 
     and 989 of the Energy Policy Act of 2005 (42 U.S.C. 16352, 
     16353).
       (d) Coordination.--The Secretary shall coordinate, to the 
     maximum extent practicable, activities under this section 
     with other programs of the Department of Energy and other 
     Federal research programs.
       (e) Funding.--From amounts made available under section 
     401(a) of the American Clean Energy Leadership Act of 2009, 
     the Secretary may use to carry out this section $50,000,000 
     for each of fiscal years 2011 through 2015.

     SEC. 7. NOTICE OF INQUIRY FOR MINIMAL IMPACT HYDROPOWER 
                   PROJECTS.

       (a) Definitions.--In this section:
       (1) Commission.--The term ``Commission'' means the Federal 
     Energy Regulatory Commission.
       (2) Minimal impact hydropower project.--The term ``minimal 
     impact hydropower project'' means--
       (A) the addition of hydropower generation to an existing 
     nonpower dam if the addition of the project will not cause 
     any significant environmental impact; or
       (B) closed-loop hydropower storage that does not require 
     any change in an existing diversion or impoundment of a 
     river, and otherwise will not cause any significant 
     environmental impacts under applicable law.
       (b) Notice of Inquiry.--Not later than 180 days after the 
     date of enactment of this section, the Commission shall issue 
     a notice of inquiry for the licensing of proposed minimal 
     impact hydropower projects that take not more than 2 years 
     from the beginning of the prefiling licensing process to the 
     issuance of a license by the Commission.
       (c) Report.--Not later than 180 days after the completion 
     of the notice of inquiry under subsection (b), 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 describes the results 
     of the notice of inquiry.

     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. STREAMLINING REVIEW PROCESS FOR CONDUIT HYDROPOWER 
                   PROJECTS.

       (a) In General.--Section 30 of the Federal Power Act (16 
     U.S.C. 823a) is amended--
       (1) in subsection (a), by striking paragraphs (1) and (2) 
     and inserting the following:
       ``(1) is located on non-Federal lands or Federal lands; and
       ``(2) uses for the generation only the hydroelectric 
     potential of a conduit.''; and
       (2) by adding at the end the following:
       ``(f) Savings Clause.--This section shall not apply to any 
     reclamation projects under which hydroelectric power 
     development has been reserved--
       ``(1) under Federal law or by regulation or order, 
     exclusively for development under Federal reclamation law; or
       ``(2) for non-Federal development under reclamation law.
       ``(g) Definition of Conduit.--In this section, 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.''.
       (b) Memorandum of Understanding on Conduit Hydropower 
     Projects.--Not later than 180 days after the date of 
     enactment of this Act, the Federal Energy Regulatory 
     Commission shall enter into a memorandum of understanding 
     with relevant Federal agencies that have conditioning 
     authority under section 30(c)(1) of the Federal Power Act (16 
     U.S.C.823a(c)(1))--
       (1) to establish a coordinated and streamlined approach to 
     any environmental impact statement or similar analysis 
     required under the National Environmental Policy Act of 1969 
     (42 U.S.C. 4321 et seq.) relating to the consideration of 
     conduit hydropower projects; and
       (2) to develop and carry out an expedited approval process 
     for conduit hydropower projects.
       (c) Public Workshops and Pilot Projects on Conduit 
     Hydropower Projects.--
       (1) In general.--As soon as practicable after the date of 
     enactment of this Act, the Commissioner of Reclamation and 
     the Federal Energy Regulatory Commission shall conduct 3 
     public workshops with relevant stakeholders, including water 
     users and the environmental community, to identify ways in 
     which the conduit approval process may be modified--
       (A) to reduce barriers to conduit hydropower projects, 
     including barriers created by project costs or the timeframe 
     for approval and maintain adequate environmental, health, and 
     safety protections; and
       (B) to develop pilot projects in conjunction with voluntary 
     participants to demonstrate flexible and innovative ways to 
     reduce barriers to conduit hydropower while maintaining 
     adequate environmental, health, and safety protections.
       (2) Report.--Not later than 180 days after the date of the 
     completion of the workshops under paragraph (1), the 
     Commissioner of Reclamation and the Federal Energy Regulatory 
     Commission shall submit to the appropriate committees of 
     Congress a report that describes any recommendations for the 
     conduit approval process developed in the workshops and pilot 
     projects described in paragraph (1).
       (3) Funding.--From amounts made available under section 
     9503(f) of the Omnibus Public Land Management Act of 2009 (42 
     U.S.C. 10363(f)), the Secretary may use to carry out pilot 
     projects described in paragraph (1)(B) $5,000,000 for the 
     period of fiscal years 2011 through 2015, to remain available 
     until expended.

     SEC. 10. NON-FEDERAL HYDROPOWER DEVELOPMENT AT BUREAU OF 
                   RECLAMATION PROJECTS.

       (a) Study of Non-Federal Hydropower Development at Bureau 
     of Reclamation Projects.--Not later than 180 days after the 
     date of enactment of this section, the Commissioner of 
     Reclamation (in consultation with the Federal Energy 
     Regulatory Commission, preference power customers, water 
     users, and other interested stakeholders) shall--
       (1) conduct a study of barriers to non-Federal hydropower 
     development at Bureau of Reclamation projects; and
       (2) report to Congress the results of the study.
       (b) Memorandum of Understanding.--Not later than 180 days 
     after the date of enactment of this section, the Commissioner 
     of Reclamation and the Federal Energy Regulatory Commission 
     shall develop and issue a revised interagency memorandum of 
     understanding to improve the coordination and timeliness of 
     the non-Federal development of hydropower resources at Bureau 
     of Reclamation projects.

     SEC. 11. PUMPED STORAGE STUDY.

       (a) In General.--The Secretary, in coordination with the 
     Director of the United States Geological Survey, shall 
     conduct a study (including identification) of Federal land 
     that is well-suited for pumped storage sites and is located 
     near existing or potential sites of intermittent renewable 
     resource development, such as wind farms.
       (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. 12. NATIONAL RENEWABLE ENERGY DEPLOYMENT PROGRAM.

       (a) In General.--Section 803 of the Energy Independence and 
     Security Act of 2007 (42 U.S.C. 17282) is amended by striking 
     the section heading and inserting ``NATIONAL RENEWABLE ENERGY 
     DEPLOYMENT PROGRAM''.
       (b) Definitions.--Section 803(a) of the Energy Independence 
     and Security Act of 2007 (42 U.S.C. 17282(a)) is amended--
       (1) by striking paragraph (1);
       (2) by redesignating paragraphs (2) through (4) as 
     paragraphs (1) through (3), respectively; and
       (3) in paragraph (3)(B)(iv) (as so redesignated), by 
     striking ``Alaska small''.
       (c) Renewable Energy Construction Grants.--Section 803(b) 
     of the Energy Independence and Security Act of 2007 (42 
     U.S.C. 17282(b)) is amended--
       (1) in paragraph (1), by inserting ``establish a national 
     renewable energy construction grants program under which the 
     Secretary shall'' after ``shall''; and
       (2) by adding at the end the following:
       ``(5) Priority.--In making grants to eligible applicants to 
     carry out renewable energy projects under this section, the 
     Secretary shall give priority to applicants that--
       ``(A) have power costs that are 125 percent or more of 
     average national retail costs; or
       ``(B) will use the grant to construct renewable electricity 
     projects to replace fossil fuel projects.''.

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     SEC. 13. HYDROELECTRIC POWER WORKER TRAINING.

       Section 439(b) of the American Clean Energy Leadership Act 
     of 2009 is amended in the second sentence--
       (1) in paragraph (6), by striking ``and'' after the 
     semicolon at the end;
       (2) in paragraph (7), by striking the period at the end and 
     inserting ``; and''; and
       (3) by adding at the end the following:
       ``(8) hydroelectric power technology.''.

     SEC. 14. REPORT ON MEMORANDUM OF UNDERSTANDING ON HYDROPOWER.

       Not later than 18 months 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.

     SEC. 15. NONAPPLICATION TO FEDERAL POWER MARKETING 
                   ADMINISTRATIONS.

       (a) In General.--This Act and the amendments made by this 
     Act shall not--
       (1) apply to a hydroelectric project that provides power 
     marketed by a Federal Power Marketing Administration; or
       (2) impact any additions, improvements, or replacements of 
     hydroelectric generation at Federal projects carried out by a 
     Federal Power Marketing Administration.
       (b) Modifications.--Nothing in this Act limits the 
     authority under existing law of a Federal Power Marketing 
     Administrator in the event that operations at Federal 
     projects with hydropower facilities are modified.

     SEC. 16. BUDGETARY EFFECTS.

       The budgetary effects of this Act, for the purpose of 
     complying with the Statutory Pay-As-You-Go-Act of 2010, shall 
     be determined by reference to the latest statement titled 
     ``Budgetary Effects of PAYGO Legislation'' for this Act, 
     submitted for printing in the Congressional Record by the 
     Chairman of the Senate Budget Committee, provided that such 
     statement has been submitted prior to the vote on passage.
                                 ______