[§246-34.7]  Alternate energy improvements,exemption.  (a)  The value of all property in the State (not including abuilding or its structural components, except where alternate energyimprovements are incorporated into the building, and then only that part of thebuilding necessary to such improvement) actually used for an alternate energyimprovement shall be exempted from the measure of the taxes imposed by thischapter; provided the property exemption shall be applicable only with respectto alternate energy improvements which are installed and placed in serviceafter June 30, 1976 but before December 31, 1981.

Application for the exemption provided by thissection shall be made with the director of taxation.

The director of taxation may require thetaxpayer to furnish reasonable information in order that the director mayascertain the validity of the claim for deduction made under this section andmay adopt rules under chapter 91 to implement this section.

(b)  As used in this section "alternate energyimprovement" means any construction or addition, alteration, modification,improvement, or repair work undertaken upon or made to any building whichresults in:

(1)  The production of energy from a source, or uses aprocess which does not use fossil fuels or nuclear fuels.  Such energy sourcemay include, but shall not be limited to, solid wastes, wind, geothermal,solar, or ocean waves, tides, or currents.  Such energy process may include,but shall not be limited to, bio- conversion, hydro-electric power, thermalconversion, or osmosis; provided that nuclear fission shall be excluded fromthe provisions of this section; or

(2)  An increased level of efficiency in theutilization of energy produced by fossil fuels or in the utilization ofsecondary forms of energy dependent upon fossil fuels for its generation. [L1976, c 189, §2; gen ch 1985]