What This Bill Does
This bill aims to increase American energy production and exports by streamlining approval processes for oil, gas, and other energy projects. It reduces environmental review requirements and creates faster permitting timelines for energy infrastructure. The bill also changes rules for mining critical minerals needed for energy systems.
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Who It Affects
- Oil and natural gas companies
- Refineries and energy producers
- Mining companies extracting critical minerals
- Federal agencies (Department of Energy, Environmental Protection Agency, Federal Energy Regulatory Commission)
- States and local governments
- Property owners with energy resources on their land
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Key Provisions
- The Secretary of Energy must assess and report on critical energy resource supply chains and how to strengthen domestic production (Sec. 10001)
- The President cannot declare a moratorium (a temporary ban) on hydraulic fracturing (a drilling method) unless Congress authorizes it (Sec. 10002)
- The Federal Energy Regulatory Commission will have sole authority to approve or deny applications for natural gas export facilities, and must deem such exports consistent with public interest (Sec. 10008)
- States may propose conditions for natural gas pipeline projects to ensure compliance with water quality laws, but the Commission may only include those conditions if necessary for legal compliance (Sec. 10009)
- The Secretary of Interior must immediately resume quarterly oil and gas lease sales on federal land following required environmental reviews (Sec. 20101)
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What Changes
If this becomes law, several major changes occur:
- The federal government cannot block drilling through new moratoria without Congress passing a new law
- Natural gas export facilities get faster approval with a deadline of within 120 days after environmental review (instead of case-by-case presidential permits)
- Oil and gas companies must receive quarterly lease opportunities on federal lands
- Environmental review timelines compress for multiple energy projects
- The Environmental Protection Agency can issue temporary waivers of Clean Air Act requirements for critical energy resource facilities if needed for national security or energy security (lasting up to 90 days and renewable)
- States lose some authority over water quality certification for natural gas pipelines
- Two tax-related programs for home energy efficiency are eliminated (sections 50122, 50123, and 50131 of prior law)
- A proposed rule limiting gas kitchen stove efficiency standards cannot be finalized
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Important Definitions
**Critical Energy Resource**: Any energy resource essential to United States energy systems whose supply chain is vulnerable to disruption, as determined by the Secretary of Energy (Sec. 10001)
**Hydraulic Fracturing**: The drilling method mentioned (not formally defined in the bill text)
**Border-Crossing Facility**: The portion of an oil, natural gas pipeline, or electric transmission facility located at an international boundary of the United States (Sec. 10004)
**Modification**: Includes reversal of flow direction, change in ownership, change in flow volume, addition or removal of an interconnection, or adjustment to maintain flow (Sec. 10004)
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Effective Date
- Most provisions take effect immediately upon enactment (becoming law) (Sec. 10004)
- The cross-border energy infrastructure provisions (sections 10004(a) through (d)) take effect 1 year after enactment (Sec. 10004(f))
- Federal agencies must publish proposed rules for cross-border facilities within 180 days and final rules within 1 year of enactment (Sec. 10004(f))
118TH CONGRESS
1ST SESSION
H. R. 1
AN ACT
To lower energy costs by increasing American energy produc-
tion, exports, infrastructure, and critical minerals proc-
essing, by promoting transparency, accountability, per-
mitting, and production of American resources, and by
improving water quality certification and energy projects,
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
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•HR 1 EH
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
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(a) SHORT TITLE.—This Act may be cited as the
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‘‘Lower Energy Costs Act’’.
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(b) TABLE OF CONTENTS.—The table of contents of
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this Act is as follows:
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Sec. 1. Short title; table of contents.
DIVISION A—INCREASING AMERICAN ENERGY PRODUCTION, EX-
PORTS, INFRASTRUCTURE, AND CRITICAL MINERALS PROC-
ESSING
Sec. 10001. Securing America’s critical minerals supply.
Sec. 10002. Protecting American energy production.
Sec. 10003. Researching Efficient Federal Improvements for Necessary Energy
Refining.
Sec. 10004. Promoting cross-border energy infrastructure.
Sec. 10005. Sense of Congress expressing disapproval of the revocation of the
Presidential permit for the Keystone XL pipeline.
Sec. 10006. Sense of Congress opposing restrictions on the export of crude oil
or other petroleum products.
Sec. 10007. Sense of Congress expressing disapproval of the denial of Jordan
Cove permits.
Sec. 10008. Unlocking our domestic LNG potential.
Sec. 10009. Promoting interagency coordination for review of natural gas pipe-
lines.
Sec. 10010. Interim hazardous waste permits for critical energy resource facili-
ties.
Sec. 10011. Flexible air permits for critical energy resource facilities.
Sec. 10012. National security or energy security waivers to produce critical en-
ergy resources.
Sec. 10013. Ending future delays in chemical substance review for critical en-
ergy resources.
Sec. 10014. Natural gas tax repeal.
Sec. 10015. Repeal of greenhouse gas reduction fund.
Sec. 10016. Keeping America’s refineries operating.
Sec. 10017. Homeowner energy freedom.
Sec. 10018. Study.
Sec. 10019. State primary enforcement responsibility.
Sec. 10020. Use of index-based pricing in acquisition of petroleum products for
the SPR.
Sec. 10021. Prohibition on certain exports.
Sec. 10022. Sense of Congress expressing disapproval of the proposed tax hikes
on the oil and natural gas industry in the President’s fiscal
year 2024 budget request.
Sec. 10023. Domestic Energy Independence report.
Sec. 10024. GAO study.
Sec. 10025. Gas kitchen ranges and ovens.
DIVISION B—TRANSPARENCY, ACCOUNTABILITY, PERMITTING,
AND PRODUCTION OF AMERICAN RESOURCES
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•HR 1 EH
Sec. 20001. Short title; table of contents.
TITLE I—ONSHORE AND OFFSHORE LEASING AND OVERSIGHT
Sec. 20101. Onshore oil and gas leasing.
Sec. 20102. Lease reinstatement.
Sec. 20103. Protested lease sales.
Sec. 20104. Suspension of operations.
Sec. 20105. Administrative protest process reform.
Sec. 20106. Leasing and permitting transparency.
Sec. 20107. Offshore oil and gas leasing.
Sec. 20108. Five-year plan for offshore oil and gas leasing.
Sec. 20109. Geothermal leasing.
Sec. 20110. Leasing for certain qualified coal applications.
Sec. 20111. Future coal leasing.
Sec. 20112. Staff planning report.
Sec. 20113. Prohibition on Chinese communist party ownership interest.
Sec. 20114. Effect on other law.
Sec. 20115. Requirement for GAO report on wind energy impacts.
Sec. 20116. Sense of Congress on wind energy development supply chain.
Sec. 20117. Sense of Congress on oil and gas royalty rates.
Sec. 20118. Offshore wind environmental review process study.
Sec. 20119. GAO report on wind energy impacts.
TITLE II—PERMITTING STREAMLINING
Sec. 20201. Definitions.
Sec. 20202. BUILDER Act.
Sec. 20203. Codification of National Environmental Policy Act regulations.
Sec. 20204. Non-major Federal actions.
Sec. 20205. No net loss determination for existing rights-of-way.
Sec. 20206. Determination of National Environmental Policy Act adequacy.
Sec. 20207. Determination regarding rights-of-way.
Sec. 20208. Terms of rights-of-Way.
Sec. 20209. Funding to process permits and develop information technology.
Sec. 20210. Offshore geological and geophysical survey licensing.
Sec. 20211. Deferral of applications for permits to drill.
Sec. 20212. Processing and terms of applications for permits to drill.
Sec. 20213. Amendments to the Energy Policy Act of 2005.
Sec. 20214. Access to Federal energy resources from non-Federal surface es-
tate.
Sec. 20215. Scope of environmental reviews for oil and gas leases.
Sec. 20216. Expediting approval of gathering lines.
Sec. 20217. Lease sale litigation.
Sec. 20218. Limitation on claims.
Sec. 20219. Government Accountability Office report on permits to drill.
Sec. 20220. E–NEPA.
Sec. 20221. Limitations on claims.
Sec. 20222. One Federal decision for pipelines.
Sec. 20223. Exemption of certain wildfire mitigation activities from certain en-
vironmental requirements.
Sec. 20224. Vegetation management, facility inspection, and operation and
maintenance relating to electric transmission and distribution
facility rights of way.
Sec. 20225. Categorical exclusion for electric utility lines rights-of-way.
Sec. 20226. Staffing plans.
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•HR 1 EH
TITLE III—PERMITTING FOR MINING NEEDS
Sec. 20301. Definitions.
Sec. 20302. Minerals supply chain and reliability.
Sec. 20303. Federal register process improvement.
Sec. 20304. Designation of mining as a covered sector for Federal permitting
improvement purposes.
Sec. 20305. Treatment of actions under presidential determination 2022–11 for
Federal permitting improvement purposes.
Sec. 20306. Notice for mineral exploration activities with limited surface dis-
turbance.
Sec. 20307. Use of mining claims for ancillary activities.
Sec. 20308. Ensuring consideration of uranium as a critical mineral.
Sec. 20309. Barring foreign bad actors from operating on Federal lands.
Sec. 20310. Permit process for projects relating to extraction, recovery, or
processing of critical materials.
Sec. 20311. National strategy to re-shore mineral supply chains.
TITLE IV—FEDERAL LAND USE PLANNING
Sec. 20401. Federal land use planning and withdrawals.
Sec. 20402. Prohibitions on delay of mineral development of certain Federal
land.
Sec. 20403. Definitions.
TITLE V—ENSURING COMPETITIVENESS ON FEDERAL LANDS
Sec. 20501. Incentivizing domestic production.
TITLE VI—ENERGY REVENUE SHARING
Sec. 20601. Gulf of Mexico Outer Continental Shelf revenue.
Sec. 20602. Parity in offshore wind revenue sharing.
Sec. 20603. Elimination of administrative fee under the Mineral Leasing Act.
Sec. 20604. Sunset.
DIVISION C—WATER QUALITY CERTIFICATION AND ENERGY
PROJECT IMPROVEMENT
Sec. 30001. Short title; table of contents.
Sec. 30002. Certification.
Sec. 30003. Federal general permits.
DIVISION A—INCREASING AMER-
1
ICAN ENERGY PRODUCTION,
2
EXPORTS, INFRASTRUCTURE,
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AND
CRITICAL
MINERALS
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PROCESSING
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DIVISION A—INCREASING AMERICAN ENERGY PRODUCTION, EX-
PORTS, INFRASTRUCTURE, AND CRITICAL MINERALS PROC-
ESSING
Sec. 10001. Securing America’s critical minerals supply.
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Sec. 10002. Protecting American energy production.
Sec. 10003. Researching Efficient Federal Improvements for Necessary Energy
Refining.
Sec. 10004. Promoting cross-border energy infrastructure.
Sec. 10005. Sense of Congress expressing disapproval of the revocation of the
Presidential permit for the Keystone XL pipeline.
Sec. 10006. Sense of Congress opposing restrictions on the export of crude oil
or other petroleum products.
Sec. 10007. Sense of Congress expressing disapproval of the denial of Jordan
Cove permits.
Sec. 10008. Unlocking our domestic LNG potential.
Sec. 10009. Promoting interagency coordination for review of natural gas pipe-
lines.
Sec. 10010. Interim hazardous waste permits for critical energy resource facili-
ties.
Sec. 10011. Flexible air permits for critical energy resource facilities.
Sec. 10012. National security or energy security waivers to produce critical en-
ergy resources.
Sec. 10013. Ending future delays in chemical substance review for critical en-
ergy resources.
Sec. 10014. Natural gas tax repeal.
Sec. 10015. Repeal of greenhouse gas reduction fund.
Sec. 10016. Keeping America’s refineries operating.
Sec. 10017. Homeowner energy freedom.
Sec. 10018. Study.
Sec. 10019. State primary enforcement responsibility.
Sec. 10020. Use of index-based pricing in acquisition of petroleum products for
the SPR.
Sec. 10021. Prohibition on certain exports.
Sec. 10022. Sense of Congress expressing disapproval of the proposed tax hikes
on the oil and natural gas industry in the President’s fiscal
year 2024 budget request.
Sec. 10023. Domestic Energy Independence report.
Sec. 10024. GAO study.
Sec. 10025. Gas kitchen ranges and ovens.
SEC. 10001. SECURING AMERICA’S CRITICAL MINERALS
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SUPPLY.
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(a) AMENDMENT TO THE DEPARTMENT OF ENERGY
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ORGANIZATION ACT.—The Department of Energy Orga-
4
nization Act (42 U.S.C. 7101 et seq.) is amended—
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(1) in section 2, by adding at the end the fol-
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lowing:
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‘‘(d) As used in sections 102(20) and 203(a)(12), the
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term ‘critical energy resource’ means any energy re-
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source—
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‘‘(1) that is essential to the energy sector and
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energy systems of the United States; and
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‘‘(2) the supply chain of which is vulnerable to
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disruption.’’;
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(2) in section 102, by adding at the end the fol-
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lowing:
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‘‘(20) To ensure there is an adequate and reli-
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able supply of critical energy resources that are es-
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sential to the energy security of the United States.’’;
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and
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(3) in section 203(a), by adding at the end the
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following:
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‘‘(12) Functions that relate to securing the sup-
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ply of critical energy resources, including identifying
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and mitigating the effects of a disruption of such
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supply on—
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‘‘(A) the development and use of energy
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technologies; and
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‘‘(B) the operation of energy systems.’’.
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(b) SECURING CRITICAL ENERGY RESOURCE SUPPLY
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CHAINS.—
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•HR 1 EH
(1) IN GENERAL.—In carrying out the require-
1
ments of the Department of Energy Organization
2
Act (42 U.S.C. 7101 et seq.), the Secretary of En-
3
ergy, in consultation with the appropriate Federal
4
agencies, representatives of the energy sector,
5
States, and other stakeholders, shall—
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(A) conduct ongoing assessments of—
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(i) energy resource criticality based on
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the importance of critical energy resources
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to the development of energy technologies
10
and the supply of energy;
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(ii) the critical energy resource supply
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chain of the United States;
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(iii) the vulnerability of such supply
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chain; and
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(iv) how the energy security of the
16
United States is affected by the reliance of
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the United States on importation of critical
18
energy resources;
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(B) facilitate development of strategies to
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strengthen critical energy resource supply
21
chains in the United States, including by—
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(i) diversifying the sources of the sup-
23
ply of critical energy resources; and
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•HR 1 EH
(ii) increasing domestic production,
1
separation, and processing of critical en-
2
ergy resources;
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(C) develop substitutes and alternatives to
4
critical energy resources; and
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(D) improve technology that reuses and re-
6
cycles critical energy resources.
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(2) REPORT.—Not later than 1 year after the
8
date of enactment of this Act, and annually there-
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after, the Secretary of Energy shall submit to Con-
10
gress a report containing—
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(A) the results of the ongoing assessments
12
conducted under paragraph (1)(A);
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(B) a description of any actions taken pur-
14
suant to the Department of Energy Organiza-
15
tion Act to mitigate potential effects of critical
16
energy resource supply chain disruptions on en-
17
ergy technologies or the operation of energy
18
systems; and
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(C) any recommendations relating to
20
strengthening critical energy resource supply
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chains that are essential to the energy security
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of the United States.
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(3) CRITICAL ENERGY RESOURCE DEFINED.—
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In this section, the term ‘‘critical energy resource’’
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•HR 1 EH
has the meaning given such term in section 2 of the
1
Department of Energy Organization Act (42 U.S.C.
2
7101).
3
SEC. 10002. PROTECTING AMERICAN ENERGY PRODUCTION.
4
(a) SENSE OF CONGRESS.—It is the sense of Con-
5
gress that States should maintain primacy for the regula-
6
tion of hydraulic fracturing for oil and natural gas produc-
7
tion on State and private lands.
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(b) PROHIBITION ON DECLARATION OF A MORATO-
9
RIUM
ON HYDRAULIC FRACTURING.—Notwithstanding
10
any other provision of law, the President may not declare
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a moratorium on the use of hydraulic fracturing unless
12
such moratorium is authorized by an Act of Congress.
13
SEC. 10003. RESEARCHING EFFICIENT FEDERAL IMPROVE-
14
MENTS FOR NECESSARY ENERGY REFINING.
15
Not later than 90 days after the date of enactment
16
of this section, the Secretary of Energy shall direct the
17
National Petroleum Council to—
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(1) submit to the Secretary of Energy and Con-
19
gress a report containing—
20
(A) an examination of the role of petro-
21
chemical refineries located in the United States
22
and the contributions of such petrochemical re-
23
fineries to the energy security of the United
24
States, including the reliability of supply in the
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•HR 1 EH
United States of liquid fuels and feedstocks,
1
and the affordability of liquid fuels for con-
2
sumers in the United States;
3
(B) analyses and projections with respect
4
to—
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(i) the capacity of petrochemical refin-
6
eries located in the United States;
7
(ii) opportunities for expanding such
8
capacity; and
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(iii) the risks to petrochemical refin-
10
eries located in the United States;
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(C) an assessment of any Federal or State
12
executive actions, regulations, or policies that
13
have caused or contributed to a decline in the
14
capacity of petrochemical refineries located in
15
the United States; and
16
(D) any recommendations for Federal
17
agencies and Congress to encourage an increase
18
in the capacity of petrochemical refineries lo-
19
cated in the United States; and
20
(2) make publicly available the report submitted
21
under paragraph (1).
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•HR 1 EH
SEC. 10004. PROMOTING CROSS-BORDER ENERGY INFRA-
1
STRUCTURE.
2
(a) AUTHORIZATION OF CERTAIN ENERGY INFRA-
3
STRUCTURE PROJECTS AT AN INTERNATIONAL BOUND-
4
ARY OF THE UNITED STATES.—
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(1) AUTHORIZATION.—Except as provided in
6
paragraph (3) and subsection (d), no person may
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construct, connect, operate, or maintain a border-
8
crossing facility for the import or export of oil or
9
natural gas, or the transmission of electricity, across
10
an international border of the United States wit
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