Preserving Existing Nuclear Energy Generation Act
This bill requires the Department of Energy to establish (1) a program to evaluate nuclear reactors that are projected to cease operations due to economic factors and to allocate financial credits to certain reactors, and (2) a grant program to assist communities with revenue shortfalls due to closures of nuclear power plants.
[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4960 Introduced in House (IH)]
<DOC>
117th CONGRESS
1st Session
H. R. 4960
To direct the Secretary of Energy to establish a civil nuclear credit
program, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
August 6, 2021
Mr. Kinzinger (for himself and Mr. Michael F. Doyle of Pennsylvania)
introduced the following bill; which was referred to the Committee on
Energy and Commerce, and in addition to the Committees on
Transportation and Infrastructure, and Financial Services, for a period
to be subsequently determined by the Speaker, in each case for
consideration of such provisions as fall within the jurisdiction of the
committee concerned
_______________________________________________________________________
A BILL
To direct the Secretary of Energy to establish a civil nuclear credit
program, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE; DEFINITIONS.
(a) Short Title.--This Act may be cited as the ``Preserving
Existing Nuclear Energy Generation Act''.
(b) Definitions.--In this Act:
(1) Appropriate committees of congress.--The term
``appropriate committees of Congress'' means--
(A) the Committee on Energy and Natural Resources
of the Senate; and
(B) the Committee on Energy and Commerce of the
House of Representatives.
(2) Commission.--The term ``Commission'' means the Nuclear
Regulatory Commission.
(3) Secretary.--The term ``Secretary'' means the Secretary
of Energy.
SEC. 2. CIVIL NUCLEAR CREDIT PROGRAM.
(a) Definitions.--In this section:
(1) Certified nuclear reactor.--The term ``certified
nuclear reactor'' means a nuclear reactor that--
(A) competes in a competitive electricity market;
and
(B) is certified under subsection (c)(2)(A)(i) to
submit a sealed bid in accordance with subsection (d).
(2) Credit.--The term ``credit'' means a credit allocated
to a certified nuclear reactor under subsection (e)(2).
(b) Establishment of Program.--The Secretary shall establish a
civil nuclear credit program--
(1) to evaluate nuclear reactors that are projected to
cease operations due to economic factors; and
(2) to allocate credits to certified nuclear reactors that
are selected under paragraph (1)(B) of subsection (e) to
receive credits under paragraph (2) of that subsection.
(c) Certification.--
(1) Application.--
(A) In general.--In order to be certified under
paragraph (2)(A)(i), the owner or operator of a nuclear
reactor that is projected to cease operations due to
economic factors shall submit to the Secretary an
application at such time, in such manner, and
containing such information as the Secretary determines
to be appropriate, including--
(i) information on the operating costs
necessary to make the determination described
in paragraph (2)(A)(ii)(I), including--
(I) the average projected annual
operating loss in dollars per megawatt-
hour, inclusive of the cost of
operational and market risks, expected
to be incurred by the nuclear reactor
over the 4-year period for which
credits would be allocated;
(II) any private or publicly
available data with respect to current
or projected bulk power market prices;
(III) out-of-market revenue
streams;
(IV) operations and maintenance
costs;
(V) capital costs, including fuel;
and
(VI) operational and market risks;
(ii) an estimate of the potential
incremental air pollutants that would result if
the nuclear reactor were to cease operations;
(iii) known information on the source of
produced uranium and the location where the
uranium is converted, enriched, and fabricated
into fuel assemblies for the nuclear reactor
for the 4-year period for which credits would
be allocated; and
(iv) a detailed plan to sustain operations
at the conclusion of the applicable 4-year
period for which credits would be allocated--
(I) without receiving additional
credits; or
(II) with the receipt of additional
credits of a lower amount than the
credits allocated during that 4-year
credit period.
(B) Timeline.--The Secretary shall accept
applications described in subparagraph (A)--
(i) until the date that is 120 days after
the date of enactment of this Act; and
(ii) not less frequently than every year
thereafter.
(C) Payments from state programs.--
(i) In general.--The owner or operator of a
nuclear reactor that receives a payment from a
State zero-emission credit, a State clean
energy contract, or any other State program
with respect to that nuclear reactor shall be
eligible to submit an application under
subparagraph (A) with respect to that nuclear
reactor during any application period beginning
after the 120-day period beginning on the date
of enactment of this Act.
(ii) Requirement.--An application submitted
by an owner or operator described in clause (i)
with respect to a nuclear reactor described in
that clause shall include all projected
payments from State programs in determining the
average projected annual operating loss
described in subparagraph (A)(i)(I), unless the
credits allocated to the nuclear reactor
pursuant to that application will be used to
reduce those payments.
(2) Determination to certify.--
(A) Determination.--
(i) In general.--Not later than 60 days
after the applicable date under subparagraph
(B) of paragraph (1), the Secretary shall
determine whether to certify, in accordance
with clauses (ii) and (iii), each nuclear
reactor for which an application is submitted
under subparagraph (A) of that paragraph.
(ii) Minimum requirements.--To the maximum
extent practicable, the Secretary shall only
certify a nuclear reactor under clause (i) if--
(I) after considering the
information submitted under paragraph
(1)(A)(i), the Secretary determines
that the nuclear reactor is projected
to cease operations due to economic
factors;
(II) after considering the estimate
submitted under paragraph (1)(A)(ii),
the Secretary determines that
pollutants would increase if the
nuclear reactor were to cease
operations and be replaced with other
types of power generation; and
(III) the Nuclear Regulatory
Commission has reasonable assurance
that the nuclear reactor--
(aa) will continue to be
operated in accordance with the
current licensing basis (as
defined in section 54.3 of
title 10, Code of Federal
Regulations (or successor
regulations)) of the nuclear
reactor; and
(bb) poses no significant
safety hazards.
(iii) Priority.--In determining whether to
certify a nuclear reactor under clause (i), the
Secretary shall give priority to a nuclear
reactor that uses, to the maximum extent
available, uranium that is produced, converted,
enriched, and fabricated into fuel assemblies
in the United States.
(B) Notice.--For each application received under
paragraph (1)(A), the Secretary shall provide to the
applicable owner or operator, as applicable--
(i) a notice of the certification of the
applicable nuclear reactor; or
(ii) a notice that describes the reasons
why the certification of the applicable nuclear
reactor was denied.
(d) Bidding Process.--
(1) In general.--Subject to paragraph (2), the Secretary
shall establish a deadline by which each certified nuclear
reactor shall submit to the Secretary a sealed bid that--
(A) describes the price per megawatt-hour of the
credits desired by the certified nuclear reactor, which
shall not exceed the average projected annual operating
loss described in subsection (c)(1)(A)(i)(I); and
(B) includes a commitment, subject to the receipt
of credits, to provide a specific number of megawatt-
hours of generation during the 4-year period for which
credits would be allocated.
(2) Requirement.--The deadline established under paragraph
(1) shall be not later than 30 days after the first date on
which the Secretary has made the determination described in
paragraph (2)(A)(i) of subsection (c) with respect to each
application submitted under paragraph (1)(A) of that
subsection.
(e) Allocation.--
(1) Auction.--Notwithstanding section 169 of the Atomic
Energy Act of 1954 (42 U.S.C. 2209), the Secretary shall--
(A) in consultation with the heads of applicable
Federal agencies, establish a process for evaluating
bids submitted under subsection (d)(1) through an
auction process; and
(B) select certified nuclear reactors to be
allocated credits.
(2) Credits.--Subject to subsection (f)(2), on selection
under paragraph (1), a certified nuclear reactor shall be
allocated credits for a 4-year period beginning on the date of
the selection.
(3) Requirement.--To the maximum extent practicable, the
Secretary shall use the amounts made available for credits
under this section to allocate credits to as many certified
nuclear reactors as possible.
(f) Renewal.--
(1) In general.--The owner or operator of a certified
nuclear reactor may seek to recertify the nuclear reactor in
accordance with this section.
(2) Limitation.--Notwithstanding any other provision of
this section, the Secretary may not allocate any credits after
September 30, 2031.
(g) Additional Requirements.--
(1) Audit.--During the 4-year period beginning on the date
on which a certified nuclear reactor first receives a credit,
the Secretary shall periodically audit the certified nuclear
reactor.
(2) Recapture.--The Secretary shall, by regulation, provide
for the recapture of the allocation of any credit to a
certified nuclear reactor that, during the period described in
paragraph (1)--
(A) terminates operations; or
(B) does not operate at an annual loss in the
absence of an allocation of credits to the certified
nuclear reactor.
(3) Confidentiality.--The Secretary shall establish
procedures to ensure that any confidential, private,
proprietary, or privileged information that is included in a
sealed bid submitted under this section is not publicly
disclosed or otherwise improperly used.
(h) Report.--Not later than January 1, 2024, the Comptroller
General of the United States shall submit to Congress a report with
respect to the credits allocated to certified nuclear reactors, which
shall include--
(1) an evaluation of the effectiveness of the credits in
avoiding air pollutants while ensuring grid reliability;
(2) a quantification of the ratepayer savings achieved
under this section; and
(3) any recommendations to renew or expand the credits.
(i) Authorization of Appropriations.--There is authorized to be
appropriated to the Secretary to carry out this section $6,000,000,000
for the period of fiscal years 2022 through 2026.
SEC. 3. NUCLEAR CLOSURE COMMUNITIES.
(a) Definitions.--In this section:
(1) Community advisory board.--The term ``community
advisory board'' means a community committee or other advisory
organization that aims to foster communication and information
exchange between a licensee planning for and involved in
decommissioning activities and members of the community that
decommissioning activities may affect.
(2) Decommission.--The term ``decommission'' has the
meaning given the term in section 50.2 of title 10, Code of
Federal Regulations (or successor regulations).
(3) Eligible recipient.--The term ``eligible recipient''
has the meaning given the term in section 3 of the Public Works
and Economic Development Act of 1965 (42 U.S.C. 3122).
(4) Licensee.--The term ``licensee'' has the meaning given
the term in section 50.2 of title 10, Code of Federal
Regulations (or successor regulations).
(5) Nuclear closure community.--The term ``nuclear closure
community'' means a unit of local government, including a
county, city, town, village, school district, or special
district that has been impacted, or reasonably demonstrates to
the satisfaction of the Secretary of Commerce, that it will be
impacted, by a nuclear power plant licensed by the Commission
that has ceased operation or has provided a written
notification to the Commission that it will cease operations as
of the date of enactment of this Act.
(b) Establishment.--Not later than 90 days after the date of
enactment of this Act, the Secretary of Commerce shall establish a
grant program to provide grants to eligible recipients--
(1) to provide financial assistance to local governments
who have experienced, or are anticipating, major revenue
shortfalls due to the closure, or announced closure, of a
nuclear power plant;
(2) to assist with economic development in nuclear closure
communities; and
(3) to fund community advisory boards in nuclear closure
communities.
(c) Requirement.--In carrying out this section, to the maximum
extent practicable, the Secretary of Commerce shall implement the
recommendations described in the report submitted to Congress under
section 108 of the Nuclear Energy Innovation and Modernization Act
(Public Law 115-439; 132 Stat. 5577) entitled ``Best Practices for
Establishment and Operation of Local Community Advisory Boards
Associated with Decommissioning Activities at Nuclear Power Plants''.
(d) Distribution of Funds.--The Secretary of Commerce shall
establish a formula to ensure, to the maximum extent practicable,
geographic diversity among grant recipients under this section.
(e) Authorization of Appropriations.--
(1) In general.--There are authorized to be appropriated to
the Secretary of Commerce--
(A) to carry out subsection (b)(1), $30,000,000 for
each of fiscal years 2022 through 2027;
(B) to carry out subsection (b)(2), $30,000,000 for
each of fiscal years 2022 through 2027; and
(C) to carry out subsection (b)(3), $5,000,000 for
each of fiscal years 2022 through 2024.
(2) Availability.--Amounts made available under this
section shall remain available for a period of 5 years
beginning on the date on which the amounts are made available.
(3) No offset.--None of the funds made available under this
section may be used to offset the funding for any other Federal
program.
SEC. 4. REPORT ON LESSONS LEARNED DURING THE COVID-19 PUBLIC HEALTH
EMERGENCY.
(a) In General.--Not later than 180 days after the date of
enactment of this Act, the Commission shall submit to the appropriate
committees of Congress and make publicly available a report on actions
taken by the Commission during the public health emergency declared by
the Secretary of Health and Human Services under section 319 of the
Public Health Service Act (42 U.S.C. 247d) on January 31, 2020, with
respect to COVID-19.
(b) Contents.--The report under subsection (a) shall include--
(1) an identification of the processes, procedures, and
other regulatory policies that were revised or temporarily
suspended during the public health emergency described in
subsection (a);
(2) a review of actions, if any, taken by the Commission
that examines how any revision or temporary suspension of a
process, procedure, or other regulatory policy identified under
paragraph (1) may or may not have compromised the ability of
the Commission to license and regulate the civilian use of
radioactive materials in the United States to protect public
health and safety, promote the common defense and security, and
protect the environment;
(3) a description of any process efficiencies or challenges
that resulted from the matters identified under paragraph (1);
(4) a discussion of lessons learned from the matters
described in paragraphs (1), (2), and (3);
(5) a list of actions that the Commission may take to
incorporate into the licensing activities and regulations of
the Commission, without compromising the mission of the
Commission--
(A) the lessons described in paragraph (4); and
(B) the information provided under paragraphs (2)
and (3); and
(6) a description of when the actions described in
paragraph (5) may be implemented.
<all>
Introduced in House
Introduced in House
Referred to the Committee on Energy and Commerce, and in addition to the Committees on Transportation and Infrastructure, and Financial Services, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Committee on Energy and Commerce, and in addition to the Committees on Transportation and Infrastructure, and Financial Services, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Committee on Energy and Commerce, and in addition to the Committees on Transportation and Infrastructure, and Financial Services, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Subcommittee on Economic Development, Public Buildings, and Emergency Management.
Referred to the Subcommittee on Energy.
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