Title 42The Public Health and WelfareRelease 119-73

§12005 Demonstration and commercial application projects

Title 42 › Chapter CHAPTER 125— - RENEWABLE ENERGY AND ENERGY EFFICIENCY TECHNOLOGY COMPETITIVENESS › § 12005

Last updated Apr 6, 2026|Official source

Summary

Creates a five-year program that makes money available to help turn renewable energy and energy-efficiency technologies into commercial products. The Secretary must ask for project proposals and pick demonstration or commercial projects that make or sell energy, improve energy use, or expand factories that build these technologies. Each chosen project must include at least one for‑profit business, be done in the United States, and require that any product or invention made for commercial sale be manufactured mostly in the United States. The Secretary must start asking for proposals no later than 9 months after October 24, 1992, may let the deadline be extended up to 90 days, and must pick winners within 120 days after the closing date. An advisory committee must be created and must report within 18 months after October 24, 1992. The Secretary will use evaluation rules that look at need for federal help, market and export potential, energy and environmental benefits, technical merit, private investment, proposer history, and other factors, and will try to get technical and geographic variety. The Secretary can use several types of funding agreements (see section 13541), can share interest costs with private lenders, and must follow cost‑sharing rules in section 13542(b) and (c). Up to $50,000,000 was authorized for fiscal year 1994. Technologies covered include things like biofuels, solar (photovoltaic and thermal), wind, geothermal, fuel cells, superconductors, factory housing, and other efficiency and waste‑reduction tech.

Full Legal Text

Title 42, §12005

The Public Health and Welfare — Source: USLM XML via OLRC

(a)The purpose of this section is to direct the Secretary to further the commercialization of renewable energy and energy efficiency technologies through a five-year program.
(b)(1)(A)The Secretary shall solicit proposals for demonstration and commercial application projects for renewable energy and energy efficiency technologies pursuant to subsection (c). Such projects may include projects for—
(i)the production and sale of electricity, thermal energy, or other forms of energy using a renewable energy technology;
(ii)increasing the efficiency of energy use; and
(iii)improvements in, or expansion of, facilities for the manufacture of renewable energy or energy efficiency technologies.
(B)Each project selected under this section shall include at least one for-profit business. Activities supported under this section shall be performed in the United States. Each project under this section shall require the manufacture and reproduction substantially within the United States for commercial sale of any invention or product that may result from the project.
(2)(A)In supporting projects selected under subsection (c), the Secretary may choose from among the forms of agreements described in section 13541 of this title.
(B)In supporting projects selected under subsection (c), the Secretary may also enter into agreements with private lenders to pay a portion of the interest on loans made for such projects.
(3)Cost sharing for projects under this section shall be conducted according to the procedures described in section 13542(b) and (c) of this title.
(4)(A)The Secretary shall establish an Advisory Committee on Demonstration and Commercial Application of Renewable Energy and Energy Efficiency Technologies (in this chapter referred to as the “Advisory Committee”) to advise the Secretary on the development of the solicitation and evaluation criteria for projects under this section, and on otherwise carrying out his responsibilities under this section. The Secretary shall appoint members to the Advisory Committee, including at least one member representing—
(i)the Secretary of Commerce;
(ii)the National Laboratories of the Department of Energy;
(iii)the Solar Energy Research Institute;
(iv)the Electric Power Research Institute;
(v)the Gas Research Institute;
(vi)the National Institute of Building Sciences;
(vii)the National Institute of Standards and Technology;
(viii)associations of firms in the major renewable energy manufacturing industries; and
(ix)associations of firms in the major energy efficiency manufacturing industries.
(B)Not later than 18 months after October 24, 1992, the Advisory Committee shall provide the Secretary with a report assessing the implementation of the program under this section, including specific recommendations for improvements or changes to the program and solicitation process. The Secretary shall transmit such report and, if any, the Secretary’s recommendations to the Congress.
(c)(1)(A)Not later than 9 months after October 24, 1992, the Secretary shall solicit proposals for projects under this section. The Secretary may make additional solicitations for proposals if the Secretary determines that such solicitations are necessary to carry out this section.
(B)A solicitation for proposals under this paragraph shall establish a closing date for receipt of proposals. The Secretary may, if necessary, extend the closing date for receipt of proposals for a period not to exceed 90 days.
(C)Each solicitation under this paragraph shall include a description of the criteria, developed by the Secretary, according to which proposals will be evaluated. In developing such criteria, the Secretary shall consider—
(i)the need for Federal involvement to commercialize the technology or speed commercialization of the technology;
(ii)the potential for the technology to have significant market penetration;
(iii)the potential energy efficiency gains or energy supply contributions of the technology;
(iv)potential environmental improvements associated with the technology;
(v)the export potential of the technology;
(vi)the likelihood that the proposal is technically sufficient to achieve the objective of the solicitation;
(vii)the degree to which non-Federal financial participation is involved in the proposal;
(viii)the business and financial history of the proposer or proposers; and
(ix)any other factor the Secretary considers appropriate.
(2)Projects under this section may include the following technologies:
(A)Conversion of cellulosic biomass to liquid fuels.
(B)Ethanol and ethanol byproduct processes.
(C)Direct combustion or gasification of biomass.
(D)Biofuels energy systems.
(E)Photovoltaics, including utility scale and remote applications.
(F)Solar thermal, including solar water heating.
(G)Wind energy.
(H)High temperature and low temperature geothermal energy.
(I)Fuel cells, including transportation and stationary applications.
(J)Nondefense high-temperature superconducting electricity technology.
(K)Source reduction technology.
(L)Factory-made housing.
(M)Advanced district cooling.
(3)The Secretary shall, within 120 days after the closing date established under paragraph (1)(B), select proposals to receive financial assistance under this section. In selecting proposals under this paragraph, the Secretary shall—
(A)consider each proposal’s ability to meet the criteria developed pursuant to paragraph (1)(C); and
(B)attempt to achieve technological and geographic diversity.
(d)There are authorized to be appropriated to the Secretary for carrying out this section $50,000,000 for fiscal year 1994.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

References in Text

This chapter, referred to in subsec. (b)(4)(A), was in the original “this Act”, meaning Pub. L. 101–218, Dec. 11, 1989, 103 Stat. 1859, known as the Renewable Energy and Energy Efficiency Technology Competitiveness Act of 1989, which is classified principally to this chapter. For complete classification of this Act to the Code, see

Short Title

note set out under section 12001 of this title and Tables.

Amendments

1992—Pub. L. 102–486 amended section generally, substituting provisions relating to demonstration and commercial application projects for renewable energy and energy efficiency technologies for provisions relating to use of joint ventures to further commercialization of renewable energy and energy efficiency technologies.

Statutory Notes and Related Subsidiaries

Termination of Advisory CommitteesAdvisory committees established after Jan. 5, 1973, to terminate not later than the expiration of the 2-year period beginning on the date of their establishment, unless, in the case of a committee established by the President or an officer of the Federal Government, such committee is renewed by appropriate action prior to the expiration of such 2-year period, or in the case of a committee established by Congress, its duration is otherwise provided by law. See section 1001(2) and 1013 of Title 5, Government Organization and Employees.

Reference

Citations & Metadata

Citation

42 U.S.C. § 12005

Title 42The Public Health and Welfare

Last Updated

Apr 6, 2026

Release point: 119-73