[United States Statutes at Large, Volume 130, 114th Congress, 2nd Session]
[From the U.S. Government Publishing Office, www.gpo.gov]


Public Law 114-121
114th Congress

An Act


 
To establish a comprehensive United States Government policy to
encourage the efforts of countries in sub-Saharan Africa to develop an
appropriate mix of power solutions, including renewable energy, for more
broadly distributed electricity access in order to support poverty
reduction, promote development outcomes, and drive economic growth, 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.

This Act may be cited as the ``Electrify Africa Act of 2015''.
SEC. 2. PURPOSE.

The purpose of this Act is to encourage the efforts of countries in
sub-Saharan Africa to improve access to affordable and reliable
electricity in Africa in order to unlock the potential for inclusive
economic growth, job creation, food security, improved health,
education, and environmental outcomes, and poverty reduction.
SEC. 3. STATEMENT OF POLICY.

It is the policy of the United States to partner, consult, and
coordinate with the governments of sub-Saharan African countries,
international financial institutions, and African regional economic
communities, cooperatives, and the private sector, in a concerted effort
to--
(1) promote first-time access to power and power services
for at least 50,000,000 people in sub-Saharan Africa by 2020 in
both urban and rural areas;
(2) encourage the installation of at least 20,000 additional
megawatts of electrical power in sub-Saharan Africa by 2020
using a broad mix of energy options to help reduce poverty,
promote sustainable development, and drive inclusive economic
growth;
(3) promote non-discriminatory reliable, affordable, and
sustainable power in urban areas (including small urban areas)
to promote economic growth and job creation;
(4) promote policies to facilitate public-private
partnerships to provide non-discriminatory reliable,
sustainable, and affordable electrical service to rural and
underserved populations;
(5) encourage the necessary in-country reforms, including
facilitating public-private partnerships specifically to support
electricity access projects to make such expansion of power
access possible;
(6) promote reforms of power production, delivery, and
pricing, as well as regulatory reforms and transparency, to

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support long-term, market-based power generation and
distribution;
(7) promote policies to displace kerosene lighting with
other technologies;
(8) promote an all-of-the-above energy development strategy
for sub-Saharan Africa that includes the use of oil, natural
gas, coal, hydroelectric, wind, solar, and geothermal power, and
other sources of energy; and
(9) promote and increase the use of private financing and
seek ways to remove barriers to private financing and assistance
for projects, including through charitable organizations.
SEC. 4. <>  DEVELOPMENT OF COMPREHENSIVE,
MULTIYEAR STRATEGY.

(a) Strategy Required.--
(1) In general.--The President shall establish a
comprehensive, integrated, multiyear strategy to encourage the
efforts of countries in sub-Saharan Africa to implement national
power strategies and develop an appropriate mix of power
solutions to provide access to sufficient reliable, affordable,
and sustainable power in order to reduce poverty and drive
economic growth and job creation consistent with the policy
stated in section 3.
(2) Flexibility and responsiveness.--The President shall
ensure that the strategy required under paragraph (1) maintains
sufficient flexibility for and remains responsive to concerns
and interests of affected local communities and technological
innovation in the power sector.

(b) Report Required.--Not later than 180 days after the date of the
enactment of this Act, the President shall transmit to the Committee on
Foreign Relations of the Senate and the Committee on Foreign Affairs of
the House of Representatives a report that contains the strategy
required under subsection (a) and includes a discussion of the following
elements:
(1) The objectives of the strategy and the criteria for
determining the success of the strategy.
(2) A general description of efforts in sub-Saharan Africa
to--
(A) increase power production;
(B) strengthen electrical transmission and
distribution infrastructure;
(C) provide for regulatory reform and transparent
and accountable governance and oversight;
(D) improve the reliability of power;
(E) maintain the affordability of power;
(F) maximize the financial sustainability of the
power sector; and
(G) improve non-discriminatory access to power that
is done in consultation with affected communities.
(3) A description of plans to support efforts of countries
in sub-Saharan Africa to increase access to power in urban and
rural areas, including a description of plans designed to
address commercial, industrial, and residential needs.
(4) A description of plans to support efforts to reduce
waste and corruption, ensure local community consultation, and
improve existing power generation through the use of a broad

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power mix, including fossil fuel and renewable energy,
distributed generation models, energy efficiency, and other
technological innovations, as appropriate.
(5) <>  An analysis of
existing mechanisms for ensuring, and recommendations to
promote--
(A) commercial cost recovery;
(B) commercialization of electric service through
distribution service providers, including cooperatives,
to consumers;
(C) improvements in revenue cycle management, power
pricing, and fees assessed for service contracts and
connections;
(D) reductions in technical losses and commercial
losses; and
(E) non-discriminatory access to power, including
recommendations on the creation of new service provider
models that mobilize community participation in the
provision of power services.
(6) A description of the reforms being undertaken or planned
by countries in sub-Saharan Africa to ensure the long-term
economic viability of power projects and to increase access to
power, including--
(A) reforms designed to allow third parties to
connect power generation to the grid;
(B) policies to ensure there is a viable and
independent utility regulator;
(C) strategies to ensure utilities become or remain
creditworthy;
(D) regulations that permit the participation of
independent power producers and private-public
partnerships;
(E) policies that encourage private sector and
cooperative investment in power generation;
(F) policies that ensure compensation for power
provided to the electrical grid by on-site producers;
(G) policies to unbundle power services;
(H) regulations to eliminate conflicts of interest
in the utility sector;
(I) efforts to develop standardized power purchase
agreements and other contracts to streamline project
development;
(J) efforts to negotiate and monitor compliance with
power purchase agreements and other contracts entered
into with the private sector; and
(K) policies that promote local community
consultation with respect to the development of power
generation and transmission projects.
(7) A description of plans to ensure meaningful local
consultation, as appropriate, in the planning, long-term
maintenance, and management of investments designed to increase
access to power in sub-Saharan Africa.
(8) A description of the mechanisms to be established for--
(A) selection of partner countries for focused
engagement on the power sector;
(B) monitoring and evaluating increased access to,
and reliability and affordability of, power in sub-
Saharan Africa;

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(C) maximizing the financial sustainability of power
generation, transmission, and distribution in sub-
Saharan Africa;
(D) establishing metrics to demonstrate progress on
meeting goals relating to access to power, power
generation, and distribution in sub-Saharan Africa; and
(E) terminating unsuccessful programs.
(9) A description of how the President intends to promote
trade in electrical equipment with countries in sub-Saharan
Africa, including a description of how the government of each
country receiving assistance pursuant to the strategy--
(A) plans to lower or eliminate import tariffs or
other taxes for energy and other power production and
distribution technologies destined for sub-Saharan
Africa, including equipment used to provide energy
access, including solar lanterns, solar home systems,
and micro and mini grids; and
(B) plans to protect the intellectual property of
companies designing and manufacturing products that can
be used to provide energy access in sub-Saharan Africa.
(10) <>  A description of how the President
intends to encourage the growth of distributed renewable energy
markets in sub-Saharan Africa, including off-grid lighting and
power, that includes--
(A) an analysis of the state of distributed
renewable energy in sub-Saharan Africa;
(B) a description of market barriers to the
deployment of distributed renewable energy technologies
both on- and off-grid in sub-Saharan Africa;
(C) an analysis of the efficacy of efforts by the
Overseas Private Investment Corporation and the United
States Agency for International Development to
facilitate the financing of the importation,
distribution, sale, leasing, or marketing of distributed
renewable energy technologies; and
(D) a description of how bolstering distributed
renewable energy can enhance the overall effort to
increase power access in sub-Saharan Africa.
(11) A description of plans to ensure that small and medium
enterprises based in sub-Saharan Africa can fairly compete for
energy development and energy access opportunities associated
with this Act.
(12) A description of how United States investments to
increase access to energy in sub-Saharan Africa may reduce the
need for foreign aid and development assistance in the future.
(13) A description of policies or regulations, both
domestically and internationally, that create barriers to
private financing of the projects undertaken in this Act.
(14) A description of the specific national security
benefits to the United States that will be derived from
increased energy access in sub-Saharan Africa.

(c) Interagency Working Group.--
(1) In general.--The President may, as appropriate,
establish an Interagency Working Group to coordinate the
activities

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of relevant United States Government departments and agencies
involved in carrying out the strategy required under this
section.
(2) Functions.--The Interagency Working Group may, among
other things--
(A) seek to coordinate the activities of the United
States Government departments and agencies involved in
implementing the strategy required under this section;
(B) ensure efficient and effective coordination
between participating departments and agencies; and
(C) facilitate information sharing, and coordinate
partnerships between the United States Government, the
private sector, and other development partners to
achieve the goals of the strategy.
SEC. 5. PRIORITIZATION OF EFFORTS AND ASSISTANCE FOR POWER
PROJECTS IN SUB-SAHARAN AFRICA BY KEY UNITED
STATES INSTITUTIONS.

(a) In General.--In pursuing the policy goals described in section
3, the Administrator of the United States Agency for International
Development, the Director of the Trade and Development Agency, the
Overseas Private Investment Corporation, and the Chief Executive Officer
and Board of Directors of the Millennium Challenge Corporation should,
as appropriate, prioritize and expedite institutional efforts and
assistance to facilitate the involvement of such institutions in power
projects and markets, both on- and off-grid, in sub-Saharan Africa and
partner with other investors and local institutions in sub-Saharan
Africa, including private sector actors, to specifically increase access
to reliable, affordable, and sustainable power in sub-Saharan Africa,
including through--
(1) maximizing the number of people with new access to power
and power services;
(2) improving and expanding the generation, transmission and
distribution of power;
(3) providing reliable power to people and businesses in
urban and rural communities;
(4) addressing the energy needs of marginalized people
living in areas where there is little or no access to a power
grid and developing plans to systematically increase coverage in
rural areas;
(5) reducing transmission and distribution losses and
improving end-use efficiency and demand-side management;
(6) reducing energy-related impediments to business
productivity and investment; and
(7) building the capacity of countries in sub-Saharan Africa
to monitor and appropriately and transparently regulate the
power sector and encourage private investment in power
production and distribution.

(b) Effectiveness Measurement.--In prioritizing and expediting
institutional efforts and assistance pursuant to this section, as
appropriate, such institutions shall use clear, accountable, and metric-
based targets to measure the effectiveness of such guarantees and
assistance in achieving the goals described in section 3.
(c) Promotion of Use of Private Financing and Assistance.--In
carrying out policies under this section, such institutions shall
promote the use of private financing and assistance and seek

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ways to remove barriers to private financing for projects and programs
under this Act, including through charitable organizations.
(d) Rule of Construction.--Nothing in this section may be construed
to authorize modifying or limiting the portfolio of the institutions
covered by subsection (a) in other developing regions.
SEC. 6. LEVERAGING INTERNATIONAL SUPPORT.

In implementing the strategy described in section 4, the President
should direct the United States representatives to appropriate
international bodies to use the influence of the United States,
consistent with the broad development goals of the United States, to
advocate that each such body--
(1) commit to significantly increase efforts to promote
investment in well-designed power sector and electrification
projects in sub-Saharan Africa that increase energy access, in
partnership with the private sector and consistent with the host
countries' absorptive capacity;
(2) address energy needs of individuals and communities
where access to an electricity grid is impractical or cost-
prohibitive;
(3) enhance coordination with the private sector in sub-
Saharan Africa to increase access to electricity;
(4) provide technical assistance to the regulatory
authorities of sub-Saharan African governments to remove
unnecessary barriers to investment in otherwise commercially
viable projects; and
(5) utilize clear, accountable, and metric-based targets to
measure the effectiveness of such projects.
SEC. 7. <>  PROGRESS REPORT.

(a) In General.--Not later than three years after the date of the
enactment of this Act, the President shall transmit to the Committee on
Foreign Affairs of the House of Representatives and the Committee on
Foreign Relations of the Senate a report on progress made toward
achieving the strategy described in section 4 that includes the
following:
(1) A report on United States programs supporting
implementation of policy and legislative changes leading to
increased power generation and access in sub-Saharan Africa,
including a description of the number, type, and status of
policy, regulatory, and legislative changes initiated or
implemented as a result of programs funded or supported by the
United States in countries in sub-Saharan Africa to support
increased power generation and access after the date of the
enactment of this Act.
(2) A description of power projects receiving United States
Government support and how such projects, including off-grid
efforts, are intended to achieve the strategy described in
section 4.
(3) For each project described in paragraph (2)--
(A) a description of how the project fits into, or
encourages modifications of, the national energy plan of
the country in which the project will be carried out,
including encouraging regulatory reform in that county;
(B) <>  an estimate of the
total cost of the project to the consumer, the country
in which the project will be carried out, and other
investors;

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(C) the amount of financing provided or guaranteed
by the United States Government for the project;
(D) <>  an estimate of
United States Government resources for the project,
itemized by funding source, including from the Overseas
Private Investment Corporation, the United States Agency
for International Development, the Department of the
Treasury, and other appropriate United States Government
departments and agencies;
(E) <>  an estimate of the number
and regional locations of individuals, communities,
businesses, schools, and health facilities that have
gained power connections as a result of the project,
with a description of how the reliability,
affordability, and sustainability of power has been
improved as of the date of the report;
(F) <>  an assessment of the
increase in the number of people and businesses with
access to power, and in the operating electrical power
capacity in megawatts as a result of the project between
the date of the enactment of this Act and the date of
the report;
(G) a description of efforts to gain meaningful
local consultation for projects associated with this Act
and any significant estimated noneconomic effects of the
efforts carried out pursuant to this Act; and
(H) a description of the participation by small and
medium enterprises based in sub-Saharan Africa on
projects associated with this Act.

Approved February 8, 2016.

LEGISLATIVE HISTORY--S. 2152:
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SENATE REPORTS: No. 114-176 (Comm. on Foreign Relations).
CONGRESSIONAL RECORD:
Vol. 161 (2015):
Dec. 18, considered and passed
Senate.
Vol. 162 (2016):
Feb. 1, considered and passed House.