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Prohibits the Department of Energy from exporting or selling petroleum products drawn from the Strategic Petroleum Reserve (SPR) to the People’s Republic of China, the Democratic People’s Republic of Korea, the Russian Federation, the Islamic Republic of Iran, or any entity owned or controlled by those countries or by the Chinese Communist Party. The Secretary of Energy can waive the ban if they certify that a proposed export or sale is in the national security interests of the United States. Requires the Secretary to issue an implementing rule within 60 days of enactment and makes minor conforming edits to existing energy law and a prior appropriations statute to reflect the new prohibition.
The bill prioritizes keeping SPR crude out of the hands of sanctioned adversaries and preserving emergency domestic fuel supplies, but reduces DOE flexibility to respond to global market needs and creates administrative and legal burdens.
U.S. consumers and domestic refiners are less likely to see Strategic Petroleum Reserve (SPR) crude diverted to sanctioned adversaries, helping preserve emergency fuel supplies for Americans during crises.
Blocks SPR-derived petroleum sales to China, Russia, Iran, North Korea, and their controlled entities, reducing economic support to adversary states and entities.
Maintains Department of Energy control over strategic reserves while including a national-security waiver to allow exports when U.S. interests require flexibility.
By blocking sales to certain foreign partners, the bill may reduce DOE's ability to relieve global supply disruptions, potentially keeping U.S. pump prices higher for consumers and utilities.
Requires DOE to promulgate a rule within 60 days, creating administrative burden and risk of rushed implementation or compliance problems for the Department and contractors.
Narrowly defined ownership/control language (including references to Chinese Communist Party-controlled entities) could generate enforcement challenges and legal disputes for companies and DOE.
Introduced February 4, 2025 by Christina Houlahan · Last progress February 4, 2025