Text of H.R. 2657 (114th): POWER Act (Introduced version)

114th CONGRESS

1st Session

H. R. 2657

IN THE HOUSE OF REPRESENTATIVES

June 4, 2015

Mr. Reed (for himself, Mr. Blumenauer, Mr. Gibson, Mr. Kind, Mr. Heck of Nevada, Mr. Welch, Mr. Collins of New York, Mr. Ryan of Ohio, Mr. Amodei, and Ms. Titus) 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 modify the energy credit to provide greater incentives for industrial energy efficiency.

This Act may be cited as the Power Efficiency and Resiliency Act or as the POWER Act.

(a)

Section 48(a)(2)(A)(i) of the Internal Revenue Code of 1986 is amended by striking and at the end of subclause (III), by redesignating subclause (IV) as subclause (V), and by inserting after subclause (III) the following new subclause:

(IV)

energy property described in paragraph (3)(A)(v), and

(b)

Section 48(c)(3)(B) of such Code is amended—

(1)

by striking 15 megawatts in clause (ii) and inserting 25 megawatts,

(2)

by striking 20,000 horsepower in clause (ii) and inserting 34,000 horsepower, and

(3)

by striking clause (iii).

(c)

Section 48(c)(3)(A)(iv) of such Code is amended by striking January 1, 2017 and inserting January 1, 2019.

(d)

(1)

Except as provided in paragraph (2), the amendments made by this section shall apply to periods after the date of the enactment of this Act, under rules similar to the rules of section 48(m) of the Internal Revenue Code of 1986 (as in effect on the day before the date of the enactment of the Revenue Reconciliation Act of 1990).

(2)

The amendments made by subsection (c) shall apply to property placed in service after December 31, 2016.

(a)

Section 48(a)(3)(A) 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)

waste heat to power property,

(b)

Section 48(c) of such Code is amended by adding at the end the following new paragraph:

(5)

(A)

The term waste heat to power property means property comprising a system which generates electricity through the recovery of a qualified waste heat resource.

(B)

The term qualified waste 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 for an industrial or commercial process, or

(iv)

such other forms of waste heat resources as the Secretary may determine.

(C)

The term qualified waste heat resource does not include any heat resource from a process whose primary purpose is the generation of electricity utilizing a fossil fuel or nuclear energy.

(D)

The term waste heat to power property shall not include any property placed in service after December 31, 2018.

(c)

Section 48(a)(2)(A)(i) of such Code, as amended by section 2, is amended by striking and at the end of subclause (IV) and by inserting after subclause (V) the following new subclause:

(VI)

energy property described in paragraph (3)(A)(viii), and

(d)

The amendments made by this section shall apply to periods after the date of the enactment of this Act, under rules similar to the rules of section 48(m) of the Internal Revenue Code of 1986 (as in effect on the day before the date of the enactment of the Revenue Reconciliation Act of 1990).