What This Bill Does
This bill creates a new process for approving energy pipelines and power lines that cross the U.S. border. Companies must get a "certificate of crossing" from the Federal Energy Regulatory Commission or Secretary of Energy before building, connecting, operating or maintaining these border-crossing facilities for oil, natural gas or electricity. The bill also removes the requirement to get a separate Presidential permit for these projects.
##
Who It Affects
- Companies that want to build or operate oil pipelines, natural gas pipelines or electricity transmission lines at the U.S. border
- The Federal Energy Regulatory Commission
- The Secretary of Energy
- Electric reliability organizations and regional transmission operators
- Canada and Mexico (as trading partners for energy)
##
Key Provisions
- Anyone constructing, connecting, operating or maintaining a border-crossing facility for oil, natural gas or electricity must obtain a certificate of crossing from the relevant federal agency (Sec. 2(b)(1))
- The relevant agency must issue a certificate within 120 days of completing environmental review unless it finds the project is not in the public interest (Sec. 2(b)(2)(A))
- For electricity transmission facilities, the Secretary of Energy must require that the facility follow all applicable policies and standards of the Electric Reliability Organization and any Regional Transmission Organization with control over the facility (Sec. 2(b)(2)(C))
- No Presidential permit is required for oil pipelines, natural gas pipelines or electricity transmission facilities crossing the border (Sec. 2(e))
- Modifications to existing pipelines or transmission lines do not require a new certificate or permit (Sec. 2(f))
- Applications for natural gas imports from or exports to Canada or Mexico must be approved within 30 days of receiving the complete application (Sec. 2(c))
##
What Changes
If this law passes, companies will no longer need a Presidential permit to build energy infrastructure at the border. Instead, they will get approval from the Federal Energy Regulatory Commission or the Secretary of Energy through a single certificate process that takes 120 days maximum. The bill also removes a requirement for the Federal Energy Regulatory Commission to hold hearings before approving electricity transmission to Canada and Mexico. Changes to existing pipelines and power lines will no longer need new approval.
##
Important Definitions
- **Border-crossing facility**: The part of an oil or natural gas pipeline or electricity transmission facility located at a U.S. international border (Sec. 2(a)(1))
- **Oil**: Petroleum or a petroleum product (Sec. 2(a)(6))
- **Modification**: A reversal of flow direction, change in ownership, change in flow volume, addition or removal of an interconnection, or adjustment to maintain flow such as a reduction or increase in pump or compressor stations (Sec. 2(a)(4))
- **Natural gas, Electric Reliability Organization, Regional Entity, Independent System Operator, Regional Transmission Organization**: These terms have the meanings given in the Federal Power Act and Natural Gas Act (Sec. 2(a)(2), (3), (5))
##
Effective Date
The main provisions of the bill take effect 1 year after the law is signed into law (Sec. 2(g)(1)). Federal agencies must publish proposed rules within 180 days and final rules within 1 year of enactment (Sec. 2(g)(2)).
II
118TH CONGRESS
1ST SESSION
S. 23
To establish a more uniform, transparent, and modern process to authorize
the construction, connection, operation, and maintenance of international
border-crossing facilities for the import and export of oil and natural
gas and the transmission of electricity.
IN THE SENATE OF THE UNITED STATES
JANUARY 23 (legislative day, JANUARY 3), 2023
Mr. MULLIN introduced the following bill; which was read twice and referred
to the Committee on Energy and Natural Resources
A BILL
To establish a more uniform, transparent, and modern proc-
ess to authorize the construction, connection, operation,
and maintenance of international border-crossing facili-
ties for the import and export of oil and natural gas
and the transmission of electricity.
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 ‘‘Promoting Cross-bor-
4
der Energy Infrastructure Act’’.
5
VerDate Sep 11 2014
04:20 Jan 25, 2023
Jkt 039200
PO 00000
Frm 00001
Fmt 6652
Sfmt 6201
E:\BILLS\S23.IS
S23
kjohnson on DSK79L0C42PROD with BILLS
2
•S 23 IS
SEC. 2. STRENGTHENING NORTH AMERICAN ENERGY SECU-
1
RITY.
2
(a) DEFINITIONS.—In this section:
3
(1) BORDER-CROSSING
FACILITY.—The term
4
‘‘border-crossing facility’’ means the portion of an oil
5
or natural gas pipeline or electric transmission facil-
6
ity that is located at an international boundary of
7
the United States.
8
(2) ELECTRIC RELIABILITY ORGANIZATION; RE-
9
GIONAL
ENTITY.—The terms ‘‘Electric Reliability
10
Organization’’ and ‘‘regional entity’’ have the mean-
11
ings given those terms in section 215(a) of the Fed-
12
eral Power Act (16 U.S.C. 824o(a)).
13
(3) INDEPENDENT
SYSTEM
OPERATOR; RE-
14
GIONAL TRANSMISSION ORGANIZATION.—The terms
15
‘‘Independent System Operator’’ and ‘‘Regional
16
Transmission Organization’’ have the meanings
17
given those terms in section 3 of the Federal Power
18
Act (16 U.S.C. 796).
19
(4) MODIFICATION.—The term ‘‘modification’’
20
includes a reversal of flow direction, change in own-
21
ership, change in flow volume, addition or removal
22
of an interconnection, or an adjustment to maintain
23
flow (such as a reduction or increase in the number
24
of pump or compressor stations).
25
VerDate Sep 11 2014
04:20 Jan 25, 2023
Jkt 039200
PO 00000
Frm 00002
Fmt 6652
Sfmt 6201
E:\BILLS\S23.IS
S23
kjohnson on DSK79L0C42PROD with BILLS
3
•S 23 IS
(5) NATURAL GAS.—The term ‘‘natural gas’’
1
has the meaning given that term in section 2 of the
2
Natural Gas Act (15 U.S.C. 717a).
3
(6) OIL.—The term ‘‘oil’’ means petroleum or
4
a petroleum product.
5
(b) AUTHORIZATION OF CERTAIN ENERGY INFRA-
6
STRUCTURE PROJECTS AT AN INTERNATIONAL BOUND-
7
ARY OF THE UNITED STATES.—
8
(1) IN GENERAL.—Except as provided in para-
9
graph (3) and subsection (e), no person may con-
10
struct, connect, operate, or maintain a border-cross-
11
ing facility for the import or export of oil or natural
12
gas, or the transmission of electricity, across an
13
international border of the United States without
14
obtaining a certificate of crossing for the border-
15
crossing facility under this subsection.
16
(2) CERTIFICATE OF CROSSING.—
17
(A) REQUIREMENT.—Not later than 120
18
days after the date on which final action is
19
taken by the relevant official or agency de-
20
scribed in subparagraph (B) under the National
21
Environmental Policy Act of 1969 (42 U.S.C.
22
4321 et seq.) with respect to a border-crossing
23
facility for which a person requests a certificate
24
of crossing under this subsection, the relevant
25
VerDate Sep 11 2014
04:20 Jan 25, 2023
Jkt 039200
PO 00000
Frm 00003
Fmt 6652
Sfmt 6201
E:\BILLS\S23.IS
S23
kjohnson on DSK79L0C42PROD with BILLS
4
•S 23 IS
official or agency, in consultation with appro-
1
priate Federal agencies, shall issue a certificate
2
of crossing for the border-crossing facility un-
3
less the relevant official or agency finds that
4
the construction, connection, operation, or
5
maintenance of the border-crossing facility is
6
not in the public interest of the United States.
7
(B) RELEVANT OFFICIAL OR AGENCY DE-
8
SCRIBED.—The relevant official or agency re-
9
ferred to in subparagraph (A) is—
10
(i) the Federal Energy Regulatory
11
Commission with respect to border-cross-
12
ing facilities consisting of oil or natural
13
gas pipelines; and
14
(ii) the Secretary of Energy, with re-
15
spect to border-crossing facilities consisting
16
of electric transmission facilities.
17
(C)
ADDITIONAL
REQUIREMENT
FOR
18
ELECTRIC
TRANSMISSION
FACILITIES.—In the
19
case of a request for a certificate of crossing for
20
a border-crossing facility consisting of an elec-
21
tric transmission facility, the Secretary of En-
22
ergy shall require, as a condition of issuing the
23
certificate of crossing under subparagraph (A),
24
that the border-crossing facility be constructed,
25
VerDate Sep 11 2014
04:20 Jan 25, 2023
Jkt 039200
PO 00000
Frm 00004
Fmt 6652
Sfmt 6201
E:\BILLS\S23.IS
S23
kjohnson on DSK79L0C42PROD with BILLS
5
•S 23 IS
connected, operated, or maintained consistent
1
with all applicable policies and standards of—
2
(i) the Electric Reliability Organiza-
3
tion and the applicable regional entity; and
4
(ii) any Regional Transmission Orga-
5
nization or Independent System Operator
6
with operational or functional control over
7
the border-crossing facility.
8
(3) EXCLUSIONS.—
9
(A) IN
GENERAL.—This subsection shall
10
not apply to any construction, connection, oper-
11
ation, or maintenance of a border-crossing facil-
12
ity for the import or export of oil or natural
13
gas, or the transmission of electricity if—
14
(i) the border-crossing facility is oper-
15
ating for such import, export, or trans-
16
mission as of the date of enactment of this
17
Act;
18
(ii) a permit described in subsection
19
(e) for the construction, connection, oper-
20
ation, or maintenance has been issued; or
21
(iii) subject to subparagraph (B), an
22
application for a permit described in sub-
23
section (e) for the construction, connection,
24
VerDate Sep 11 2014
04:20 Jan 25, 2023
Jkt 039200
PO 00000
Frm 00005
Fmt 6652
Sfmt 6201
E:\BILLS\S23.IS
S23
kjohnson on DSK79L0C42PROD with BILLS
6
•S 23 IS
operation, or maintenance is pending on
1
the date of enactment of this Act.
2
(B) PENDING
APPLICATIONS.—With re-
3
spect to an application described in clause (iii)
4
of subparagraph (A), the exclusion described in
5
that subparagraph shall apply until the earlier
6
of—
7
(i) the date on which the application
8
is denied; or
9
(ii) that date that is 2 years after the
10
date of enactment of this Act, if the permit
11
described in that clause has not been
12
issued by that date.
13
(4) EFFECT OF OTHER LAWS.—
14
(A) APPLICATION TO PROJECTS.—Nothing
15
in this subsection or subsection (f) shall affect
16
the application of any other Federal statute to
17
a project for which a certificate of crossing for
18
a border-crossing facility is requested under
19
this subsection.
20
(B) NATURAL GAS ACT.—Nothing in this
21
subsection or subsection (f) shall affect the re-
22
quirement to obtain approval or authorization
23
under sections 3 and 7 of the Natural Gas Act
24
(15 U.S.C. 717b, 717f) for the siting, construc-
25
VerDate Sep 11 2014
04:20 Jan 25, 2023
Jkt 039200
PO 00000
Frm 00006
Fmt 6652
Sfmt 6201
E:\BILLS\S23.IS
S23
kjohnson on DSK79L0C42PROD with BILLS
7
•S 23 IS
tion, or operation of any facility to import or
1
export natural gas.
2
(C) OIL PIPELINES.—Nothing in this sub-
3
section or subsection (f) shall affect the author-
4
ity of the Federal Energy Regulatory Commis-
5
sion with respect to oil pipelines under section
6
60502 of title 49, United States Code.
7
(c) IMPORTATION OR EXPORTATION OF NATURAL
8
GAS TO CANADA AND MEXICO.—Section 3(c) of the Nat-
9
ural Gas Act (15 U.S.C. 717b(c)) is amended by adding
10
at the end the following: ‘‘In the case of an application
11
for the importation of natural gas from, or the exportation
12
of natural gas to, Canada or Mexico, the Commission shall
13
grant the application not later than 30 days after the date
14
on which the Commission receives the complete applica-
15
tion.’’.
16
(d) TRANSMISSION OF ELECTRIC ENERGY TO CAN-
17
ADA AND MEXICO.—
18
(1) REPEAL
OF
REQUIREMENT
TO
SECURE
19
ORDER.—Section 202(e) of the Federal Power Act
20
(16 U.S.C. 824a(e)) is repealed.
21
(2) CONFORMING AMENDMENTS.—
22
(A) STATE REGULATIONS.—Section 202(f)
23
of the Federal Power Act (16 U.S.C. 824a(f))
24
is amended by striking ‘‘insofar as such State
25
VerDate Sep 11 2014
04:20 Jan 25, 2023
Jkt 039200
PO 00000
Frm 00007
Fmt 6652
Sfmt 6201
E:\BILLS\S23.IS
S23
kjohnson on DSK79L0C42PROD with BILLS
8
•S 23 IS
regulation does not conflict with the exercise of
1
the Commission’s powers under or relating to
2
subsection (e)’’.
3
(B) SEASONAL
DIVERSITY
ELECTRICITY
4
EXCHANGE.—Section 602(b) of the Public Util-
5
ity Regulatory Policies Act of 1978 (16 U.S.C.
6
824a–4(b)) is amended by striking ‘‘the Com-
7
mission has conducted hearings and made the
8
findings required under section 202(e) of the
9
Federal Power Act’’ in the first sentence and
10
all that follows through the period at the end
11
of the second sentence and inserting ‘‘the Sec-
12
retary has conducted hearings and finds that
13
the proposed transmission facilities would not
14
impair the sufficiency of electric supply within
15
the United States or would not impede or tend
16
to impede the coordination in the public interest
17
of facilities subject to the jurisdiction of the
18
Secretary.’’.
19
(e) NO
PRESIDENTIAL
PERMIT
REQUIRED.—No
20
Presidential permit (or similar permit) required under Ex-
21
ecutive Order No. 10485 (42 U.S.C. 717b note; relating
22
to providing for the performance of certain functions here-
23
tofore performed by the President with respect to electric
24
power and natural gas facilities located on the borders of
25
VerDate Sep 11 2014
04:20 Jan 25, 2023
Jkt 039200
PO 00000
Frm 00008
Fmt 6652
Sfmt 6201
E:\BILLS\S23.IS
S23
kjohnson on DSK79L0C42PROD with BILLS
9
•S 23 IS
the United States), any other Executive order, or section
1
301 of title 3, United States Code, shall be necessary for
2
the construction, connection, operation, or maintenance of
3
an oil or natural gas pipeline or electric transmission facil-
4
ity, or any border-crossing facility thereof.
5
(f) MODIFICATIONS
TO EXISTING PROJECTS.—No
6
certificate of crossing under subsection (b), or permit de-
7
scribed in subsection (e), shall be required for a modifica-
8
tion to—
9
(1) an oil or natural gas pipeline or electric
10
transmission facility that is operating for the import
11
or export of oil or natural gas or the transmission
12
of electricity as of the date of enactment of this Act;
13
(2) an oil or natural gas pipeline or electric
14
transmission facility for which a permit described in
15
subsection (e) has been issued; or
16
(3) a border-crossing facility for which a certifi-
17
cate of crossing has previously been issued under
18
subsection (b).
19
(g) EFFECTIVE DATE; RULEMAKING DEADLINES.—
20
(1)
EFFECTIVE
DATE.—Subsections
(b)
21
through (f), and the amendments made by those
22
subsections, shall take effect on the date that is 1
23
year after the date of enactment of this Act.
24
VerDate Sep 11 2014
04:20 Jan 25, 2023
Jkt 039200
PO 00000
Frm 00009
Fmt 6652
Sfmt 6201
E:\BILLS\S23.IS
S23
kjohnson on DSK79L0C42PROD with BILLS
10
•S 23 IS
(2) RULEMAKING DEADLINES.—Each relevant
1
official or agency described in subsection (b)(2)(B)
2
shall—
3
(A) not later than 180 days after the date
4
of enactment of this Act, publish in the Federal
5
Register a notice of proposed rulemaking to
6
carry out the applicable requirements of sub-
7
section (b); and
8
(B) not later than 1 year after the date of
9
enactment of this Act, publish in the Federal
10
Register a final rule to carry out the applicable
11
requirements of subsection (b).
12
Æ
VerDate Sep 11 2014
04:20 Jan 25, 2023
Jkt 039200
PO 00000
Frm 00010
Fmt 6652
Sfmt 6301
E:\BILLS\S23.IS
S23
kjohnson on DSK79L0C42PROD with BILLS