Sec. 201 Marine and hydrokinetic renewable energy projects and facilities
“34. Pilot license for marine and hydrokinetic renewable energy projects
“(a) Definition of hydrokinetic pilot project
“(1) In general—In this section, the term hydrokinetic pilot project means a facility that generates energy from—
“(A) waves, tides, or currents in an ocean, estuary, or tidal area; or
“(B) free-flowing water in a river, lake, or stream.
“(2) Exclusions—The term hydrokinetic pilot project does not include a project that uses a dam or other impoundment for electric power purposes.
“(b) Pilot licenses authorized—The Commission may issue a pilot license to construct, operate, and maintain a hydrokinetic pilot project that meets the criteria listed in subsection (c).
“(c) License criteria—The Commission may issue a pilot license for a hydrokinetic pilot project if the project—
“(1) will have an installed capacity of not more than 10 megawatts;
“(2) is for a term of not more than 10 years;
“(3) will not cause a significant adverse environmental impact or interfere with navigation;
“(4) is removable and can shut down on reasonable notice in the event of a significant adverse safety, navigation, or environmental impact;
“(5) can be removed, and the site can be restored, by the end of the license term, unless the project has obtained a new license or the Commission has determined, based on substantial evidence, that the project should not be removed because it would be preferable for environmental or other reasons not to; and
“(6) is primarily for the purpose of—
“(A) testing new hydrokinetic technologies;
“(B) locating appropriate sites for new hydrokinetic technologies; or
“(C) determining the environmental and other effects of a hydrokinetic technology.
“(d) Lead agency—In carrying out this section, the Commission shall act as the lead agency—
“(1) to coordinate all applicable Federal authorizations; and
“(2) to comply with the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).
“(e) Schedule goals
“(1) In general—Not later than 30 days after the date on which the Commission receives a completed application, and following consultation with Federal, State, and local agencies with jurisdiction over the hydrokinetic pilot project, the Commission shall develop and issue pilot license approval process scheduling goals that cover all Federal, State, and local permits required by law.
“(2) Compliance—Applicable Federal, State, and local agencies shall comply with the goals established under paragraph (1) to the maximum extent practicable, consistent with applicable law.
“(3) 1-year goal—It shall be the goal of the Commission and the other applicable agencies to complete the pilot license process by not later than 1 year after the date on which the Commission receives the completed application.
“(f) Size limitations
“(1) In general—The Commission may grant a pilot license for a project located in the ocean if the project covers a surface area of not more than 1 square nautical mile.
“(2) Exception—The Commission, at the discretion of the Commission and for good cause, may grant a pilot license for a project that covers a surface area of more than 1 square nautical mile.
“(3) Limitation—For proposed projects located in an estuary, tidal area, river, lake, or stream, the Commission shall determine the size limit on a case-by-case basis, taking into account all relevant factors.
“(g) Extensions authorized—On application by a project, the Commission may make a 1-time extension of a pilot license for a term not to exceed 5 years.”