Page:United States Statutes at Large Volume 94 Part 1.djvu/311

 PUBLIC LAW 96-223—APR. 2, 1980

94 STAT. 261

construction, reconstruction, or erection of equipment specially designed for the project and the aggregate cost to the taxpayer of that equipment is at least 50 percent of the reasonably estimated cost for all such equipment which is to be placed in service as part of the project upon its completion. by the Federal Energy Regulatory Commission before January 1, 1986, with respect to the installation of any qualified hydroelectric generating property, for purposes of applying the energy percentage contained in subclause (IV) of clause (i) with respect to such property, 'December 31, 1988' shall be substituted for 'December 31, 1985'." (b) CONFORMING AMENDMENTS.—
 * (iv) LONGER PERIOD FOR CERTAIN HYDROELECTRIC GENERATING PROPERTY.—If an application has been docketed

(1) Paragraph (1) of section 48(1) (relating to treatment as 26 USC 48. section 38 property) is amended to read as follows: "(1) TREATMENT AS SECTION 38 PROPERTY.—For any period for which the energy percentage determined under section 46(a)(2)(C) for any energy property is greater than zero— 26 USC 46. "(A) such energy property shall be treated as meeting the requirements of paragraph (1) of subsection (a), and "(B) paragraph (3) of subsection (a) shall not apply to such property." (2) Paragraph (11) of section 48(1) (relating to special rule for Post, p. 266. property financed by industrial development bonds) is amended by striking out "5 percent" and inserting in lieu thereof "onehalf of the energy percentage determined under section 46(a)(2)(C)". SEC. 222. CHANGES IN ENERGY PROPERTY ITEM DESCRIPTIONS.

(a) IN GENERAL.—Subparagraph (A) of section 48(1)(2) (defining energy property) is amended— (1) by striking out "or" at the end of clause (v), and (2) by adding at the end thereof the following new clauses: "(vii) qualified hydroelectric generating property, "(viii) cogeneration equipment, or "(ix) qualified intercity buses,". (b) ALTERNATIVE ENERGY PROPERTY.—Subparagraph (A) of section

48(1)(3) (defining alternative energy property) is amended— (1) by striking out "(other than coke or coke gas)" in clause (iii), (2) by striking out clause (v) and inserting in lieu thereof the following: "(v) equipment to convert— "(I) coal (including lignite), or any nonmarketable substance derived therefrom, into a substitute for a petroleum or natural gas derived feedstock for the manufacture of chemicals or other products, or "(II) coal (including lignite), or any substance derived therefrom, into methanol, ammonia, or a hydroprocessed coalliquid or solid,", (3) by striking out "and" at the end of clause (vii), (4) by striking out the period at the end of clause (viii) and inserting in lieu thereof ", and", and (5) by adding at the end thereof the following new clause: "(ix) equipment, placed in service at either of 2 locations designated by the Secretary after consultation

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