,,ii #aafth ,,congress #ast ,session ,s4 #acei ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,may #h1 #bjai,ms4 ,smith 7for herself1 ,mr4 ,heinrich1 ,mr4 ,kaine1 ,mr4 ,whitehouse1 and ,mr4 ,schatz7 introduced the following bill2 which was read twice and referred to the ,committee on ,energy and ,natural ,resources ,a ,,bill ,to amend the ,public ,utility ,regulatory ,policies ,act of #aigh to establish a market-oriented standard for clean electric energy generation1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,clean ,energy ,standard ,act of #bjai4 #b4 ,federal clean energy standard 7a7 ,in general ,title ,,vi of the ,public ,utility ,regulatory ,policies ,act of #aigh 7#af ,u4,s4,c4 #bfja et seq47 is amended by adding at the end the following3 #faj4 ,federal clean energy standard 7a7 ,purpose ,the purpose of this section is to establish a technology-neutral1 market-oriented standard for electric energy generation that-- 7#a7 stimulates clean energy innovation and allows the ,united ,states to achieve a net-zero emission electric sector at the lowest cost2 7#b7 will guide power sector investment and provide regulatory certainty1 while helping to ensure that the ,united ,states is the leader and dominant competitor in the global clean energy transition2 and 7#c7 will result in-- 7,a7 hundreds of billions of dollars in domestic health and environmental benefits by the mid-#bast century2 and 7,b7 save tens of thousands of lives in the ,united ,states4 7b7 ,definitions ,in this section3 7#a7 ,applicable carbon intensity ,the term applicable carbon intensity means #j4d metric tons of carbon dioxide equivalent per megawatt-hour4 7#b7 ,applicable clean energy percentage ,the term applicable clean energy percentage1 with respect to a retail electricity supplier1 means the clean energy percentage applicable to the retail electricity supplier for the relevant calendar year under subsection 7c74 7#c7 ,base quantity 7,a7 ,in general ,the term base quantity1 with respect to a retail electricity supplier for a calendar year1 means the total quantity of electric energy consumed by electric customers of the retail electricity supplier1 expressed in megawatt-hours1 during the calendar year1 including-- 7i7 the quantity of electric energy sold by the retail electricity supplier to electric customers for purposes other than resale2 and 7ii7 the quantity of behind-the-meter generation consumed by electric consumers served by the retail electricity supplier4 7,b7 ,determination ,for purposes of subparagraph 7,a71 not later than #ahj days after the date of enactment of this section1 the ,secretary shall develop appropriate processes for determining the quantity of behind-the-meter generation consumed by electric consumers served by a retail electricity supplier1 including by requiring from the retail electricity supplier relevant documentation of behind-the-meter electric energy consumption1 such as records associated with net-metering4 7#d7 ,baseline percentage ,the term baseline percentage means-- 7,a7 for a retail electricity supplier in operation on the date of enactment of this section1 the clean energy percentage of the retail electricity supplier calculated for the calendar year in which this section is enacted2 and 7,b7 for a retail electricity supplier that commences operation after the date of enactment of this section1 such clean energy percentage as the ,secretary determines to be appropriate4 7#e7 ,behind-the-meter generation ,the term behind-the-meter generation means the generation of clean energy using a system that operates on the customer side of the applicable utility meter1 subject to the condition that the retail electricity supplier serving the generator shall submit to the ,secretary1 not less frequently than annually1 verification of the quantity of that generation in such form1 in such manner1 and containing such information as the ,secretary may require4 7#f7 ,carbon dioxide equivalent 7,a7 ,in general ,the term carbon dioxide equivalent means the number of metric tons of carbon dioxide emissions with the same global warming potential over a #ajj-year period as #a metric ton of another greenhouse gas4 7,b7 ,global warming potential ,for purposes of subparagraph 7,a71 global warming potential shall be determined in accordance with the ,fifth ,assessment ,report of the ,intergovernmental ,panel on ,climate ,change4 7#g7 ,carbon intensity ,the term carbon intensity means the carbon dioxide equivalent emissions associated with the generation of #a megawatt-hour of electric energy by a generator4 7#h7 ,clean energy ,the term clean energy means electric energy that is-- 7,a7 generated at a facility using-- 7i7 renewable energy2 7ii7 qualified renewable biomass2 7iii7 hydropower2 7iv7 nuclear power2 7v7 qualified waste-to-energy2 7vi7 qualified low-carbon fuels2 7vii7 a qualified combined heat and power system2 or 7viii7 any other source of energy in a manner that ensures that the facility does not exceed the applicable carbon intensity2 7,b7 generated at a facility that-- 7i7 captures the carbon dioxide from-- 7,i7 a waste stream of the facility2 7,,ii7 another waste stream2 or 7,,iii7 the atmosphere directly2 and 7ii7 prevents the release of the captured carbon dioxide into the atmosphere2 or 7,c7 dispatched from a qualified energy storage system4 7#i7 ,clean energy percentage 7,a7 ,in general ,the term clean energy percentage means the percentage of clean energy consumed by all electric consumers of a retail electricity supplier4 7,b7 ,calculation ,for purposes of subparagraph 7,a71 the clean energy percentage of a retail electricity supplier shall be equal to the quotient obtained by dividing-- 7i7 the sum of-- 7,i7 the quantity of clean energy sold by the retail electricity supplier to electric consumers2 and 7,,ii7 the quantity of behind-the-meter generation consumed by electric consumers served by the retail electricity supplier2 by 7ii7 the base quantity of the retail electricity supplier4 7,c7 ,determination 7i7 ,in general ,for purposes of subparagraph 7,b71 not later than #ahj days after the date of enactment of this section1 the ,secretary shall develop a process for determining the quantities of-- 7,i7 clean energy sold by a retail electricity supplier to electric consumers1 taking into account-- 7aa7 the need to quantify1 without double counting1 appropriate quantities of clean energy-- 7,,aa7 owned by the retail electricity supplier2 7,,bb7 obtained by the retail electricity supplier through power purchase agreements2 7,,cc7 imported by the retail electricity supplier2 7,,dd7 purchased by the retail electricity supplier from wholesale markets2 and 7,,ee7 purchased by the retail electricity supplier through existing renewable or clean energy credits and certificates2 and 7bb7 appropriate differences between-- 7,,aa7 retailers operating in organized wholesale markets2 and 7,,bb7 retailers operating in vertically integrated market contexts2 and 7,,ii7 behind-the-meter generation consumed by electric consumers served by a retail electricity supplier1 including by requiring from the retail electricity supplier relevant documentation of behind-the-meter electric energy consumption1 such as records associated with net-metering4 7ii7 ,quantifying clean energy ,for purposes of quantifying clean energy and behind-the-meter generation under clause 7i71 the ,secretary shall use the methods used to assign a quantity of credits to generators under subsection 7f74 7#aj7 ,dispatchable low-emission technology ,the term dispatchable low-emission technology means a generator that uses a technology or combination of technologies that-- 7,a7 has a carbon intensity of not more than #j4je metric tons of carbon dioxide equivalent per megawatt-hour2 7,b7 has the ability1 at any time1 to start1 increase1 decrease1 and stop energy production on demand2 7,c7 is placed into service after the date of enactment of this section2 and 7,d7 is not a dispatchable zero-emission technology4 7#aa7 ,dispatchable zero-emission technology ,the term dispatchable zero-emission technology means a generator that uses a technology or combination of technologies that-- 7,a7 has a carbon intensity of zero2 7,b7 has the ability1 at any time1 to start1 increase1 decrease1 and stop energy production on demand2 and 7,c7 is placed into service after the date of enactment of this section4 7#ab7 ,energy storage system ,the term energy storage system means any equipment or facility relating to the electric grid that-- 7,a7 is capable of absorbing energy1 storing the energy for a period of time1 and dispatching the energy as electric energy2 and 7,b7 uses mechanical1 electrochemical1 biochemical1 or thermal processes-- 7i7 to store energy generated at an earlier time for use at a later time2 or 7ii7 to store energy generated from a mechanical process that would otherwise be wasted for delivery at a later time4 7#ac7 ,federal clean energy credit ,the term ,federal clean energy credit means a credit issued pursuant to subsection 7e74 7#ad7 ,generator ,the term generator means a unit or system of units that-- 7,a7 generates not fewer than #bj megawatt-hours of electric energy per calendar year2 7,b7 delivers electric energy to the grid2 and 7,c7 is located in the ,united ,states4 7#ae7 ,lifecycle greenhouse gas emissions ,the term lifecycle greenhouse gas emissions means the aggregate quantity of carbon dioxide equivalent emissions relating to the full lifecycle of electric energy production1 including-- 7,a7 extraction1 production1 and distribution of fuels and materials for physical capital2 7,b7 power generation and transmission2 and 7,c7 handling and disposal of waste1 byproducts1 and end-of-life materials4 7#af7 ,qualified combined heat and power system ,the term qualified combined heat and power system means a system that-- 7,a7 uses the same energy source for the simultaneous or sequential generation of electrical energy and thermal energy2 7,b7 produces at least-- 7i7 #bj percent of the useful energy of the system in the form of electricity2 and 7ii7 #bj percent of the useful energy in the form of useful thermal energy2 7,c7 to the extent that the system uses biomass1 uses only qualified renewable biomass2 and 7,d7 operates with an energy efficiency percentage1 as determined in accordance with section #dh7;c77#c77;,c77i7 of the ,internal ,revenue ,code of #aihf1 of greater than #ej percent4 7#ag7 ,qualified dispatchable 7,a7 ,in general ,the term qualified dispatchable means-- 7i7 with respect to a dispatchable low-emission technology1 a dispatchable low-emission technology that-- 7,i7 is #a of the first #e original demonstrations in the ,united ,states of a particular innovative technology providing not less than #bj megawatts of electric energy generation capacity2 7,,ii7 generates revenue from the sale of electric energy2 and 7,,iii7 is placed into service before ,january #a1 #bjcj2 and 7ii7 with respect to a dispatchable zero-emission technology1 means a dispatchable zero-emission technology that-- 7,i7 is #a of the first #e original demonstrations in the ,united ,states of a particular innovative technology providing not less than #bj megawatts of electric energy generation capacity2 7,,ii7 generates revenue from the sale of electric energy2 and 7,,iii7 is placed into service before ,january #a1 #bjdj4 7,b7 ,determination ,for purposes of determining whether a dispatchable low-emission technology or dispatchable zero-emission technology is an original demonstration of an innovative technology under clause 7i77,i7 or 7ii77,i71 respectively1 of subparagraph 7,a71 the ,secretary shall-- 7i7 develop a process that-- 7,i7 ensures that each innovative technology exhibits a significant technical or economic advancement1 as compared to existing technologies2 and 7,,ii7 includes consideration of an application submitted to the ,secretary by the owner of the dispatchable low-emission technology or dispatchable zero-emission technology2 7ii7 not later than #ij days after the date of submission of an application under clause 7i77,,ii71 make a determination regarding whether to approve the application2 and 7iii7 subject to subparagraph 7,c71 provide to each owner1 the application of which is approved under clause 7ii71 a certification-- 7,i7 that the applicable generator is a qualified dispatchable low-emission technology or dispatchable zero-emission technology2 and 7,,ii7 that shall be surrendered to earn ,federal clean energy credits under subsection 7f77#aj74 7,c7 ,termination of certification ,except as otherwise provided by the ,secretary1 a certification provided under subparagraph 7,b77iii7 shall cease to have any force or effect if the ,secretary determines that construction of the applicable generator-- 7i7 does not commence by the date that is #b years after the date of certification2 or 7ii7 has been suspended indefinitely4 7#ah7 ,qualified energy storage system ,the term qualified energy storage system means an energy storage system that stores clean energy-- 7,a7 that would otherwise be wasted or curtailed2 7,b7 with verifiable carbon intensity that does not exceed the applicable carbon intensity2 and 7,c7 for which no ,federal clean energy credit is issued4 7#ai7 ,qualified generation ,the term qualified generation means the number of megawatt-hours of electric energy that a generator-- 7,a7 7i7 generates2 or 7ii7 generates and stores using a connected energy storage system2 and 7,b7 7i7 sells for resale2 7ii7 if the generator is owned by a retail electricity supplier1 sells to electric consumers2 or 7iii7 if the generator is a behind-the-meter generation system1 consumes onsite for a useful purpose4 7#bj7 ,qualified low-carbon fuel 7,a7 ,in general ,the term qualified low-carbon fuel means a fuel used to generate electric energy that-- 7i7 is produced through any process 7but not including any processes that use electric energy as an input7 that significantly limits or avoids greenhouse gas emissions2 and 7ii7 does not release greenhouse gas or other pollutant emissions during combustion4 7,b7 ,inclusion ,the term qualified low-carbon fuel includes-- 7i7 ammonia2 and 7ii7 hydrogen4 7#ba7 ,qualified renewable biomass ,the term qualified renewable biomass means-- 7,a7 any crop byproduct or crop residue harvested from actively managed or fallow agricultural land that is cleared before the date of enactment of this section1 if the harvesting of the residue does not lead to a net decline in soil organic matter for the applicable land2 7,b7 any planted tree1 brush1 slash1 or residue from an actively managed tree farm dedicated to energy crop production and located on forest land established for planted tree crop production before the date of enactment of this section2 7,c7 any brush1 slash1 or residue from an actively managed forest that is certified to achieve compliance with applicable-- 7i7 sustainability standards of the ,forest ,stewardship ,council2 or 7ii7 standards endorsed by the ,programme for the ,endorsement of ,forest ,certification1 including-- 7,i7 the ,sustainable ,forestry ,initiative2 and 7,,ii7 the ,american ,tree ,farm ,system2 7,d7 algae2 7,e7 nonhazardous plant matter derived from landscape right-of-way trimmings2 and 7,f7 vegetative matter removed from an area located not more than #bjj yards from a building1 residence1 or campground for the purpose of hazardous fuels management4 7#bb7 ,qualified waste-to-energy ,the term qualified waste-to-energy means energy produced-- 7,a7 from the combustion of-- 7i7 post-recycled municipal solid waste2 7ii7 gas produced from the gasification or pyrolization of post-recycled municipal solid waste2 7iii7 biogas2 7iv7 landfill methane2 7v7 animal waste or animal byproducts2 7vi7 food waste2 7vii7 wood1 paper products that are not commonly recyclable1 and vegetation 7including trees and trimmings1 yard waste1 pallets1 railroad ties1 crates1 and solid-wood manufacturing and construction debris71 if diverted from or separated from other waste out of a municipal waste stream2 or 7viii7 any byproduct of a wood or paper mill operation1 including lignin in spent pulping liquors2 and 7,b7 at a facility that the ,secretary has certified1 on an annual basis1 is in compliance with all applicable ,federal and ,state environmental permits1 including-- 7i7 in the case of a facility that commences operation before the date of enactment of this section1 compliance with emission standards under sections #aab and1 as applicable1 #abi of the ,clean ,air ,act 7#db ,u4,s4,c4 #gdab1 #gdbi7 that apply as of the date of enactment of this section to new facilities within the applicable source category2 and 7ii7 in the case of a facility that produces electric or thermal energy from the combustion1 pyrolization1 or gasification of municipal solid waste1 certification that each local government unit from which the waste originates operates1 participates in the operation of1 contracts for1 or otherwise provides for recycling services for residents of the local government unit4 7#bc7 ,renewable energy ,the term renewable energy means solar1 wind1 ocean1 current1 wave1 tidal1 or geothermal energy4 7#bd7 ,retail electricity supplier 7,a7 ,in general ,the term retail electricity supplier1 as determined for each calendar year1 means an entity in the ,united ,states that sold not fewer than #bj megawatt-hours of electric energy to electric consumers for purposes other than resale during the preceding calendar year4 7,b7 ,inclusions and limitations ,for purposes of making a determination under subparagraph 7,a7 with respect to an entity-- 7i7 any sale of electric energy made by an affiliate of the entity to an electric consumer 7other than to a lessee or tenant of the affiliate7 for purposes other than resale may be considered to be a sale made by the entity2 and 7ii7 any sale of electric energy made by the entity to an affiliate1 lessee1 or tenant of the entity shall not be considered to be a sale to an electric consumer4 7,c7 ,affiliate ,for purposes of subparagraph 7,b71 the term affiliate1 with respect to an entity1 means an individual or entity that directly or indirectly owns or controls1 is owned or controlled by1 or is under common ownership or control with1 the entity1 as determined in accordance with applicable regulations of the ,secretary4 7c7 ,clean energy requirement 7#a7 ,in general ,beginning in the second full calendar year beginning after the date of enactment of this section1 and each calendar year thereafter1 each retail electricity supplier shall sell a quantity of clean energy equal to the product obtained by multiplying-- 7,a7 the applicable clean energy percentage determined for the retail electricity supplier for the calendar year under paragraph 7#b72 and 7,b7 the base quantity of the retail electricity supplier for the applicable calendar year4 7#b7 ,determination of applicable clean energy percentages 7,a7 ,initial percentage 7i7 ,use of baseline percentage ,for purposes of the determinations required under subparagraphs 7,b7 and 7,c71 the applicable clean energy percentage for a retail electricity supplier for the calendar year during which this section is enacted shall be the baseline percentage of the retail electricity supplier4 7ii7 ,new retail electricity suppliers ,for purposes of the determinations required under subparagraphs 7,b7 and 7,c71 for a retail electricity supplier that is established after the date of enactment of this section1 the ,secretary shall determine the appropriate applicable clean energy percentage for the first calendar year beginning after the date on which the retail electricity supplier commences operation4 7,b7 ,subsequent determinations ,subject to paragraph 7#c71 for the first calendar year beginning after the date of enactment of this section and each calendar year thereafter until the calendar year for which the applicable clean energy percentage for a retail electricity supplier is #ij percent1 the applicable clean energy percentage for the retail electricity supplier under paragraph 7#a7 shall be-- 7i7 in the case of a retail electricity supplier with not less than #b1jjj1jjj megawatt-hours of retail electric energy sales during the calendar year in which this section is enacted1 or a retail electricity supplier with less than #b1jjj1jjj megawatt-hours of retail electric energy sales during that calendar year but more than #b1jjj1jjj megawatt-hours of retail electric energy sales during a subsequent calendar year due to a merger or the acquisition of additional territory1 the applicable clean energy percentage for the retail electricity supplier for the preceding calendar year1 as increased-- 7,i7 for any calendar year for which the applicable clean energy percentage of the retail electricity supplier is not more than #fj percent1 by the fast growth rate for the calendar year1 as determined under paragraph 7#c77;,b72 and 7,,ii7 for any calendar year for which the applicable clean energy percentage of the retail electricity supplier is more than #fj percent1 by the slow growth rate for the calendar year1 as determined under paragraph 7#c77;,c71 up to a maximum of #ij percent2 and 7ii7 in the case of a retail electricity supplier not described in clause 7i71 the applicable clean energy percentage for the retail electricity supplier for the preceding calendar year1 as increased by the small growth rate for the calendar year1 as determined under paragraph 7#c77;,d71 up to a maximum of #ij percent4 7,c7 ,final target percentage ,effective beginning in calendar year #bjdj1 for each calendar year beginning after the first calendar year for which the applicable clean energy percentage of a retail electricity supplier under subparagraph 7,b7 is #ij percent1 the applicable clean energy percentage for the retail electricity supplier under paragraph 7#a7 shall be increased by #a percentage point1 up to a maximum of #ajj percent4 7#c7 ,rate increase adjustments 7,a7 ,definitions ,in this paragraph3 7i7 ,rate decrease-adjusted calendar year ,the term rate decrease-adjusted calendar year means any calendar year beginning after a calendar year for which alternative compliance payments accounted for greater than #aj percent of total compliance obligations of all retail electricity providers under subsection 7d7 for that calendar year4 7ii7 ,rate increase-adjusted calendar year ,the term rate increase-adjusted calendar year means any calendar year beginning after a #b-;consecutive calendar year period during which1 for each of those #b consecutive calendar years1 the average price of a ,federal clean energy credit for the #c preceding calendar years was below the rate-increased floor price4 7iii7 ,rate-increased floor price ,the term rate-increased floor price means the difference between-- 7,i7 the alternative compliance payment for the applicable calendar year2 and 7,,ii7 7aa7 during the period beginning on the date of enactment of this section and ending on ,december #ca of the second full calendar year beginning after that date of enactment1 a rate of #a4e cents per kilowatt-hour2 and 7bb7 for each calendar year thereafter1 the rate described in item 7aa7 for the preceding calendar year-- 7,,aa7 increased by #c percent2 and 7,,bb7 adjusted for inflation1 as the ,secretary determines to be necessary4 7,b7 ,fast growth rate ,for purposes of paragraph 7#b77;,b77i77,i71 the fast growth rate shall be-- 7i7 for the calendar year in which this section is enacted1 #b4ge percentage points2 7ii7 for the first calendar year beginning after the date of enactment of this section and each calendar year thereafter that is not a rate increase-adjusted calendar year or a rate decrease-adjusted calendar year1 the fast growth rate for the preceding calendar year2 7iii7 for a rate increase-adjusted calendar year1 the fast growth rate for the preceding calendar year1 increased by #j4e percentage points2 and 7iv7 for a rate decrease-adjusted calendar year1 the fast growth rate for the preceding calendar year1 decreased by #j4be percentage points1 down to a minimum of #b4ge percentage points4 7,c7 ,slow growth rate ,for purposes of paragraph 7#b77;,b77i77,,ii71 the slow growth rate shall be-- 7i7 for the calendar year in which this section is enacted1 #a4ge percentage points2 7ii7 for the first calendar year beginning after the date of enactment of this section and each calendar year thereafter that is not a rate increase-adjusted calendar year or a rate decrease-adjusted calendar year1 the slow growth rate for the preceding calendar year2 7iii7 for a rate increase-adjusted calendar year1 the slow growth rate for the preceding calendar year1 increased by #j4e percentage points2 and 7iv7 for a rate decrease-adjusted calendar year1 the slow growth rate for the preceding calendar year1 decreased by #j4be percentage points1 down to a minimum of #a4ge percentage points4 7,d7 ,small growth rate ,for purposes of paragraph 7#b77;,b77ii71 the small growth rate shall be-- 7i7 for the calendar year in which this section is enacted1 #a4e percentage points2 7ii7 for the first calendar year beginning after the date of enactment of this section and each calendar year thereafter that is not a rate increase-adjusted calendar year or a rate decrease-adjusted calendar year1 the small growth rate for the preceding calendar year2 7iii7 for a rate increase-adjusted calendar year1 the small growth rate for the preceding calendar year1 increased by #j4e percentage points2 and 7iv7 for a rate decrease-adjusted calendar year1 the small growth rate for the preceding calendar year1 decreased by #j4be percentage points1 down to a minimum of #a4e percentage points4 7d7 ,means of compliance 7#a7 ,in general ,a retail electricity supplier shall annually achieve compliance with subsection 7c7 by-- 7,a7 submitting to the ,secretary ,federal clean energy credits2 7,b7 submitting to the ,secretary documentation of the quantity of behind-the-meter generation consumed by electric consumers served by the retail electricity supplier2 7,c7 making alternative compliance payments of #c cents per kilowatt-hour in accordance with subsection 7i72 or 7,d7 taking a combination of actions described in subparagraphs 7,a7 through 7,c74 7#b7 ,failure to establish ,federal clean energy credit trading program ,if the ,secretary does not establish a ,federal clean energy credit trading program under subsection 7e71 a retail electricity supplier shall achieve compliance with subsection 7c7 by-- 7,a7 submitting to the ,secretary documentation of the clean energy percentage of the retail electricity supplier2 7,b7 making alternative compliance payments of #c cents per kilowatt-hour in accordance with subsection 7i72 or 7,c7 taking a combination of actions described in subparagraphs 7,a7 and 7,b74 7e7 ,federal clean energy credit trading program 7#a7 ,establishment ,not later than #a year after the date of enactment of this section1 the ,secretary shall establish a ,federal clean energy credit trading program under which-- 7,a7 #a ,federal clean energy credit represents #a megawatt-hour of clean energy generated by a generator2 7,b7 retail electricity suppliers may submit to the ,secretary ,federal clean energy credits to certify compliance by the retail electricity suppliers with subsection 7c72 and 7,c7 those ,federal clean energy credits are issued1 recorded1 tracked1 and transferred4 7#b7 ,clean energy credits ,except as provided in subparagraphs 7,b7 and 7,c7 of paragraph 7#c71 the ,secretary shall issue to each generator and qualified energy storage system a quantity of ,federal clean energy credits determined in accordance with subsections 7f7 and 7g74 7#c7 ,administration ,in carrying out the program under this subsection1 the ,secretary shall ensure that-- 7,a7 a ,federal clean energy credit may be-- 7i7 used only once for purposes of compliance with this section2 and 7ii7 purchased only by a retail electricity supplier2 7,b7 a ,federal clean energy credit issued for clean energy generated and sold for resale under a contract in effect on the date of enactment of this section shall be issued to the purchasing retail electricity supplier1 unless otherwise provided by the contract2 and 7,c7 with respect to clean energy generated in a facility outside of the ,united ,states1 a ,federal clean energy credit may be issued only-- 7i7 if the clean energy is sold for resale in the ,united ,states2 and 7ii7 to the purchasing retail electricity supplier4 7#d7 ,delegation of market function 7,a7 ,in general ,in carrying out the program under this subsection1 the ,secretary may delegate-- 7i7 to #a or more appropriate entities 7including any ,federal entity in existence on the date of enactment of this section71 the administration of a national ,federal clean energy credit market for purposes of establishing a transparent national market for the sale or trade of ,federal clean energy credits2 and 7ii7 to appropriate entities1 the tracking of dispatch of clean energy generation4 7,b7 ,administration ,in making a delegation under subparagraph 7,a77ii71 the ,secretary shall ensure that the tracking and reporting of information concerning the dispatch of clean energy generation is transparent1 verifiable1 and independent of any generation or load interests subject to an obligation under this section4 7#e7 ,banking of ,federal clean energy credits 7,a7 ,in general ,subject to subparagraph 7,b71 for purposes of achieving compliance with subsection 7c71 a ,federal clean energy credit shall be valid for-- 7i7 the calendar year during which the ,federal clean energy credit is issued2 or 7ii7 either of the #b subsequent calendar years4 7,b7 ,adjustments 7i7 ,calendar years #bjdj through #bjdi ,for each of calendar years #bjdj through #bjdi1 a ,federal clean energy credit shall be valid for-- 7,i7 the calendar year during which the ,federal clean energy credit is issued2 or 7,,ii7 the subsequent calendar year4 7ii7 ,calendar year #bjej and thereafter ,beginning in calendar year #bjej1 a ,federal clean energy credit shall be valid only for the calendar year during which the ,federal clean energy credit is issued4 7f7 ,determination of quantity of credits 7#a7 ,in general ,except as otherwise provided in this subsection1 the quantity of ,federal clean energy credits issued to a generator of clean energy shall be equal to the product obtained by multiplying-- 7,a7 the qualified generation of the generator2 and 7,b7 the difference between-- 7i7 #a4j2 and 7ii7 the quotient obtained by dividing-- 7,i7 the carbon intensity of the generator1 as determined in accordance with subsection 7g7 7expressed in metric tons per megawatt-hour72 by 7,,ii7 the applicable carbon intensity4 7#b7 ,qualified combined heat and power systems 7,a7 ,in general ,the quantity of ,federal clean energy credits issued to a generator that is a qualified combined heat and power system shall be equal to the difference between-- 7i7 the product obtained by multiplying-- 7,i7 the number of megawatt-hours of electric energy generated by the qualified combined heat and power system2 and 7,,ii7 the difference between-- 7aa7 #a4j2 and 7bb7 the quotient obtained by dividing-- 7,,aa7 the carbon intensity of the generator1 as determined in accordance with subsection 7g7 7expressed in metric tons per megawatt-hour72 by 7,,bb7 the applicable carbon intensity2 and 7ii7 the product obtained by multiplying-- 7,i7 the number of megawatt-hours of electric energy generated by the qualified combined heat and power system that are consumed onsite2 and 7,,ii7 the national weighted average of the applicable clean energy percentage required for the calendar year under subsection 7c71 as determined by the ,secretary4 7,b7 ,additional credits ,in addition to ,federal clean energy credits issued under subparagraph 7,a71 the ,secretary shall issue ,federal clean energy credits to a generator that is a qualified combined heat and power system for greenhouse gas emissions avoided as a result of the use of the qualified combined heat and power system1 rather than a separate thermal source1 to meet the onsite thermal needs of the generator4 7#c7 ,qualified renewable biomass 7,a7 ,in general ,subject to subparagraph 7,b71 the quantity of ,federal clean energy credits issued to each generator of clean energy using qualified renewable biomass shall be equal to the product obtained by multiplying-- 7i7 the qualified generation of the generator using qualified renewable biomass2 and 7ii7 the qualified renewable biomass credit value determined under subsection 7g77#d77;,b77iii74 7,b7 ,existing generators ,for generators placed into service before the date of enactment of this section1 the quantity of ,federal clean energy credits issued to each generator of energy using qualified renewable biomass shall be equal to the greater of-- 7i7 the product obtained by multiplying-- 7,i7 the qualified generation of the generator1 not to exceed the generation capacity of the generator on the date of enactment of this section2 and 7,,ii7 #j4e2 and 7ii7 the quantity of credits determined under subparagraph 7,a74 7#d7 ,qualified waste-to-energy 7,a7 ,in general ,subject to subparagraph 7,b71 the quantity of ,federal clean energy credits issued to a generator that is a qualified waste-to-energy facility shall be equal to the product obtained by multiplying-- 7i7 the qualified generation of the generator using qualified waste-to-energy2 and 7ii7 the qualified waste-to-energy credit value determined under subsection 7g77#d77;,b77iii74 7,b7 ,existing generators ,for generators placed into service before the date of enactment of this section1 the quantity of ,federal clean energy credits issued to each generator of energy that is a qualified waste-to-energy facility shall be equal to the greater of-- 7i7 the qualified generation of the generator1 not to exceed the generation capacity of the generator on the date of enactment of this section2 and 7ii7 the quantity of credits determined under subparagraph 7,a74 7#e7 ,qualified low-carbon fuels ,the quantity of ,federal clean energy credits issued to a generator using qualified low-carbon fuels shall be equal to the product obtained by multiplying-- 7,a7 the qualified generation of the generator using qualified low-carbon-fuels2 and 7,b7 the qualified low-carbon fuel credit value determined under subsection 7g77#d77;,b77iii74 7#f7 ,carbon capture1 storage1 and utilization 7,a7 ,definitions ,in this paragraph1 the terms qualified carbon oxide1 qualified enhanced oil or natural gas recovery project1 and tertiary injectant have the meanings given those terms in section #de,q of the ,internal ,revenue ,code of #aihf4 7,b7 ,quantity of credits ,except as otherwise provided in this subsection1 the quantity of ,federal clean energy credits issued to each generator of clean energy through the capture and storage or utilization of qualified carbon oxide from a waste stream of the generator shall be equal to the product obtained by multiplying-- 7i7 the qualified generation of the generator2 and 7ii7 the difference between-- 7,i7 #a4j2 and 7,,ii7 the quotient obtained by dividing-- 7aa7 the carbon intensity of the generator1 as determined in accordance with subsection 7g7 7expressed in metric tons per megawatt-hour72 by 7bb7 the applicable carbon intensity4 7,c7 ,additional credits ,in addition to ,federal clean energy credits issued under subparagraph 7,b71 the ,secretary shall issue ,federal clean energy credits to each generator of clean energy through the capture and storage or utilization of qualified carbon oxide from a waste stream other than the waste stream of the generator1 or from the atmosphere directly1 in a quantity equal to the quotient obtained by dividing-- 7i7 the number of metric tons of qualified carbon oxide captured and stored or utilized2 by 7ii7 the carbon intensity of the generator1 as determined in accordance with subsection 7g7 7expressed in metric tons per megawatt-hour74 7,d7 ,special rules 7i7 ,regulations 7,i7 ,in general ,subject to subclause 7,,iii71 not later than #a year after the date of enactment of this section1 the ,secretary1 in consultation with the ,administrator of the ,environmental ,protection ,agency1 shall promulgate regulations establishing-- 7aa7 the conditions under which qualified carbon oxide may be safely and permanently stored for purposes of issuing ,federal clean energy credits to a generator under this paragraph2 and 7bb7 in accordance with subclause 7,,ii71 the methods and processes by which qualified carbon oxide may be utilized in a manner that ensures the removal of the qualified carbon oxide safely and permanently from the atmosphere4 7,,ii7 ,requirements ,for purposes of subclause 7,i77bb7-- 7aa7 utilization of qualified carbon oxide may include the production of substances1 such as plastics and chemicals2 and 7bb7 the regulations promulgated pursuant to that subclause shall minimize the escape or further emission of qualified carbon oxide into the atmosphere4 7,,iii7 ,existing requirements ,in promulgating regulations pursuant to this clause1 the ,secretary shall incorporate any existing ,federal requirements for the permanent geologic storage of carbon oxides1 including any requirements under section #de,q of the ,internal ,revenue ,code of #aihf4 7ii7 ,adjusted quantity 7,i7 ,in general ,notwithstanding subparagraphs 7,b7 and 7,c71 except as provided in subclause 7,,ii71 the quantity of ,federal clean energy credits issued under this paragraph to a generator at which qualified carbon oxide is captured and used as a tertiary injectant in a qualified enhanced oil or natural gas recovery project shall be reduced by #ej percent4 7,,ii7 ,no reduction ,if the qualified carbon oxide captured and used as a tertiary injectant in a qualified enhanced oil or natural gas recovery project by a generator achieves compliance with the conditions established pursuant to clause 7i77,i77aa71 the quantity of ,federal clean energy credits issued to the generator shall not be reduced4 7#g7 ,qualified energy storage systems ,the quantity of ,federal clean energy credits issued to each qualified energy storage system shall be equal to the product obtained by multiplying-- 7,a7 the electric energy dispatched and sold by the qualified energy storage system 7expressed in megawatt-hours72 and 7,b7 the difference between-- 7i7 #a4j2 and 7ii7 the quotient obtained by dividing-- 7,i7 the average carbon intensity of the clean energy stored in the qualified energy storage system1 as determined in accordance with subsection 7g7 7expressed in metric tons per megawatt-hour72 by 7,,ii7 the applicable carbon intensity4 7#h7 ,negative credits ,notwithstanding any other provision of this subsection1 the ,secretary shall not issue a negative quantity of ,federal clean energy credits to any generator4 7#i7 ,maximum quantity of credits ,notwithstanding paragraphs 7#a7 through 7#f71 the total quantity of ,federal clean energy credits issued under those paragraphs to a generator for a calendar year shall not exceed the number of megawatt-hours of the applicable annual qualified generation of the generator4 7#aj7 ,innovation multiplier 7,a7 ,in general ,notwithstanding paragraphs 7#a7 through 7#f71 until the applicable date described in subparagraph 7,c71 the quantity of ,federal clean energy credits issued under this section to-- 7i7 a generator that is a qualified dispatchable low-emission technology or a qualified dispatchable zero-emission technology shall be equal to the product obtained by multiplying-- 7,i7 the qualified generation of that generator2 7,,ii7 the difference between-- 7aa7 #a4j2 and 7bb7 the quotient obtained by dividing-- 7,,aa7 the carbon intensity of the generator1 as determined in accordance with subsection 7g7 7expressed in metric tons per megawatt-hour72 by 7,,bb7 the applicable carbon intensity2 and 7,,iii7 #a4e2 7ii7 a generator that is a dispatchable zero-emission technology that is not issued ,federal clean energy credits under clause 7i7 shall be equal to the product obtained by multiplying-- 7,i7 the qualified generation of that generator2 7,,ii7 the difference between-- 7aa7 #a4j2 and 7bb7 the quotient obtained by dividing-- 7,,aa7 the carbon intensity of the generator1 as determined in accordance with subsection 7g7 7expressed in metric tons per megawatt-hour72 by 7,,bb7 the applicable carbon intensity2 and 7,,iii7 the appropriate multiplier1 as determined under subparagraph 7,b77i72 and 7iii7 a generator that is a dispatchable low-emission technology that is not issued ,federal clean energy credits under clause 7i7 shall be equal to the product obtained by multiplying-- 7,i7 the qualified generation of that generator2 7,,ii7 the difference between-- 7aa7 #a4j2 and 7bb7 the quotient obtained by dividing-- 7,,aa7 the carbon intensity of the generator1 as determined in accordance with subsection 7g7 7expressed in metric tons per megawatt-hour72 by 7,,bb7 the applicable carbon intensity2 and 7,,iii7 the appropriate multiplier1 as determined under subparagraph 7,b77ii74 7,b7 ,multipliers ,the multipliers referred to in clauses 7ii77,,iii7 and 7iii77,,iii7 of subparagraph 7,a7 are-- 7i7 for a dispatchable zero-emission technology described in subparagraph 7,a77ii7-- 7,i7 for the period beginning on the date of enactment of this section and ending on the date on which the total capacity of dispatchable zero-emission technologies in the ,united ,states is greater than #e gigawatts1 as determined by the ,secretary1 #a4be2 7,,ii7 for the period beginning on the day after the date of expiration of the period described in subclause 7,i7 and ending on the date on which the total capacity of dispatchable zero-emission technologies in the ,united ,states is greater than #aj gigawatts1 as determined by the ,secretary1 #a4b2 7,,iii7 for the period beginning on the day after the date of expiration of the period described in subclause 7,,ii7 and ending on the date on which the total capacity of dispatchable zero-emission technologies in the ,united ,states is greater than #ae gigawatts1 as determined by the ,secretary1 #a4ae2 and 7,,iv7 for the period beginning on the day after the date of expiration of the period described in subclause 7,,iii7 and ending on the date on which the total capacity of dispatchable zero-emission technologies in the ,united ,states is greater than #bj gigawatts1 as determined by the ,secretary1 #a4a2 and 7ii7 for a dispatchable low-emission technology described in subparagraph 7,a77iii7-- 7,i7 for the period beginning on the date of enactment of this section and ending on the date on which the total capacity of dispatchable low-emission technologies and dispatchable zero-emission technologies in the ,united ,states is greater than #e gigawatts1 as determined by the ,secretary1 #a4be2 7,,ii7 for the period beginning on the day after the date of expiration of the period described in subclause 7,i7 and ending on the date on which the total capacity of dispatchable low-emission technologies and dispatchable zero-emission technologies in the ,united ,states is greater than #aj gigawatts1 as determined by the ,secretary1 #a4b2 7,,iii7 for the period beginning on the day after the date of expiration of the period described in subclause 7,,ii7 and ending on the date on which the total capacity of dispatchable low-emission technologies and dispatchable zero-emission technologies in the ,united ,states is greater than #ae gigawatts1 as determined by the ,secretary1 #a4ae2 and 7,,iv7 for the period beginning on the day after the date of expiration of the period described in subclause 7,,iii7 and ending on the date on which the total capacity of dispatchable low-emission technologies and dispatchable zero-emission technologies in the ,united ,states is greater than #bj gigawatts1 as determined by the ,secretary1 #a4a4 7,c7 ,phase-out ,the quantity of ,federal clean energy credits issued under this section to-- 7i7 a generator described in subparagraph 7,a77i7 that is-- 7,i7 a qualified dispatchable low-emission technology shall be determined in accordance with subparagraph 7,a77iii71 effective beginning on the earlier of-- 7aa7 the date on which the qualified dispatchable low-emission technology has been in service for #aj years2 and 7bb7 ,january #a1 #bjce2 and 7,,ii7 a qualified dispatchable zero-emission technology shall be determined in accordance with subparagraph 7,a77ii71 effective beginning on the date on which the qualified dispatchable zero-emission technology has been in service for #aj years2 7ii7 a generator described in subparagraph 7,a77ii7 shall be determined in accordance with paragraphs 7#a7 through 7#f71 effective beginning on ,january #a1 #bjej2 and 7iii7 a generator described in subparagraph 7,a77iii7 shall be determined in accordance with paragraphs 7#a7 through 7#f71 effective beginning on ,january #a1 #bjdj4 7,d7 ,prohibition on double receipts ,a generator that receives ,federal clean energy credits under subparagraph 7,a7 may not receive any additional ,federal clean energy credit under any of paragraphs 7#a7 through 7#f74 7g7 ,determination of carbon intensity and credit value 7#a7 ,in general ,for purposes of determining the quantity of ,federal clean energy credits under subsection 7f71 except as otherwise provided in this subsection1 the ,secretary shall determine the carbon intensity of each generator using data and methods from the ,air ,emission ,measurement ,center of the ,environmental ,protection ,agency for emission testing and monitoring1 including-- 7,a7 ,continuous ,emission ,monitoring ,systems2 and 7,b7 ,predictive ,emission ,monitoring ,systems4 7#b7 ,natural gas adjustment ,except as provided in paragraph 7#d71 the ,secretary shall adjust the carbon intensity determined under paragraph 7#a7 for each generator using natural gas by applying the methane leakage rates assumed in the #i-region ,,markal ,database of the ,environmental ,protection ,agency 7commonly known as the ,,epaus#i,r database74 7#c7 ,nonemitting generators ,except as provided in paragraph 7#d71 the ,secretary shall assign a carbon intensity of zero for any generator that does not produce emissions on electric energy generation1 including any generator that uses renewable energy1 hydropower1 or nuclear power4 7#d7 ,determination and ,national ,academy of ,sciences study ,the ,secretary shall-- 7,a7 not later than #ahj days after the date of enactment of this section1 enter into an agreement with the ,national ,academy of ,sciences1 under which the ,academy shall-- 7i7 evaluate data1 models1 and methodologies for quantifying lifecycle greenhouse gas emissions associated with generating electric energy from each type of significant source of clean energy1 including the sources described in subparagraphs 7,a7 and 7,b7 of subsection 7b77#h72 7ii7 evaluate data1 models1 and methodologies for determining the appropriate credit value for use in the quantification of ,federal clean energy credits under subsection 7f7 for-- 7,i7 qualified renewable biomass1 taking into consideration total lifecycle carbon dynamics1 including-- 7aa7 carbon absorbed through the regrowth of vegetation2 7bb7 avoided decomposition relating to the full fuel lifecycle2 7cc7 carbon sink value from land use changes and temporal changes in forest carbon sequestration2 and 7dd7 lifecycle greenhouse gas emissions1 including-- 7,,aa7 direct greenhouse gas emissions2 and 7,,bb7 significant indirect greenhouse gas emissions1 including all stages of fuel and feedstock production and distribution and feedstock generation or extraction through the distribution and delivery of the finished fuel to electric consumers2 7,,ii7 qualified waste-to-energy1 taking into consideration total lifecycle carbon dynamics1 including-- 7aa7 avoided decomposition relating to the feedstock lifecycle2 and 7bb7 lifecycle greenhouse gas emissions1 including-- 7,,aa7 direct greenhouse gas emissions2 and 7,,bb7 indirect greenhouse gas emissions2 and 7,,iii7 qualified low-carbon fuels1 taking into consideration lifecycle greenhouse gas emissions1 including-- 7aa7 direct greenhouse gas emissions2 and 7bb7 significant indirect greenhouse gas emissions1 including-- 7,,aa7 all stages of fuel and feedstock production and distribution2 and 7,,bb7 feedstock generation or extraction through the distribution and delivery of the finished fuel to electric consumers2 7iii7 evaluate the appropriateness of the definitions contained in subsection 7b7 of the terms-- 7,i7 qualified renewable biomass1 taking into consideration whether the definition should be expanded or contracted2 7,,ii7 qualified waste-to-energy2 and 7,,iii7 qualified low-carbon fuel2 7iv7 if it is determined under clause 7iii77,i7 that the definition of the term qualified renewable biomass should be expanded1 evaluate tools for determining the allowable carbon stock removal levels during defined forest management operations2 and 7v7 not later than #edj days after the date of enactment of this section1 publish a report that includes-- 7,i7 a description of the evaluations under clauses 7i7 through 7iv72 and 7,,ii7 recommendations for-- 7aa7 determining the carbon intensity1 accounting for lifecycle greenhouse gas emissions1 of electric energy generated from each type of significant source of clean energy evaluated under clause 7i72 7bb7 determining the credit value of electric energy generated from qualified renewable biomass1 qualified waste-to-energy1 and qualified low-carbon fuels2 7cc7 if applicable1 changes to the definitions of the terms qualified renewable biomass1 qualified waste-to-energy1 and qualified low-carbon fuel2 and 7dd7 if applicable1 determining the allowable carbon stock removal levels during defined forest management operations2 7,b7 not later than #a year after the date of publication of the report under subparagraph 7,a77v71 after providing notice an opportunity for public comment1 promulgate regulations1 taking into consideration the report1 for-- 7i7 calculating lifecycle greenhouse gas emissions of electric energy generated from each type of significant source of clean energy evaluated under subparagraph 7,a77i72 7ii7 determining the carbon intensity of electric energy generated from each type of significant source of clean energy evaluated under subparagraph 7,a77i72 and 7iii7 determining the credit value of electric energy generated from qualified renewable biomass1 qualified waste-to-energy1 and qualified low-carbon fuels2 and 7,c7 if recommended in the report under subparagraph 7,a77v77,,ii77cc71 submit to ,congress recommendations relating to changes to the definitions of the terms qualified renewable biomass1 qualified waste-to-energy1 and qualified low-carbon fuel for purposes of this section4 7#e7 ,consultation ,the ,secretary shall consult with-- 7,a7 in determining carbon intensities of generators pursuant to paragraph 7#a7 and making adjustments pursuant to paragraph 7#b71 the ,administrator of the ,environmental ,protection ,agency2 7,b7 in promulgating regulations for calculating lifecycle greenhouse gas emissions pursuant to paragraph 7#d77;,b77i7 and determining carbon intensities pursuant to paragraph 7#d77;,b77ii71 the ,administrator of the ,environmental ,protection ,agency2 7,c7 in promulgating regulations for determining appropriate credit values pursuant to paragraph 7#d77;,b77iii7-- 7i7 the ,administrator of the ,environmental ,protection ,agency2 7ii7 the ,secretary of ,agriculture2 and 7iii7 the ,secretary of the ,interior2 and 7,d7 in making recommendations to ,congress under paragraph 7#d77;,c71 the ,administrator of the ,environmental ,protection ,agency1 acting in consultation with the ,scientific ,advisory ,board of the ,environmental ,protection ,agency4 7h7 ,civil penalties 7#a7 ,in general ,subject to paragraph 7#b71 a retail electricity supplier that fails to meet the requirements of this section shall be subject to a civil penalty in an amount equal to the product obtained by multiplying-- 7,a7 the number of kilowatt-hours of electric energy sold by the retail electricity supplier to electric consumers in violation of subsection 7c72 and 7,b7 #bjj percent of the value of the alternative compliance payment1 as adjusted under subsection 7i77#b74 7#b7 ,waivers and mitigation 7,a7 ,force majeure ,the ,secretary may mitigate or waive a civil penalty under paragraph 7#a7 if the applicable retail electricity supplier was unable to comply with an applicable requirement of this section for reasons outside of the reasonable control of the retail electricity supplier4 7,b7 ,reduction for ,state penalties ,the ,secretary shall reduce the amount of a penalty determined under paragraph 7#a7 by the amount paid by the applicable retail electricity supplier to a ,state for failure to comply with the requirement of a ,state renewable energy program1 if the ,state requirement is more stringent than the applicable requirement of this section4 7#c7 ,procedure for assessing penalty ,the ,secretary shall assess a civil penalty under this subsection in accordance with section #ccc7;d7 of the ,energy ,policy and ,conservation ,act 7#db ,u4,s4,c4 #fcjc7;d774 7i7 ,alternative compliance payments 7#a7 ,in general ,a retail electricity supplier may satisfy the requirements of subsection 7c71 in whole or in part1 by submitting1 in lieu of ,federal clean energy credits issued under this section1 a payment equal to the amount required under subsection 7d77#a77;,c71 in accordance with such regulations as the ,secretary may promulgate1 subject to paragraph 7#b74 7#b7 ,adjustment ,not later than ,december #a of the second full calendar year beginning after the date of enactment of this section1 and annually thereafter1 the ,secretary shall-- 7,a7 increase the rate of the alternative compliance payment under subsection 7d77#a77;,c7 by-- 7i7 during the period beginning on the date of enactment of this section and ending on ,december #ca1 #bjbi1 #c percent2 and 7ii7 beginning on ,january #a1 #bjcj1 #e percent2 and 7,b7 additionally adjust that rate for inflation1 as the ,secretary determines to be necessary4 7j7 ,state energy efficiency1 clean energy deployment1 and electric consumer bill reduction program 7#a7 ,establishment ,not later than ,december #a of the first calendar year beginning after the date of enactment of this section1 the ,secretary shall establish a ,state energy efficiency1 clean energy deployment1 and electric consumer bill reduction program4 7#b7 ,funding ,all funds collected by the ,secretary as alternative compliance payments under subsection 7i71 or as civil penalties under subsection 7h71 shall be used solely to carry out the program under this subsection4 7#c7 ,distribution to ,states 7,a7 ,in general ,of the funds described in paragraph 7#b71 an amount equal to #ge percent shall be used by the ,secretary1 without further appropriation or fiscal year limitation1 to provide funds to ,states1 in an amount determined proportionally based on the amounts collected from each ,state-- 7i7 for the implementation of ,state energy efficiency plans under section #cfb of the ,energy ,policy and ,conservation ,act 7#db ,u4,s4,c4 #fcbb72 7ii7 for the conduct of clean energy programs in the ,state2 and 7iii7 to carry out activities to reduce the amount of electricity bills for households in the ,state below #cjj percent of the poverty line 7as defined in section #fgc of the ,community ,services ,block ,grant ,act 7#db ,u4,s4,c4 #iijb774 7,b7 ,action by ,states ,a ,state that receives funds under this paragraph shall maintain such records and evidence of compliance as the ,secretary may require4 7#d7 ,guidelines and criteria 7,a7 ,buy ,american compliance ,the funds made available under the program established under this subsection shall not be used for a project unless the project achieves compliance with all applicable requirements of chapter #hc of title #da1 ,united ,states ,code 7formerly known as the ,buy ,american ,act74 7,b7 ,davis-,bacon compliance 7i7 ,in general ,all laborers and mechanics employed on projects funded directly1 or assisted in whole or in part1 by this section shall be paid wages at rates not less than those prevailing on projects of a character similar in the locality as determined by the ,secretary of ,labor in accordance with subchapter ,,iv of chapter #ca of part ,a of subtitle ,,ii of title #dj1 ,united ,states ,code 7commonly referred to as the ,davis-,bacon ,act74 7ii7 ,authority ,with respect to the labor standards specified in this subparagraph1 the ,secretary of ,labor shall have the authority and functions set forth in ,reorganization ,plan ,numbered #ad of #aiej 7#fd ,stat4 #abfg2 #e ,u4,s4,c4 ,app47 and section #cade of title #dj1 ,united ,states ,code4 7,c7 ,additional guidelines and criteria ,the ,secretary may issue such additional guidelines and criteria for the program under this subsection as the ,secretary determines to be appropriate4 7k7 ,state programs 7#a7 ,savings provision 7,a7 ,in general ,subject to subparagraph 7,b71 nothing in this section affects the authority of a ,state or a political subdivision of a ,state to adopt or enforce any law or regulation relating to-- 7i7 clean or renewable energy2 or 7ii7 the regulation of any retail electricity supplier4 7,b7 ,federal law ,no law or regulation of a ,state or a political subdivision of a ,state may relieve a retail electricity supplier from the obligation to comply with an applicable requirement of this section4 7#b7 ,coordination ,the ,secretary1 in consultation with ,states that have clean and renewable energy programs in effect1 shall facilitate1 to the maximum extent practicable1 coordination between the ,federal clean energy program under this section and the relevant ,state clean and renewable energy programs4 7l7 ,information collection 7#a7 ,in general ,the ,secretary may require any retail electricity supplier1 generator1 or any other entity that the ,secretary determines appropriate to submit to the ,secretary any information the ,secretary determines to be appropriate to carry out this section4 7#b7 ,failure to submit2 false or misleading information ,an entity required to submit information pursuant to paragraph 7#a7 that fails to submit the information1 or submits false or misleading information1 shall be in violation of this section4 7m7 ,report on clean energy resources that do not generate electric energy 7#a7 ,in general ,not later than #c years after the date of enactment of this section1 the ,secretary shall submit to ,congress a report examining mechanisms to supplement the standard under this section by addressing clean energy resources that do not generate electric energy but that may substantially reduce overall energy emissions1 including energy efficiency1 demand response1 flexible load1 beneficial electrification1 microgrids1 biomass converted to thermal energy1 geothermal energy collected using heat pumps1 thermal energy delivered through district heating systems1 and waste heat used as industrial process heat4 7#b7 ,potential integration ,the report under paragraph 7#a7 shall examine the benefits and challenges of integrating the additional clean energy resources into the standard established by this section1 including-- 7,a7 the extent to which such an integration would achieve the purposes of this section2 7,b7 the manner in which a baseline describing the use of the resources could be developed that would ensure that only incremental action that increased the use of the resources received credit2 and 7,c7 the challenges of crediting the resources1 alone or in combination with other resources1 in a comparable manner between organized markets and vertically integrated markets to incentivize sufficient deployment of those resources to support efficient integration into the standard4 7#c7 ,complementary policies ,the report under paragraph 7#a7 shall examine the benefits and challenges of using complementary policies or standards1 other than the standard established under this section1 to provide effective incentives for using the additional clean energy resources4 7#d7 ,legislative recommendations ,as part of the report under paragraph 7#a71 the ,secretary shall provide legislative recommendations for changes to the standard established under this section or new complementary policies that would provide effective incentives for using the additional clean energy resources4 7n7 ,periodic review and adjustments 7#a7 ,national ,academy of ,sciences review ,the ,secretary shall enter into an agreement with the ,national ,academy of ,sciences under which the ,academy shall1 not later than ,july #a1 #bjbh1 and every #aj years thereafter1 submit to ,congress and the ,secretary a comprehensive evaluation of all aspects of the standard established under this section1 including-- 7,a7 an evaluation of the effectiveness of the standard in decreasing the aggregate net carbon dioxide equivalent emissions in the electric sector1 including-- 7i7 a comparison of-- 7,i7 the actual carbon dioxide equivalent emissions associated with the electric sector for the preceding calendar year2 and 7,,ii7 7aa7 for the initial review1 #ijj1jjj1jjj metric tons of carbon dioxide equivalent2 7bb7 for the review conducted with respect to calendar year #bjch1 #fjj1jjj1jjj metric tons of carbon dioxide equivalent2 or 7cc7 if the ,academy determines that an emissions value described in item 7aa7 or 7bb7 is inappropriate after taking into consideration changes in electric energy consumption1 and in emissions relating to energy use outside of the electric sector1 such emissions as the ,academy determines to be appropriate for the applicable review year2 and 7ii7 an evaluation of the methods by which the quantity of ,federal clean energy credits is determined1 including-- 7,i7 alternative methods of quantifying credits for clean energy resources eligible to receive ,federal clean energy credits under this section that may be more effective1 such as-- 7aa7 issuing credits based on the difference between the carbon intensity of a generator and the marginal emissions rate in a given hour and balancing area2 and 7bb7 adjusting the innovation multipliers2 and 7,,ii7 potential methods of crediting other clean energy resources not already addressed in the report under subsection 7m72 7,b7 the impact of the standard on the reliability1 resilience1 security1 and safety of electricity generation1 transmission1 and distribution2 7,c7 the impact of the standard on the function of regulated and deregulated electricity markets2 7,d7 the net benefits or costs of the standard to the ,united ,states and the ,states1 including-- 7i7 the effects on electricity demand and prices2 7ii7 the economic development benefits of investment2 7iii7 lifecycle environmental and safety costs and benefits2 7iv7 the impacts on public health and health care costs2 and 7v7 avoided costs relating to environmental damages and adaptation investments that otherwise would have been required2 7,e7 the impact of the standard on the emissions of behind-the-meter and off-grid electricity generation2 7,f7 recommendations regarding potential changes to the standard1 such as-- 7i7 to regulations and procedures for implementing the standard2 7ii7 to the structure and specific design elements of the standard1 such as-- 7,i7 if the comparison of emissions under paragraph 7#a77;,a77i7 reveals that actual emissions for the electric sector are greater than the required emissions under paragraph 7#a77;,a77i77,,ii71 changes to the values of the growth rates1 the applicable carbon intensity1 and alternative compliance payment to eliminate the gap between actual and required emissions2 7,,ii7 the quantification of ,federal clean energy credits2 and 7,,iii7 the value of and eligibility for the innovation multiplier2 and 7iii7 to the structure and administration of the ,federal clean energy credit trading program2 and 7,g7 recommendations regarding potential changes to related public policies or creation of new complementary policies4 7#b7 ,recommendations to ,congress ,not later than ,january #a1 #bjbi1 and not less frequently than once every #aj years thereafter1 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 including recommendations for modifications and improvements to the standard established under this section1 including an explanation of the inconsistencies1 if any1 between-- 7,a7 the recommendations of the ,secretary2 and 7,b7 the recommendations included in the evaluation of the ,national ,academy of ,sciences under paragraph 7#a74 7#c7 ,congressional action ,not later than ,january #a1 #bjcj1 and not less frequently than once every #aj years thereafter1 ,congress shall enact legislation that amends this section or establishes new policies based on the recommendations submitted by the ,secretary under paragraph 7#b74 7#d7 ,adjustments upon failure of congressional action 7,a7 ,in general ,if ,congress fails to enact legislation under paragraph 7#c7 by an applicable deadline1 the ,secretary-- 7i7 shall1 in any case in which the comparison of emissions under paragraph 7#a77;,a77i7 reveals that actual emissions for the electric sector are greater than the required emissions under paragraph 7#a77;,a77i77,,ii71 make such compensatory adjustments to the standard established under this section as the ,secretary considers to be necessary1 based on1 and consistent with1 the findings and recommendations of the ,national ,academy of ,sciences under paragraph 7#a77;,f77ii77,i71 to eliminate the gap between actual and required emissions by not later than #c years after the date of the applicable deadline by-- 7,i7 increasing the fast growth rate2 7,,ii7 increasing the slow growth rate2 7,,iii7 increasing the small growth rate2 7,,iv7 decreasing the applicable carbon intensity2 7,v7 increasing the alternative compliance payment under subsection 7d77#a77;,c72 or 7,,vi7 taking a combination of actions described in subclauses 7,i7 through 7,v72 and 7ii7 if the evaluation of the crediting system under paragraph 7#a77;,a77ii7 describes a more-effective method of issuing ,federal clean energy credits to clean energy resources1 may make other modifications and improvements to the standard based on1 and consistent with1 the recommendations under paragraph 7#a77;,f77ii7 that would have the effect of decreasing economy-wide emissions4 7,b7 ,requirement ,in making the compensatory adjustments under subparagraph 7,a77i71 the ,secretary shall ensure that retail electricity suppliers that have exceeded the proportionate share of the reductions of the retail electricity suppliers required under paragraph 7#a77;,a77i77,,ii7 shall not bear significant additional costs under this paragraph4 7o7 ,regulations ,not later than #a year after the date of enactment of this section1 the ,secretary shall promulgate regulations to implement this section4 4 7b7 ,conforming amendment ,the table of contents of the ,public ,utility ,regulatory ,policies ,act of #aigh 7#af ,u4,s4,c4 prec4 #bfja7 is amended by adding at the end of the items relating to title ,,vi the following3 #fji4 ,rural and remote communities electrification grants4#faj4 ,federal clean energy standard4 4 #c4 ,clean energy research1 development1 demonstration1 and deployment program 7a7 ,establishment ,the ,secretary of ,energy shall establish a cross-cutting national program within the ,department of ,energy for the research1 development1 demonstration1 and deployment of clean energy technologies and portfolios for the purpose of meeting the requirements established under section #faj of the ,public ,utility ,regulatory ,policies ,act of #aigh 7as added by section #b7;a774 7b7 ,requirements ,in establishing the program under subsection 7a71 the ,secretary of ,energy shall-- 7#a7 identify and coordinate1 across all relevant program offices throughout the ,department of ,energy1 key areas of existing and future research with respect to a portfolio of technologies and approaches2 7#b7 with respect to dispatchable low-emission technologies and dispatchable zero-emission technologies 7as defined in sections #faj7;b7 of the ,public ,utility ,regulatory ,policies ,act of #aigh 7as added by section #b7;a77-- 7,a7 prioritize programs that would accelerate the research1 development1 demonstration1 and deployment of technologies by-- 7i7 identifying specific applications of those technologies2 7ii7 cataloguing existing ,department of ,energy programs and research to advance the specific applications2 and 7iii7 establishing a center within the ,department of ,energy to coordinate research priorities and demonstration programs for the specific applications2 7,b7 adopt long-term cost1 performance1 and deployment targets for the specific applications identified under subparagraph 7,a77i71 including a goal of conducting not fewer than #e technology demonstrations in the ,united ,states by ,december #ca1 #bjcj2 7,c7 identify opportunities to work with ,states and the private sector for technology demonstration2 and 7,d7 identify barriers to the demonstration and deployment of those technologies2 7#c7 identify approaches to expedite deployment of clean energy technologies by evaluating and avoiding or minimizing potential impacts to natural communities1 ecological resources1 and high-quality working land2 and 7#d7 recommend to ,congress any additional funding needs or policy changes necessary to implement the program4 7c7 ,funding ,subject to the availability of appropriations1 the ,secretary of ,energy may use amounts available to the ,secretary to carry out this section4