[Congressional Record Volume 168, Number 157 (Wednesday, September 28, 2022)]
[Senate]
[Pages S5480-S5482]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
SA 5972. Mr. SULLIVAN submitted an amendment intended to be proposed
to amendment SA 5499 submitted by Mr. Reed (for himself and Mr. Inhofe)
and intended to be proposed to the bill H.R. 7900, to authorize
appropriations for fiscal year 2023 for military activities of the
Department of Defense, for military construction, and for defense
activities of the Department of Energy, to prescribe military personnel
strengths for such fiscal year, and for other purposes; which was
ordered to lie on the table; as follows:
At the end of title XII, add the following:
Subtitle G--Indo-Pacific Strategic Energy Initiative
SEC. 1281. SHORT TITLE.
This subtitle may be cited as the ``Indo-Pacific Strategic
Energy Initiative Act''.
SEC. 1282. FINDINGS.
Congress makes the following findings:
(1) The United States currently has an approximately 100-
year supply of natural gas.
(2) Natural gas will see increasing global demand and use
beyond 2050.
(3) United States natural gas production increased by 54
percent from 2005 to 2017. At the same time, total United
States carbon dioxide emissions decreased by 14 percent. The
natural gas share of electricity production increased from 19
percent in 2005 to 32 percent in 2017.
(4) Between 2005 and 2019, carbon dioxide emissions from
the United States power sector declined by 33 percent, with
fuel switching to natural gas, accounting for more than half
of those reductions. During that period, the United States
economy grew by 20 percent, United States energy consumption
fell by 2 percent, and per capita emissions dropped to their
lowest levels since 1950.
(5) Between 1990 and 2018, the natural gas and oil industry
reduced methane emissions by 23.6 percent through voluntary
actions, while expanding production by 70 percent.
(6) Demand in the United States and globally for clean-
burning natural gas and liquefied natural gas will continue
to increase over the next several decades, even as renewable
energy resources increase.
(7) Demand for natural gas is rising in the Indo-Pacific
region, particularly as countries look to make emissions cuts
and transition from higher emissions fuel sources.
(8) The expanding number of infrastructure projects in the
Indo-Pacific region, carried
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out under the Belt and Road Initiative, is leading to higher
emissions in the region.
(9) According to the International Energy Agency, ``The
number of countries and territories with [liquefied natural
gas] import terminals has grown from nine in 2000 to 42 in
2020.''. Further, the International Energy Agency has found
that ``transition[s] in Asian gas markets [are] even more
important in the wider context of global clean energy
transitions, where natural gas will be required to make a
more flexible contribution as the share of variable renewable
energy sources grows and coal use progressively declines''.
(10) The United States saw a 66.3-percent increase in
liquefied natural gas exports and an 11.2-percent increase in
oil production in 2019.
(11) As a result of the natural gas revolution, the United
States petroleum trade deficit in dollars fell from about
$320,000,000,000 in 2007 to about $3,000,000,000 in 2020, as
net imports declined.
(12) Australia and the United States are both important
global energy exporters and thus have a shared interest in
supplying the growing energy demand in the Indo-Pacific
region.
(13) Japanese companies have long invested in United States
liquefied natural gas projects, including the Government of
Japan shifting from relying on liquefied natural gas from the
Middle East to liquefied natural gas from the United States.
(14) The People's Republic of China currently is one of the
largest financiers of overseas energy and greenhouse gas
intensive projects. The People's Republic of China also uses
those investments to project its influence and secure
critical minerals supply chains and infrastructure.
SEC. 1283. SENSE OF CONGRESS.
It is the sense of Congress that--
(1) the United States reaffirms its commitment to
quadrilateral cooperation with Japan, India, and Australia
(collectively, with the United States, known as the
``Quad''), and that United States should continue to pursue
strengthening cooperation in the energy sector in light of
the global threats and challenges facing all 4 countries;
(2) the Association of Southeast Asian Nations (commonly
referred to as ``ASEAN'') and its 10 members (Brunei,
Cambodia, Indonesia, Laos, Malaysia, Myanmar, the
Philippines, Singapore, Thailand, and Vietnam) have worked
with the United States toward stability, prosperity, and
peace in Southeast Asia, and ASEAN will continue to remain a
strong, reliable, and active economic and strategic partner
in the Indo-Pacific region;
(3) the United States and the Republic of Korea enjoy a
comprehensive alliance partnership, founded in shared
strategic interests and cemented by a commitment to
democratic values, which includes recognizing the important
role of energy cooperation through the United States-Republic
of Korea Energy Security Dialogue; and
(4) the United States has economic, national security, and
domestic interests in assisting allies and partners in Indo-
Pacific countries to reduce greenhouse gas emissions and
achieve energy security through diversification of their
energy sources and supply routes.
SEC. 1284. STATEMENT OF POLICY.
It is the policy of the United States--
(1) to engage and lead on international emissions
reductions and adaptation, including assisting allies and
partners in reducing higher emissions fuel sources through
exports of cleaner-burning United States-produced fuels and
emission-reduction technologies;
(2) to advance United States foreign policy and development
goals by assisting allies and partners of the United States
in the Indo-Pacific region to decrease their dependence on
energy resources from countries that use energy dependence to
coerce, intimidate, and influence other countries;
(3) to develop strategies to counter competition from the
Russian Federation and the People's Republic of China to
protect the energy and national security of the United States
and the energy and national security of allies and partners
of the United States in the Indo-Pacific region;
(4) to support free and open trade in clean-burning energy
products and promote the continued development of lower-
emissions energy fuels and technologies in the Indo-Pacific
region;
(5) to improve free, fair, and reciprocal energy trading
relationships with allies and partners of the United States
in the Indo-Pacific region;
(6) to promote the energy security of allies and partners
of the United States in the Indo-Pacific region by
encouraging the development of energy infrastructure and
accessible, transparent, and competitive energy markets that
provide diversified sources, types, and routes of energy;
(7) to encourage public and private sector investment in
lower-emissions energy infrastructure projects in the Indo-
Pacific region;
(8) to supply countries that rely on higher emitting fuel
sources with cleaner burning and abundant alternatives; and
(9) to help facilitate the export of United States energy
resources, technology, and expertise to global markets in a
way that benefits the energy security of allies and partners
of the United States in the Indo-Pacific region.
SEC. 1285. ENERGY INFRASTRUCTURE PROJECT SUPPORT.
(a) In General.--The Secretary of State, in consultation
with the Secretary of Energy, the heads of other relevant
United States agencies, and energy-importing allies and
partners of the United States, shall, as appropriate,
prioritize and expedite the efforts of the Department of
State, the Department of Energy, and such other agencies in
supporting the governments of Japan, India, Australia, and
other like-minded Indo-Pacific countries (including member
countries of ASEAN and the Republic of Korea) to increase
their energy security and reduce energy emissions, including
through--
(1) providing diplomatic and political support to those
governments, as necessary--
(A) to facilitate international negotiations concerning
cross-border infrastructure;
(B) to enhance the regulatory environment with respect to
energy projects in the Indo-Pacific region; and
(C) to develop accessible, transparent, and competitive
energy markets supplied by diverse sources, types, and routes
of energy; and
(2) providing support--
(A) to improve energy markets in the Indo-Pacific region,
including early-stage project support and late-stage project
support for the construction or improvement of energy
projects and related infrastructure pertaining to emissions
reduction;
(B) to diversify the energy sources and supply routes of
Indo-Pacific countries; and
(C) to enhance energy market integration across the region.
(b) Project Selection.--
(1) Identification.--The Secretary of State, the Secretary
of Commerce, and the Secretary of Energy shall identify
energy infrastructure projects that would be appropriate for
United States assistance under this section.
(2) Eligibility.--A project is eligible for United States
assistance under this section if the project--
(A) has been identified by the Secretary of State, the
Secretary of Commerce, and the Secretary of Energy as
promoting energy security in the Indo-Pacific region or the
country in which the project is located;
(B) promotes the reduction of greenhouse gas and carbon
dioxide emissions; and
(C) is located in an Indo-Pacific country.
(3) Preference.--In selecting projects for United States
assistance under this section, the Secretary of State, the
Secretary of Commerce, and the Secretary of Energy shall give
preference to projects that--
(A) are expected to enhance energy market integration; or
(B) have the potential to use goods and services of the
United States, another Quad country, a member country of
ASEAN, or the Republic of Korea, during project
implementation.
(c) Diplomatic and Political Support.--The Secretary of
State shall provide diplomatic and political support to the
governments of Japan, India, Australia, and other like-minded
Indo-Pacific countries (including member countries of ASEAN
and the Republic of Korea), as necessary, including by using
the diplomatic and political influence and expertise of the
Department of State to build the capacity of those countries
to resolve any impediments to the development of projects
selected under subsection (b).
(d) Project Support.--The Director of the Trade and
Development Agency shall provide early-stage project support
with respect to projects selected under subsection (b).
SEC. 1286. INFRASTRUCTURE FUNDING.
(a) Establishment of Strategic Energy Portfolio of the
United States International Development Finance
Corporation.--Title V of the Better Utilization of
Investments Leading to Development Act of 2018 (22 U.S.C.
9671 et seq.) is amended by adding at the end the following:
``SEC. 1455. STRATEGIC ENERGY PORTFOLIO.
``The Corporation--
``(1) may provide support under title II for projects
related to importation of liquefied natural gas and
generation of low emission electricity and other energy,
including for such projects of entities owned or controlled
by the government of a foreign country;
``(2) may not prohibit, restrict, or otherwise impede the
provision of support on the basis of the type of energy
involved in a project; and
``(3) should, in providing support authorized by paragraph
(1), coordinate with the Japan Bank for International
Cooperation and the Government of Australia pursuant to the
trilateral memorandum of understanding on development finance
signed on November 12, 2018.''.
(b) Promotion of Energy Exports by Export-Import Bank of
the United States.--The Export-Import Bank Act of 1945 (12
U.S.C. 635 et seq.) is amended by adding at the end the
following:
``SEC. 16. STRATEGIC ENERGY PORTFOLIO.
``(a) In General.--The Bank shall establish a strategic
energy portfolio focused on providing financing (including
loans, guarantees, and insurance) for projects described in
subsection (b) that may facilitate--
``(1) increases in exports of United States energy
commodities; or
``(2) the export of United States equipment, materials, and
technology.
``(b) Projects Described.--A project described in this
subsection is a project related to--
``(1) construction of liquefied natural gas import
terminals;
``(2) commercialization of carbon capture, utilization, and
storage;
``(3) development of blue hydrogen infrastructure; or
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``(4) other low emission energy infrastructure.''.
(c) Private and Foreign Public Sector Investment.--
(1) Private sector investment.--The Secretary of Commerce
and the Secretary of State shall promote the funding of
projects selected under section 1285 among United States
energy producers and exporters.
(2) Foreign public sector investment.--The heads of the
agencies described in section 1285(a) may, for the purposes
of this subtitle, partner and coordinate with public and
multilateral financial institutions and export credit
agencies of Japan, India, Australia, and other Indo-Pacific
countries (including member countries of ASEAN and the
Republic of Korea), such as the Japan Bank for International
Cooperation.
SEC. 1287. REPORTING.
(a) In General.--Not later than one year after the date of
the enactment of this Act, and annually thereafter, the
President shall submit to the appropriate congressional
committees a report on progress made in providing assistance
for projects under this subtitle that includes--
(1) a description of the energy infrastructure projects the
United States has identified for such assistance; and
(2) for each such project--
(A) a description of the role of the United States in the
project, including in early-stage project support and late-
stage project support;
(B) the amount and form of any debt financing and insurance
provided by the United States Government for the project as
well as any coordination with foreign public financial
institutions or export credit agencies;
(C) the amount and form of any debt financing and insurance
provided by foreign public financial institutions or export
credit agencies;
(D) the amount and form of any early-stage project support;
and
(E) an update on the progress made on the project as of the
date of the report.
(b) Appropriate Congressional Committees Defined.--In this
section, the term ``appropriate congressional committees''
means--
(1) the Committee on Foreign Relations, the Committee on
Energy and Natural Resources, and the Committee on
Environment and Public Works of the Senate; and
(2) the Committee on Foreign Affairs, the Committee on
Energy and Commerce, and the Committee on Natural Resources
of the House of Representatives.
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