U.S. Reps. Adrian Smith (R-NE) and Brian Fitzpatrick (R-PA) recently offered a bipartisan bill that would extend a federal tax credit to support upgrades at existing hydroelectric dams.
“As an affordable and highly sustainable source of energy, hydroelectric power is a valuable component of an all-of-the-above strategy for American energy dominance,” Rep. Smith said. “In an increasingly competitive global energy market, the United States cannot afford to leave any opportunity to increase energy production on the table.”
Rep. Smith on Dec. 7 sponsored the Maintaining and Enhancing Hydroelectricity and River Restoration Act of 2023, H.R. 6653, alongside five original cosponsors, including Rep. Fitzpatrick and U.S. Rep. Suzan DelBene (D-WA).
If enacted, H.R. 6653 would extend a 30 percent investment tax credit (ITC) to American hydroelectric investments that improve power production, provide environmental benefits, or remove outdated dam infrastructure through 2031.
“H.R. 6653 addresses the primarily front-loaded development cost of hydropower to maximize infrastructure investment, energy savings, and stewardship of our natural resources,” said Rep. Smith.
Additionally, H.R. 6653 would support local efforts to remove non-power producing river barriers, including abandoned or obsolete dams, dikes, or embankments, according to a bill summary provided by the lawmakers that says private, state, local, and non-profit groups could use the 30 percent ITC with a direct pay option to support efforts to demolish and remove unnecessary barriers with the owner’s consent.
Removing obsolete river obstructions that no longer meet their intended purpose can provide new outdoor recreation opportunities, create new fish and wildlife habitat, spur local economic development, and increase the resilience of rivers, the summary says.
“Incentivizing renewable energy, including hydroelectricity, is a proven way to transition to a clean energy future,” said Rep. Fitzpatrick. “Our bipartisan Maintaining and Enhancing Hydroelectricity and River Restoration Act implements a 30 percent investment tax credit for improvements to hydroelectric facilities to further tap into renewable energy resources in Pennsylvania and nationwide.”
The measure has garnered support from the president and district general manager of the Central Nebraska Public Power and Irrigation District Board, as well as the National Hydropower Association and Seattle City Light.