Title 42The Public Health and WelfareRelease 119-73

§15883 Maintaining and enhancing hydroelectricity incentives

Title 42 › Chapter CHAPTER 149— - NATIONAL ENERGY POLICY AND PROGRAMS › Subchapter SUBCHAPTER II— - RENEWABLE ENERGY › Part Part C— - Hydroelectric › § 15883

Last updated Apr 6, 2026|Official source

Summary

The Secretary must make incentive payments to owners or operators of certain hydroelectric projects to help pay for capital upgrades. Qualified hydroelectric facility — a hydro project that is FERC‑licensed or built under a pre‑June 10, 1920 permit or an FPA license; was placed in service before November 15, 2021; and either already meets federal, tribal, and state rules or would after the funded work. Payments may fund three kinds of work: grid resiliency (backup and support services, integrating variable power, and sediment management), dam safety (spillways, stability, erosion/seepage fixes, and flood‑risk measures), and environmental or recreation improvements (fish passage, water quality, sediment and habitat work, and public access). Payments can cover up to 30% of a project’s improvement cost. Only one payment per facility per fiscal year is allowed, and that payment cannot exceed $5,000,000. Congress set aside $553,600,000 for fiscal year 2022, available until spent.

Full Legal Text

Title 42, §15883

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

(a)In this section, the term “qualified hydroelectric facility” means a hydroelectric project that—
(1)(A)is licensed by the Federal Energy Regulatory Commission; or
(B)is a hydroelectric project constructed, operated, or maintained pursuant to a permit or valid existing right-of-way granted prior to June 10, 1920, or a license granted pursuant to the Federal Power Act (16 U.S.C. 791a et seq.);
(2)is placed into service before November 15, 2021; and
(3)(A)is in compliance with all applicable Federal, Tribal, and State requirements; or
(B)would be brought into compliance with the requirements described in subparagraph (A) as a result of the capital improvements carried out using an incentive payment under this section.
(b)The Secretary shall make incentive payments to the owners or operators of qualified hydroelectric facilities for capital improvements directly related to—
(1)improving grid resiliency, including—
(A)adapting more quickly to changing grid conditions;
(B)providing ancillary services (including black start capabilities, voltage support, and spinning reserves);
(C)integrating other variable sources of electricity generation; and
(D)managing accumulated reservoir sediments;
(2)improving dam safety to ensure acceptable performance under all loading conditions (including static, hydrologic, and seismic conditions), including—
(A)the maintenance or upgrade of spillways or other appurtenant structures;
(B)dam stability improvements, including erosion repair and enhanced seepage controls; and
(C)upgrades or replacements of floodgates or natural infrastructure restoration or protection to improve flood risk reduction; or
(3)environmental improvements, including—
(A)adding or improving safe and effective fish passage, including new or upgraded turbine technology, fish ladders, fishways, and all other associated technology, equipment, or other fish passage technology to a qualified hydroelectric facility;
(B)improving the quality of the water retained or released by a qualified hydroelectric facility;
(C)promoting downstream sediment transport processes and habitat maintenance; and
(D)improving recreational access to the project vicinity, including roads, trails, boat ingress and egress, flows to improve recreation, and infrastructure that improves river recreation opportunity.
(c)(1)Incentive payments under this section shall not exceed 30 percent of the costs of the applicable capital improvement.
(2)Not more than 1 incentive payment may be made under this section with respect to capital improvements at a single qualified hydroelectric facility in any 1 fiscal year, the amount of which shall not exceed $5,000,000.
(d)There is authorized to be appropriated to the Secretary to carry out this section $553,600,000 for fiscal year 2022, to remain available until expended.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

References in Text

The Federal Power Act, referred to in subsec. (a)(1)(B), is act June 10, 1920, ch. 285, 41 Stat. 1063, which is classified generally to chapter 12 (§ 791a et seq.) of Title 16, Conservation. For complete classification of this Act to the Code, see section 791a of Title 16 and Tables.

Statutory Notes and Related Subsidiaries

Wage Rate RequirementsFor 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 Pub. L. 117–58, including authority of Secretary of Labor, see section 18851 of this title.

Reference

Citations & Metadata

Citation

42 U.S.C. § 15883

Title 42The Public Health and Welfare

Last Updated

Apr 6, 2026

Release point: 119-73