Sponsors
The bill expands federal support eligibility to fossil-fuel firms and their suppliers—protecting jobs and industry access to finance—while increasing taxpayer financial risk and limiting the government's ability to steer support toward clean-energy transition goals.
Energy companies (including fossil-fuel producers) will be eligible for Title III production and purchase guarantees even if they engage in fossil-fuel activities, increasing their access to federal financial support.
Small manufacturers and suppliers that serve fossil-fuel sectors can access a broader set of Title III supports (finance or federal purchase agreements), helping sustain industrial supply chains and related jobs.
The President retains flexibility to treat energy production differently (including the ability to exclude direct energy production subsidies when deemed appropriate), preserving some executive discretion in industrial support decisions.
Taxpayers may face greater federal financial exposure and long-term costs because expanding Title III eligibility could backstop higher-risk fossil-fuel projects.
Federal support may be steered toward fossil-fuel–related firms, which could slow investment and policy momentum toward renewable energy and decarbonization.
The bill constrains the President's and agencies' ability to prioritize non‑fossil or clean-technology firms when allocating Title III funds, reducing policymakers' flexibility to use industrial policy to favor clean energy.
Based on analysis of 2 sections of legislative text.
Prevents the President from denying Title III DPA financial support to entities for engaging in fossil fuel activities, while keeping an exception for energy production decisions.
Introduced August 1, 2025 by Garland H. Barr · Last progress August 1, 2025
Prohibits the President, when using Title III authorities of the Defense Production Act, from denying financial support to a person or company solely because they are involved in exploration, development, production, utilization, transportation, or sale of fossil fuel–based energy, while preserving an existing exception that allows different treatment for energy production activities. The bill also amends a provision in the DPA’s domestic energy subsection (text not shown). The change limits the executive branch’s ability to exclude fossil-fuel interests from Title III financial assistance eligibility.