--- kind: "section" citation: "42 U.S.C. § 8235a" title: "42" title_heading: "The Public Health and Welfare" number: "8235a" heading: "Approval of plans for prototype residential energy efficiency programs and provision of financial assistance for such programs" release: "119-102" url: "https://uscodex.org/usc/42/8235a" units: - "Chapter 91 — National Energy Conservation Policy" - "Subchapter II — Residential Energy Conservation" - "Part C — Residential Energy Efficiency Programs" --- # §8235a. Approval of plans for prototype residential energy efficiency programs and provision of financial assistance for such programs - (a) **Plan approval—** The [Secretary](/usc/42/8241.md?p=6) may approve any plan developed by a [State](/usc/42/201.md?p=f) or [local government](/usc/42/8401a.md), for the establishment of a prototype residential [energy efficiency](/usc/42/6291.md?p=5) [program](/usc/42/274l–1.md?p=4), which is designed to demonstrate the feasibility, economics, and [energy](/usc/42/6311.md?p=7) conserving potential of such [program](/usc/42/274l–1.md?p=4), if an application for such plan is submitted pursuant to [section 8235b of this title](/usc/42/8235b.md), the application is approved pursuant to [section 8235c of this title](/usc/42/8235c.md), and the plan provides for— - (1) the entering into a contract by a public utility with one or more [persons](/usc/42/1320a–7k.md?p=d-4-C-i) not under the control of, and not affiliates or subsidiaries of, such utility for the implementation of a [program](/usc/42/274l–1.md?p=4) to encourage [energy](/usc/42/6311.md?p=7) conservation, including the supply and installation of the [energy conservation measures](/usc/42/8262.md?p=5) as specified in such contract in [residential buildings](/usc/42/8235.md) located in the portion of the utility’s service area designated by the contract, which contract includes the provisions described in [subsection (b)](#b); - (2) the selection by the public utility in a fair, open, and nondiscriminatory manner of the [person](/usc/42/1320a–7k.md?p=d-4-C-i) or [persons](/usc/42/1320a–7k.md?p=d-4-C-i) to contract with pursuant to [paragraph (1)](#a-1); - (3) the payment by the public utility to the [person](/usc/42/1320a–7k.md?p=d-4-C-i) or [persons](/usc/42/1320a–7k.md?p=d-4-C-i) contracted with under [paragraph (1)](#a-1) of a specified price for each [unit](/usc/42/1395w–114b.md?p=g-2) of [energy](/usc/42/6311.md?p=7) saved by such utility as a result of the [program](/usc/42/274l–1.md?p=4) during the period the contract is in effect, which price is based on the value to the utility of the [energy](/usc/42/6311.md?p=7) saved; - (4) the determination, by a procedure established by the [State](/usc/42/201.md?p=f) or [local government](/usc/42/8401a.md) developing the plan, of the amount of [energy](/usc/42/6311.md?p=7) saved by a public utility as a result of the [program](/usc/42/274l–1.md?p=4) carried out under the plan, which procedure is described in the contract; - (5) in the case of a regulated public utility, the approval in writing by the [State](/usc/42/201.md?p=f) regulatory authority exercising ratemaking authority over such utility of the contract described in [paragraph (1)](#a-1), the manner of selection described in [paragraph (2)](#a-2), the payment described in [paragraph (3)](#a-3), and the procedure described in [paragraph (4)](#a-4); and - (6) the enforcement of the provisions of the contract, entered into pursuant to [paragraph (1)](#a-1), which are required to be included pursuant to [subsection (b)](#b). - (b) **Contract requirements—** Any contract entered into by a public utility under [subsection (a)(1)](#a-1) shall require any [person](/usc/42/1320a–7k.md?p=d-4-C-i) or [persons](/usc/42/1320a–7k.md?p=d-4-C-i) entering into such contract with a public utility to offer to the [owner](/usc/42/13641.md?p=4) or occupant of each [residential building](/usc/42/8235.md) in the portion of the utility’s service area designated in the contract, without charge— - (1) an [inspection](/usc/42/4851b.md?p=12) of such [building](/usc/42/6881.md?p=i-3) to determine and inform such [owner](/usc/42/13641.md?p=4) or occupant of— - (A) the [energy conservation measures](/usc/42/8262.md?p=5) which will be supplied and installed in such [residential building](/usc/42/8235.md) pursuant to [paragraph (2)](#b-2); - (B) the savings in [energy](/usc/42/6311.md?p=7) costs that are likely to result from the installation of such [energy conservation measures](/usc/42/8262.md?p=5); - (C) suggestions (including suggestions developed by the [Secretary](/usc/42/8241.md?p=6)) of [energy](/usc/42/6311.md?p=7) conservation techniques, including adjustments in [energy use](/usc/42/6291.md?p=4) patterns and [modifications](/usc/42/7501.md?p=4) in household activities, which can be used by the [owner](/usc/42/13641.md?p=4) or occupant of the [building](/usc/42/6881.md?p=i-3) to save [energy](/usc/42/6311.md?p=7) and which do not require the installation of [energy conservation measures](/usc/42/8262.md?p=5); and - (D) the savings in [energy](/usc/42/6311.md?p=7) costs that are likely to result from the adoption of such suggested [energy](/usc/42/6311.md?p=7) conservation techniques; - (2) the supply and installation, with the approval of the [owner](/usc/42/13641.md?p=4) of the [residential building](/usc/42/8235.md), in such [building](/usc/42/6881.md?p=i-3) in a timely manner of the [energy conservation measures](/usc/42/8262.md?p=5) which are as specified in the contract and which the [owner](/usc/42/13641.md?p=4) or occupant was informed (pursuant to the [inspection](/usc/42/4851b.md?p=12) under [paragraph (1)](#b-1)) would be supplied and installed in such [building](/usc/42/6881.md?p=i-3); and - (3) a written warranty that at a minimum any defect in materials, [manufacture](/usc/42/300aa–33.md?p=3), design, or installation of any [energy conservation measures](/usc/42/8262.md?p=5) supplied and installed pursuant to [paragraph (2)](#b-2), found not later than one year after the date of installation, will be remedied without charge and within a reasonable period of time. - (c) **Provision of financial assistance—** The [Secretary](/usc/42/8241.md?p=6) may provide financial assistance to any [State](/usc/42/201.md?p=f) or [local government](/usc/42/8401a.md) to carry out any plan for the establishment of a prototype residential [energy efficiency](/usc/42/6291.md?p=5) [program](/usc/42/274l–1.md?p=4) if the plan is approved under [subsection (a)](#a). - (d) **Limitation—** The [Secretary](/usc/42/8241.md?p=6) may approve under [subsection (a)](#a) not more than 4 plans for the establishment of prototype residential [energy efficiency](/usc/42/6291.md?p=5) [programs](/usc/42/274l–1.md?p=4). ## Source credit (Pub. L. 95–619, title II, § 262, as added Pub. L. 96–294, title V, § 562, June 30, 1980, 94 Stat. 746.)