Electrify Africa Act of 2015

Summary: (This measure has not been amended since it was passed by the Senate on December 18, 2015.  Electrify Africa Act of 2015  (Sec. 3) This bill states that it is U.S. policy to partner with the governments of sub-Saharan African countries, international financial institutions, and African regional economic communities, cooperatives, and private sectors to:    promote first-time access to power services for at least 50 million people in sub-Saharan Africa by 2020;  encourage the installation of at least 20,000 additional megawatts of electrical power in sub-Saharan Africa by 2020;   promote reliable and affordable power in urban, rural, and under served areas;   encourage necessary reforms to support electricity access projects and market-based power generation and distribution;   promote policies to displace kerosene lighting with other technologies;   promote an energy development strategy for sub-Saharan Africa that includes the use of oil, natural gas, coal, hydroelectric, wind, solar, and geothermal power; and   promote the use of private financing and seek ways to remove barriers to private financing and assistance for projects, including through charitable organizations.  (Sec. 4) The President shall: (1) establish a multiyear strategy to assist countries in sub-Saharan Africa implement national power strategies and develop an appropriate mix of power solutions to provide access to reliable, affordable, and sustainable power in order to reduce poverty and drive economic growth and job creation; and (2) ensure that the strategy remains responsive to local community concerns and technological innovation.   The President may establish an interagency working group to coordinate the activities of U.S. government departments and agencies involved in carrying out the strategy.  (Sec. 5) The U.S. Agency for International Development, the Trade and Development Agency, the Overseas Private Investment Corporation, and the Millennium Challenge Corporation are urged to: (1) prioritize efforts and assistance for power projects and markets in sub-Saharan Africa; and (2) partner with other investors and local institutions, including private sector actors, to increase access to reliable, affordable, and sustainable power. (Sec. 6) The President should use U.S. influence at international bodies to advocate for:    increasing investment in power sector and electrification projects in sub-Saharan Africa,  addressing energy needs of individuals and communities where electricity grid access is impractical or cost-prohibitive,   enhancing private sector coordination, and   assisting sub-Saharan African governments to remove unnecessary regulatory barriers to investment.   (Sec. 7) Within three years the President shall transmit a strategy progress report to Congress which includes information regarding: (1) U.S. programs supporting policy and legislative changes leading to increased power generation and access in sub-Saharan Africa, and (2) power projects receiving U.S. government support.

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 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 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;
            (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 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 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;
            (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.

                               Speaker of the House of Representatives.

                            Vice President of the United States and    
                                               President of the Senate.