S.Amdt. 1449

1. Rewrites section 202

   Replaces

   In S. 14 · Placed on Calendar Senate

   SEC. 202. PROJECT CRITERIA.

   (a) In General.--The Secretary shall not provide funding under this subtitle for any project that does not advance efficiency, environmental performance, and cost competitiveness [struck: well ]beyond the level of technologies that are in operation or have been demonstrated as of the date of the enactment of this Act.

   (b) Technical Criteria for Gasification.--In allocating the funds made available under section 201, the Secretary shall ensure that at least 80 percent of the funds are used for coal-based gasification technologies[struck: or coal-based ][inserted: , including ]projects that include gasification combined cycle, gasification fuel cells, gasification co-production, or hybrid gasification/[inserted: ]combustion[inserted: , and coal-based oxidation technologies that result in concentrated streams of carbon dioxide for capture and sequestration]. The Secretary shall set technical milestones specifying emissions levels that coal gasification projects must be designed to and reasonably expected to achieve. The milestones shall get more restrictive through the life of the program. The milestones shall be designed to achieve by 2020 coal gasification projects able to--

   (1) remove 99 percent of sulfur dioxide;

   (2) emit no more than .05 lbs of NOx per million [struck: BTU][inserted: Btu];

   (3) achieve substantial reductions in mercury emissions; and

   (4) achieve a thermal efficiency of--

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   (A) 60 percent for coal of more than 9,000 Btu;

   (B) 59 percent for coal of 7,000 to 9,000 Btu; and

   (C) 57 percent for coal of less than 7,000 Btu.

   (c) Technical Criteria for Other Projects.--For projects not described in subsection (b), the Secretary shall set technical milestones specifying emissions levels that the projects must be designed to and reasonably expected to achieve. The milestones shall get more restrictive through the life of the program. The milestones shall be designed to achieve by 2010 projects able to--

   (1) remove 97 percent of sulfur dioxide;

   (2) emit no more than .08 lbs of NOx per million [struck: BTU][inserted: Btu];

   (3) achieve substantial reductions in mercury emissions; and

   (4) achieve a thermal efficiency of--

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   (A) 45 percent for coal of more than 9,000 Btu;

   (B) 44 percent for coal of 7,000 to 9,000 Btu; and

   (C) 42 percent for coal of less than 7,000 Btu.

   (d) Existing Units.--In the case of projects at existing units, in lieu of the thermal efficiency requirements set forth in paragraphs (b)(4) and (c)(4), the projects shall be designed to achieve an overall thermal design efficiency improvement compared to the efficiency of the unit as operated, of not less than--

   (A) 7 percent for coal of more than 9,000 Btu;

   (B) 6 percent for coal of 7,000 to 9,000 Btu; or

   (C) 4 percent for coal of less than 7,000 Btu.

   Struck: (e) Permitted Uses.--In allocating funds made available in this section, the Secretary may allocate funds to projects that include, as part of the project, the separation and capture of carbon dioxide.

   ([struck: f][inserted: e]) Consultation.--Before setting the technical milestones under subsections (b) and (c), the Secretary shall consult with the Administrator of the Environmental Protection Agency and interested entities, including coal producers, industries using coal, organizations to promote coal or advanced coal technologies, environmental organizations, and organizations representing workers.

   ([struck: g][inserted: f]) Financial Criteria.--The Secretary shall not provide a funding award under this title unless the recipient has documented to the satisfaction of the Secretary that--

   Struck: (1) the award recipient is financially viable without the receipt of additional Federal funding;

   Inserted: (1) the award recipient has an adequate financial plan for carrying out the project;

   (2) the recipient will provide sufficient information to the Secretary for the Secretary to ensure that the award funds are spent efficiently and effectively; and

   (3) a market exists for the technology being demonstrated or applied, as evidenced by statements of interest in writing from potential purchasers of the technology.

   ([struck: h][inserted: g]) Financial Assistance.--The Secretary shall provide financial assistance to projects that meet the requirements of this section and are likely to--

   (1) achieve overall cost reductions in the utilization of coal to generate useful forms of energy[inserted: while complying with environmental standards];

   (2) improve the competitiveness of coal among various forms of energy; and

   (3) demonstrate methods and equipment that are applicable to 25 percent of the electricity generating facilities that use coal as the primary feedstock as of the date of the enactment of this Act.

   Inserted: (h) Federal Share.--

   ([struck: i][inserted: 1]) [struck: Federal Share][inserted: In general].--The Federal share of the cost of a coal or related technology project funded by the Secretary shall not exceed 50 percent.

   Inserted: (2) Repayment terms.--The Secretary shall not require repayment for the Federal share of the cost of a coal or related technology project selected under this section.

   ([struck: j][inserted: i]) Applicability.--No technology, or level of emission reduction, shall be treated as adequately demonstrated for purposes of section 111 of the Clean Air Act, achievable for purposes of section 169 of that Act, or achievable in practice for purposes of section 171 of that Act solely by reason of the use of such technology, or the achievement of such emission reduction, by one or more facilities receiving assistance under this title.

   Original wording

   Strike section 202 and insert the following:

Read automatically from the Congressional Record. Check the original before relying on it.

As printed