Incentivizing Offshore Wind Power Act

II 116TH CONGRESS 1ST SESSION S. 1988 To amend the Internal Revenue Code of 1986 to extend the energy credit for offshore wind facilities. IN THE SENATE OF THE UNITED STATES JUNE 26, 2019 Mr. CARPER (for himself, Ms. COLLINS, Mr. BROWN, Mr. CARDIN, Mr. COONS, Mr. KING, Mr. MENENDEZ, Mr. REED, Mr. SCHATZ, Ms. WAR- REN, Mr. WHITEHOUSE, and Mr. MARKEY) introduced the following bill; which was read twice and referred to the Committee on Finance A BILL To amend the Internal Revenue Code of 1986 to extend the energy credit for offshore wind facilities. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘Incentivizing Offshore 4 Wind Power Act’’. 5 VerDate Sep 11 2014 21:41 Jul 01, 2019 Jkt 089200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\S1988.IS S1988 kjohnson on DSK79L0C42 with BILLS 2 •S 1988 IS SEC. 2. EXTENSION OF ENERGY CREDIT FOR OFFSHORE 1 WIND FACILITIES. 2 (a) IN GENERAL.—Section 48(a)(5) of the Internal 3 Revenue Code of 1986 is amended by adding at the end 4 the following: 5 ‘‘(F) QUALIFIED OFFSHORE WIND FACILI- 6 TIES.— 7 ‘‘(i) IN GENERAL.—In the case of any 8 qualified offshore wind facility— 9 ‘‘(I) subparagraph (C)(ii) shall be 10 applied by substituting ‘January 1 of 11 the applicable year (as determined 12 under subparagraph (F)(ii))’ for ‘Jan- 13 uary 1, 2020’, 14 ‘‘(II) subparagraph (E) shall not 15 apply, and 16 ‘‘(III) for purposes of this para- 17 graph, section 45(d)(1) shall be ap- 18 plied by substituting ‘January 1 of 19 the applicable year (as determined 20 under section 48(a)(5)(F)(ii))’ for 21 ‘January 1, 2020’. 22 ‘‘(ii) APPLICABLE YEAR.— 23 ‘‘(I) IN GENERAL.—For purposes 24 of this subparagraph, the term ‘appli- 25 cable year’ means the later of— 26 VerDate Sep 11 2014 21:41 Jul 01, 2019 Jkt 089200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S1988.IS S1988 kjohnson on DSK79L0C42 with BILLS 3 •S 1988 IS ‘‘(aa) calendar year 2027, or 1 ‘‘(bb) the calendar year sub- 2 sequent to the first calendar year 3 in which the Secretary, in con- 4 sultation with the Secretary of 5 Energy, determines that the 6 United States has increased its 7 offshore wind capacity by not less 8 than 3,000 megawatts as com- 9 pared to such capacity on Janu- 10 ary 1, 2020. 11 ‘‘(II) EXCLUSION OF CERTAIN 12 FACILITIES.—For purposes of sub- 13 clause (I)(bb), the Secretary shall not 14 include any increase in offshore wind 15 capacity which is attributable to any 16 facility the construction of which 17 began before January 1, 2020. 18 ‘‘(iii) QUALIFIED OFFSHORE WIND FA- 19 CILITY.—For purposes of this subpara- 20 graph, the term ‘qualified offshore wind fa- 21 cility’ means a qualified facility described 22 in paragraph (1) of section 45(d) which is 23 located in the inland navigable waters of 24 the United States, including the Great 25 VerDate Sep 11 2014 21:41 Jul 01, 2019 Jkt 089200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\S1988.IS S1988 kjohnson on DSK79L0C42 with BILLS 4 •S 1988 IS Lakes, or in the coastal waters of the 1 United States, including the territorial 2 seas of the United States, the exclusive 3 economic zone of the United States, and 4 the outer Continental Shelf of the United 5 States. 6 ‘‘(iv) REPORT ON OFFSHORE WIND 7 CAPACITY.—On January 15, 2026, and an- 8 nually thereafter until the calendar year 9 described in clause (ii)(I)(bb), the Sec- 10 retary, in consultation with the Secretary 11 of Energy, shall issue a report to be made 12 available to the public which discloses the 13 increase in the offshore wind capacity of 14 the United States, as measured in total 15 megawatts, since January 1, 2020.’’. 16 (b) EFFECTIVE DATE.—The amendment made by 17 this section shall apply to periods after December 31, 18 2016, under rules similar to the rules of section 48(m) 19 of the Internal Revenue Code of 1986 (as in effect on the 20 day before the date of the enactment of the Revenue Rec- 21 onciliation Act of 1990). 22 Æ VerDate Sep 11 2014 21:41 Jul 01, 2019 Jkt 089200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6301 E:\BILLS\S1988.IS S1988 kjohnson on DSK79L0C42 with BILLS