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organizations.".

SEC. 402. FOSSIL FUEL USE.

   (a) Contracts for Hydroelectric Energy.-Any person  who, after the

date of the enactment of the Clean Air Act Amendments  of 1990, enters

into a contract under which  such person receives hydroelectric energy

in return  for the provision of  electric energy by such  person shall

use  allowances held  by  such person  as  necessary to  satisfy  such

person's obligations under such contract.

   (b)   Federal  Power  Marketing  Administration.-A  Federal  Power

Marketing Administration shall  not be subject  to the provisions  and

requirements  of this title with respect  to electric energy generated

by  hydroelectric  facilities and  marketed  by  such Power  Marketing

Administration.  Any person who sells or provides electric energy to a

Federal  Power   Marketing  Administration   shall  comply   with  the

provisions and requirements of this title.

SEC. 403. REPEAL OF PERCENT REDUCTION.

   (a) Repeal.-Section 111(a)(1) of the  Clean Air Act is  amended to

read as follows:

   "(1)  The  term `standard  of  performance' means  a standard  for

emissions  of air  pollutants  which reflects  the degree  of emission

limitation  achievable through the  application of the  best system of

emission reduction which  (taking into account  the cost of  achieving

such reduction and any nonair  quality health and environmental impact

and  energy   requirements)  the  Administrator  determines  has  been

adequately demonstrated.".

      (b) Revised  Regulations.-Not later than three  years after the

   date of  enactment of the  Clean Air Act  Amendments of  1990, the

   Administrator shall promulgate revised  regulations for  standards

   of performance for  new fossil  fuel fired electric  utility units

   commencing construction after  the date on which  such regulations

   are  proposed that,  at a minimum,  require any  source subject to

   such revised  standards  to emit  sulfur  dioxide  at a  rate  not

   greater than  would have  resulted from compliance  by such source

   with the  applicable standards of  performance under this  section

   prior to such revision.

      (c)  Applicability.-The provisions  of subsections (a)  and (b)

   apply  only so long  as the  provisions of  section 403(e)  of the

   Clean   Air    Act    remain    in   effect.           (d)    BACT

   Determinations.-Section 169(3) of  the Clean Air Act is amended by

   inserting: ", clean  fuels," after "including fuel  cleaning," and

   by adding  the following at the  end thereof:  "Emissions from any

   source utilizing clean fuels, or  any other means, to  comply with

   this paragraph shall  not be allowed to increase above levels that

   would have been  required under this paragraph as it existed prior

   to enactment of the Clean Air Act Amendments of 1990.".

SEC. 404. ACID DEPOSITION STANDARDS.

   Not later than 36 months after the date of  enactment of this Act,

the   Administrator  of  the  Environmental  Protection  Agency  shall

transmit  to  the Committee  on Environment  and  Public Works  of the

Senate  and  the Committee  on  Energy and  Commerce of  the  House of

Representatives  a report on  the feasibility and  effectiveness of an

acid  deposition  standard  or  standards  to  protect  sensitive  and

critically  sensitive aquatic  and  terrestrial resources.  The  study

required  by  this  section shall  include,  but  not  be limited  to,

consideration of the following matters:

      (1) identification of  the sensitive  and critically  sensitive

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