To amend the Internal Revenue Code of 1986 to establish a tax credit for qualified combined heat and power system property, and for other purposes.

1) What happened and its current status: On December 17, 2025, Rep. Van Duyne (R-TX) introduced HR6824, which adds new Section 48F to the Internal Revenue Code to provide a 10% tax credit for qualified combined heat and power system property placed in service. The bill has been referred to the House Committee on Ways and Means. It has one cosponsor (Rep. Kustoff) and an identical companion bill, S3531, which has been referred to the Senate Finance Committee. Both are at the earliest legislative stage. 2) The money trail: HR6824 is a tax credit bill, not an appropriation. It does not allocate direct funding but forgoes tax revenue by reducing tax liability for qualifying CHP investments. The mechanism is a 10% credit on the tax basis of CHP property placed in service. This directly lowers the after-tax capital cost for end users by 10%, improving project ROI and shortening payback periods. The credit applies to end users (commercial/industrial facilities) but economically flows upstream to equipment manufacturers who benefit from increased demand. 3) Structural winners and losers: Equipment manufacturers are the primary beneficiaries. $CMI (Cummins) has a meaningful power generation segment producing CHP modules. $GE (specifically GE Vernova) manufactures gas turbines used in industrial CHP. $CAT (Caterpillar) supplies natural gas generator sets through its Electric Power division. $NEE (NextEra Energy Resources) develops and operates CHP projects for industrial clients and benefits from improved project economics. Industrial end users with large thermal loads (chemical plants, refineries, hospitals, universities) are the ultimate beneficiaries but are not directly traded. 4) Real market data: Over the past 30 days, CHP-adjacent stocks have rallied strongly. $CMI is up 22.78% to $642.45, boosted by broader industrial demand. $CAT is up 17.61% to $817.87, and $GE is up 2.26% to $289.20. These moves are likely driven by the April 20 DPA executive orders on energy infrastructure and grid reliability rather than HR6824 specifically, since the bill has seen no legislative action since December. The DPA orders have created a broader tailwind for domestic energy equipment investment. 5) Timeline: HR6824 faces a long path. It must pass the Ways and Means Committee, the full House, then the Senate, and be signed into law. The companion bill S3531 is also at committee stage. With only one cosponsor and the 119th Congress halfway through, passage probability is low for this standalone bill unless it is attached as a rider to must-pass tax extenders or energy legislation. However, the bipartisan appeal of CHP efficiency suggests it could be included in broader energy tax packages.