,,ii  #aaf? ,,congress  #a/ ,session    
,s4 #aigd  ,,9 ,,! ,,s5ate ,,( ,,!      
,,unit$ ,,/ates  ,june #bf1 #bjai ,mr4  
,udall 7= himself1 ,mr4 ,he9ri*1 ,mr4   
,k+1 ,ms4 ,smi?1 & ,mr4 ,:iteh\se7      
introduc$ ! foll[+ bill2 :i* 0 read     
twice & ref]r$ to ! ,committee on ,en]gy
 & ,natural ,res\rces  ,a ,,bill  ,to   
am5d ! ,public ,utility ,regulatory     
,policies ,act ( #aigh to e/abli% a     
r5ewable electricity /&>d1 & = o!r      
purposes4  #a4 ,%ort title ,?is ,act may
 be cit$ z ! ,r5ewable ,electricity     
,/&>d ,act4  #b4 ,f9d+s ,congress f9ds  
t--  7#a7 r5ewable en]gy is ! *eape/ new
 =m ( electricity 9 _m regions ( !      
,unit$ ,/ates2  7#b7 to meet ! climate  
goals ( ! ,unit$ ,/ates1 e ,/ate mu/    
transition to c>bon-free electricity by 
#bjej2  7#c7 r5ewable en]gy is a        
virtually unlimit$ res\rce t c help     
avoid pollution ( ! air1 wat]1 & l& ( ! 
,unit$ ,/ates2  7#d7 ,/ates )\t high    
levels ( r5ewable en]gy %\ld n be       
p5aliz$ = pa/ inaction1 b %\ld comply ) 

an annual p]c5tage increase ( r5ewable  
electricity2 &  7#e7 ,/ates %\ld be     
enc\rag$ to create _! own r5ewable      
electricity /&>ds or clean en]gy /&>ds  
above ! ,f$]al r5ewable electricity     
/&>d4  #c4 ,r5ewable electricity /&>d   
7a7 ,9 g5]al ,title ,,vi ( ! ,public    
,utility ,regulatory ,policies ,act (   
#aigh 7#af ,u4,s4,c4 #bfja et seq47 is  
am5d$ by add+ at ! end ! foll[+3  #faj4 
,r5ewable electricity /&>d  7a7         
,def9itions ,9 ?is section3 7#a7 ,base  
quantity ( electricity  7,a7 ,9 g5]al   
,except z provid$ 9 subp>agraph 7,b71 ! 
t]m base quantity ( electricity means ! 
total quantity ( electric en]gy sold by 
a retail electric suppli]1 express$ 9   
t]ms ( kil[att h\rs1 to electric cu/om]s
 = purposes o!r ?an resale dur+ ! mo/   
rec5t cal5d> ye> = :i* in=mation is     
available4  7,b7 ,exception ,! t]m base 
quantity ( electricity does n include   
any quantity ( r5ewable en]gy deliv]$ by
 a retail electric suppli] to an        
electric cu/om] pursuant to a volunt>ily

 transaction ent]$ into by ! cu/om] to  
meet ! dem& ( ! cu/om] = r5ewable en]gy4
  7#b7 ,eligible facility ,! t]m        
eligible facility means a facility = !  
g5]ation ( electric en]gy t--  7,a7     
g5]ates electric en]gy f a new r5ewable 
en]gy res\rce us+ equipm5t t comes onl9e
 dur+ cal5d> ye> #bjbj or !reaft]2  7,b7
 g5]ates additional electric en]gy dur+ 
a cal5d> ye> f increas$ effici5cy (1 or 
additions ( capacity to1 exi/+ equipm5t 
= ! g5]ation ( electric en]gy f a       
r5ewable en]gy res\rce1 z comp>$ to !   
quantity ( electric en]gy g5]at$ f      
r5ewable en]gy res\rces dur+ ! prec$+   
cal5d> ye>2  7,c7 g5]ates electric en]gy
 f a r5ewable en]gy res\rce us+ rep[]$  
equipm5t t 0 plac$ 9 s]vice be=e cal5d> 
ye> #bjbj1 ev5 ?\gh t rep[]$ equipm5t   
conta9s "s us$ prop]ty1 if ! co/ ( ! new
 prop]ty is n less ?an #d times ! fair  
m>ket value ( ! us$ prop]ty conta9$ 9 ! 
rep[]$ equipm5t2 or  7,d7 g5]ates       
electric en]gy f a r5ewable en]gy       
res\rce us+ equipm5t t comes onl9e aft] 

cal5d> ye> #bjje & be=e cal5d> ye>      
#bjbj1 & t electric en]gy--  7i7 is n "u
 a contract = ! sale ( r5ewable en]gy   
cr$its or physical p[] to-- 7,i7 a      
retail electric suppli] = use 9 comply+ 
) a ,/ate r5ewable portfolio /&>d2 or   
7,,ii7 meet volunt>y m>ket dem&2 &  7ii7
 7,i7 is deliv]$ = end-use consumption 9
 ! regional reliability entity 7z       
recogniz$ by ! ,nor? ,am]ican ,electric 
,reliability ,corporation7 9 :i* !      
retail electric suppli] is locat$2 &    
7,,ii7 ! end-use consumption )9 t region
 c be track$ & v]ifi$4  7#c7 ,impact$   
community ,! t]m impact$ community      
means--  7,a7 an economically di/ress$  
area affect$ by environm5tal pollution  
or o!r haz>ds t c lead to-- 7i7 exposure
 to ! pollution or haz>d1 includ+       
negative public heal? effects result+ f 
t exposure2 or  7ii7 environm5tal       
degradation2 &  7,b7 an economically    
di/ress$ area affect$ by high           
unemploym5t due to--  7i7 a significant 
decl9e 9 coal m9+ activity2 or  7ii7 !  

closure ( a coal-fir$ p[] plant4  7#d7  
,increm5tal hydrop[] ,! t]m increm5tal  
hydrop[] means additional g5]ation t is 
a*iev$ f increas$ effici5cy (1 or       
additions ( capacity to1 exi/+          
hydroelectric facilities t are made on  
or aft] ! date ( enactm5t ( ?is section4
  7#e7 ,indian l& ,! t]m ,indian l&     
means--  7,a7 any l& )9 ! limits ( any  
,indian res]vation1 pueblo1 or ran*]ia2 
7,b7 any l& n )9 ! limits ( any ,indian 
res]vation1 pueblo1 or ran*]ia title to 
:i* on ! date ( enactm5t ( ?is section 0
 held by--  7i7 ! ,unit$ ,/ates = !     
b5efit ( any ,indian ,tribe or          
individual2 or  7ii7 any ,indian ,tribe 
or individual subject to re/riction by !
 ,unit$ ,/ates aga9/ ali5ation2  7,c7   
any dep5d5t ,indian community2 &  7,d7  
any l& convey$ to any ,alaska ,native   
,corporation "u ! ,alaska ,native       
,claims ,settlem5t ,act 7#dc ,u4,s4,c4  
#afja et seq474  7#f7 ,indian ,tribe ,! 
t]m ,indian ,tribe means any ,indian    
,tribe1 b&1 nation1 or o!r organiz$ gr\p

 or community1 includ+ any ,alaskan     
,native village or regional or village  
corporation 7z def9$ 91 or e/abli%$     
pursuant to1 ! ,alaska ,native ,claims  
,settlem5t ,act 7#dc ,u4,s4,c4 #afja et 
seq4771 t is recogniz$ z eligible = !   
special programs & s]vices provid$ by ! 
,unit$ ,/ates to ,indians because ( _!  
/atus z ,indians4  7#g7 ,r5ewable       
,biomass  7,a7 ,9 g5]al ,! t]m r5ewable 
biomass means--  7i7 crop byproducts or 
crop residues t-- 7,i7 are h>ve/$ f     
actively manag$ or fall[ agricultural l&
 t is cle>$ prior to ,janu>y #a1 #bjai2 
&  7,,ii7 are procur$ at a rate t       
adequately ma9ta9s soil c>bon & prev5ts 
erosion2  7ii7 clos$-loop biomass 7z    
def9$ 9 section #de7;c77#b7 ( ! ,int]nal
 ,rev5ue ,code ( #aihf7 t is h>ve/$ f l&
 cle>$ prior to ,janu>y #a1 #bjai2      
7iii7 byproducts ( wood or pap] mill    
op]ations1 includ+ lign9 9 sp5t pulp+   
liquors2  7iv7 small diamet] ?9n$ trees 
7z def9$ 9 a regulation promulgat$ by ! 
,secret>y1 9 consultation ) !           

,adm9i/rator ( ! ,environm5tal          
,protection ,ag5cy & ,secret>y ( !      
,int]ior1 pursuant to a negotiat$       
rulemak+71 logg+ residues 7z def9$ by ! 
,=e/ ,s]vice71 or tops & limbs 7z def9$ 
by ! ,=e/ ,s]vice72  7v7 trees remov$ = 
purposes ( ecological re/oration1 to be 
det]m9$ by ! ,secret>y1 9 consultation )
 ! ,*ief ( ! ,=e/ ,s]vice & ! ,director 
( ! ,unit$ ,/ates ,fi% & ,wildlife      
,s]vice1 tak+ into consid]ation climate 
impacts2  7vi7 algae2  7vii7 nonhaz>d\s 
plant matt] d]iv$ f wa/e-- 7,i7 includ+ 
sep>at$ y>d wa/e1 l&scape "r-(-way      
trimm+s1 & food wa/e2 b  7,,ii7 n       
includ+ municipal solid wa/e1 recyclable
 wa/e pap]1 pa9t$1 treat$ or pressuriz$ 
wood1 or wood contam9at$ ) pla/ic or    
metals2 &  7viii7 vegetative matt]      
remov$ f )9 #bjj y>ds ( any man-made    
/ructure or campgr\nd = ! purposes (    
haz>d\s fuels ?9n+4  7,b7 ,exclusion (  
invasive species  7i7 ,9 g5]al ,not)/&+ 
subp>agraph 7,a71 except z provid$ 9    
clause 7ii71 ! t]m r5ewable biomass does

 n include any matt] d]iv$ f a plant t  
is invasive or noxi\s1 or f a species or
 v>iety ( plants t cr$ible risk         
assessm5t tools or o!r cr$ible s\rces   
det]m9e is pot5tially invasive1 z       
det]m9$ by ! ,secret>y1 9 consultation )
 o!r appropriate ,f$]al or ,/ate        
dep>tm5ts & ag5cies4  7ii7 ,exception ,!
 t]m r5ewable biomass includes matt]    
d]iv$ f a plant t is invasive or noxi\s1
 or f a species or v>iety ( plants t    
cr$ible risk assessm5t tools or o!r     
cr$ible s\rces det]m9e is pot5tially    
invasive1 if--  7,i7 ! matt] 0 remov$ = 
purposes ( control or eradication ( !   
invasive1 noxi\s1 or pot5tially invasive
 plant2 &  7,,ii7 ! invasive1 noxi\s1 or
 pot5tially invasive plant 0 n plant$ = 
! purpose ( us+ ! plant z an en]gy crop4
  7#h7 ,r5ewable en]gy ,! t]m r5ewable  
en]gy means electric en]gy g5]at$ by a  
r5ewable en]gy res\rce4  7#i7 ,r5ewable 
en]gy res\rce ,! t]m r5ewable en]gy     
res\rce means--  7,a7 sol>2  7,b7 w9d2  
7,c7 ocean2  7,d7 tidal2  7,e7 geo!rmal 

en]gy2  7,f7 r5ewable biomass2  7,g7    
l&fill gas2  7,h7 increm5tal hydrop[]2  
or  7,i7 hydrok9etic en]gy4  7#aj7      
,retail electric suppli]  7,a7 ,9 g5]al 
,! t]m retail electric suppli] means a  
p]son t sells electric en]gy to electric
 consum]s = purposes o!r ?an resale dur+
 ! prec$+ cal5d> ye>4  7,b7 ,sales to   
p>5t companies or affiliates ,= purposes
 ( ?is p>agraph1 sales by any p]son to a
 p>5t company or to o!r affiliates ( !  
p]son %all n be treat$ z sales to       
electric consum]s4  7b7 ,compliance ,=  
cal5d> ye> #bjbj & ea* cal5d> ye>       
!reaft]1 ea* retail electric suppli]    
%all meet ! requirem5ts ( subsection 7c7
 by submitt+ to ! ,secret>y1 n lat] ?an 
,april #a ( ! foll[+ cal5d> ye>1 #a or m
 ( ! foll[+3  7#a7 ,f$]al r5ewable en]gy
 cr$its issu$ "u subsection 7e74  7#b7  
,c]tification ( ! r5ewable en]gy g5]at$ 
& electricity sav+s pursuant to ! funds 
associat$ ) ,/ate compliance paym5ts z  
specifi$ 9 subsection 7e77#d77;,f74     
7#c7 ,alt]native compliance paym5ts     

pursuant to subsection 7h74  7c7        
,requir$ annual p]c5tage increase  7#a7 
,9 g5]al ,except z provid$ 9 p>agraph   
7#b71 = ea* ( cal5d> ye>s #bjbj ?r\gh   
#bjce1 ! requir$ annual p]c5tage        
increase ( ! base quantity ( electricity
 ( a retail electric suppli] t %all be  
g5]at$ f r5ewable en]gy res\rces1 or    
o!rwise cr$it$ t[>d ! p]c5tage          
requirem5t pursuant to subsection 7d71  
%all be ! applicable p]c5tage specifi$ 9
 ! foll[+ table3  ,requir$ ,am\nt       
,cal5d> ,ye>p]c5tage  #bjbja4e #bjbab4j 
#bjbbb4j #bjbcb4j #bjbdb4j #bjbeb4j     
#bjbfb4j #bjbgb4j #bjbhb4j #bjbib4j     
#bjcjb4e #bjcab4e #bjcbb4e #bjccb4e     
#bjcdb4e #bjceb4e4  7#b7 ,application to
 c]ta9 retail electric suppli]s ,9 !    
case ( a retail electric suppli] t sells
 less ?an #a1jjj1jjj megawatt h\rs (    
electric en]gy to electric consum]s =   
purposes o!r ?an resale dur+ ! prec$+   
cal5d> ye>1 = ea* ( cal5d> ye>s #bjbj   
?r\gh #bjce1 ! requir$ annual p]c5tage  
increase ( ! base quantity ( electricity

 ( ! retail electric suppli] t %all be  
g5]at$ f r5ewable en]gy res\rces1 or    
o!rwise cr$it$ t[>d ! p]c5tage          
requirem5t pursuant to subsection 7d71  
%all be #a_/b ( ! p]c5tage specifi$ = ! 
cal5d> ye> 9 ! table 9 p>agraph 7#a74   
7d7 ,r5ewable en]gy cr$its  7#a7 ,9     
g5]al ,a retail electric suppli] may    
satisfy ! requirem5ts ( subsection      
7b77#a7 ?r\gh ! submission ( ,f$]al     
r5ewable en]gy cr$its--  7,a7 issu$ to !
 retail electric suppli] "u subsection  
7e72  7,b7 obta9$ by pur*ase or ex*ange 
"u subsection 7f72 or  7,c7 borr[$ "u   
subsection 7g74  7#b7 ,f$]al r5ewable   
en]gy cr$its ,a ,f$]al r5ewable en]gy   
cr$it may be c\nt$ t[>d compliance )    
subsection 7b77#a7 only once4  7e7      
,issuance ( ,f$]al r5ewable en]gy cr$its
  7#a7 ,9 g5]al ,n lat] ?an #a ye> aft] 
! date ( enactm5t ( ?is section1 !      
,secret>y %all e/abli% by rule a        
program-- 7,a7 to v]ify & issue ,f$]al  
r5ewable en]gy cr$its to g5]ators (     
r5ewable en]gy2  7,b7 to track ! sale1  

ex*ange1 & retirem5t ( ! cr$its2 &  7,c7
 to en=ce ! requirem5ts ( ?is section4  
7#b7 ,exi/+ non-,f$]al track+ sy/ems ,to
 ! maximum ext5t practicable1 9 e/abli%+
 ! program1 ! ,secret>y %all rely on    
exi/+ & em]g+ ,/ate or regional track+  
sy/ems t issue & track non-,f$]al       
r5ewable en]gy cr$its4  7#c7            
,application  7,a7 ,9 g5]al ,an entity t
 g5]ates electric en]gy ?r\gh ! use ( a 
r5ewable en]gy res\rce may apply to !   
,secret>y = ! issuance ( r5ewable en]gy 
cr$its4  7,b7 ,eligibility ,to be       
eligible = ! issuance ( ! cr$its1 !     
applicant %all demon/rate to ! ,secret>y
 t-- 7i7 7,i7 ! electric en]gy w be     
transmitt$ onto ! grid2 or  7,,ii7 9 !  
case ( a g5]ation (fset1 ! electric     
en]gy (fset w\ld h o!rwise be5 consum$  
onsite2 &  7ii7 9 ! case ( electric     
en]gy g5]at$ f a r5ewable en]gy res\rce 
us+ equipm5t t comes onl9e aft] cal5d>  
ye> #bjje & be=e cal5d> ye> #bjbj1 ea*  
new kil[att h\r ( electric en]gy g5]at$ 
by t equipm5t satisfies ! crit]ia set =?

 9 clauses 7i7 & 7ii7 ( subsection      
7a77#b77;,d74  7,c7 ,cont5ts ,!         
application %all indicate-- 7i7 ! type (
 r5ewable en]gy res\rce t is us$ to     
produce ! electricity2  7ii7 ! location 
at :i* ! electric en]gy w be produc$2 & 
7iii7 any o!r in=mation ! ,secret>y     
det]m9es appropriate4  7#d7 ,quantity ( 
,f$]al r5ewable en]gy cr$its  7,a7 ,9   
g5]al ,except z o!rwise provid$ 9 ?is   
p>agraph1 ! ,secret>y %all issue to a   
g5]ator ( electric en]gy #a ,f$]al      
r5ewable en]gy cr$it = ea* new kil[att  
h\r ( electric en]gy g5]at$ by ! use ( a
 r5ewable en]gy res\rce at an eligible  
facility ea* ye>4  7,b7 ,increm5tal     
hydrop[]  7i7 ,9 g5]al ,= purpose (     
compliance ) ?is section1 ,f$]al        
r5ewable en]gy cr$its = increm5tal      
hydrop[] %all be bas$ on ! increase 9   
av]age annual g5]ation result+ f !      
effici5cy improvem5ts or capacity       
additions4  7ii7 ,wat] fl[ in=mation ,! 
increm5tal g5]ation %all be calculat$   
us+ ! same wat] fl[ in=mation t is--    

7,i7 us$ to det]m9e a hi/oric av]age    
annual g5]ation basel9e = !             
hydroelectric facility2 &  7,,ii7       
c]tifi$ by ! ,secret>y or ! ,commission4
  7iii7 ,op]ational *anges ,!           
calculation ( ! ,f$]al r5ewable en]gy   
cr$its = increm5tal hydrop[] %all n be  
bas$ on any op]ational *ange at !       
hydroelectric facility t is n directly  
associat$ ) ! effici5cy improvem5ts or  
capacity additions4  7,c7 ,indian l& ,! 
,secret>y %all issue #b r5ewable en]gy  
cr$its = ea* new kil[att h\r ( electric 
en]gy g5]at$ & suppli$ to ! grid 9 a    
cal5d> ye> ?r\gh ! use ( a r5ewable     
en]gy res\rce at an eligible facility   
locat$ on ,indian l&4  7,d7 ,impact$    
communities ,! ,secret>y %all issue #b  
r5ewable en]gy cr$its = ea* new kil[att 
h\r ( electric en]gy g5]at$ & suppli$ to
 ! grid 9 a cal5d> ye> ?r\gh ! use ( a  
r5ewable en]gy res\rce at an eligible   
facility locat$ 9 an impact$ community4 
7,e7 ,comb9ation ( r5ewable &           
nonr5ewable en]gy res\rces ,if bo? a    

r5ewable en]gy res\rce & a nonr5ewable  
en]gy res\rce are us$ to g5]ate !       
electric en]gy1 ! ,secret>y %all issue !
 ,f$]al r5ewable en]gy cr$its bas$ on ! 
proportion ( ! r5ewable en]gy res\rces  
us$4  7,f7 ,compliance ) ,/ate r5ewable 
portfolio /&>d programs ,paym5ts made by
 a retail electric suppli]1 directly or 
indirectly1 to a ,/ate = compliance ) a 
,/ate r5ewable portfolio /&>d program1  
or = an alt]native compliance me*anism1 
%all be valu$ at #a cr$it p] kil[att h\r
 = ! purpose ( subsection 7b77#b7 bas$  
on ! quantity ( electric en]gy g5]ation 
f r5ewable res\rces t results f !       
paym5ts4  7f7 ,r5ewable en]gy cr$it     
trad+  7#a7 ,9 g5]al ,except z provid$ 9
 p>agraph 7#b71 a ,f$]al r5ewable en]gy 
cr$it may be sold1 transf]r$1 or ex*ang$
 by ! entity to :om ! cr$it is issu$ or 
by any o!r entity t acquires ! ,f$]al   
r5ewable en]gy cr$it4  7#b7 ,limitation 
,a ,f$]al r5ewable en]gy cr$it may n be 
sold1 transf]r$1 or ex*ang$ "u p>agraph 
7#a7 if ! cr$it 0 issu$ to an eligible  

facility z a result ( t facility hav+   
compli$ ) a ,/ate program ! requirem5ts 
( :i* exce$ ! requirem5ts ( ?is section 
) respect to ! quantity ( r5ewable      
en]gy4  7#c7 ,c>ryov] ,a ,f$]al r5ewable
 en]gy cr$it = any ye> t is n submitt$  
to satisfy ! m9imum requir$ increase 9  
r5ewable g5]ation "u subsection 7c7 = t 
ye> may be c>ri$ =w>d = use pursuant to 
subsection 7b77#a7 )9 ! next #c ye>s4   
7#d7 ,delegation ,! ,secret>y may       
delegate to an appropriate m>ket-mak+   
entity ! adm9i/ration ( a national      
tradeable r5ewable en]gy cr$it m>ket =  
purposes ( creat+ a transp>5t national  
m>ket = ! sale or trade ( r5ewable en]gy
 cr$its4  7g7 ,r5ewable en]gy cr$it     
borr[+  7#a7 ,9 g5]al ,n lat] ?an       
,decemb] #ca1 #bjbj1 a retail electric  
suppli] t has reason to believe ! retail
 electric suppli] w n be able to fully  
comply ) subsection 7b7 may-- 7,a7      
submit a plan to ! ,secret>y demon/rat+ 
t ! retail electric suppli] w e>n       
suffici5t ,f$]al r5ewable en]gy cr$its  

)9 ! next #c cal5d> ye>s t1 :5 tak5 into
 acc\nt1 w enable ! retail electric     
suppli] to meet ! requirem5ts (         
subsection 7b7 = cal5d> ye> #bjbj & !   
subsequ5t cal5d> ye>s involv$2 &  7,b7  
on ! approval ( ! plan by ! ,secret>y1  
apply ,f$]al r5ewable en]gy cr$its t !  
plan demon/rates w be e>n$ )9 ! next #c 
cal5d> ye>s to meet ! requirem5ts (     
subsection 7b7 = ea* cal5d> ye> involv$4
  7#b7 ,repaym5t ,! retail electric     
suppli] %all repay all ( ! borr[$ ,f$]al
 r5ewable en]gy cr$its by submitt+ an   
equival5t numb] ( ,f$]al r5ewable en]gy 
cr$its1 9 addition to ! cr$its o!rwise  
requir$ "u subsection 7b71 by cal5d> ye>
 #bjbc or any e>li] deadl9es specifi$ 9 
! approv$ plan4  7h7 ,alt]native        
compliance paym5ts ,z a means (         
compliance "u subsection 7b77#c71 !     
,secret>y %all accept paym5t equal to ! 
less] (-- 7#a7 #bjj p]c5t ( ! av]age    
m>ket value ( ,f$]al r5ewable en]gy     
cr$its = ! applicable compliance p]iod2 
or  7#b7 #c c5ts p] kil[att h\r 7z      

adju/$ on ,janu>y #a ( ea* ye> foll[+   
cal5d> ye> #bjbj bas$ on ! implicit     
price deflator = ! gross national       
product74  7i7 ,in=mation collection ,! 
,secret>y may collect ! in=mation       
necess>y to v]ify & audit--  7#a7  7,a7 
! annual r5ewable en]gy g5]ation ( any  
retail electric suppli]2 &  7,b7 ,f$]al 
r5ewable en]gy cr$its submitt$ by a     
retail electric suppli] pursuant to     
subsection 7b77#a72  7#b7 ! validity (  
,f$]al r5ewable en]gy cr$its submitt$ = 
compliance by a retail electric suppli] 
to ! ,secret>y2 &  7#c7 ! quantity (    
electricity sales ( all retail electric 
suppli]s4  7j7 ,environm5tal sav+s      
clause ,increm5tal hydrop[] %all be     
subject to all applicable environm5tal  
laws & lic5s+ & regulatory requirem5ts4 
7k7 ,/ate programs  7#a7 ,9 g5]al ,no?+ 
9 ?is section preempts or affects any   
au?ority ( a ,/ate1 political           
subdivision ( a ,/ate1 or int]/ate      
compact--  7,a7 to adopt or en=ce any   
law or rule respect+ r5ewable en]gy1    

includ+ by e/abli%+ & en=c+ a r5ewable  
en]gy program t is sep>ate f ! program  
e/abli%$ "u ?is section1 t does n       
conflict ) ! requirem5ts ( ?is section2 
or  7,b7 to regulate ! acquisition &    
disposition ( ,f$]al r5ewable en]gy     
cr$its by retail electric suppli]s4     
7#b7 ,compliance ) section ,no law or   
regulation ref]r$ to 9 p>agraph         
7#a77;,a7 %all relieve any p]son ( any  
requirem5t o!rwise applicable "u ?is    
section4  7#c7 ,coord9ation ) ,/ate     
program ,! ,secret>y1 9 consultation )  
,/ates t h 9 effect r5ewable en]gy      
programs1 %all--  7,a7 pres]ve !        
integrity ( ! ,/ate programs1 includ+   
programs ! requirem5ts ( :i* exce$ !    
requirem5ts ( ?is section ) respect to  
quantity ( r5ewable en]gy2 &  7,b7      
facilitate coord9ation betwe5 ! ,f$]al  
program & ,/ate programs4  7#d7 ,/ate   
infra/ructure inve/m5t ,! ,f$]al ,en]gy 
,regulatory ,commission %all seek to    
ensure t ea* transmission provid] 7z    
def9$ 9 section #cg4c ( title #ah1 ,code

 ( ,f$]al ,regulations 7or a successor  
regulation77-- 7,a7 id5tifies ! electric
 transmission infra/ructure ne$s driv5  
by ! requirem5ts ( ?is section2 &  7,b7 
fully evaluates1 9 ! transmission plann+
 process1 pot5tial transmission         
solutions to meet ^? id5tifi$ ne$s4     
7#e7 ,exi/+ r5ewable en]gy programs ,9 !
 regulations e/abli%+ ! program "u ?is  
section1 ! ,secret>y %all incorporate   
common elem5ts ( exi/+ r5ewable en]gy   
programs1 includ+ ,/ate programs1 to    
ensure adm9i/rative ease1 m>ket         
transp>5cy1 & effective en=cem5t4  7#f7 
,m9imization ( adm9i/rative burd5s &    
co/s ,9 c>ry+ out ?is section1 !        
,secret>y %all "w ) ! ,/ates to m9imize 
adm9i/rative burd5s & co/s to retail    
electric suppli]s4  7#g7 ,opt-out  7,a7 
,9 g5]al ,subject to ! requirem5ts ( ?is
 p>agraph1 ! ,secret>y %all all[ a ,/ate
 to elect n to p>ticipate 9 ?is section1
 includ+ any program e/abli%$ by !      
,secret>y "u ?is section4  7,b7         
,eligibility ,a ,/ate may elect n to    

p>ticipate 9 ?is section if ! ,secret>y 
det]m9es t-- 7i7 m ?an #fj p]c5t ( !    
electricity sold 9 ! ,/ate ea* ye> is   
g5]at$ f new or exi/+ r5ewable en]gy    
res\rces2 or  7ii7 ! ,/ate-- 7,i7 has 9 
effect a program ! requirem5ts ( :i*    
exce$ ! requirem5ts ( ?is section )     
respect to quantity ( new r5ewable      
en]gy2 &  7,,ii7 has 9 effect a sy/em ( 
en=c+ compliance ) t ,/ate program1     
includ+ any p5alty1 t is at lea/ z      
effective z ! sy/em ( en=cem5t "u ?is   
section4  7,c7 ,application  7i7        
,submission ,a ,/ate elect+ n to        
p>ticipate 9 ?is section %all submit to 
! ,secret>y an application at su* "t1 9 
su* mann]1 & conta9+ su* in=mation z !  
,secret>y may require4  7ii7 ,approval  
,! ,secret>y %all approve an application
 submitt$ "u clause 7i7 if ! ,secret>y  
det]m9es t ! ,/ate meets ! requirem5ts  
describ$ 9 subp>agraph 7,b74  7,d7      
,waiv]  7i7 ,9 g5]al ,on approval ( an  
application "u subp>agraph 7,c71 !      
,secret>y %all issue to ! ,/ate a waiv] 

f ! requirem5ts ( ?is section4  7ii7    
,duration ,a waiv] issu$ by ! ,secret>y 
"u clause 7i7 %all be = a p]iod ( #c    
ye>s4  7,e7 ,effect ( opt-out  7i7 ,9   
g5]al ,on receipt ( a waiv] "u          
subp>agraph 7,d71 a ,/ate1 includ+ any  
retail electric suppli] )9 ! ,/ate1 %all
 be exempt f ! requirem5ts ( ?is        
section1 includ+ any program e/abli%$ by
 ! ,secret>y "u ?is section1 = !        
duration ( ! waiv]4  7ii7 ,issuance (   
,f$]al r5ewable en]gy cr$its  7,i7 ,9   
g5]al ,subject to subclause 7,,ii71 !   
,secret>y %all n issue ,f$]al r5ewable  
en]gy cr$its = electricity g5]at$ 9 a   
,/ate t has be5 issu$ a waiv] "u        
subp>agraph 7,d74  7,,ii7 ,en]gy consum$
 9 ano!r ,/ate ,on reque/ ( an eligible 
facility locat$ 9 a ,/ate t has be5     
issu$ a waiv] "u subp>agraph 7,d71 !    
,secret>y may issue to ! eligible       
facility ,f$]al r5ewable en]gy cr$its = 
electric en]gy g5]at$ by ! eligible     
facility ?r\gh ! use ( a r5ewable en]gy 
res\rce if t electric en]gy 0 consum$ 9 

a ,/ate t has n be5 issu$ a waiv] "u    
subp>agraph 7,d74  7iii7 ,grants ,a     
,/ate t has receiv$ a waiv] "u          
subp>agraph 7,d7 %all n be eligible = a 
grant "u subsection 7n74  7l7 ,recov]y (
 co/s ,an electric utility t has sales (
 electric en]gy t are subject to rate   
regulation 7includ+ any utility ) rates 
t are regulat$ by ! ,commission & any   
,/ate regulat$ electric utility7 %all n 
be d5i$ ! opportunity to recov] ! full  
am\nt ( ! prud5tly incurr$ increm5tal   
co/ ( r5ewable en]gy obta9$ to comply ) 
! requirem5ts ( subsection 7b74  7m7    
,program review  7#a7 ,9 g5]al ,!       
,secret>y %all ent] into an arrangem5t )
 ! ,national ,academy ( ,sci5ces "u :i* 
! ,academy %all conduct a compreh5sive  
evaluation ( all aspects ( ! program    
e/abli%$ "u ?is section4  7#b7          
,evaluation ,! /udy "u p>agraph 7#a7    
%all include an evaluation (--  7,a7 !  
effectiv5ess ( ! program 9 increas+ !   
m>ket p5etration & l[]+ ! co/ ( !       
eligible r5ewable en]gy te*nologies2    

7,b7 ! opportunities = any additional   
te*nologies & s\rces ( r5ewable en]gy   
em]g+ s9ce ! date ( enactm5t ( ?is      
section2  7,c7 ! impact on ! regional   
div]sity & reliability ( supply s\rces1 
includ+ ! p[] quality b5efits (         
di/ribut$ g5]ation2  7,d7 ! regional    
res\rce developm5t relative to r5ewable 
pot5tial & reasons = any inve/m5t 9     
r5ewable res\rces2  7,e7 ! net co/ or   
b5efit ( ! r5ewable electricity /&>d to 
! national & ,/ate economies1 includ+-- 
7i7 retail p[] co/s2  7ii7 ! economic   
developm5t b5efits ( inve/m5t2  7iii7   
avoid$ co/s relat$ to environm5tal &    
conge/ion mitigation inve/m5ts t w\ld   
o!rwise h be5 requir$2  7iv7 ! impact on
 natural gas dem& & price2 &  7v7 !     
effectiv5ess ( gre5 m>ket+ programs at  
r$uc+ ! co/ ( r5ewable res\rces2 &  7,f7
 ! impact ( any attrition ( exi/+       
r5ewable en]gy4  7#c7 ,report ,n lat]   
?an ,janu>y #a1 #bjbe1 & e #e ye>s      
!reaft]1 ! ,secret>y %all submit to     
,congress a report describ+ ! results ( 

! evaluation & any recomm5dations =     
modifications & improvem5ts to !        
program4  7#d7 ,plan ,n lat] ?an        
,decemb] #ca1 #bjcc1 ! ,secret>y %all   
submit to ,congress a plan to am5d &    
ext5d1 ?r\gh regulation1 ! program &    
/&>ds e/abli%$ "u ?is section 9 a mann] 
t w dec>bonize ! p[] sector be=e #bjej4 
7n7 ,/ate r5ewable en]gy acc\nt  7#a7 ,9
 g5]al ,!re is e/abli%$ 9 ! ,treasury a 
,/ate r5ewable en]gy acc\nt4  7#b7      
,deposits ,all money collect$ by !      
,secret>y f ! alt]native compliance     
paym5ts "u subsection 7h7 %all be       
deposit$ into ! ,/ate r5ewable en]gy    
acc\nt e/abli%$ "u p>agraph 7#a74  7#c7 
,grants  7,a7 ,9 g5]al ,proce$s deposit$
 9 ! ,/ate r5ewable en]gy acc\nt %all be
 us$ by ! ,secret>y1 subject to annual  
appropriations1 = a program to provide  
grants--  7i7 to ! ,/ate ag5cy          
responsible = adm9i/]+ a fund to promote
 r5ewable en]gy g5]ation = cu/om]s ( !  
,/ate or an alt]native ag5cy designat$  
by ! ,/ate2 or  7ii7 if no ag5cy        

describ$ 9 clause 7i71 to ! ,/ate ag5cy 
develop+ ,/ate en]gy cons]vation plans  
"u section #cfb ( ! ,en]gy ,policy &    
,cons]vation ,act 7#db ,u4,s4,c4 #fcbb74
  7,b7 ,use ,a grant "u ?is p>agraph    
%all be us$ = ! purpose (-- 7i7 promot+ 
r5ewable en]gy production2 or  7ii7     
provid+ en]gy assi/ance & wea!rization  
s]vices to l[-income consum]s4  7,c7    
,crit]ia ,! ,secret>y may issue         
guidel9es & crit]ia = any grant aw>d$ "u
 ?is p>agraph4  7,d7 ,/ate-approv$ fund+
 me*anisms ,at lea/ #ge p]c5t ( ! funds 
provid$ to ea* ,/ate = ea* fiscal ye>   
%all be us$ to promote r5ewable en]gy   
production ?r\gh grants1 production     
inc5tives1 or o!r ,/ate-approv$ fund+   
me*anisms4  7,e7 ,allocation ,! funds   
%all be allocat$ to ! ,/ates on ! basis 
( retail electric sales subject to !    
r5ewable electricity /&>d "u ?is section
 or ?r\gh volunt>y p>ticipation4  7,f7  
,records ,a ,/ate ag5cy receiv+ a grant 
"u ?is p>agraph %all ma9ta9 su* records 
& evid5ce ( compliance z ! ,secret>y may

 require4  4  7b7 ,cl]ical am5dm5t ,!   
table ( cont5ts = ! ,public ,utility    
,regulatory ,policies ,act ( #aigh 7#af 
,u4,s4,c4 prec4 #bfja7 is am5d$ by add+ 
at ! end ( ! items relat+ to title ,,vi 
! foll[+3  ,sec4 #fji4 ,rural & remote  
communities electrification grants4     
,sec4 #faj4 ,r5ewable electricity /&>d4 
4