[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[H.R. 7183 Introduced in House (IH)]







110th CONGRESS
  2d Session
                                H. R. 7183

To direct the Secretary of State to work with the Government of Brazil 
  and the governments of other countries in the Western Hemisphere to 
  develop partnerships to strengthen diplomatic relations and energy 
   security by accelerating the development of biofuels production, 
         research, and infrastructure, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           September 27, 2008

Mr. Engel (for himself and Mr. English of Pennsylvania) introduced the 
following bill; which was referred to the Committee on Foreign Affairs, 
and in addition to the Committee on Financial Services, for a period to 
      be subsequently determined by the Speaker, in each case for 
consideration of such provisions as fall within the jurisdiction of the 
                          committee concerned

_______________________________________________________________________

                                 A BILL


 
To direct the Secretary of State to work with the Government of Brazil 
  and the governments of other countries in the Western Hemisphere to 
  develop partnerships to strengthen diplomatic relations and energy 
   security by accelerating the development of biofuels production, 
         research, and infrastructure, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Western Hemisphere 
Energy Compact Act of 2008''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings.
Sec. 3. Definitions.
Sec. 4. Western Hemisphere Energy Cooperation Forum.
Sec. 5. United States-Brazil biofuels partnership.
Sec. 6. Biofuels feasibility studies.
Sec. 7. Multilateral development banks.
Sec. 8. Carbon credit trading mechanisms.
Sec. 9. Energy crisis response mechanism.
Sec. 10. Energy foreign assistance.
Sec. 11. Energy public diplomacy.
Sec. 12. Report.

SEC. 2. FINDINGS.

    Congress makes the following findings:
            (1) The engagement of the United States Government on 
        energy issues with the Government of Brazil and the governments 
        of willing countries in the Western Hemisphere is a strategic 
        priority because such engagement can help to--
                    (A) reduce the potential for conflict over energy 
                resources;
                    (B) maintain and expand reliable energy supplies;
                    (C) expand the use of renewable energy; and
                    (D) reduce the detrimental effects of energy import 
                dependence.
            (2) Current energy dialogues and agreements should be 
        expanded and refocused, as needed, to meet the challenges 
        described in paragraph (1).
            (3) Countries in the Western Hemisphere can most 
        effectively meet their common needs for energy security and 
        sustainability through partnership and cooperation. Cooperation 
        between governments on energy issues will enhance bilateral and 
        regional relationships among countries in the Western 
        Hemisphere. The Western Hemisphere is rich in natural 
        resources, and there are significant opportunities for the 
        production of renewable energy, including hydro, geothermal, 
        solar, and wind. Countries in the Western Hemisphere can 
        provide convenient and reliable markets for their own energy 
        needs and for foreign trade in energy goods and services.
            (4) Development of sustainable energy alternatives in 
        countries in the Western Hemisphere can improve energy 
        security, balance of trade, and environmental quality, and can 
        provide markets for energy technology and agricultural 
        products.
            (5) The Government of the United States has actively worked 
        with the Government of Brazil to develop a strong biofuels 
        partnership and to increase the production and use of biofuels. 
        On March 9, 2007, the Memorandum of Understanding Between the 
        United States and Brazil to Advance Cooperation on Biofuels, 
        was signed in Sao Paulo, Brazil.
            (6) Brazil and the United States have led the world in the 
        production of ethanol. Deeper cooperation on biofuels with 
        other countries in the Western Hemisphere would extend 
        economic, security, and political benefits.
            (7) The United States is committed to developing a biofuels 
        partnership in the Western Hemisphere that benefits the welfare 
        of the people of the Western Hemisphere. According to the Latin 
        American Energy Organization, the percentage of total energy 
        consumption in each of the following countries in the Western 
        Hemisphere that originated from imported crude oil and oil 
        products in 2005 was--
                    (A) 2 percent in Argentina;
                    (B) 93 percent in Barbados;
                    (C) 7 percent in Bolivia;
                    (D) 13 percent in Brazil;
                    (E) 55 percent in Chile;
                    (F) 4 percent in Colombia;
                    (G) 56 percent in Costa Rica;
                    (H) 77 percent in the Dominican Republic;
                    (I) 20 percent in Ecuador;
                    (J) 76 percent in El Salvador;
                    (K) 85 percent in Grenada;
                    (L) 72 percent in Guatemala;
                    (M) 100 percent in Guyana;
                    (N) 93 percent in Haiti;
                    (O) 81 percent in Honduras;
                    (P) 91 percent in Jamaica;
                    (Q) 10 percent in Mexico;
                    (R) 98 percent in Nicaragua;
                    (S) 100 percent in Panama;
                    (T) 46 percent in Paraguay;
                    (U) 39 percent in Peru;
                    (V) 34 percent in Suriname;
                    (W) 45 percent in Trinidad and Tobago;
                    (X) 79 percent in Uruguay; and
                    (Y) 0 percent in Venezuela.
            (8) Private sector partnership and investment in all 
        sources of energy is critical to providing energy security in 
        the Western Hemisphere. Several countries in the Western 
        Hemisphere have endangered the investment climate. Other 
        countries in the Western Hemisphere have been unable to make 
        reforms necessary to create investment climates necessary to 
        increase the domestic production of energy.
            (9) It is the policy of the United States to promote free 
        trade in energy among countries in the Western Hemisphere, 
        which would--
                    (A) help support a growing energy industry;
                    (B) create jobs that benefit development and 
                alleviate poverty;
                    (C) increase energy security through supply 
                diversification;
                    (D) strengthen relations among countries in the 
                Western Hemisphere through closer cooperation and 
                understanding; and
                    (E) promote the production and use of clean forms 
                of energy.

SEC. 3. DEFINITIONS.

    In this Act:
            (1) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means the Committee on 
        Foreign Affairs of the House of Representatives and the 
        Committee on Foreign Relations of the Senate.
            (2) Biofuel.--The term ``biofuel'' means any liquid fuel 
        that is derived from biomass.
            (3) Biomass.--The term ``biomass'' means any organic matter 
        that is available on a renewable or recurring basis, including 
        agricultural crops, trees, wood, wood wastes and residues, 
        plants (including aquatic plants), grasses, residues, fibers, 
        animal wastes, municipal wastes, and other waste materials.
            (4) Partner country.--The term ``partner country'' means a 
        country that, along with the United States and Brazil, joins 
        the Western Hemisphere Energy Cooperation Forum established 
        pursuant to section 4 and has agreed to conduct a biofuels 
        feasibility study under section 6.
            (5) Regional development banks.--The term ``regional 
        development banks'' means the African Development Bank, the 
        Inter-American Development Bank, the Andean Development 
        Corporation, the European Bank for Reconstruction and 
        Development, and the Asian Development Bank.

SEC. 4. WESTERN HEMISPHERE ENERGY COOPERATION FORUM.

    (a) Establishment.--
            (1) In general.--The Secretary of State, in coordination 
        with the Secretary of Energy, shall seek to establish a 
        regional-based ministerial forum to be known as the Western 
        Hemisphere Energy Cooperation Forum (referred to in this 
        section as the ``Energy Forum''). The United States Government 
        shall initially provide the framework for the Energy Forum and 
        shall seek to establish a rotating chairmanship, in 
        consultation with the Government of Brazil.
            (2) Membership.--The Secretary of State, in coordination 
        with the Secretary of Energy, shall seek to include in the 
        Energy Forum membership of other countries in the Western 
        Hemisphere.
    (b) Purposes.--The Energy Forum should seek--
            (1) to strengthen relationships between the United States 
        and other countries in the Western Hemisphere through 
        cooperation on energy issues;
            (2) to enhance cooperation, including information and 
        technology sharing, between major energy producers and major 
        energy consumers in the Western Hemisphere, particularly among 
        the Governments of Brazil, Canada, Mexico, and the United 
        States;
            (3) to explore possibilities to work with countries in the 
        Western Hemisphere to promote renewable energy production 
        (particularly in biofuels) and to lessen dependence on oil 
        imports without reducing food availability (particularly in 
        Mexico and Central American countries);
            (4) to ensure that energy contributes to the economic, 
        social, and environmental enhancement of the countries in the 
        Western Hemisphere;
            (5) to provide an opportunity for open dialogue and joint 
        commitments among Energy Forum countries and with private 
        industry; and
            (6) to provide participating countries the flexibility 
        necessary to cooperatively address broad challenges posed to 
        the energy supply of the Western Hemisphere to find solutions 
        that are politically acceptable and practical in policy terms.
    (c) Activities.--The United States Government shall seek to 
implement, in cooperation with Energy Forum countries--
            (1) an energy crisis initiative that will promote national 
        and regional measures to respond to temporary energy supply 
        disruptions, including participating in a Western Hemisphere 
        energy crisis response mechanism in accordance with section 
        9(b);
            (2) an energy sustainability initiative to facilitate long-
        term supply security by fostering reliable supply sources of 
        energy and improved energy efficiency, including--
                    (A) developing, deploying, and commercializing 
                technologies for sustainable renewable fuels within the 
                region;
                    (B) promoting production and trade in sustainable 
                energy, including energy from biomass and other 
                alternatives;
                    (C) facilitating investment, trade, and technology 
                cooperation in energy infrastructure, petroleum 
                products, natural gas (including liquefied natural 
                gas), energy efficiency (including automotive 
                efficiency), clean fossil energy, renewable energy, and 
                carbon sequestration;
                    (D) promoting regional infrastructure and market 
                integration;
                    (E) developing effective and stable regulatory 
                frameworks;
                    (F) developing policy instruments to encourage the 
                use of renewable energy and improved energy efficiency;
                    (G) establishing educational training and exchange 
                programs between Energy Forum countries; and
                    (H) identifying and removing barriers to trade in 
                technology, services, and commodities;
            (3) an energy for development initiative to promote energy 
        access for underdeveloped areas through energy policy and 
        infrastructure development, including--
                    (A) increasing access to energy services for the 
                poor;
                    (B) improving energy sector market conditions;
                    (C) promoting rural development though biomass 
                energy production and use;
                    (D) increasing transparency of, and participation 
                in, energy infrastructure projects;
                    (E) promoting development and deployment of 
                technology for clean and sustainable energy 
                development; and
                    (F) facilitating the use of carbon sequestration 
                methods in agriculture and forestry and linking 
                greenhouse gas emissions reduction programs to 
                international carbon markets; and
            (4) biofuels studies, with country studies provided by each 
        partner country, in accordance with section 6.
    (d) Implementation.--It is the sense of Congress that the Energy 
Forum should--
            (1) meet at least once every 2 years; and
            (2) meet on a subregional basis, as needed.
    (e) Western Hemisphere Energy Industry Group.--
            (1) Authority.--The Secretary of State, in coordination 
        with the Secretary of Commerce and the Secretary of Energy, 
        shall approach the governments of other countries in the 
        Western Hemisphere to seek cooperation in establishing a 
        Western Hemisphere Energy Industry Group (referred to in this 
        subsection as the ``Energy Group'') within the Western 
        Hemisphere Energy Cooperation Forum. The Energy Group should 
        include representatives from industries and governments in the 
        Western Hemisphere.
            (2) Purpose.--The purpose of the Energy Group should be 
        to--
                    (A) increase public-private partnerships;
                    (B) foster private investment; and
                    (C) enable countries in the Western Hemisphere to 
                devise energy agendas compatible with industry capacity 
                and cognizant of industry goals.
            (3) Discussion topics.--It is the sense of Congress that 
        the Energy Group should discuss--
                    (A) promoting a secure investment climate;
                    (B) developing and deploying biofuels and other 
                alternative energy and clean electrical production 
                facilities;
                    (C) developing and deploying energy efficient 
                technologies and practices in the industrial, 
                residential, and transportation sectors;
                    (D) oil and natural gas production and 
                distribution;
                    (E) maintaining transparency of energy production, 
                trade, consumption, and reserves data;
                    (F) promoting biofuels and alternative energy 
                research; and
                    (G) training and education exchange programs.
    (f) Oil and Natural Gas Working Group.--
            (1) Establishment.--The United States Government shall seek 
        cooperation in establishing an Oil and Natural Gas Working 
        Group (referred to in this subsection as the ``Working Group'') 
        within the Western Hemisphere Energy Cooperation Forum or the 
        Western Hemisphere Energy Industry Group.
            (2) Purposes.--The Working Group should strengthen dialogue 
        between international oil companies, national oil companies, 
        and civil society groups on issues related to international 
        standards on transparency, social responsibility, and best 
        practices in leasing and management of oil and natural gas 
        projects.
    (g) Authorization of Appropriations.--There are authorized to be 
appropriated $3,000,000 for fiscal year 2009 to carry out this section.

SEC. 5. UNITED STATES-BRAZIL BIOFUELS PARTNERSHIP.

    (a) In General.--The Secretary of State, in coordination with the 
Secretary of Energy, shall work with the Government of Brazil to--
            (1) coordinate efforts to promote the production and use of 
        biofuels among countries, giving preference to those countries 
        that are among the poorest (as determined by the Inter-American 
        Development Bank) and most dependent on petroleum imports, 
        including--
                    (A) coordinating the biofuels feasibility studies 
                described in section 6;
                    (B) collaborating on policy and regulatory measures 
                to--
                            (i) promote domestic biofuels production 
                        and use, including related agricultural and 
                        environmental measures;
                            (ii) reform automotive sectors to 
                        incorporate biofuels use, including increased 
                        efficiency, reduced emissions, and integration 
                        with high-efficiency advanced technologies; and
                            (iii) reform fueling infrastructure to 
                        allow for use of biofuels and other alternative 
                        energy sources;
            (2) invite the European Union, China, India, South Africa, 
        Japan, and other interested countries to join in and expand 
        upon existing international efforts to promote the development 
        of a global strategy to create global biofuels markets and 
        promote biofuels production and use in developing countries;
            (3) assess the feasibility of working with the World Bank 
        and relevant regional development banks regarding--
                    (A) biofuels production capabilities; and
                    (B) infrastructure, research, and training related 
                to such capabilities; and
            (4) develop a joint and coordinated strategy regarding the 
        construction and retrofitting of pipelines and terminals near 
        major fuel distribution centers, coastal harbors, and 
        railroads.
    (b) International Agricultural Extension Programs.--The Secretary 
of Agriculture shall work with the Government of Brazil to facilitate 
joint agricultural extension activities related to biofuels crop 
production, biofuels production, and environmental and greenhouse gas 
emissions reduction practices.
    (c) Educational Grants.--The Secretary of Energy, in coordination 
with the Secretary of State, and in collaboration with the Government 
of Brazil, shall establish a grant program to finance advanced biofuels 
research and collaboration between academic and research institutions 
in the United States and Brazil.
    (d) Authorization of Appropriations.--There are authorized to be 
appropriated for fiscal year 2009--
            (1) $3,000,000 to carry out subsection (a);
            (2) $5,000,000 to carry out subsection (b); and
            (3) $7,000,000 to carry out subsection (c).

SEC. 6. BIOFUELS FEASIBILITY STUDIES.

    (a) In General.--The Secretary of State, in consultation with the 
Secretary of Energy, shall work with each partner country to conduct a 
study to determine the feasibility of increasing the production and use 
of biofuels in such country.
    (b) Analysis of the Energy Policy Framework.--The study conducted 
under subsection (a) shall analyze--
            (1) the energy policy of the partner country, particularly 
        the impact of such policy on the promotion of biofuels; and
            (2) the status and impacts of any existing biofuel programs 
        of the country.
    (c) Assessment of Demand.--The study conducted under subsection (a) 
shall assess, with respect to the partner country--
            (1) the quantitative and qualitative current and projected 
        demand for energy by families, villages, industries, public 
        transportation infrastructure, and other energy consumers;
            (2) the future consumption by the heat, electricity, and 
        transportation sectors;
            (3) the demand for high-quality transportation fuel;
            (4) the local market prices for various energy sources; and
            (5) the employment, income generation, and rural 
        development opportunities from biofuel industry.
    (d) Assessment of Resources.--The study conducted under subsection 
(a) shall--
            (1) assess the present and future biomass resources that 
        are available in each geographic region of the participating 
        country to meet the demand assessed under subsection (c);
            (2) include a plan for increasing the availability of 
        existing biomass resources in the country; and
            (3) include a plan for developing new, sustainable biomass 
        resources in the country, including wood, manure, agricultural 
        residues, sewage, and organic waste.
    (e) Analysis of Available Technologies and Systems.--Building upon 
the results of the assessments described in subsections (c) and (d), 
the study shall--
            (1) analyze available technologies and systems for 
        utilizing biofuels in the country, including--
                    (A) technologies for the conversion of biomass 
                crops and agroforestry residues in pellets and 
                briquettes;
                    (B) low-pollution stoves;
                    (C) biogas production;
                    (D) charcoal and activated coal production;
                    (E) biofuel production;
                    (F) combustion and co-combustion technologies;
                    (G) the availability of biofuels technologies in 
                various geographic regions; and
                    (H) the economic viability of biomass technologies; 
                and
            (2) compare such technologies and systems to conventional 
        energy supplies with respect to cost-effectiveness, 
        maintenance, social acceptability, and the impact on 
        development.
    (f) Environmental Assessment.--The study conducted under subsection 
(a) shall assess--
            (1) the likely impacts of increased biomass harvesting and 
        production, and biofuels production and use on environmental 
        sustainability, including effects on carbon emissions; and
            (2) the availability of financing from global carbon credit 
        trading mechanisms.
    (g) Food Security Assessment.--The study prepared by each partner 
country under subsection (a) shall assess the likely impacts on food 
stocks and prices in partner countries.
    (h) Development of Policy Options To Promote Biofuel Production and 
Use.--
            (1) In general.--The study prepared by each partner country 
        under subsection (a) shall identify and evaluate policy options 
        to promote biofuel production and use, after taking into 
        account--
                    (A) the existing energy policy of the country; and
                    (B) the technologies available to convert local 
                biomass resources into biofuels.
            (2) Coordination.--In conducting the evaluation under 
        paragraph (1), the partner country shall involve local, 
        national, and international public and private institutions 
        with responsibility or expertise in biofuel production and use.
            (3) Principal issues.--The study shall address--
                    (A) potential biomass in the country and barriers 
                for the production of biofuels from such biomass 
                products;
                    (B) strategies for creating a market for biomass 
                products in the country;
                    (C) the potential contribution of biofuels to 
                reducing fossil fuel consumption in the country;
                    (D) environmental sustainability issues and the 
                mitigating effect on carbon emissions of increased 
                biofuel production;
                    (E) the potential contribution of biofuels to 
                economic development, poverty reduction, and 
                sustainability of energy resources;
                    (F) programs for the use of biofuels in the 
                transportation sector;
                    (G) economic cooperation across international 
                borders to increase biofuel production and use;
                    (H) technology collaboration and joint ventures and 
                technological, cultural, and legal barriers that may 
                impede such technological cooperation; and
                    (I) the economic aspects of the promotion of 
                biofuels, including job creation, financing and loan 
                mechanisms, credit mobilization, investment capital, 
                and market penetration.
    (i) Authorization of Appropriations.--
            (1) In general.--There are authorized to be appropriated 
        $20,000,000 for fiscal year 2009 to carry out this section.
            (2) Supplemental funding sources.--The Secretary of State 
        shall work with the Government of Brazil, the governments of 
        partner countries, regional development banks, the Organization 
        of American States, and other interested parties to identify 
        supplemental funding sources for the studies described in this 
        section.

SEC. 7. MULTILATERAL DEVELOPMENT BANKS.

    It is the sense of Congress that the Secretary of the Treasury 
should instruct the United States Executive Director at each 
international financial institution to which the United States is a 
member to use the voice, vote, and influence of the United States to 
ensure that assistance provided by the institution encourages 
development of renewable energy sources, including energy derived from 
biomass.

SEC. 8. CARBON CREDIT TRADING MECHANISMS.

    (a) In General.--The Secretary of State shall work with interested 
governments in the Western Hemisphere and other countries to organize 
regional and hemispheric carbon trading mechanisms under the United 
Nations Framework Convention on Climate Change and existing trade and 
financial agreements to--
            (1) establish special carbon credits for the preservation 
        of tropical rain forests;
            (2) use greenhouse gas-reducing farming practices;
            (3) jointly fund greenhouse gas sequestration studies and 
        experiments in various geological formations; and
            (4) jointly fund climate mitigation studies in vulnerable 
        areas in the Western Hemisphere.
    (b) Authorization of Appropriations.--There are authorized to be 
appropriated $5,000,000 for fiscal year 2009 to carry out this section.

SEC. 9. ENERGY CRISIS RESPONSE MECHANISM.

    (a) Findings.--Congress makes the following findings:
            (1) Cooperation between the United States Government and 
        governments of other countries during energy crises promotes 
        the national security of the United States and of the 
        cooperating countries.
            (2) Credible contingency plans to respond to energy 
        shortages may serve as deterrents to the manipulation of energy 
        supplies by export and transit countries.
            (3) The vulnerability of most countries in the Western 
        Hemisphere to supply disruptions from political, natural, or 
        terrorism causes may introduce instability in the Western 
        Hemisphere and can be a source of conflict, despite the 
        existence of major energy resources in the Western Hemisphere. 
        The United States and Canada are the only members of the 
        International Energy Program in the Western Hemisphere.
            (4) Integrating countries in the Western Hemisphere into 
        regional and international agreements for the management of 
        energy emergencies will benefit market stability and encourage 
        development in participating countries.
    (b) Establishment of an Energy Crisis Response Mechanism for the 
Western Hemisphere.--
            (1) Authority.--The Secretary of State, in coordination 
        with the Secretary of Energy, shall immediately seek to 
        establish a Western Hemisphere energy crisis response 
        mechanism.
            (2) Scope.--The mechanism established under paragraph (1) 
        should include, as appropriate--
                    (A) a real-time information sharing and 
                coordinating mechanism to respond to energy supply 
                emergencies;
                    (B) technical assistance in the development and 
                management of national and regional strategic reserves 
                within the Western Hemisphere;
                    (C) the promotion of increased energy 
                infrastructure integration between countries;
                    (D) emergency demand restraint measures;
                    (E) energy switching preparedness and alternative 
                energy production capacity;
                    (F) enhanced demand intensity reduction programs; 
                and
                    (G) measures to strengthen sea lane and 
                infrastructure security.
            (3) Membership.--The Secretary shall seek to include in the 
        Western Hemisphere energy crisis response mechanism membership 
        of each major energy producer and major energy consumer in the 
        Western Hemisphere and other members of the Western Hemisphere 
        Energy Cooperation Forum established pursuant to section 4(a).
            (4) Study.--The Secretary of Energy shall--
                    (A) conduct a study of supply vulnerabilities for 
                natural gas in the Western Hemisphere; and
                    (B) submit a report to the appropriate 
                congressional committees that includes recommendations 
                for infrastructure and regulatory needs for reducing 
                supply disruption vulnerability and international 
                coordination.
    (c) Authorization of Appropriations.--There is authorized to be 
appropriated $5,000,000 for fiscal year 2009 to carry out this section.

SEC. 10. ENERGY FOREIGN ASSISTANCE.

    (a) In General.--The Administrator of the United States Agency for 
International Development (referred to in this section as the 
``Administrator'') shall seek to increase United States foreign 
assistance programming in renewable energy, including in activities to 
reduce energy import dependence through the use of biofuels.
    (b) Development Strategy Review.--The Administrator shall--
            (1) review country assistance strategies to increase 
        assistance for renewable energy activities; and
            (2) submit the results of this review to the appropriate 
        congressional committees not later than 180 days after the date 
        of the enactment of this Act.
    (c) Expedited Sustainable Energy Grants.--
            (1) Authorization.--The Administrator is authorized to 
        award grants to nongovernmental organizations for sustainable 
        energy and job creation projects in at-risk nations, such as 
        Haiti. Grant funds shall be provided to grantees on an 
        expedited basis upon approval of the eligible project.
            (2) Authorization of appropriations.--There are authorized 
        to be appropriated $5,000,000 for fiscal year 2009 to carry out 
        this subsection.

SEC. 11. ENERGY PUBLIC DIPLOMACY.

    (a) Authorization of Appropriations.--There is authorized to be 
appropriated $5,000,000 to the Department of State for public diplomacy 
activities on renewable energy in the Western Hemisphere.
    (b) Limitation.--Not less than 50 percent of any amount 
appropriated pursuant to the authorizations of appropriations under 
paragraph (1) shall be used for education activities implemented 
through civil society organizations.

SEC. 12. REPORT.

    The Secretary of State, in consultation with the Secretary of 
Energy, shall submit an annual report to the appropriate congressional 
committees on the activities carried out to implement this Act.
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