Federal

No Emergency Crude Oil for Foreign Adversaries Act

Source: Congress.gov · 791 words in original text

What This Bill Does

This bill requires the Secretary of Energy to add a condition to crude oil sales from the Strategic Petroleum Reserve (a government storage facility for emergency oil supplies). That condition says the oil cannot be exported to four specific countries: China, Russia, North Korea, or Iran. The Secretary can make exceptions only if national security requires it.

Who It Affects

- The Secretary of Energy - Companies or individuals bidding to buy crude oil at auctions - The Senate Committee on Energy and Natural Resources - The House Committees on Energy and Commerce and Natural Resources

Key Provisions

- The Secretary must require that crude oil sold from the Strategic Petroleum Reserve not be exported to China, Russia, North Korea, or Iran (Sec. 2(b)(1)) - A bidder can request a waiver (an official exemption) from this restriction if they submit an application at least 30 days before the auction (Sec. 2(b)(2)(C)(i)) - The Secretary can only approve a waiver if they determine it serves the national security of the United States (Sec. 2(b)(2)(B)) - The Secretary has 30 days after receiving a waiver application to approve or deny it (Sec. 2(b)(2)(C)(ii)) - The Secretary must submit a report within 180 days describing where all crude oil sold from the Strategic Petroleum Reserve since November 23, 2021 was refined and who owned those refineries (Sec. 2(c))

What Changes

If this becomes law, any company buying crude oil from the Strategic Petroleum Reserve would be prohibited from selling or shipping that oil to China, Russia, North Korea, or Iran unless they receive special written permission from the Secretary of Energy based on national security reasons.

Important Definitions

- Bidder: an individual or company bidding or planning to bid on crude oil at an auction - Strategic Petroleum Reserve: an oil storage system established under the Energy Policy and Conservation Act - Secretary: the Secretary of Energy

Effective Date

The restrictions apply to crude oil sales that occur after this bill becomes law. Not specified in bill text when that date would be.

II 118TH CONGRESS 1ST SESSION S. 283 To require the Secretary of Energy to stipulate, as a condition on the sale at auction of any crude oil from the Strategic Petroleum Reserve, that the crude oil not be exported to certain countries, and for other purposes. IN THE SENATE OF THE UNITED STATES FEBRUARY 7, 2023 Mr. CRUZ introduced the following bill; which was read twice and referred to the Committee on Energy and Natural Resources A BILL To require the Secretary of Energy to stipulate, as a condi- tion on the sale at auction of any crude oil from the Strategic Petroleum Reserve, that the crude oil not be exported to certain countries, and for other purposes. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘No Emergency Crude 4 Oil for Foreign Adversaries Act’’. 5 SEC. 2. CONDITION ON AUCTION OF CRUDE OIL FROM THE 6 STRATEGIC PETROLEUM RESERVE. 7 (a) DEFINITIONS.—In this section: 8 VerDate Sep 11 2014 05:54 Feb 16, 2023 Jkt 039200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\S283.IS S283 kjohnson on DSK79L0C42PROD with BILLS 2 •S 283 IS (1) BIDDER.—The term ‘‘bidder’’ means an in- 1 dividual or entity bidding or intending to bid at an 2 auction of crude oil from the Strategic Petroleum 3 Reserve. 4 (2) SECRETARY.—The term ‘‘Secretary’’ means 5 the Secretary of Energy. 6 (3) STRATEGIC PETROLEUM RESERVE.—The 7 term ‘‘Strategic Petroleum Reserve’’ means the 8 Strategic Petroleum Reserve established under part 9 B of title I of the Energy Policy and Conservation 10 Act (42 U.S.C. 6231 et seq.). 11 (b) PROHIBITION ON EXPORT OF SPR CRUDE OIL 12 TO CERTAIN COUNTRIES.— 13 (1) IN GENERAL.—Notwithstanding any other 14 provision of law, including section 161 of the Energy 15 Policy and Conservation Act (42 U.S.C. 6241), and 16 subject to paragraph (2), with respect to the draw- 17 down and sale at auction of any crude oil from the 18 Strategic Petroleum Reserve after the date of enact- 19 ment of this Act, the Secretary shall require, as a 20 condition of any such sale, that the crude oil not be 21 exported to— 22 (A) the People’s Republic of China; 23 (B) the Russian Federation; 24 VerDate Sep 11 2014 05:54 Feb 16, 2023 Jkt 039200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S283.IS S283 kjohnson on DSK79L0C42PROD with BILLS 3 •S 283 IS (C) the Democratic People’s Republic of 1 Korea; or 2 (D) the Islamic Republic of Iran. 3 (2) WAIVER.— 4 (A) IN GENERAL.—On application by a 5 bidder, the Secretary may waive, prior to the 6 date of the applicable auction, the condition de- 7 scribed in paragraph (1) with respect to the 8 sale of crude oil to that bidder at that auction. 9 (B) REQUIREMENT.—The Secretary may 10 issue a waiver under subparagraph (A) only if 11 the Secretary determines that the waiver is in 12 the interest of the national security of the 13 United States. 14 (C) APPLICATIONS.— 15 (i) IN GENERAL.—A bidder desiring a 16 waiver under subparagraph (A) shall sub- 17 mit to the Secretary an application— 18 (I) not later than the date that is 19 30 days before the date of the applica- 20 ble auction; and 21 (II) in such form and containing 22 such information as the Secretary 23 may require. 24 VerDate Sep 11 2014 05:54 Feb 16, 2023 Jkt 039200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\S283.IS S283 kjohnson on DSK79L0C42PROD with BILLS 4 •S 283 IS (ii) DEADLINE FOR DECISION.—The 1 Secretary shall determine whether to ap- 2 prove or deny an application submitted 3 under clause (i) by the date that is 30 4 days after the date on which the applica- 5 tion is submitted. 6 (c) REPORT.—Not later than 180 days after the date 7 of enactment of this Act, the Secretary shall submit to 8 the Committee on Energy and Natural Resources of the 9 Senate and the Committees on Energy and Commerce and 10 Natural Resources of the House of Representatives a re- 11 port describing— 12 (1) the route to destination and place of refine- 13 ment of all crude oil sold at auction from the Stra- 14 tegic Petroleum Reserve since November 23, 2021; 15 and 16 (2) the ownership of the refinement facilities at 17 which crude oil described in paragraph (1) was re- 18 fined. 19 Æ VerDate Sep 11 2014 05:54 Feb 16, 2023 Jkt 039200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6301 E:\BILLS\S283.IS S283 kjohnson on DSK79L0C42PROD with BILLS

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