Section 1 Short title
This Act may be cited as the “Fueling America's Security and Transportation with Electricity Act of 2021” or the “FAST Electricity Act”.
Fueling America's Security and Transportation with Electricity Act of 2021
A BILL
To amend the Internal Revenue Code of 1986 to expand existing tax credits to include non-passenger electric-powered vehicles, associated recharging and refueling infrastructure, and for other purposes.
Sec. 2 Credit for qualified electric transportation options
in the heading, by striking “plug-in electric drive motor” and inserting “electric”,
by adding at the end the following new subsection:
“(h) Credit allowed for qualified electric transportation options
“(1) In general—In the case of a qualified electric transportation option—
“(A) there shall be allowed as a credit against the tax imposed by this chapter for the taxable year an amount equal to the applicable percentage of the cost of the qualified electric transportation option placed in service by the taxpayer during the taxable year,
“(B) the amount of the credit allowed under subparagraph (A) shall be treated as a credit allowed under subsection (a), and
“(C) the requirements described in subsection (f)(7) shall not apply.
“(2) Applicable percentage—For purposes of paragraph (1)(A), the applicable percentage shall be—
“(A) in the case of a qualified electric transportation option placed in service after December 31, 2021, and before January 1, 2028, 30 percent,
“(B) in the case of a qualified electric transportation option placed in service during a calendar year after 2027 and before 2033, the applicable percentage determined under this paragraph for the preceding calendar year, reduced by 5 percentage points, and
“(C) in the case of a qualified electric transportation option placed in service after calendar year 2032, 0 percent.
“(3) Qualified electric transportation option
“(A) In general—For purposes of this subsection, the term qualified electric transportation option means any vehicle used in any manner of transportation which—
“(i) the original use of which commences with the taxpayer,
“(ii) is acquired for use or lease by the taxpayer and not for resale,
“(iii) is capable of moving passengers, cargo, or property,
“(iv) is powered by an integrated, on-board electric propulsion system that—
“(I) is the primary source of propulsion,
“(II) is capable of powering the vehicle (including any of its components and accessories) for not less than 2/3 of the maximum operating period between recharging or refueling of such vehicle, and
“(III) in the case of a vehicle which derives any of its power from the on-board combustion of a fuel, uses a renewable fuel,
“(v) was manufactured for sale in commercial quantities with a reasonable expectation of profit,
“(vi) is in compliance with any applicable safety or air quality standards, as determined by the Secretary in coordination with the Secretary of Transportation, the Secretary of Homeland Security, and the Administrator of the Environmental Protection Agency, and
“(vii) is not a new qualified plug-in electric drive motor vehicle (as defined in subsection (d)(1)), unless the vehicle—
“(I) has a gross vehicle weight rating of not less than 3,000 pounds and not more than 14,000 pounds,
“(II) has no more than 2 seats, including the driver’s seat,
“(III) uses the majority of its interior space to carry cargo,
“(IV) is primarily used for delivering commercial cargo, and
“(V) does not use any energy which is derived from the on-board combustion of a fuel.
“(B) On-board electric propulsion system—For purposes of this subsection, the term on-board electric propulsion system means—
“(i) 1 or more on-board traction batteries which—
“(I) are integrated or swappable, and
“(II) have an aggregate capacity (as defined in subsection (d)(4)) of not less than 8 kilowatt hours, or
“(ii) an on-board power source other than a battery with an electrical output capacity equivalent of not less than 8 kilowatt hours, as determined by the Secretary.
“(C) Renewable fuel—For purposes of this paragraph, the term renewable fuel means any fuel at least 85 percent of the volume of which consists of one or more of the following:
“(i) Ethanol.
“(ii) Biodiesel (as defined in section 40A(d)(1)).
“(iii) Advanced biofuel (as defined in section 211(o)(1)(B) of the Clean Air Act (42 U.S.C. 7545(o)(1)(B))).
“(iv) Renewable natural gas.
“(v) Hydrogen.
“(4) Exclusion—For purposes of paragraph (1)(A), the cost of the qualified electric transportation option shall not include any cost relating to any component or feature which—
“(A) is not integral to the qualified electric transportation option, or
“(B) does not contribute to improving the efficiency or range of the electric propulsion of the qualified electric transportation option.”
Conforming amendments—
Section 38(b)(30) of the Internal Revenue Code of 1986 is amended by striking “plug-in electric drive motor” and inserting “electric”.
Section 48C(c)(1)(A)(i)(VI) of such Code is amended by inserting “or qualified electric transportation options” after “new qualified plug-in electric drive motor vehicles”.
The item relating to section 30D in the table of sections for subpart B of part IV of subchapter A of chapter 1 of such Code is amended to read as follows:
Effective date— The amendments made by this section shall apply to property placed in service after December 31, 2021.
Sec. 3 Credit for qualified electric vehicle recharging property
in subsection (a)—
by inserting “the sum of” after “equal to”, and
by inserting “and the applicable percentage of the cost of any qualified electric vehicle recharging property” before “placed in service”,
in subsection (c)(2), by striking subparagraph (C),
in subsection (e)(2), by inserting “or qualified electric vehicle recharging property” after “qualified alternative fuel vehicle refueling property”,
by redesignating subsections (f) and (g) as subsections (g) and (h), respectively,
by inserting after subsection (e) the following:
“(f) Qualified electric vehicle recharging property
“(1) In general—For purposes of this section, the term qualified electric vehicle recharging property means any property, including any onsite component, device, or software integral to its performance (with the exception of a building or its structural components or any associated offsite infrastructure), which satisfies applicable industry safety standards and provides non-proprietary—
“(A) recharging or repowering of any qualified electric transportation option or new qualified plug-in electric drive motor vehicle (as defined in section 30D), or
“(B) storage and dispensing of hydrogen fuel into the fuel tank of a vehicle with an on-board electric propulsion system (as defined in section 30D(h)(3)(B)), but only if the storage and dispensing of the fuel is at the point where such fuel is delivered to the vehicle.
“(2) Applicable percentage—For purposes of subsection (a), in the case of any qualified electric vehicle recharging property, the applicable percentage shall be—
“(A) in the case of any property placed in service after December 31, 2021, and before January 1, 2028, 30 percent,
“(B) in the case of any property placed in service during a calendar year after 2028 and before 2033, the applicable percentage determined under this paragraph for the preceding calendar year, reduced by 5 percentage points, and
“(C) in the case of any property placed in service after calendar year 2032, 0 percent.
“(3) Termination—For purposes of any qualified electric vehicle recharging property, this section shall not apply to any property placed in service after December 31, 2032.”
in subsection (h), as redesignated by paragraph (4)—
in the heading, by inserting “for qualified alternative fuel vehicle refueling property” after “Termination”, and
by striking “property” and inserting “qualified alternative fuel vehicle refueling property”.
Effective date— The amendments made by this section shall apply to property placed in service after December 31, 2021.
Sec. 4 Loan guarantees for transportation electrification domestic manufacturing capacity
Section 136 of the Energy Independence and Security Act of 2007 (42 U.S.C. 17013) is amended—
in subsection (a)—
in paragraph (1)—
in subparagraph (C), by striking the period at the end and inserting “; and”;
by redesignating subparagraphs (A) through (C) as clauses (i) through (iii), respectively, and indenting appropriately;
in the matter preceding clause (i) (as so redesignated), by striking “means an ultra” and inserting the following:
“(A) an ultra”
by adding at the end the following:
“(B) a medium-duty vehicle or a heavy-duty vehicle that exceeds 125 percent of the greenhouse gas emissions and fuel efficiency standards established by the final rule entitled “Greenhouse Gas Emissions and Fuel Efficiency Standards for Medium- and Heavy-Duty Engines and Vehicles—Phase 2” (81 Fed. Reg. 73478 (October 25, 2016)).”
in paragraph (3)—
in subparagraph (A), by inserting “, qualified electric transportation options, or qualified electric vehicle recharging properties” after “advanced technology vehicles”; and
in subparagraph (B), by striking “or advanced technology vehicles” and inserting “, advanced technology vehicles, qualified electric transportation options, or qualified electric vehicle recharging properties”;
in paragraph (4), by inserting “, qualified electric transportation options, or qualified electric vehicle recharging properties” after “advanced technology vehicles” each place it appears;
by redesignating paragraphs (4) and (5) as paragraphs (6) and (7), respectively; and
by inserting after paragraph (3) the following:
“(4) Qualified electric transportation option—The term qualified electric transportation option has the meaning given the term in section 30D(h)(3)(A) of the Internal Revenue Code of 1986.
“(5) Qualified electric vehicle recharging property—The term qualified electric vehicle recharging property has the meaning given the term in section 30C(f) of the Internal Revenue Code of 1986.”
in subsection (b)—
in the matter preceding paragraph (1), by inserting “qualified electric transportation option manufacturers, qualified electric vehicle recharging property manufacturers,” before “and component suppliers”;
in paragraph (1)—
in subparagraph (B), by striking “or” at the end;
in subsection (C), by striking “and” at the end; and
by adding at the end the following:
“(D) qualified electric transportation options; or
“(E) qualified electric vehicle recharging properties; and”
in paragraph (2), by inserting “qualified electric transportation options, qualified electric vehicle recharging properties,” before “and qualifying components”;
in subsection (c), by striking “December 30, 2020” each place it appears and inserting “December 31, 2030”;
in subsection (g), in the first sentence, by inserting “, qualified electric transportation options, or qualified electric vehicle recharging properties” before the period at the end;
in subsection (h)(1), by striking subparagraph (B) and inserting the following:
“(B) manufactures—
“(i) ultra efficient vehicles;
“(ii) automobiles or components of automobiles;
“(iii) qualified electric transportation options or components of qualified electric transportation options; or
“(iv) qualified electric vehicle recharging properties or components of qualified electric vehicle recharging properties.”
in subsection (i), by striking “fiscal years 2008 through 2012” and inserting “fiscal years 2021 through 2032”.