Home > Renewables & Alternate Fuels > Impact of Energy Policy Act of 2005 Section 206 > Appendix A. Legislation

Impact of Energy Policy Act of 2005 Section 206 Rebates on Consumers
and Renewable Energy Consumption, With Projections to 2010

Release date: February 2006



Appendix A. Legislation – Energy Policy Act 2005 Section 206

 

(a) WEATHERIZATION ASSISTANCE.—Section 415(c) of the Energy
Conservation and Production Act (42 U.S.C. 6865(c)) is amended—
              (1) in paragraph (1), by striking ‘‘in paragraph (3)’’ and
inserting ‘‘in paragraphs (3) and (4)’’;
              (2) in paragraph (3), by striking ‘‘$2,500 per dwelling unit average provided in paragraph (1)’’ and inserting ‘‘dwelling unit
averages provided in paragraphs (1) and (4)’’; and
              (3) by adding at the end the following new paragraphs:
    ‘‘(4) The expenditure of financial assistance provided under this part for
labor, weatherization materials, and related matters for a renewable energy
system shall not exceed an average of $3,000 per dwelling unit.
    ‘‘(5)(A) The Secretary shall by regulations—
            ‘‘(i) establish the criteria which are to be used in prescribing
performance and quality standards under paragraph (6)(A)(ii) or in
specifying any form of renewable energy under paragraph
(6)(A)(i)(I); and
            ‘‘(ii) establish a procedure under which a manufacturer of an
item may request the Secretary to certify that the item will be treated,
for purposes of this paragraph, as a renewable energy system.
     ‘‘(B) The Secretary shall make a final determination with respect to any
request filed under subparagraph (A)(ii) within 1 year after the filing of the
request, together with any information required to be filed with such
request under subparagraph (A)(ii).
     ‘‘(C) Each month the Secretary shall publish a report of any request under subparagraph (A)(ii) which has been denied during the preceding
month and the reasons for the denial.
    ‘‘(D) The Secretary shall not specify any form of renewable energy
under paragraph (6)(A)(i)(I) unless the Secretary determines that—
              ‘‘(i) there will be a reduction in oil or natural gas consumption
as a result of such specification;
              ‘‘(ii) such specification will not result in an increased use of any
item which is known to be, or reasonably suspected to be,
environmentally hazardous or a threat to public health or safety; and
              ‘‘(iii) available Federal subsidies do not make such
specification unnecessary or inappropriate (in the light of the most
advantageous allocation of economic resources).
‘‘(6) In this subsection—
         ‘‘(A) the term ‘renewable energy system’ means a system
which—
                        ‘‘(i) when installed in connection with a dwelling,
          transmits or uses—
                                  ‘‘(I) solar energy, energy derived from the
                         geothermal deposits, energy derived from biomass, or
                         any other form of renewable energy which the
                         Secretary specifies by regulations, for the purpose of
                         heating or cooling such dwelling or providing hot water
                         or electricity for use within such dwelling; or
                                  ‘‘(II) wind energy for nonbusiness residential
                         purposes;
                         ‘‘(ii) meets the performance and quality standards (if
              any) which have been prescribed by the Secretary by
              regulations;
                         ‘‘(iii) in the case of a combustion rated system, has a
              thermal efficiency rating of at least 75 percent; and
                         ‘‘(iv) in the case of a solar system, has a thermal
              efficiency rating of at least 15 percent; and
               ‘‘(B) the term ‘biomass’ means any organic matter that is
          available on a renewable or recurring basis, including agricultural crops
          and trees, wood and wood wastes and residues, plants (including
          aquatic plants), grasses, residues, fibers, and animal wastes,
          municipal wastes, and other waste materials.’’.
(b) DISTRICT HEATING AND COOLING PROGRAMS.—Section 172
of the Energy Policy Act of 1992 (42 U.S.C. 13451 note) is amended—
               (1) in subsection (a)—
                             (A) by striking ‘‘and’’ at the end of paragraph (3);
                             (B) by striking the period at the end of paragraph
              (4) and inserting ‘‘; and’’; and
                              (C) by adding at the end the following new paragraph:
              ‘‘(5) evaluate the use of renewable energy systems (as such
term is defined in section 415(c) of the Energy Conservation and
Production Act (42 U.S.C. 6865(c))) in residential buildings.’’; and
               (2) in subsection (b), by striking ‘‘this Act’’ and inserting ‘‘the
Energy Policy Act of 2005’’.
(c) REBATE PROGRAM.—
               (1) ESTABLISHMENT.—The Secretary shall establish a pro-
gram providing rebates for consumers for expenditures made for the
installation of a renewable energy system in connection with a dwelling
unit or small business.
               (2) AMOUNT OF REBATE.—Rebates provided under the pro-
gram established under paragraph (1) shall be in an amount not to
exceed the lesser of—
                              (A) 25 percent of the expenditures described in
paragraph (1) made by the consumer; or
                              (B) $3,000.
               (3) DEFINITION.—For purposes of this subsection, the term
‘‘renewable energy system’’ has the meaning given that term in section
415(c)(6)(A) of the Energy Conservation and Production Act (42 U.S.C.
6865(c)(6)(A)), as added by subsection (a)(3) of this section.
               (4) AUTHORIZATION OF APPROPRIATIONS.—There are
authorized to be appropriated to the Secretary for carrying out this
subsection, to remain available until expended—
                              (A) $150,000,000 for fiscal year 2006;
                              (B) $150,000,000 for fiscal year 2007;
                              (C) $200,000,000 for fiscal year 2008;
                              (D) $250,000,000 for fiscal year 2009; and
                              (E) $250,000,000 for fiscal year 2010.
        (d) RENEWABLE FUEL INVENTORY.—Not later than 180
days after the date of enactment of this Act, the Secretary shall
transmit to Congress a report containing—
               (1) an inventory of renewable fuels available for consumers;
and
               (2) a projection of future inventories of renewable fuels based
on the incentives provided in this section.