§ 17233 — Energy Storage Technology And Microgrid Assistance Program

(a) In this section: (1) The term “eligible entity” means— (A) a rural electric cooperative; (B) an agency, authority, or instrumentality of a State or political subdivision of a State that sells or otherwise uses electrical energy to provide electric services for customers; or (C) a nonprofit organization working with at least 6 entities described in subparagraph (A) or (B). (2) The term “energy storage technology” includes grid-enabled water heaters, building heating or cooling systems, electric vehicles, the production of hydrogen for transportation or industrial use, or other technologies that store energy. (3) The term “microgrid” means a localized grid that operates autonomously regardless of whether the grid can operate in connection with another grid. (4) The term “renewable energy source” has the meaning given the term in section 918c(a) of title 7. (5) The term “rural electric cooperative” means an electric cooperative (as defined in section 796 of title 16) that sells electric energy to persons in rural areas. (6) The term “Secretary” means the Secretary of Energy. (b) Not later than 180 days after December 27, 2020, the Secretary shall establish a program under which the Secretary shall— (1) provide grants to eligible entities under subsection (d); (2) provide technical assistance to eligible entities under subsection (e); and (3) disseminate information to eligible entities on— (A) the activities described in subsections (d)(1) and (e); and (B) potential and existing energy storage technology and microgrid projects. (c) The Secretary may enter into a cooperative agreement with an eligible entity to carry out subsection (b). (1) The Secretary may award grants to eligible entities for identifying, evaluating, designing, and demonstrating energy storage technology and microgrid projects that utilize energy from renewable energy sources. (2) To be eligible to receive a grant under paragraph (1), an eligible entity shall submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary may require. (3) An eligible entity that receives a grant under paragraph (1)— (A) shall use the grant— (i) to conduct feasibility studies to assess the potential for implementation or improvement of energy storage technology or microgrid projects; (ii) to analyze and implement strategies to overcome barriers to energy storage technology or microgrid project implementation, including financial, contracting, siting, and permitting barriers; (iii) to conduct detailed engineering of energy storage technology or microgrid projects; (iv) to perform a cost-benefit analysis with respect to an energy storage technology or microgrid project; (v) to plan for both the short- and long-term inclusion of energy storage technology or microgrid projects into the future development plans of the eligible entity; or (vi) to purchase and install necessary equipment, materials, and supplies for demonstration of emerging technologies; and (B) may use the grant to obtain technical assistance from experts in carrying out the activities described in subparagraph (A). (4) As a condition of receiving a grant under paragraph (1), an eligible entity shall— (A) implement a public awareness campaign, in coordination with the Secretary, about the project implemented under the grant in the community in which the eligible entity is located, which campaign shall include providing projected environmental benefits achieved under the project, where to find more information about the program established under this section, and any other information the Secretary determines necessary; (B) submit to the Secretary, and make available to the public, a report that describes— (i) any energy cost savings and environmental benefits achieved under the project; and (ii) the results of the project, including quantitative assessments to the extent practicable, associated with each activity described in paragraph (3)(A); and (C) create and disseminate tools and resources that will benefit other rural electric cooperatives, which may include cost calculators, guidebooks, handbooks, templates, and training courses. (5) Activities under this subsection shall be subject to the cost-sharing requirements of section 16352 of this title. (1) In carrying out the program established under subsection (b), the Secretary may provide eligible entities with technical assistance relating to— (A) identifying opportunities for energy storage technology and microgrid projects; (B) understanding the technical and economic characteristics of energy storage technology or microgrid projects; (C) understanding financing alternatives; (D) permitting and siting issues; (E) obtaining case studies of similar and successful energy storage technology or microgrid projects; (F) reviewing and obtaining computer software for assessment, design, and operation and maintenance of energy storage technology or microgrid systems; and (G) understanding and utilizing the reliability and resiliency benefits of energy storage technology and microgrid projects. (2) In carrying out paragraph (1), the Secretary may enter into contracts with third-party experts, including engineering, finance, and insurance experts, to provide technical assistance to eligible entities relating to the activities described in such paragraph, or other relevant activities, as determined by the Secretary. (1) There is authorized to be appropriated to carry out this section $15,000,000 for each of fiscal years 2021 through 2025. (2) Not more than 5 percent of the amount appropriated under paragraph (1) for each fiscal year shall be used for administrative expenses.