Part D—Energy Storage for Transportation and Electric Power
§17231. Energy storage competitiveness
(a) Short title
This section may be cited as the "United States Energy Storage Competitiveness Act of 2007".
(b) Definitions
In this section:
(1) Council
The term "Council" means the Energy Storage Advisory Council established under subsection (e).
(2) Compressed air energy storage
The term "compressed air energy storage" means, in the case of an electricity grid application, the storage of energy through the compression of air.
(3) Electric drive vehicle
The term "electric drive vehicle" means—
(A) a vehicle that uses an electric motor for all or part of the motive power of the vehicle, including battery electric, hybrid electric, plug-in hybrid electric, fuel cell, and plug-in fuel cell vehicles and rail transportation vehicles; or
(B) mobile equipment that uses an electric motor to replace an internal combustion engine for all or part of the work of the equipment.
(4) Islanding
The term "islanding" means a distributed generator or energy storage device continuing to power a location in the absence of electric power from the primary source.
(5) Flywheel
The term "flywheel" means, in the case of an electricity grid application, a device used to store rotational kinetic energy.
(6) Microgrid
The term "microgrid" means an integrated energy system consisting of interconnected loads and distributed energy resources (including generators and energy storage devices), which as an integrated system can operate in parallel with the utility grid or in an intentional islanding mode.
(7) Self-healing grid
The term "self-healing grid" means a grid that is capable of automatically anticipating and responding to power system disturbances (including the isolation of failed sections and components), while optimizing the performance and service of the grid to customers.
(8) Spinning reserve services
The term "spinning reserve services" means a quantity of electric generating capacity in excess of the quantity needed to meet peak electric demand.
(9) Ultracapacitor
The term "ultracapacitor" means an energy storage device that has a power density comparable to a conventional capacitor but is capable of exceeding the energy density of a conventional capacitor by several orders of magnitude.
(c) Program
The Secretary shall carry out a research, development, and demonstration program to support the ability of the United States to remain globally competitive in energy storage systems for electric drive vehicles, stationary applications, and electricity transmission and distribution.
(d) Coordination
In carrying out the activities of this section, the Secretary shall coordinate relevant efforts with appropriate Federal agencies, including the Department of Transportation.
(e) Energy Storage Advisory Council
(1) Establishment
Not later than 90 days after December 19, 2007, the Secretary shall establish an Energy Storage Advisory Council.
(2) Composition
(A) In general
Subject to subparagraph (B), the Council shall consist of not less than 15 individuals appointed by the Secretary, based on recommendations of the National Academy of Sciences.
(B) Energy storage industry
The Council shall consist primarily of representatives of the energy storage industry of the United States.
(C) Chairperson
The Secretary shall select a Chairperson for the Council from among the members appointed under subparagraph (A).
(3) Meetings
(A) In general
The Council shall meet not less than once a year.
(B) Chapter 10 of title 5
(4) Plans
No later than 1 year after December 19, 2007, and every 5 years thereafter, the Council, in conjunction with the Secretary, shall develop a 5-year plan for integrating basic and applied research so that the United States retains a globally competitive domestic energy storage industry for electric drive vehicles, stationary applications, and electricity transmission and distribution.
(5) Review
The Council shall—
(A) assess, every 2 years, the performance of the Department in meeting the goals of the plans developed under paragraph (4); and
(B) make specific recommendations to the Secretary on programs or activities that should be established or terminated to meet those goals.
(f) Basic research program
(1) Basic research
The Secretary shall conduct a basic research program on energy storage systems to support electric drive vehicles, stationary applications, and electricity transmission and distribution, including—
(A) materials design;
(B) materials synthesis and characterization;
(C) electrode-active materials, including electrolytes and bioelectrolytes;
(D) surface and interface dynamics;
(E) modeling and simulation; and
(F) thermal behavior and life degradation mechanisms.
(2) Nanoscience centers
The Secretary, in cooperation with the Council, shall coordinate the activities of the nanoscience centers of the Department to help the energy storage research centers of the Department maintain a globally competitive posture in energy storage systems for electric drive vehicles, stationary applications, and electricity transmission and distribution.
(3) Funding
For activities carried out under this subsection, in addition to funding activities at National Laboratories, the Secretary shall award funds to, and coordinate activities with, a range of stakeholders including the public, private, and academic sectors.
(g) Applied research program
(1) In general
The Secretary shall conduct an applied research program on energy storage systems to support electric drive vehicles, stationary applications, and electricity transmission and distribution technologies, including—
(A) ultracapacitors;
(B) flywheels;
(C) batteries and battery systems (including flow batteries);
(D) compressed air energy systems;
(E) power conditioning electronics;
(F) manufacturing technologies for energy storage systems;
(G) thermal management systems; and
(H) hydrogen as an energy storage medium.
(2) Funding
For activities carried out under this subsection, in addition to funding activities at National Laboratories, the Secretary shall provide funds to, and coordinate activities with, a range of stakeholders, including the public, private, and academic sectors.
(h) Energy storage research centers
(1) In general
The Secretary shall establish, through competitive bids, not more than 4 energy storage research centers to translate basic research into applied technologies to advance the capability of the United States to maintain a globally competitive posture in energy storage systems for electric drive vehicles, stationary applications, and electricity transmission and distribution.
(2) Program management
The centers shall be managed by the Under Secretary for Science of the Department.
(3) Participation agreements
As a condition of participating in a center, a participant shall enter into a participation agreement with the center that requires that activities conducted by the participant for the center promote the goal of enabling the United States to compete successfully in global energy storage markets.
(4) Plans
A center shall conduct activities that promote the achievement of the goals of the plans of the Council under subsection (e)(4).
(5) National laboratories
A national laboratory (as defined in
(6) Disclosure
(7) Intellectual property
In accordance with
(A) if an industrial participant is active in a 1 energy storage research center established under this subsection relating to the advancement of energy storage technologies carried out, in whole or in part, with Federal funding, the industrial participant be granted the first option to negotiate with the invention owner, at least in the field of energy storage technologies, nonexclusive licenses, and royalties on terms that are reasonable, as determined by the Secretary;
(B) if 1 or more industry participants are active in a center, during a 2-year period beginning on the date on which an invention is made—
(i) the patent holder shall not negotiate any license or royalty agreement with any entity that is not an industrial participant under this subsection; and
(ii) the patent holder shall negotiate nonexclusive licenses and royalties in good faith with any interested industrial participant under this subsection; and
(C) the new invention be developed under such other terms as the Secretary determines to be necessary to promote the accelerated commercialization of inventions made under this subsection to advance the capability of the United States to successfully compete in global energy storage markets.
(i) Energy storage systems demonstrations
(1) In general
The Secretary shall carry out a program of new demonstrations of advanced energy storage systems.
(2) Scope
The demonstrations shall—
(A) be regionally diversified; and
(B) expand on the existing technology demonstration program of the Department.
(3) Stakeholders
In carrying out the demonstrations, the Secretary shall, to the maximum extent practicable, include the participation of a range of stakeholders, including—
(A) rural electric cooperatives;
(B) investor owned utilities;
(C) municipally owned electric utilities;
(D) energy storage systems manufacturers;
(E) electric drive vehicle manufacturers;
(F) the renewable energy production industry;
(G) State or local energy offices;
(H) the fuel cell industry; and
(I) institutions of higher education.
(4) Objectives
Each of the demonstrations shall include 1 or more of the following:
(A) Energy storage to improve the feasibility of microgrids or islanding, or transmission and distribution capability, to improve reliability in rural areas.
(B) Integration of an energy storage system with a self-healing grid.
(C) Use of energy storage to improve security to emergency response infrastructure and ensure availability of emergency backup power for consumers.
(D) Integration with a renewable energy production source, at the source or away from the source.
(E) Use of energy storage to provide ancillary services, such as spinning reserve services, for grid management.
(F) Advancement of power conversion systems to make the systems smarter, more efficient, able to communicate with other inverters, and able to control voltage.
(G) Use of energy storage to optimize transmission and distribution operation and power quality, which could address overloaded lines and maintenance of transformers and substations.
(H) Use of advanced energy storage for peak load management of homes, businesses, and the grid.
(I) Use of energy storage devices to store energy during nonpeak generation periods to make better use of existing grid assets.
(j) Vehicle energy storage demonstration
(1) In general
The Secretary shall carry out a program of electric drive vehicle energy storage technology demonstrations.
(2) Consortia
The technology demonstrations shall be conducted through consortia, which may include—
(A) energy storage systems manufacturers and suppliers of the manufacturers;
(B) electric drive vehicle manufacturers;
(C) rural electric cooperatives;
(D) investor owned utilities;
(E) municipal and rural electric utilities;
(F) State and local governments;
(G) metropolitan transportation authorities; and
(H) institutions of higher education.
(3) Objectives
The program shall demonstrate 1 or more of the following:
(A) Novel, high capacity, high efficiency energy storage, charging, and control systems, along with the collection of data on performance characteristics, such as battery life, energy storage capacity, and power delivery capacity.
(B) Advanced onboard energy management systems and highly efficient battery cooling systems.
(C) Integration of those systems on a prototype vehicular platform, including with drivetrain systems for passenger, commercial, and nonroad electric drive vehicles.
(D) New technologies and processes that reduce manufacturing costs.
(E) Integration of advanced vehicle technologies with electricity distribution system and smart metering technology.
(F) Control systems that minimize emissions profiles in cases in which clean diesel engines are part of a plug-in hybrid drive system.
(k) Electric drive vehicle battery second-life applications and recycling
(1) Definitions
In this subsection:
(A) Battery recycling and second-life applications program
The term "battery recycling and second-life applications program" means the electric drive vehicle battery recycling and second-life applications program established under paragraph (3).
(B) Critical material
The term "critical material" has the meaning given the term in
(C) Economically distressed area
The term "economically distressed area" means an area described in
(D) Electric drive vehicle battery
The term "electric drive 2 vehicle battery" means any battery that is a motive power source for an electric drive vehicle.
(E) Eligible entity
The term "eligible entity" means an entity described in any of paragraphs (1) through (5) of
(2) Program
The Secretary shall carry out a program of research, development, and demonstration of—
(A) second-life applications for electric drive vehicle batteries that have been used to power electric drive vehicles; and
(B) technologies and processes for final recycling and disposal of the devices described in subparagraph (A).
(3) Electric drive vehicle battery recycling and second-life applications
(A) In general
In carrying out the program under paragraph (2), the Secretary shall establish an electric drive vehicle battery recycling and second-life applications program under which the Secretary shall—
(i) award grants under subparagraph (D); and
(ii) carry out other activities in accordance with this paragraph.
(B) Purposes
The purposes of the battery recycling and second-life applications program are the following:
(i) To improve the recycling rates and second-use adoption rates of electric drive vehicle batteries.
(ii) To optimize the design and adaptability of electric drive vehicle batteries to make electric drive vehicle batteries more easily recyclable.
(iii) To establish alternative supply chains for critical materials that are found in electric drive vehicle batteries.
(iv) To reduce the cost of manufacturing, installation, purchase, operation, and maintenance of electric drive vehicle batteries.
(v) To improve the environmental impact of electric drive vehicle battery recycling processes.
(C) Targets
In carrying out the battery recycling and second-life applications program, the Secretary shall address near-term (up to 2 years), mid-term (up to 5 years), and long-term (up to 10 years) challenges to the recycling of electric drive vehicle batteries.
(D) Grants
(i) In general
In carrying out the battery recycling and second-life applications program, the Secretary shall award multiyear grants on a competitive, merit-reviewed basis to eligible entities—
(I) to conduct research, development, testing, and evaluation of solutions to increase the rate and productivity of electric drive vehicle battery recycling; and
(II) for research, development, and demonstration projects to create innovative and practical approaches to increase the recycling and second-use of electric drive vehicle batteries, including by addressing—
(aa) technology to increase the efficiency of electric drive vehicle battery recycling and maximize the recovery of critical materials for use in new products;
(bb) expanded uses for critical materials recovered from electric drive vehicle batteries;
(cc) product design and construction to facilitate the disassembly and recycling of electric drive vehicle batteries;
(dd) product design and construction and other tools and techniques to extend the lifecycle of electric drive vehicle batteries, including methods to promote the safe second-use of electric drive vehicle batteries;
(ee) strategies to increase consumer acceptance of, and participation in, the recycling of electric drive vehicle batteries;
(ff) improvements and changes to electric drive vehicle battery chemistries that include ways to decrease processing costs for battery recycling without sacrificing front-end performance;
(gg) second-use of electric drive vehicle batteries, including in applications outside of the automotive industry; and
(hh) the commercialization and scale-up of electric drive vehicle battery recycling technologies.
(ii) Priority
In awarding grants under clause (i), the Secretary shall give priority to projects that—
(I) are located in geographically diverse regions of the United States;
(II) include business commercialization plans that have the potential for the recycling of electric drive vehicle batteries at high volumes;
(III) support the development of advanced manufacturing technologies that have the potential to improve the competitiveness of the United States in the international electric drive vehicle battery manufacturing sector;
(IV) provide the greatest potential to reduce costs for consumers and promote accessibility and community implementation of demonstrated technologies;
(V) increase disclosure and transparency of information to consumers;
(VI) support the development or demonstration of projects in economically distressed areas; and
(VII) support other relevant priorities, as determined to be appropriate by the Secretary.
(iii) Solicitation
Not later than 90 days after November 15, 2021, and annually thereafter, the Secretary shall conduct a national solicitation for applications for grants described in clause (i).
(iv) Dissemination of results
The Secretary shall publish the results of the projects carried out through grants awarded under clause (i) through—
(I) best practices relating to those grants, for use in the electric drive vehicle battery manufacturing, design, installation, refurbishing, or recycling industries;
(II) coordination with information dissemination programs relating to general recycling of electronic devices; and
(III) educational materials for the public, produced in conjunction with State and local governments or nonprofit organizations, on the problems and solutions relating to the recycling and second-life applications of electric drive vehicle batteries.
(E) Coordination with other programs of the Department
In carrying out the battery recycling and second-life applications program, the Secretary shall coordinate and leverage the resources of complementary efforts of the Department.
(F) Study and report
(i) Study
The Secretary shall conduct a study on the viable market opportunities available for the recycling, second-use, and manufacturing of electric drive vehicle batteries in the United States.
(ii) Report
Not later than 1 year after November 15, 2021, the Secretary shall submit to the Committee on Energy and Natural Resources of the Senate, the Committee on Science, Space, and Technology of the House of Representatives, and any other relevant committee of Congress a report containing the results of the study under clause (i), including a description of—
(I) the ability of relevant businesses or other entities to competitively manufacture electric drive vehicle batteries and recycle electric drive vehicle batteries in the United States;
(II) any existing electric drive vehicle battery recycling and second-use practices and plans of electric drive vehicle manufacturing companies in the United States;
(III) any barriers to electric drive vehicle battery recycling in the United States;
(IV) opportunities and barriers in electric drive vehicle battery supply chains in the United States and internationally, including with allies and trading partners;
(V) opportunities for job creation in the electric drive vehicle battery recycling and manufacturing fields and the necessary skills employees must acquire for growth of those fields in the United States;
(VI) policy recommendations for enhancing electric drive vehicle battery manufacturing and recycling in the United States;
(VII) any recommendations for lowering logistics costs and creating better coordination and efficiency with respect to the removal, collection, transportation, storage, and disassembly of electric drive vehicle batteries;
(VIII) any recommendations for areas of coordination with other Federal agencies to improve electric drive vehicle battery recycling rates in the United States;
(IX) an aggressive 2-year target and plan, the implementation of which shall begin during the 90-day period beginning on the date on which the report is submitted, to enhance the competitiveness of electric drive vehicle battery manufacturing and recycling in the United States; and
(X) needs for future research, development, and demonstration projects in electric drive vehicle battery manufacturing, recycling, and related areas, as determined by the Secretary.
(G) Evaluation
Not later than 3 years after the date on which the report under subparagraph (F)(ii) is submitted, and every 4 years thereafter, the Secretary shall conduct, and make available to the public and the relevant committees of Congress, an independent review of the progress of the grants awarded under subparagraph (D) in meeting the recommendations and targets included in the report.
(l) Cost sharing
The Secretary shall carry out the programs established under this section in accordance with
(m) Merit review of proposals
The Secretary shall carry out the programs established under subsections (i), (j), and (k) in accordance with
(n) Coordination and nonduplication
To the maximum extent practicable, the Secretary shall coordinate activities under this section with other programs and laboratories of the Department and other Federal research programs.
(o) Review by National Academy of Sciences
On the business day that is 5 years after December 19, 2007, the Secretary shall offer to enter into an arrangement with the National Academy of Sciences to assess the performance of the Department in carrying out this section.
(p) Authorization of appropriations
There are authorized to be appropriated to carry out—
(1) the basic research program under subsection (f) $50,000,000 for each of fiscal years 2009 through 2018;
(2) the applied research program under subsection (g) $80,000,000 for each of fiscal years 2009 through 2018; and; 2
(3) the energy storage research center program under subsection (h) $100,000,000 for each of fiscal years 2009 through 2018;
(4) the energy storage systems demonstration program under subsection (i) $30,000,000 for each of fiscal years 2009 through 2018;
(5) the vehicle energy storage demonstration program under subsection (j) $30,000,000 for each of fiscal years 2009 through 2018; and
(6) the electric drive vehicle battery recycling and second-life applications program under subsection (k) $200,000,000 for the period of fiscal years 2022 through 2026.
(q) Critical material recycling and reuse research, development, and demonstration program
(1) Definitions
In this subsection:
(A) Critical material
The term "critical material" has the meaning given the term in 1606 of title 30.
(B) Critical material recycling
The term "critical material recycling" means the separation and recovery of critical materials embedded within an energy storage system through physical or chemical means for the purpose of reuse of those critical materials in other technologies.
(2) Establishment
Not later than 180 days after December 27, 2020, the Secretary shall establish a research, development, and demonstration program for critical material recycling and reuse of energy storage systems containing critical materials.
(3) Research, development, and demonstration
In carrying out the program established under paragraph (1), the Secretary shall conduct—
(A) research, development, and demonstration activities for—
(i) technologies, process improvements, and design optimizations that facilitate and promote critical material recycling of energy storage systems, including separation and sorting of component materials of such systems, and extraction, recovery, and reuse of critical materials from such systems;
(ii) technologies and methods that mitigate emissions and environmental impacts that arise from critical material recycling, including disposal of toxic reagents and byproducts related to critical material recycling processes;
(iii) technologies to enable extraction, recovery, and reuse of energy storage systems from electric vehicles and critical material recycling from such vehicles; and
(iv) technologies and methods to enable the safe transport, storage, and disposal of energy storage systems containing critical materials, including waste materials and components recovered during the critical material recycling process; and
(B) research on nontechnical barriers to improve the collection and critical material recycling of energy storage systems, including strategies to improve consumer education of, acceptance of, and participation in, the critical material recycling of energy storage systems.
(4) Report to Congress
Not later than 2 years after December 27, 2020, and every 3 years thereafter, the Secretary shall submit to the Committee on Science, Space, and Technology and the Committee on Energy and Commerce of the House of Representatives and the Committee on Energy and Natural Resources of the Senate a report summarizing the activities, findings, and progress of the program.
(
Editorial Notes
Codification
Section 40334(1) of
Amendments
2022—Subsec. (e)(3)(B).
2021—Subsec. (k).
Subsec. (p)(6).
2020—Subsec. (q).
Statutory Notes and Related Subsidiaries
Effective Date
Section effective on the date that is 1 day after Dec. 19, 2007, see section 1601 of
Wage Rate Requirements
For provisions relating to rates of wages to be paid to laborers and mechanics on projects for construction, alteration, or repair work funded under div. D or an amendment by div. D of
1 So in original. Probably should be "an".
§17232. Better energy storage technology
(a) Definitions
In this section:
(1) Energy storage system
The term "energy storage system" means any system, equipment, facility, or technology that—
(A) is capable of absorbing or converting energy, storing the energy for a period of time, and dispatching the energy; and
(B)(i) uses mechanical, electrochemical, thermal, electrolysis, or other processes to convert and store electric energy that was generated at an earlier time for use at a later time;
(ii) uses mechanical, electrochemical, biochemical, or thermal processes to convert and store energy generated from mechanical processes that would otherwise be wasted, for delivery at a later time; or
(iii) stores energy in an electric, thermal, or gaseous state for direct use for heating or cooling at a later time in a manner that avoids the need to use electricity or other fuel sources at that later time, such as a grid-enabled water heater.
(2) Program
The term "program" means the Energy Storage System Research, Development, and Deployment Program established under subsection (b)(1).
(3) Secretary
The term "Secretary" means the Secretary of Energy.
(b) Energy Storage System Research, Development, and Deployment Program
(1) Establishment
Not later than 180 days after December 27, 2020, the Secretary shall establish a program, to be known as the Energy Storage System Research, Development, and Deployment Program.
(2) Initial program objectives
The program shall focus on research, development, and deployment of—
(A) energy storage systems, components, and materials designed to further the development of technologies—
(i) for large-scale commercial deployment;
(ii) for deployment at cost targets established by the Secretary;
(iii) for hourly and subhourly durations required to provide reliability services to the grid;
(iv) for daily durations, which have the capacity to discharge energy for a minimum of 6 hours;
(v) for weekly or monthly durations, which have the capacity to discharge energy for 10 to 100 hours, at a minimum; and
(vi) for seasonal durations, which have the capability to address seasonal variations in supply and demand;
(B) distributed energy storage technologies and applications, including building-grid integration;
(C) long-term cost, performance, and demonstration targets for different types of energy storage systems and for use in a variety of regions, including rural areas;
(D) transportation energy storage technologies and applications, including vehicle-grid integration;
(E) cost-effective systems and methods for—
(i) the sustainable and secure sourcing, reclamation, recycling, and disposal of energy storage systems, including critical minerals; and
(ii) the reuse and repurposing of energy storage system technologies;
(F) advanced control methods for energy storage systems;
(G) pumped hydroelectric energy storage systems to advance—
(i) adoption of innovative technologies, including—
(I) systems with adjustable-speed and other new pumping and generating equipment designs;
(II) modular systems;
(III) closed-loop systems, including mines and quarries; and
(IV) other innovative equipment and materials as determined by the Secretary; and
(ii) reductions of civil works costs and construction times for hydropower and pumped storage systems, including comprehensive data and systems analysis of hydropower and pumped storage construction technologies and processes in order to identify areas for whole-system efficiency gains;
(H) models and tools to demonstrate the costs and benefits of energy storage to—
(i) power and water supply systems;
(ii) electric generation portfolio optimization; and
(iii) expanded deployment of other renewable energy technologies, including in integrated energy storage systems;
(I) energy storage use cases from individual and combination technology applications, including value from various-use cases and energy storage services; and
(J) advanced manufacturing technologies that have the potential to improve United States competitiveness in energy storage manufacturing or reduce United States dependence on critical materials.
(3) Testing and validation
In coordination with 1 or more National Laboratories, the Secretary shall support the development, standardized testing, and validation of energy storage systems under the program, including test-bed and field trials, by developing testing and evaluation methodologies for—
(A) storage technologies, controls, and power electronics for energy storage systems under a variety of operating conditions;
(B) standardized and grid performance testing for energy storage systems, materials, and technologies during each stage of development;
(C) reliability, safety, degradation, and durability testing under standard and evolving duty cycles; and
(D) accelerated life testing protocols to predict estimated lifetime metrics with accuracy.
(4) Periodic evaluation of program objectives
Not less frequently than once every calendar year, the Secretary shall evaluate and, if necessary, update the program objectives to ensure that the program continues to advance energy storage systems toward widespread commercial deployment by lowering the costs and increasing the duration of energy storage resources.
(5) Energy storage strategic plan
(A) In general
The Secretary shall develop a 10-year strategic plan for the program, and update the plan, in accordance with this paragraph.
(B) Contents
The strategic plan developed under subparagraph (A) shall—
(i) be coordinated with and integrated across other relevant offices in the Department;
(ii) to the extent practicable, include metrics that can be used to evaluate storage technologies;
(iii) identify Department programs that—
(I) support the research and development activities described in paragraph (2) and the demonstration projects under subsection (c); and
(II)(aa) do not support the activities or projects described in subclause (I); but
(bb) are important to the development of energy storage systems and the mission of the Department, as determined by the Secretary;
(iv) include expected timelines for—
(I) the accomplishment of relevant objectives under current programs of the Department relating to energy storage systems; and
(II) the commencement of any new initiatives within the Department relating to energy storage systems to accomplish those objectives; and
(v) incorporate relevant activities described in the Grid Modernization Initiative Multi-Year Program Plan.
(C) Submission to Congress
Not later than 180 days after December 27, 2020, the Secretary shall submit to the Committee on Energy and Natural Resources of the Senate and the Committees on Energy and Commerce and Science, Space, and Technology of the House of Representatives the strategic plan developed under subparagraph (A).
(D) Updates to plan
The Secretary—
(i) shall annually review the strategic plan developed under subparagraph (A); and
(ii) may periodically revise the strategic plan as appropriate.
(6) Leveraging of resources
The program may be led by a specific office of the Department, but shall be cross-cutting in nature, so that in carrying out activities under the program, the Secretary (or a designee of the Secretary charged with leading the program) shall leverage existing Federal resources, including, at a minimum, the expertise and resources of—
(A) the Office of Electricity;
(B) the Office of Energy Efficiency and Renewable Energy, including the Water Power Technologies Office; and
(C) the Office of Science, including—
(i) the Basic Energy Sciences Program;
(ii) the Advanced Scientific Computing Research Program;
(iii) the Biological and Environmental Research Program; and
(D) the Electricity Storage Research Initiative established under
(7) Protecting privacy and security
In carrying out this subsection, the Secretary shall identify, incorporate, and follow best practices for protecting the privacy of individuals and businesses and the respective sensitive data of the individuals and businesses, including by managing privacy risk and implementing the Fair Information Practice Principles of the Federal Trade Commission for the collection, use, disclosure, and retention of individual electric consumer information in accordance with the Office of Management and Budget Circular A–130 (or successor circulars).
(c) Energy storage demonstration projects; pilot grant program
(1) Demonstration projects
Not later than September 30, 2023, the Secretary shall, to the maximum extent practicable, enter into agreements to carry out 3 energy storage system demonstration projects, including—
(A) at least 1 energy storage system demonstration project designed to further the development of technologies described in clause (v) or (vi) of subsection (b)(2)(A); and
(B) 1 project to demonstrate second-life applications of electric vehicle batteries as aggregated energy storage installations to provide services to the electric grid, in accordance with paragraph (3).
(2) Energy storage pilot grant program
(A) Definition of eligible entity
In this paragraph, the term "eligible entity" means—
(i) a State energy office (as defined in
(ii) an Indian Tribe (as defined in
(iii) a Tribal organization (as defined in
(iv) an institution of higher education (as defined in
(v) an electric utility, including—
(I) an electric cooperative;
(II) a political subdivision of a State, such as a municipally owned electric utility, or any agency, authority, corporation, or instrumentality of a State political subdivision; and
(III) an investor-owned utility; and
(vi) a private energy storage company.
(B) Establishment
The Secretary shall establish a competitive grant program under which the Secretary shall award grants to eligible entities to carry out demonstration projects for pilot energy storage systems.
(C) Selection requirements
In selecting eligible entities to receive a grant under subparagraph (B), the Secretary shall, to the maximum extent practicable—
(i) ensure regional diversity among eligible entities awarded grants, including ensuring participation of eligible entities that are rural States and States with high energy costs;
(ii) ensure that grants are awarded for demonstration projects that—
(I) expand on the existing technology demonstration programs of the Department;
(II) are designed to achieve 1 or more of the objectives described in subparagraph (D); and
(III) inject or withdraw energy from the bulk power system, electric distribution system, building energy system, or microgrid (grid-connected or islanded mode) where the project is located;
(iii) give consideration to proposals from eligible entities for securing energy storage through competitive procurement or contract for service; and
(iv) prioritize projects that leverage matching funds from non-Federal sources.
(D) Objectives
Each demonstration project carried out by a grant awarded under subparagraph (B) shall have 1 or more of the following objectives:
(i) To improve the security of critical infrastructure and emergency response systems.
(ii) To improve the reliability of transmission and distribution systems, particularly in rural areas, including high-energy cost rural areas.
(iii) To optimize transmission or distribution system operation and power quality to defer or avoid costs of replacing or upgrading electric grid infrastructure, including transformers and substations.
(iv) To supply energy at peak periods of demand on the electric grid or during periods of significant variation of electric grid supply.
(v) To reduce peak loads of homes and businesses.
(vi) To improve and advance power conversion systems.
(vii) To provide ancillary services for grid stability and management.
(viii) To integrate renewable energy resource production.
(ix) To increase the feasibility of microgrids (grid-connected or islanded mode).
(x) To enable the use of stored energy in forms other than electricity to support the natural gas system and other industrial processes.
(xi) To integrate fast charging of electric vehicles.
(xii) To improve energy efficiency.
(3) Demonstration of electric vehicle battery second-life applications for grid services
(A) In general
The Secretary shall enter into an agreement to carry out a project to demonstrate second-life applications of electric vehicle batteries as aggregated energy storage installations to provide services to the electric grid.
(B) Purposes
The purposes of the project under subparagraph (A) shall be—
(i) to demonstrate power safety and the reliability of the applications demonstrated under the program;
(ii) to demonstrate the ability of electric vehicle batteries—
(I) to provide ancillary services for grid stability and management; and
(II) to reduce the peak loads of homes and businesses;
(iii) to extend the useful life of electric vehicle batteries and the components of electric vehicle batteries prior to the collection, recycling, and reprocessing of the batteries and components; and
(iv) to increase acceptance of, and participation in, the use of second-life applications of electric vehicle batteries by utilities.
(C) Priority
In selecting a project to carry out under subparagraph (A), the Secretary shall give priority to projects in which the demonstration of the applicable second-life applications is paired with 1 or more facilities that could particularly benefit from increased resiliency and lower energy costs, such as a multi-family affordable housing facility, a senior care facility, and a community health center.
(4) Reports
Not less frequently than once every 3 years for the duration of the programs under paragraphs (1) and (2), the Secretary shall submit to Congress and make publicly available a report describing the performance of those programs.
(5) No project ownership interest
The Federal Government shall not hold any equity or other ownership interest in any energy storage system that is part of a project under this subsection unless the holding is agreed to by each participant of the project.
(d) Long-duration demonstration initiative and joint program
(1) Definitions
In this subsection:
(A) Initiative
The term "Initiative" means the demonstration initiative established under paragraph (2).
(B) Joint Program
The term "Joint Program" means the joint program established under paragraph (4).
(2) Establishment of Initiative
Not later than 180 days after December 27, 2020, the Secretary shall establish a demonstration initiative composed of demonstration projects focused on the development of long-duration energy storage technologies.
(3) Selection of projects
To the maximum extent practicable, in selecting demonstration projects to participate in the Initiative, the Secretary shall—
(A) ensure a range of technology types;
(B) ensure regional diversity among projects; and
(C) consider bulk power level, distribution power level, behind-the-meter, microgrid (gridconnected or islanded mode), and off-grid applications.
(4) Joint program
(A) Establishment
As part of the Initiative, the Secretary, in consultation with the Secretary of Defense, shall establish within the Department a joint program to carry out projects—
(i) to demonstrate promising long-duration energy storage technologies at different scales; and
(ii) to help new, innovative long-duration energy storage technologies become commercially viable.
(B) Memorandum of understanding
Not later than 200 days after December 27, 2020, the Secretary shall enter into a memorandum of understanding with the Secretary of Defense to administer the Joint Program.
(C) Infrastructure
In carrying out the Joint Program, the Secretary and the Secretary of Defense shall—
(i) use existing test-bed infrastructure at—
(I) Department facilities; and
(II) Department of Defense installations; and
(ii) develop new infrastructure for identified projects, if appropriate.
(D) Goals and metrics
The Secretary and the Secretary of Defense shall develop goals and metrics for technological progress under the Joint Program consistent with energy resilience and energy security policies.
(E) Selection of projects
(i) In general
To the maximum extent practicable, in selecting projects to participate in the Joint Program, the Secretary and the Secretary of Defense shall—
(I) ensure that projects are carried out under conditions that represent a variety of environments with different physical conditions and market constraints; and
(II) ensure an appropriate balance of—
(aa) larger, higher-cost projects; and
(bb) smaller, lower-cost projects.
(ii) Priority
In carrying out the Joint Program, the Secretary and the Secretary of Defense shall give priority to demonstration projects that—
(I) make available to the public project information that will accelerate deployment of long-duration energy storage technologies; and
(II) will be carried out in the field.
(e) Pumped storage hydropower wind and solar integration and system reliability initiative
(1) Definition of eligible entity
In this subsection, the term "eligible entity" means—
(A)(i) an electric utility, including—
(I) a political subdivision of a State, such as a municipally owned electric utility; or
(II) an instrumentality of a State composed of municipally owned electric utilities;
(ii) an electric cooperative; or
(iii) an investor-owned utility;
(B) an Indian Tribe or Tribal organization;
(C) a State energy office;
(D) an institution of higher education; and
(E) a consortium of the entities described in subparagraphs (A) through (D).
(2) Demonstration project
(A) In general
Not later than September 30, 2023, the Secretary shall, to the maximum extent practicable, enter into an agreement with an eligible entity to provide financial assistance to the eligible entity to carry out project design, transmission studies, power market assessments, and permitting for a pumped storage hydropower project to facilitate the long-duration storage of intermittent renewable electricity.
(B) Project requirements
To be eligible for financial assistance under subparagraph (A), a project shall—
(i) be designed to provide not less than 1,000 megawatts of storage capacity;
(ii) be able to provide energy and capacity for use in more than 1 organized electricity market;
(iii) be able to store electricity generated by intermittent renewable electricity projects located on Tribal land; and
(iv) have received a preliminary permit from the Federal Energy Regulatory Commission.
(C) Matching requirement
An eligible entity receiving financial assistance under subparagraph (A) shall provide matching funds equal to or greater than the amount of financial assistance provided under that subparagraph.
(3) Authorization of appropriations
There is authorized to be appropriated to carry out this subsection $2,000,000 for each of fiscal years 2022 through 2026.
(f) Omitted
(g) Coordination
To the maximum extent practicable, the Secretary shall coordinate the activities under this section (including activities conducted pursuant to the amendments made by this section) among the offices and employees of the Department, other Federal agencies, and other relevant entities—
(1) to ensure appropriate collaboration;
(2) to avoid unnecessary duplication of those activities; and
(3) to increase domestic manufacturing and production of energy storage systems, such as those within the Department and within the National Institute of Standards and Technology.
(h) Authorization of appropriations
There are authorized to be appropriated—
(1) to carry out subsection (b), $100,000,000 for each of fiscal years 2021 through 2025, to remain available until expended;
(2) to carry out subsection (c), $71,000,000 for each of fiscal years 2021 through 2025, to remain available until expended; and
(3) to carry out subsection (d), $30,000,000 for each of fiscal years 2021 through 2025, to remain available until expended.
(
Editorial Notes
Codification
Section was enacted as part of the Energy Act of 2020, and not as part of the Energy Independence and Security Act of 2007 which comprises this chapter.
Section is comprised of section 3201 of div. Z of
Amendments
2021—Subsec. (c)(1).
Subsec. (c)(3) to (5).
Subsecs. (e) to (h).
Statutory Notes and Related Subsidiaries
Wage Rate Requirements
For provisions relating to rates of wages to be paid to laborers and mechanics on projects for construction, alteration, or repair work funded under div. D or an amendment by div. D of
1 So in original. A closing parenthesis probably should precede the semicolon.
§17233. Energy storage technology and microgrid assistance program
(a) Definitions
In this section:
(1) Eligible entity
The term "eligible entity" means—
(A) a rural electric cooperative;
(B) an agency, authority, or instrumentality of a State or political subdivision of a State that sells or otherwise uses electrical energy to provide electric services for customers; or
(C) a nonprofit organization working with at least 6 entities described in subparagraph (A) or (B).
(2) Energy storage technology
The term "energy storage technology" includes grid-enabled water heaters, building heating or cooling systems, electric vehicles, the production of hydrogen for transportation or industrial use, or other technologies that store energy.
(3) Microgrid
The term "microgrid" means a localized grid that operates autonomously regardless of whether the grid can operate in connection with another grid.
(4) Renewable energy source
The term "renewable energy source" has the meaning given the term in
(5) Rural electric cooperative
The term "rural electric cooperative" means an electric cooperative (as defined in
(6) Secretary
The term "Secretary" means the Secretary of Energy.
(b) In general
Not later than 180 days after December 27, 2020, the Secretary shall establish a program under which the Secretary shall—
(1) provide grants to eligible entities under subsection (d);
(2) provide technical assistance to eligible entities under subsection (e); and
(3) disseminate information to eligible entities on—
(A) the activities described in subsections (d)(1) and (e); and
(B) potential and existing energy storage technology and microgrid projects.
(c) Cooperative agreement
The Secretary may enter into a cooperative agreement with an eligible entity to carry out subsection (b).
(d) Grants
(1) In general
The Secretary may award grants to eligible entities for identifying, evaluating, designing, and demonstrating energy storage technology and microgrid projects that utilize energy from renewable energy sources.
(2) Application
To be eligible to receive a grant under paragraph (1), an eligible entity shall submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary may require.
(3) Use of grant
An eligible entity that receives a grant under paragraph (1)—
(A) shall use the grant—
(i) to conduct feasibility studies to assess the potential for implementation or improvement of energy storage technology or microgrid projects;
(ii) to analyze and implement strategies to overcome barriers to energy storage technology or microgrid project implementation, including financial, contracting, siting, and permitting barriers;
(iii) to conduct detailed engineering of energy storage technology or microgrid projects;
(iv) to perform a cost-benefit analysis with respect to an energy storage technology or microgrid project;
(v) to plan for both the short- and long-term inclusion of energy storage technology or microgrid projects into the future development plans of the eligible entity; or
(vi) to purchase and install necessary equipment, materials, and supplies for demonstration of emerging technologies; and
(B) may use the grant to obtain technical assistance from experts in carrying out the activities described in subparagraph (A).
(4) Condition
As a condition of receiving a grant under paragraph (1), an eligible entity shall—
(A) implement a public awareness campaign, in coordination with the Secretary, about the project implemented under the grant in the community in which the eligible entity is located, which campaign shall include providing projected environmental benefits achieved under the project, where to find more information about the program established under this section, and any other information the Secretary determines necessary;
(B) submit to the Secretary, and make available to the public, a report that describes—
(i) any energy cost savings and environmental benefits achieved under the project; and
(ii) the results of the project, including quantitative assessments to the extent practicable, associated with each activity described in paragraph (3)(A); and
(C) create and disseminate tools and resources that will benefit other rural electric cooperatives, which may include cost calculators, guidebooks, handbooks, templates, and training courses.
(5) Cost-share
Activities under this subsection shall be subject to the cost-sharing requirements of
(e) Technical assistance
(1) In general
In carrying out the program established under subsection (b), the Secretary may provide eligible entities with technical assistance relating to—
(A) identifying opportunities for energy storage technology and microgrid projects;
(B) understanding the technical and economic characteristics of energy storage technology or microgrid projects;
(C) understanding financing alternatives;
(D) permitting and siting issues;
(E) obtaining case studies of similar and successful energy storage technology or microgrid projects;
(F) reviewing and obtaining computer software for assessment, design, and operation and maintenance of energy storage technology or microgrid systems; and
(G) understanding and utilizing the reliability and resiliency benefits of energy storage technology and microgrid projects.
(2) External contracts
In carrying out paragraph (1), the Secretary may enter into contracts with third-party experts, including engineering, finance, and insurance experts, to provide technical assistance to eligible entities relating to the activities described in such paragraph, or other relevant activities, as determined by the Secretary.
(f) Authorization of appropriations
(1) In general
There is authorized to be appropriated to carry out this section $15,000,000 for each of fiscal years 2021 through 2025.
(2) Administrative costs
Not more than 5 percent of the amount appropriated under paragraph (1) for each fiscal year shall be used for administrative expenses.
(
Editorial Notes
Codification
Section was enacted as part of the Energy Act of 2020, and not as part of the Energy Independence and Security Act of 2007 which comprises this chapter.