[Congressional Record Volume 161, Number 72 (Tuesday, May 12, 2015)]
[Senate]
[Pages S2796-S2797]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
By Mr. WYDEN:
S. 1294. A bill to require the Secretary of Energy and the Secretary
of Agriculture to collaborate in promoting the development of
efficient, economical, and environmentally sustainable thermally led
wood energy systems; to the Committee on Energy and Natural Resources.
Mr. WYDEN. Mr. President, today I am proud to introduce the Bioenergy
Act of 2015.
Managed in an environmentally responsible way, woody biomass presents
a carbon-neutral alternative to fossil fuels for heating and powering
homes, schools and businesses. Much of the woody biomass in the U.S.
that could be used for energy production is either waste from the
forest products industry, or small trees that contribute to the
overcrowding of forests and wildfires. In 2013, wildfires burned 4.3
million acres of American forests and rangeland, and the Federal
Government spent $1.7 billion to fight them. Additionally, about 2
billion metric tons, or 30 percent, of U.S. carbon dioxide emissions
came from fossil fuel use in space heating, water heating or
electricity generation for American homes and businesses. Using woody
biomass for heat and power can help fund wildfire risk reduction and
forest restoration, all while creating low-carbon energy and a stable
source of jobs in rural economies across the country.
Despite this potential, the U.S. Department of Energy, DOE, has not
invested in biomass heat, bioheat, and power, biopower, projects and
research. This bill introduces modest steps to develop this resource,
learn more about its full potential, and improve interagency
coordination between DOE and the U.S. Department of Agriculture, USDA,
Forest Service on this topic.
Specifically, the bill will establish a competitive cost-share grant
program at the Department of Energy to improve technologies for
processing woody biomass and bringing down transportation costs, as
well as innovative technologies for using biomass for heat and power--
from new power plant designs, to neighborhood heating systems called
``district energy'' systems.
The bill also creates a cost-share grant program through the U.S.
Forest Service to support proven biomass technologies, like combined
heat and power, CHP. To assist with financing, the bill expands a loan
program run by the USDA Rural Utilities Service to include bioheat and
biopower, and establishes a new loan program for projects that are not
located in a rural utility service territory. Finally, the bill would
support continued research into the environmental sustainability and
economics of using biomass for heat and power, and would establish a
collaborative platform for directing this research across the
Departments of Energy and Agriculture.
This bill is good for the environment, good for rural jobs, and good
for stopping wildfires before they start. I encourage my colleagues to
support it.
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. 1294
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 ``Bioenergy Act of 2015''.
SEC. 2. DEFINITIONS.
In this Act:
(1) Bioheat.--The term ``bioheat'' means the use of woody
biomass to generate heat.
(2) Biopower.--The term ``biopower'' means the use of woody
biomass to generate electricity.
(3) Initiative.--The term ``Initiative'' means the Bioheat
and Biopower Initiative established under section 3(a).
(4) Secretary.--The term ``Secretary'' means the Secretary
of Energy.
(5) State wood energy team.--The term ``State Wood Energy
Team'' means a collaborative group of stakeholders that--
(A) carry out activities within a State to identify
sustainable energy applications for woody biomass; and
(B) has been designated by the State and Private Forestry
organization of the Forest Service as a State Wood Energy
Team.
SEC. 3. BIOHEAT AND BIOPOWER INITIATIVE.
(a) Establishment.--The Secretary, acting jointly with the
Secretary of Agriculture, shall establish a collaborative
working group, to be known as the ``Bioheat and Biopower
Initiative'', to carry out the duties described in subsection
(c).
(b) Board of Directors.--
(1) In general.--The Initiative shall be led by a Board of
Directors.
(2) Membership.--The Board of Directors shall consist of--
(A) representatives of the Department of Energy and the
Department of Agriculture, who shall serve as cochairpersons
of the Board;
(B) a senior officer or employee, each of whom shall have a
rank that is equivalent to the departmental rank of a
representative described in subparagraph (A), of each of--
(i) the Department of the Interior;
(ii) the Environmental Protection Agency;
(iii) the National Science Foundation; and
(iv) the Office of Science and Technology Policy; and
(C) at the election of the Secretary and the Secretary of
Agriculture, such other members as may be appointed by the
Secretaries, in consultation with the Board.
(3) Meetings.--The Board of Directors shall meet not less
frequently than once each quarter.
(c) Duties.--The Initiative shall--
(1) coordinate research and development activities relating
to biopower and bioheat projects--
(A) between the Department of Agriculture and the
Department of Energy; and
(B) with other Federal departments and agencies;
(2) provide recommendations to the Department of
Agriculture and the Department of Energy concerning the
administration of this Act; and
(3) ensure that--
(A) solicitations are open and competitive with respect to
applicable annual grant awards; and
(B) objectives and evaluation criteria of solicitations for
those awards are clearly stated and minimally prescriptive,
with no areas of special interest.
SEC. 4. GRANT PROGRAMS.
(a) Demonstration Grants.--
(1) Establishment.--The Secretary shall establish, within
the Bioenergy Technologies Office, a program under which the
Secretary shall provide grants to relevant projects to
support innovation and market development in bioheat and
biopower.
(2) Applications.--To be eligible to receive a grant under
this subsection, the owner or operator of a relevant project
shall submit to the Secretary an application at such time, in
such manner, and containing such information as the Secretary
may require.
(3) Allocation.--Of the amounts made available to carry out
this section, the Secretary shall allocate--
(A) $15,000,000 to projects that develop innovative
techniques for preprocessing biomass for heat and electricity
generation, with the goals of--
(i) lowering the costs of--
(I) distributed preprocessing technologies, including
technologies designed to promote densification, torrefaction,
and the broader commoditization of bioenergy feedstocks; and
(II) transportation and logistics costs; and
(ii) developing technologies and procedures that maximize
environmental integrity, such as reducing greenhouse gas
emissions and local air pollutants and bolstering the health
of forest ecosystems and watersheds; and
(B) $15,000,000 to innovative bioheat and biopower
demonstration projects, including--
(i) district energy projects;
(ii) innovation in transportation and logistics; and
(iii) innovative projects addressing the challenges of
retrofitting existing coal-fired electricity generation
facilities to use biomass.
(4) Regional distribution.--In selecting projects to
receive grants under this subsection, the Secretary shall
ensure, to the maximum extent practicable, diverse
geographical distribution among the projects.
(5) Cost share.--The Federal share of the cost of a project
carried out using a grant under this subsection shall be 50
percent.
(6) Duties of recipients.--As a condition of receiving a
grant under this subsection, the owner or operator of a
project shall--
(A) participate in the applicable working group under
paragraph (7);
(B) submit to the Secretary a report that includes--
(i) a description of the project and any relevant findings;
and
[[Page S2797]]
(ii) such other information as the Secretary determines to
be necessary to complete the report of the Secretary under
paragraph (8); and
(C) carry out such other activities as the Secretary
determines to be necessary.
(7) Working groups.--The Secretary shall establish 2
working groups to share best practices and collaborate in
project implementation, of which--
(A) 1 shall be comprised of representatives of feedstock
projects that receive grants under paragraph (3)(A); and
(B) 1 shall comprised of representatives of demand and
logistics projects that receive grants under paragraph
(3)(B).
(8) Reports.--Not later than 5 years after the date of
enactment of this Act, the Secretary shall submit to Congress
a report describing--
(A) each project for which a grant has been provided under
this subsection;
(B) any findings as a result of those projects; and
(C) the state of market and technology development,
including market barriers and opportunities.
(b) Thermally Led Wood Energy Grants.--
(1) Establishment.--The Secretary of Agriculture, acting
through the Chief of the Forest Service, shall establish a
program under which the Secretary of Agriculture shall
provide grants to support commercially demonstrated thermally
led wood energy technologies, with priority given to projects
proposed by State Wood Energy Teams.
(2) Applications.--To be eligible to receive a grant under
this subsection, the owner or operator of a relevant project
shall submit to the Secretary of Agriculture an application
at such time, in such manner, and containing such information
as the Secretary of Agriculture may require.
(3) Allocation.--Of the amounts made available to carry out
this section, the Secretary of Agriculture shall allocate
$10,000,000 for feasibility assessments, engineering designs,
and construction of thermally led wood energy systems,
including pellet boilers, district energy systems, combined
heat and power installations, and other technologies.
(4) Regional distribution.--In selecting projects to
receive grants under this subsection, the Secretary of
Agriculture shall ensure, to the maximum extent practicable,
diverse geographical distribution among the projects.
(5) Cost share.--The Federal share of the cost of a project
carried out using a grant under this subsection shall be 50
percent.
[(c) Authorization of Appropriations.--There are authorized
to be appropriated to carry out this section--]
[(1) $30,000,000 to the Secretary to provide grants under
subsection (a); and]
[(2) $10,000,000 to the Secretary of Agriculture to provide
grants under subsection (b).]
SEC. 5. LOAN PROGRAMS; STRATEGIC ANALYSIS AND RESEARCH.
(a) Low-interest Loans.--
(1) Establishment.--The Secretary of Agriculture shall
establish, within the Rural Development Office, a low-
interest loan program to support construction of thermally
led residential, commercial or institutional, and industrial
wood energy systems.
(2) Requirements.--The program under this subsection shall
be carried out in accordance with such requirements as the
Secretary of Agriculture may establish, by regulation, in
taking into consideration best practices.
(3) Authorization of appropriations.--There is authorized
to be appropriated to the Secretary of Agriculture to carry
out this subsection $50,000,000.
(b) Energy Efficiency and Conservation Loan Program.--In
addition to loans under subsection (a), thermally led
residential, commercial or institutional, and industrial wood
energy systems shall be eligible to receive loans under the
energy efficiency and conservation loan program of the
Department of Agriculture under section 2 of the Rural
Electrification Act of 1936 (7 U.S.C. 902).
(c) Strategic Analysis and Research.--
(1) In general.--The Secretary, acting jointly with the
Secretary of Agriculture (acting through the Chief of the
Forest Service), shall establish a bioheat and biopower
research program--
(A) the costs of which shall be divided equally between the
Department of Energy and the Department of Agriculture;
(B) to be overseen by the Board of Directors of the
Initiative; and
(C) to carry out projects and activities--
(i)(I) to advance research and analysis on the
environmental, social, and economic costs and benefits of the
United States biopower and bioheat industries, including
associated lifecycle analysis of greenhouse gas emissions and
net energy analysis; and
(II) to provide recommendations for policy and investment
in those areas;
(ii) to identify and assess, through a joint effort between
the Chief of the Forest Service and the regional combined
heat and power groups of the Department of Energy, the
feasibility of thermally led district wood energy
opportunities in all regions of the Forest Service regions,
including by conducting broad regional assessments,
feasibility studies, and preliminary engineering assessments
at individual facilities; and
(iii)(I) to offer to communities technical assistance to
explore thermally led wood energy opportunities; and
(II) to provide enhanced services to smaller communities
that have limited resources and capacity to pursue new
thermally led wood energy opportunities.
(2) Authorization of appropriations.--There are authorized
to be appropriated to the Secretary and the Secretary of
Agriculture--
(A) $2,000,000 to carry out paragraph (1)(C)(i);
(B) $1,000,000 to carry out paragraph (1)(C)(ii); and
(C) $1,000,000 to carry out paragraph (1)(C)(iii).
______