The Generation Credits Division works with existing generation facilities to ensure resilience and reliability and works to improve electricity markets at the wholesale and distribution level.
Civil Nuclear Credit Program
The Division oversees $6 billion for the Civil Nuclear Credit program to prevent premature retirement of existing zero-carbon nuclear plants. The program is available for plants that would otherwise retire and are certified as safe to continue operations and prioritizes plants that use domestically produced fuel. The program will evaluate nuclear reactors projected to cease operations due to economic factors; and allocate credits, to cover operating loss, to certified nuclear reactors that are selected to receive such credits.
Hydroelectric Incentives
The Division oversees the investment of more than $750 million in existing hydroelectric facilities to improve efficiency, maintain dam safety, reduce environmental impacts, and ensure generators continue to provide emission-free electricity. The program has extended the applicability of the existing Energy Policy Act of 2005 Section 242 Hydroelectric Production Incentives to dams and conduits constructed before November 15, 2021, to increase the annual payment amount from $750,000 to $1 million. For electric energy generated and sold by a qualified hydroelectric facility during the incentive period, BIL also provides nearly $630 million for the Section 243: Hydroelectric Efficiency Improvement Incentives and Section 247: Maintaining and Enhancing Hydroelectricity Incentives to enable facilities to improve.
Wholesale Markets
The Division implements the Wholesale Electricity Market Studies and Engagement Program, which provides states and regions with technical and financial assistance related to developing, expanding, and improving wholesale electricity markets. This engagement will ensure these stakeholders are able to provide critical insight into market design, expansion, and improvement activities.