"Wind energy system” means a system of components which converts the kinetic energy of the wind into electricity or mechanical power and which comprises all necessary components including energy storage, power conditioning, control systems, and transmission systems, where appropriate, to provide electricity or mechanical power for residential, agricultural, commercial, industrial, utility or governmental use.

§ 417.3 Establishment of program.

(a) The Wind Energy Technology Application Program is established under this part and shall be administered by the Assistant Secretary of Conservation and Renewable Energy of DOE.

(b) DOE shall not issue any solicitation or award any financial assistance related to large wind energy systems under this part after finding, in accordance with section 6 of the Act, that such systems have become economically competitive with conventional energy sources or on September 30, 1988, whichever occurs first.

§ 417.4 Eligibility requirements.

Any public or private entity is eligible to receive assistance under this part for a project located within a State which involves one or more large wind energy systems, each of which has a peak generating capacity of greater than one hundred kilowatts.

§ 417.5 Applicability of DOE Assistance Regulations.

Except as otherwise provided in these rules, the award and administration of financial assistance under this part are subject to the requirements of the DOE Assistance Regulations, 10 CFR Part 600.

§ 417.6 Solicitation procedures.

(a) Subject to the availability of appropriated funds or to termination of all or part of the program, as provided in § 417.3(b), DOE may issue solicitations under this section as often as it deems appropriate. DOE shall not consider any unsolicited proposal for assistance under this part.

(b) Subsequent to publishing a notice of availability under paragraph

(c) of this section, DOE shall solicit pre-applications and/or applications for the award of financial assistance under this part by issuing a solicitation providing the following information:

(1) Program name, reference title and number of this program in the Catalog of Federal Domestic Assistance, citations to these rules, and to the statutory authority for this program;

(2) Name and address of the DOE official or office to which the application should be mailed or delivered;

(3) Deadlines for submitting pre-applications and applications, and for completing reviews under Part I of OMB Circular A-95;

(4) Number of copies, not exceeding three, of pre-applications and/or applications required to be submitted.

(5) A description of how DOE will treat late applications, and how DOE intends to dispose of applications that do not result in the award of financial assistance;

(6) Total amount of DOE funds available for award under the solicitation, the maximum amount of DOE assistance that may be awarded to an individual recipient, and the minimum amount of cost sharing required to be provided by the applicant;

(7) A statement advising applicants that, except as otherwise provided in these rules, the award and administration of financial assistance under this part are subject to the DOE Assistance Regulations, 10 CFR Part 600;

(8) A statement advising that information submitted to DOE in pre-applications and applications is subject to reproduction or disclosure to others under the DOE regulations implementing the Freedom of Information Act, 5 U.S.C. 552, 10 CFR Part 1004;

(9) A statement advising that the award and administration of financial assistance under this part are subject to the requirements of 10 CFR Part 1022 (Compliance with Floodplain/ Wetlands Environmental Review Requirements) and the requirements of 10 CFR Part 1040 (Non-discrimination in Federally Assisted Programs);

(10) Date, time and location of any pre-application briefing;

(11) A statement advising applicants of the availability of the debriefing procedure under § 417.7;

(12) A statement indicating whether DOE intends to award the financial assistance in the form of grants, cooperative agreements, or a combination of these instruments;

(13) A description of the eligibility requirements applicable to the solicitation;

(14) An explanation of the criteria that will be used to evaluate applications and the ranking of such evaluation criteria;

(15) A summary of and references to the standard terms and conditions that will be included in the financial assistance agreement;

(16) Name, address, and telephone number of the DOE official from whom applicants may obtain applications and additional information, including copies of these rules and any materials referred to in the solicitation.

(c) Prior to issuing a program solicitation, DOE shall publish in the FEDERAL REGISTER and Commerce Business Daily a Notice of Availability, including but not limited to the information described in § 417.6(c) (1), (6), (12), (13), and (14).

(d) Whenever necessary to assure adequate publicity and widespread participation, DOE may publish a copy or notice of the solicitation in trade and professional journals and in newspapers, and may mail copies or notices directly to potential applicants.

(e) In any solicitation issued under this section, DOE reserves the right to award financial assistance to any, all, or none of the applicants.

§ 417.7 Debriefing.

Upon the written request of an applicant whose application has been disapproved, DOE may schedule a telephone conference or a meeting for the purpose of explaining why the applicant's project was not approved for assistance under this part. Such debriefing must be requested within 30 days after date of the written notification of DOE disapproval.

§ 417.8 Property.

Unless otherwise provided in the assistance agreement, title to wind datagathering equipment and to all large wind energy systems acquired with financial assistance provided under this part shall vest in the recipient without any further accountability to the Federal government. This section does not affect the obligation of the recipient to comply with the monitoring and reporting requirements of § 417.26 and the visitation requirement of § 417.27.

Subpart B-Financial Assistance for Large Wind Energy Systems

§ 417.21 Scope.

This subpart sets forth special procedures and requirements governing the application and award of financial assistance for the purchase and installation of large wind energy systems, as well as data-gathering and reporting on operation and maintenance of such systems.

§ 417.22 Funding limitation.

Except as otherwise provided by statute enacted subsequent to issuance of these rules,

(a) Before October 1, 1986, the amount of DOE assistance awarded under this subpart may not exceed 50 percent of total allowable project costs; and

(b) After September 30, 1986, the amount of DOE assistance awarded under this subpart may not exceed 25 percent of total allowable project costs.

§ 417.23 Application requirements.

An application for financial assistance to purchase and install a large wind energy system shall include the following:

(a) A project description which includes a feasibility study containing the following elements

(1) A wind resource assessment based on reliable wind speed data collected and recorded, at the proposed site, by an acceptable method and for a minimum period of time which are specified in the program solicitation;

(2) An economic analysis determining the estimated cost of wind-generat

ed energy (cents per kilowatt hour) as a function of—

(i) The available wind resources;

(ii) The anticipated performance of the large wind energy system;

(iii) The estimated costs of site acquisition and preparation, wind energy system purchase and installation, interconnection and transmission, and operation and maintenance; and

(iv) The estimated revenues or value to be derived from wind-generated energy;

(3) A marketing plan which identifies prospective purchasers and estimates the volume of sales of wind-generated energy;

(4) An engineering analysis identifying

(i) The optimum location;

(ii) Configuration;

(iii) Expected system performance; and

(iv) Plans for site preparation, transportation of system components to the site, installation, power system interconnection and operation;

(5) A power system integration plan describing

(i) Components and subsystems; and (ii) The schedule and procedures to be undertaken to comply with requirements of relevant regulatory and financial institutions;

(6) A site development plan describing the schedule and procedures for acquiring

(i) Licenses;

(ii) Permits; and

(iii) Any necessary property interests including land, structures, rightsof-way, access roads, and air rights;

(7) An environmental analysis evaluating all potential adverse environmental effects of installation and operation and determining alternative, cost-effective mitigating procedures;

(8) A health and safety analysis identifying occupational and public health and safety issues associated with installation and operation, and determining alternative cost-effective mitigating procedures; and

(9) A financing plan identifying— (i) Sources and amounts of financing for construction and operation;

(ii) A cash flow statement for the first five-years of system operation;

(iii) Assumptions regarding interest rates, tax liabilities, and debt amortization.

(b) The number and type of proposed large wind energy systems to be purchased and installed including meteorological equipment;

(c) The names, addresses, qualifications, and experience of the manufacturers, designers, and installers of the principal components of the proposed large wind energy system, including meteorological equipment;

(d) The number, length, voltage, interconnection, age, condition and location of any transmission lines to be constructed or modified as part of the project, including any new facilities required to put energy from the wind system on line;

(e) Topographical maps, diagrams, site plan, and photographs showing the location of the proposed project;

(f) A statement indicating whether the applicant has applied for or plans to apply for any other Federal assistance to support the proposed project;

(g) A management plan identifying the major tasks involved in completing the project, the qualifications and responsibilities of key personnel, and the estimated schedule of completion, including projected dates for obtaining necessary permits and licenses; and

(h) A title report or other documentary evidence that the applicant will have access to and be authorized to use the proposed site for at least 30 years following the end of the project period.

EFFECTIVE DATE NOTE: Section 417.23 contains information collection requirements which will not be effective until OMB approval has been obtained. Section 417.23 was published at 47 FR 16167, Apr. 15, 1982. § 417.24 Allowable project costs.

(a) Allowable project costs under this subpart shall include all reasonable and necessary expenses of purchasing and installing a large wind energy system. Such costs shall include expenses incurred for site preparation and for purchase, delivery, storage, assembly, installation, and start-up testing of all essential system components, and for the monitoring and reporting

required under § 417.26 of this subpart.

(b) Allowable transmission system costs may not exceed 10 percent of total allowable large wind energy systems costs. If the applicant demonstrates that the existing transmission system is not adequate to transport electricity from a large wind energy system to an electric power grid, the costs of such transmission system may be allowed up to a maximum of 25 percent of total allowable system costs.

8 417.25 Evaluation criteria.

(a) Based on information provided in the application and on any other information available to DOE, the criteria used to evaluate applications for assistance under this subpart shall include the following:

(1) Wind resource at the proposed site;

(2) The extent of cost-sharing proposed by the applicant;

(3) Demonstrated level of performance and reliability of the proposed large wind energy system;

(4) Technical and economic feasibility;

(5) Institutional and environmental acceptability;

(6) Commercial readiness of the proposed energy system;

(7) Ability of the applicant to manage the project, to finance its share of the purchase and installation costs, and to pay for the operation and maintenance of the completed system; (8) Suitability of the proposed site; and

(9) The relative contribution the proposed large wind system would make to the reduction of unit costs of production and the objectives set forth in section 2(b) of the Act.

(b) Assistance applications for large wind energy systems with an aggregate peak generating capacity of less than 30 megawatts shall be evaluated competitively against each other. Applications proposing projects designed to generate 30 megawatts or more of power shall be competitively evaluated against each other.

§ 417.26 Monitoring and reporting requirements.

(a) For five years after the commencement of normal operation, the assistance recipient shall monitor and report to DOE the following data: (1) Site meteorological data;

(2) System performance and energy produced;

(3) Actual operating and maintenance costs;

(4) Types and quantities of fuel from conventional energy source displaced by the wind-generated energy.

(5) Such other items of data as described in the assistance agreement.

(b) The information required to be reported under this section shall be submitted on a form or consistent with instructions provided by DOE. The reporting frequency established by DOE in the assistance agreement shall not be less frequently than annually nor more frequently than quarterly.

(c) DOE reserves the right to modify the reporting requirements of this section on a case-by-case basis to reflect variations in the nature, size, scope, instrumentation, and management of the assisted project.

(d) The recipient shall make the project site available to authorized DOE employees or agents for the performance, at DOE expense, of on-site sampling, testing, and monitoring.

EFFECTIVE DATE NOTE: Section 417.26 contains information collection requirements which will not be effective until OMB approval has been obtained. Section 417.26 was published at 47 FR 16167, Apr. 15, 1982.

§ 420.1 Purpose and scope.

(a) This part prescribes requirements for program measures included in plans and supplemental plans, and guidelines for the development, modification and funding of plans and supplemental plans. It is the purpose of this part to promote the conservation of energy and to reduce the rate of growth of energy demand through the development and implementation of a comprehensive State energy conservation plans program and the provision of Federal financial and technical assistance to States in support of such program.

(b) DOE has the responsibility to foster and promote comprehensive State energy conservation plans by providing technical and financial assistance for specific State intiatives to conserve and improve efficiency in the use of energy and to encourage the use of renewable resources. Because of the diversity of conditions among the various States and regions of the Nation, a wholly Federally administered program would not be as effective as one which is tailored to meet local requirements and to respond to local opportunities.

ASHRAE 90-75 means those designated standards developed by the American Society of Heating, Refrigerating and Air-Conditioning Engineers, Incorporated, as approved by its Board of Directors on August 11, 1975, to provide design requirements for improvements of energy utilization in new buildings.

Assistant Secretary means the Assistant Secretary for Conservation and Renewable Energy or any official to whom the Assistant Secretary's functions may be redelegated by the Secretary.

Btu means British thermal unit.

British thermal unit means the quantity of heat necessary to raise the temperature of one pound of water one degree Fahrenheit at 39.2 degrees Fahrenheit and one atmosphere of pressure.

Building means any structure which includes provision for a heating or cooling system, or both, or for a hot water system.

Carpool means the sharing of a ride by two or more people in an automobile.

Carpool matching and promotion campaign means a campaign to coordinate riders with drivers to form carpools and/or vanpools.

Commercial building means any building other than a residential building, including any building constructed for industrial or public purposes.

Deputy Assistant Secretary means the Deputy Assistant Secretary for Technical and Financial Assistance or any official to whom the Deputy Assistant Secretary's functions may be redelegated by the Assistant Secretary. the Department of

DOE means Energy.

Energy audit means a survey of a building or buildings that is conducted in accordance with § 420.7(d) and Subpart B of 10 CFR Part 450 and which:

(a) Identifies the type, size, energy use level and the major energy using systems of such building or buildings;

(b) Determines appropriate energy conservation maintenance and operating procedures; and

(c) Indicates the need, if any, for the acquisition and installation of energy conservation measures.