The bill also expanded the production tax credit to include geothermal plants placed in service by that same date. The JOBS bill, sponsored by Iowa Sen. Chuck Grassley, promotes American business and manufacturing by updating U.S. tax laws and eliminating corporate tax loopholes while encouraging productive economic activity such as investment in energy infrastructure. The energy tax provisions of the bill were among the most broadly popular components of the legislation, with both Democrats and Republicans lining up to speak in favor of these provisions.

After the House passed their version of the JOBS bill, House and Senate negotiators began work to craft a final product. Thanks to the Senate's insistence, these energy tax incentives were included as part of the final version of the JOBS bill, which was passed by the House and Senate, that was sent to and signed by the president in July 2004.