Division B: Energy Improvement and Extension Act of 2008 - Energy Improvement and Extension Act of 2008 - Title
I: Energy Production Incentives - Subtitle A: Renewable Energy Incentives - (Sec. 101) Extends through 2009 the tax credit
for producing electricity from wind and refined coal facilities. Extends through 2010 such tax credit for other facilities,
including closed and open-loop biomass, solar energy, small irrigation power, landfill gas, trash combustion, and hydropower.
Modifies rules for and definitions of refined coal, trash and biomass facilities, and hydropower production.
(Sec. 102) Includes marine and hydrokinetic
renewable energy as a renewable resource for purposes of the tax credit for producing electricity from renewable resources.
103) Extends through 2016 the energy tax credit for solar energy, fuel cell, and microturbine property. Allows
a new energy tax credit for combined heat and power system property. Increases to $1,500 the credit limitation for fuel cell
property. Modifies energy tax credit rules to allow: (1) offsets of tax credit amounts against alternative minimum tax (AMT)
liabilities; and (2) public utility property to qualify for such credit.
(Sec. 104) Allows a new energy tax credit for 30% of expenditures for wind turbines used to generate electricity
in a residence and for geothermal heat pump systems.
(Sec. 106) Extends through 2016 the tax credit for residential energy efficient property. Eliminates the limitation
on the tax credit for solar electric property. Allows a residential energy tax credit for 30% of small wind energy and geothermal
heat pump property expenditures.
(Sec. 107) Allows a new tax credit for investment in new clean renewable energy bonds for capital investment
in renewable energy facilities.
Extends through 2009 the authority to issue clean renewable energy bonds.
(Sec. 108) Includes steel industry fuel as a renewable resource for purposes
of the tax credit for producing electricity from renewable resources. Defines "steel industry fuel" as fuel that:
(1) is produced by liquefying coal waste sludge and distributing it on coal; and (2) is used as a feedstock for the manufacture
(Sec. 109) Extends through
2009 the deferral of tax on the gain on sales of transmission property by vertically-integrated electric utilities to independent
transmission companies approved by the Federal Energy Regulatory Commission (FERC).
Subtitle B: Carbon Mitigation and Coal Provisions
- (Sec. 111) Allows a 30% investment tax credit rate for advanced coal-based generation technology projects and increases
the maximum credit amounts allocable for such projects to $2.55 billion.
Authorizes additional carbon energy projects, including projects for the capture and and sequestration of carbon
(Sec. 112) Increases to
30% the investment tax credit rate for coal gasification projects and the aggregate credit amount for such projects.
(Sec. 113) Extends the excise tax on coal
until the earlier of January 1, 2019, or the day after the first December 31 after December 31, 2007, on which there is no
balance of repayable advances made to the Black Lung Disability Trust Fund and no unpaid interest on such advances. Makes
a one-time appropriation to the Trust Fund to pay the difference between the market value of outstanding repayable advances
(plus accrued interest) and the proceeds from the obligations issued by such Trust Fund to the Secretary of the Treasury.
(Sec. 114) Sets forth special rules for
refund claims of the coal excise tax by certain coal producers and exporters.
(Sec. 115) Allows a new tax credit for carbon dioxide sequestration.
(Sec. 116) Provides for the treatment of
certain income and gains from industrial source carbon dioxide as qualifying income for publicly traded partnerships.
(Sec. 117) Directs the Secretary of the
Treasury to contract with the National Academy of Sciences for a comprehensive review of Internal Revenue Code provisions
that have the largest effects on carbon and other greenhouse gas emissions and an estimate of the magnitude of such effects.
Requires the Academy to report to Congress on the results of such study within two years after the enactment of this Act.