I 

112TH CONGRESS 

2D SESSION H. R. 4317 

To expand sanctions with respect to the energy sector of Iran, and for 

other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

MARCH 29, 2012 

Mr. DEUTCH (for himself and Mr. DOLD) introduced the following bill; which 

was referred to the Committee on Foreign Affairs 

A BILL 

To expand sanctions with respect to the energy sector of 

Iran, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Iranian Energy Sector 

5 and Proliferation Sanctions Act’’. 

6 SEC. 2. EXPANSION OF SANCTIONS WITH RESPECT TO THE 

7 ENERGY SECTOR OF IRAN. 

8 (a) SENSE OF CONGRESS.—It is the sense of the Con9 gress that— 


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1 (1) as noted in United Nations Security Council 

2 Resolution 1929 (2010), the revenues derived by the 

3 Government of Iran from the energy sector of Iran 

4 may be used to fund Iran’s proliferation-sensitive 

5 nuclear activities; and 

6 (2) the energy sector of Iran should be re7 garded as a zone of proliferation concern with which 

8 no legitimate international business should be con9 ducted. 

10 (b) IMPOSITION OF SANCTIONS WITH RESPECT TO

11 CERTAIN ENTITIES IN THE ENERGY SECTOR OF IRAN.— 

12 (1) IN GENERAL.—Except as specifically pro13 vided in this section, beginning on the date that is 

14 60 days after the date of the enactment of this Act, 

15 the President shall impose sanctions pursuant to the 

16 International Emergency Economic Powers Act (50 

17 U.S.C. 1701 et seq.) with respect to any person that 

18 conducts any transaction with, or invests in, any en19 tity described in paragraph (2). 

20 (2) ENTITY DESCRIBED.—An entity described 

21 in this paragraph is— 

22 (A) any entity that— 

23 (i) is organized under the laws of Iran 

24 or otherwise subject to the jurisdiction of 

25 the Government of Iran; and 


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1 (ii)(I) is involved in the development, 

2 production, extraction, or transportation of 

3 petroleum, refined petroleum products, 

4 natural gas, or petrochemical products, 

5 without regard to whether such develop6 ment, production, extraction, or transpor7 tation occurs in Iran; or 

8 (II) provides financing or other serv9 ices with respect to such development, pro10 duction, extraction, or transportation; and 

11 (B) any entity that provides goods, serv12 ices, or technology to an entity described in 

13 subparagraph (A). 

14 (3) SERVICES DEFINED.—For purposes of this 

15 subsection, the term ‘‘services’’ includes transpor16 tation, insurance, reinsurance, software, hardware, 

17 financial, professional consulting, engineering, spe18 cialized energy information, and support services. 

19 (c) APPLICABILITY OF SANCTIONS WITH RESPECT

20 TO CRUDE OIL PURCHASES FROM IRAN.—Sanctions im21 posed pursuant to subsection (b) shall not apply with re22 spect to a person that purchases crude oil from Iran, or 

23 with respect to a person that provides goods, services, or 

24 technology to facilitate or enable such a purchase, if an 

25 exemption under paragraph (4)(D) of section 1245(d) of 


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1 the National Defense Authorization Act for Fiscal Year 

2 2012 (Public Law 112–81; 125 Stat. 1648) to the imposi3 tion of sanctions under paragraph (1) of that section ap4 plies with respect to the country with primary jurisdiction 

5 over the person that purchases crude oil from Iran at the 

6 time of the purchase. 

7 (d) WAIVER.—The President may waive the imposi8 tion of sanctions under subsection (b) for a period of not 

9 more than 120 days, and may renew that waiver for addi10 tional periods of not more than 120 days, if the Presi11 dent— 

12 (1) determines that such a waiver is vital to the 

13 national security of the United States; and 

14 (2) submits to Congress a report— 

15 (A) providing a justification for the waiver; 

16 and 

17 (B) that includes any concrete cooperation 

18 the President has received or expects to receive 

19 as a result of the waiver. 

20 (e) REPORT.— 

21 (1) IN GENERAL.—Not later than 180 days 

22 after the date of the enactment of this Act, and 

23 every 180 days thereafter, the Comptroller General 

24 of the United States shall submit to the appropriate 


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1 congressional committees a report that identifies 

2 each entity described in subsection (b)(2). 

3 (2) FORM OF REPORT.—Each report submitted 

4 under this subsection shall be submitted in unclassi5 fied form, but may contain a classified annex. 

6 (f) RULE OF CONSTRUCTION.—Nothing in this sec7 tion shall be construed to require or authorize the imposi8 tion of sanctions with respect to any person that partici9 pates in, or provides services to, a joint venture established 

10 before January 1, 2002, with respect to the development 

11 of petroleum resources outside of Iran. 

12 (g) DEFINITIONS.—In this section— 

13 (1) the term ‘‘appropriate congressional com14 mittees’’ has the meaning given the term in section 

15 14 of the Iran Sanctions Act of 1996 (Public Law 

16 104–172; 50 U.S.C. 1701 note); 

17 (2) the term ‘‘petrochemical product’’ includes 

18 any aromatic, olefin, or synthesis gas, and any deriv19 ative of such a gas, including ethylene, propylene, 

20 butadiene, benzene, toluene, xylene, ammonia, meth21 anol, and urea; and 

22 (3) the ‘‘refined petroleum products’’ has the 

23 meaning given the term in section 14 of the Iran 


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1 Sanctions Act of 1996 (Public Law 104–172; 50 

2 U.S.C. 1701 note). 

Æ 


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