[Code of Federal Regulations] [Title 10, Volume 3] [Revised as of January 1, 2005] From the U.S. Government Printing Office via GPO Access [CITE: 10CFR451.4] [Page 468-469] TITLE 10--ENERGY CHAPTER II--DEPARTMENT OF ENERGY PART 451_RENEWABLE ENERGY PRODUCTION INCENTIVES--Table of Contents Sec. 451.4 What is a qualified renewable energy facility. In order to qualify for an incentive payment under this part, a renewable energy facility must meet the following qualifications-- (a) Owner qualifications. The owner must be-- (1) A State or a political subdivision of a State (or agency, authority, or instrumentality thereof); (2) A corporation or association wholly owned, directly or indirectly, by a State or a political subdivision of a State; or (3) A nonprofit electrical cooperative. (b) What constitutes ownership. The owner must have all rights to the beneficial use of the renewable energy facility, and legal title must be held by, or for the benefit of, the owner. (c) Sales affecting interstate commerce. The net electric energy generated by the renewable energy facility must be sold to another entity for consideration. (d) Type of renewable energy sources. The source of the electric energy for which an incentive payment is sought must be a renewable energy source, as defined in Sec. 451.2. (e) Time of first use. The date of the first use of a newly constructed renewable energy facility, or a facility covered by paragraph (f) of this section, must occur during the inclusive period beginning October 1, 1993, and ending on September 30, 2003. (f) Conversion of non-qualified facilities. Existing non-qualified facilities that are converted must meet either of the following criteria-- (1) A facility employing solar, wind, geothermal or biomass sources must be refurbished during the allowed time of first use such that the fair market value of any previously used property does not exceed 20% of the facility's total value. [[Page 469]] (2) A facility not employing solar, wind, geothermal or biomass sources must be converted in part or in whole to a qualified facility during the allowed time of first use. (g) Location. The qualified renewable energy facility must be located in a State.