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LegalText 42 U.S.C. § 7256c Milestone-based demonstration projects us united_states_code code_section 42 THE PUBLIC HEALTH AND WELFARE 84 DEPARTMENT OF ENERGY 7256c 42 U.S.C. § 7256c current 119-100 2026-06-26 official https://uscode.house.gov/download/releasepoints/us/pl/119/100/xml_usc42@119-100.zip /us/usc/t42/s7256c data/legal/raw/us/code/title-42/usc42.xml dc635dcf09c4bfca24b135372aeefa356c9a14a8387fd92aeaccfb6f3b755adf 644321055a08eb1f260a6a3e31ac157fa024756abf612a9fd6857e7e400cf24e 7fd80784ce0007ec3d4a72794ef2eb1f6a16501ecc9d33c8c914ef724a8a79b6 2026-07-04 official
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42 U.S.C. § 7256c - Milestone-based demonstration projects

Text

(a) In general Acting under section 7256(g) of this title, notwithstanding paragraph (10) of such section, the Secretary of Energy (in this section referred to as the “Secretary”) may carry out demonstration projects as a milestone-based demonstration project that requires particular technical and financial milestones to be met before a participant is awarded grants by the Department through a competitive award process.

(b) Requirements In carrying out milestone-based demonstration projects under the authority in paragraph (1), the Secretary shall, for each relevant project—

(1) request proposals from eligible entities, as determined by the Secretary, including—

(A) a business plan, that may include a plan for scalable manufacturing and a plan for addressing supply chain gaps;

(B) a plan for raising private sector investment; and

(C) proposed technical and financial milestones, including estimated project timelines and total costs; and

(2) award funding of a predetermined amount to projects that successfully meet proposed milestones under paragraph (1)(C) or for expenses deemed reimbursable by the Secretary, in accordance with terms negotiated for an individual award;

(3) require cost sharing in accordance with section 16352 of this title; and

(4) communicate regularly with selected eligible entities and, if the Secretary deems appropriate, exercise small amounts of flexibility for technical and financial milestones as projects mature.

(c) Awards For the program established under subsection (a)—

(1) an award recipient shall be responsible for all costs until milestones are achieved, or reimbursable expenses are reviewed and verified by the Department; and

(2) should an awardee not meet the milestones described in subsection (a), the Secretary or their designee may end the partnership with an award recipient and use the remaining funds in the ended agreement for new or existing projects carried out under this section.

(d) Project management In carrying out projects under this program and assessing the completion of their milestones in accordance with subsection (b), the Secretary shall consult with experts that represent diverse perspectives and professional experiences, including those from the private sector, to ensure a complete and thorough review.

(e) Report In accordance with section 16391a(a) of this title, the Secretary shall report annually on any demonstration projects carried out using the authorities under this section.

(Pub. L. 116260, div. Z, title IX, § 9005, Dec. 27, 2020, 134 Stat. 2599.)

Notes

Editorial Notes

Codification Section was enacted as part of the Energy Act of 2020, and not as part of the Department of Energy Organization Act which comprises this chapter.