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[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[S. 1294 Introduced in Senate (IS)]

107th CONGRESS
  1st Session
                                S. 1294

   To establish a new national policy designed to manage the risk of 
  potential climate change, ensure long-term energy security, and to 
strengthen provisions in the Energy Policy Act of 1992 and the Federal 
Nonnuclear Energy Research and Development Act of 1974 with respect to 
                       potential climate change.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                             August 1, 2001

Mr. Murkowski (for Mr. Craig, Mr. Hagel, Mr. Domenici, Mr. Roberts, and 
   Mr. Bond) introduced the following bill; which was read twice and 
       referred to the Committee on Energy and Natural Resources

_______________________________________________________________________

                                 A BILL

 
   To establish a new national policy designed to manage the risk of 
  potential climate change, ensure long-term energy security, and to 
strengthen provisions in the Energy Policy Act of 1992 and the Federal 
Nonnuclear Energy Research and Development Act of 1974 with respect to 
                       potential climate change.

    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 ``Climate Change Risk Management Act 
of 2001''.

SEC. 2. FINDINGS.

    Congress finds that--
            (1) human activities, namely energy production and use, 
        contribute to increasing concentrations of greenhouse gases in 
        the atmosphere, which may ultimately contribute to global 
        climate change beyond that resulting from natural variability;
            (2) although the science of global climate change has been 
        advanced in the past ten years, the timing and magnitude of 
        climate change-related impacts on the United States cannot 
        currently be predicted with any reasonable certainty;
            (3) furthermore, a recent National Research Council review 
        of climate change science suggests that without an 
        understanding of the sources and degree of uncertainty 
        regarding climate change and its impacts, decision-makers could 
        fail to define the best ways to manage the risk of climate 
        change;
            (4) despite this uncertainty, the potential impacts from 
        human-induced climate change pose a substantial risk that 
        should be managed in a responsible manner;
            (5) given that the bulk of greenhouse gas emissions from 
        human activities result from energy production and use, 
        national and international energy policy decisions made now and 
        in the longer-term future will influence the extent and timing 
        of any climate change and resultant impacts from climate change 
        later this century;
            (6) the characteristics of greenhouse gases and the 
        physical nature of the climate system require that 
        stabilization of atmospheric greenhouse gas concentrations at 
        any future level must be a long-term effort undertaken on a 
        global basis;
            (7) the characteristics of existing energy-related 
        infrastructure and capital suggest that effective greenhouse 
        gas management efforts will depend on the development of long-
        term, cost-effective technologies and practices that can be 
        demonstrated and deployed commercially in the United States and 
        around the world;
            (8) environmental progress, energy security, economic 
        prosperity, and satisfaction of basic human needs are 
        interrelated, particularly in developing countries;
            (9) developing countries will constitute the major source 
        of greenhouse gas emissions in the 21st century and the major 
        source of increases in such emissions;
            (10) any program to address the risks of climate change 
        that does not fully include developing nations as integral 
        participants will be ineffective; and
            (11) a new long-term, technology-based, cost-effective, 
        flexible, and global strategy to ensure long-term energy 
        security and manage the risk of climate change is needed, and 
        should be promoted by the United States in its domestic and 
        international activities in this regard.

SEC. 3. DEFINITIONS.

    Title XVI of the Energy Policy Act of 1992 (42 U.S.C. 13381, et 
seq.) is amended by inserting before section 1601 the following:

``SEC. 1600. DEFINITIONS.

    ``(a) Agricultural Activity.--The term `agricultural activity' 
means livestock production, cropland cultivation, biogas and other 
waste material recovery and nutrient management.
    ``(b) Climate System.--The term `climate system' means the totality 
of the atmosphere, hydrosphere, biosphere and geosphere and their 
interactions.
    ``(c) Climate Change.--The term `climate change' means a change in 
the state of the climate system attributed directly or indirectly to 
human activity which is in addition to natural climate variability 
observed over comparable time periods.
    ``(d) Emissions.--The term `emissions' means the net release of 
greenhouse gases and/or their precursors into the atmosphere over a 
specified area and period of time, after taking into account any 
reductions due to greenhouse gas sequestration.
    ``(e) Greenhouse Gases.--The term `greenhouse gases' means those 
gaseous and aerosol constituents of the atmosphere, both natural and 
anthropogenic, that absorb and re-emit infrared radiation.
    ``(f) Sequestration.--The term `sequestration' means any process, 
activity or mechanism which removes a greenhouse gas or its precursor 
from the atmosphere or from emissions streams.
    ``(g) Forest Products.--The term `forest products' means all 
products or goods manufactured from trees.
    ``(h) Forestry Activity.--
            ``(1) In general.--The term `forestry activity' means any 
        ownership or management action that has a discernible impact on 
        the use and productivity of forests.
            ``(2) Inclusions.--Forestry activities include, but are not 
        limited to, the establishment of trees on an area not 
        previously forested, the establishment of trees on an area 
        previously forested if a net carbon benefit can be 
        demonstrated, enhanced forest management (including thinning, 
        stand improvement, fire protection, weed control, nutrient 
        application, pest management, and other silvicultural 
        practices), forest protection or conservation if a net carbon 
        benefit can be demonstrated, and production or use of biomass 
        energy (including the use of wood, grass or other biomass in 
lieu of fossil fuel).
            ``(3) Exclusions.--The term `forestry activity' does not 
        include a land use change associated with--
                    ``(A) an act of war; or
                    ``(B) an act of nature, including floods, storms, 
                earthquakes, fires, hurricanes, and tornadoes.''.

SEC. 4. NATIONAL CLIMATE CHANGE STRATEGY.

    (a) In General.--Section 1601 of the Energy Policy Act of 1992 (42 
U.S.C. 13381) is amended to read as follows:

``SEC. 1601. NATIONAL CLIMATE CHANGE STRATEGY.

    ``(a) In General.--The President, in consultation with appropriate 
Federal agencies and the Congress, shall develop and implement a 
national strategy to manage the risks posed by potential climate 
change.
    ``(b) Goal.--The strategy shall be consistent with the United 
Nations Framework Convention on Climate Change, done at New York on May 
9, 1992, in a manner that--
            ``(1) does not result in serious harm to the U.S. economy;
            ``(2) adequately provides for the energy security of the 
        U.S.;
            ``(3) establishes and maintains U.S. leadership with 
        respect to climate change-related scientific research, 
        development and deployment of advanced energy technology; and
            ``(4) will result in a reduction in the ratio that the net 
        U.S. greenhouse gas emissions bears to the U.S. gross domestic 
        production.
    ``(c) Elements.--The strategy shall include short-term and long-
term strategies, programs and policies that--
            ``(1) enhance the scientific knowledge base for 
        understanding and evaluation of natural and human-induced 
        climate change, including the role of climate feedbacks and all 
        climate forcing agents;
            ``(2) improve scientific observation, modeling, analysis 
        and prediction of climate change and its impacts, and the 
        economic, social and environmental risks posed by such impacts;
            ``(3) assess the economic, social, and environmental costs 
        and benefits of current and potential options to reduce, avoid, 
        or sequester greenhouse gas emissions;
            ``(4) develop and implement market-directed policies that 
        reduce, avoid or sequester greenhouse gas emissions, including:
                    ``(A) cost-effective Federal, State, tribal, and 
                local policies, programs, standards and incentives;
                    ``(B) policies and incentives to speed development, 
                deployment and consumer adoption of advanced energy 
                technologies in the U.S. and throughout the world; and
                    ``(C) removal of regulatory barriers that impede 
                the development, deployment and consumer adoption of 
                advanced energy technologies in the U.S. and throughout 
                the world; and
                    ``(D) participation in international institutions, 
                or the support of international activities, that are 
                established or conducted to facilitate effective 
                measures to implement the United Nations Framework 
                Convention on Climate Change;
            ``(5) advance areas where bilateral or multilateral 
        cooperation and investment would lead to adoption of advanced 
        technologies for use within developing countries to reduce, 
        avoid or sequester greenhouse gas emissions;
            ``(6) identify activities and policies that provide for 
        adaptation to natural and human-induced climate change;
            ``(7) recommend specific legislative or administrative 
        activities, giving preference to cost-effective and 
        technologically feasible measures that will--
                    ``(A) result in a reduction in the ratio that the 
                net U.S. greenhouse gas emissions bears to the U.S. 
                gross domestic product;
                    ``(B) avoid adverse short-term and long-term 
                economic and social impacts on the United States; and
                    ``(C) foster such changes in institutional and 
                technology systems as are necessary to mitigate or 
                adapt to climate change and its impacts in the short-
                term and the long-term; and
            ``(8) designate federal, state, tribal or local agencies 
        responsible for carrying out recommended activities and 
        programs, and identify interagency entities or activities that 
        may be needed to coordinate actions carried out consistent with 
        this strategy.
    ``(d) Consultation.--This strategy shall be developed in a manner 
that provides for meaningful participation by, and consultation among, 
Federal, State, tribal, and local government agencies, non-governmental 
organizations, academia, scientific bodies, industry, the public, and 
other interested parties.
    ``(e) Biannual Report.--No later than one year after the date of 
enactment of this section, and at the end of each second year 
thereafter, the President shall submit to Congress a report that 
includes--
            ``(1) a description of the national climate change strategy 
        and its goals and Federal programs and activities intended to 
        carry out this strategy through mitigation, adaptation, and 
        scientific research activities;
            ``(2) an evaluation of Federal programs and activities 
        implemented as part of this strategy against the goals and 
        implementation dates outlined in the strategy;
            ``(3) a description of changes to Federal programs or 
        activities implemented to carry out this strategy, in light of 
        new knowledge of climate change and its impacts and costs or 
        benefits, or technological capacity to improve mitigation or 
        adaptation activities;
            ``(4) a description of all Federal spending on climate 
        change for the current fiscal year and each of the five years 
        previous, categorized by Federal agency and program function 
        (including scientific research, energy research and 
        development, regulation, education and other activities);
            ``(5) an estimate of the budgetary impact for the current 
        fiscal year and each of the five years previous of any Federal 
        tax credits, tax deductions or other incentives claimed by 
        taxpayers that are directly or indirectly attributable to 
        greenhouse gas emissions reduction activities; and
            ``(6) an estimate of the amount, in metric tons, of 
        greenhouse gas emissions reduced, avoided or sequestered 
        directly or indirectly as a result of each spending program or 
        tax credit, deduction or other incentive for the current fiscal 
        year and each of the five years previous.
    ``(f) Review by National Academies.--
            ``(1) In general.--Not later than 90 days after the date of 
        publication of each biannual report as directed by this 
        section, the President shall commission the National Academies 
        to conduct a review of the national climate change strategy and 
        implementation plan required by this section.
            ``(2) Criteria.--The National Academies' review shall 
        evaluate the goals and recommendations contained in the 
        national climate change strategy report in light of--
                    ``(A) new or improved scientific knowledge 
                regarding climate change and its impacts;
                    ``(B) new understanding of human social and 
                economic responses to climate change, and responses of 
                natural ecosystems to climate change;
                    ``(C) advancements in energy technologies that 
                reduce, avoid, or sequester greenhouse gases or 
                otherwise mitigate the risks of climate change;
                    ``(D) new or revised understanding of economic 
                costs and benefits of mitigation or adaptation 
                activities; and
                    ``(E) the existence of alternative policy options 
                that could achieve the strategy goals at lower 
                economic, environmental, or social cost.
            ``(3) Report.--The National Academies shall prepare and 
        submit to Congress and the President a report concerning the 
        results of such review, along with any recommendations as 
        appropriate. Such report shall also be made available to the 
        public.
            ``(4) Definition.--For the purposes of this Section, the 
        term ``National Academies'' means the National Research 
        Council, the National Academy of Sciences, the National Academy 
        of Engineering, and the Institute of Medicine.''.
    (b) Conforming Amendment.--Section 1103(b) of the Global Climate 
Protection Act of 1987 (15 U.S.C. 2901) is amended by inserting ``, the 
Department of Energy, and other Federal agencies as appropriate'' after 
``Environmental Protection Agency''.

SEC. 5. CLIMATE TECHNOLOGY RESEARCH, DEVELOPMENT, DEMONSTRATION AND 
              DEPLOYMENT PROGRAM.

    (a) In General.--Section 1604 of the Energy Policy Act of 1992 (42 
U.S.C. 13384) is amended to read as follows:

``SEC. 1604. CLIMATE TECHNOLOGY RESEARCH, DEVELOPMENT, DEMONSTRATION 
              AND DEPLOYMENT PROGRAM.

    ``(a) In General.--The Secretary, in consultation with the Advisory 
Board established under section 2302, shall establish a long-term 
Climate Technology Research, Development, Demonstration, and Deployment 
Program, in accordance with sections 3001 and 3002.
    ``(b) Program Objectives.--The program shall conduct a long-term 
research, development, demonstration and deployment program to foster 
technologies and practices that--
            ``(1) reduce or avoid anthropogenic emissions of greenhouse 
        gases;
            ``(2) remove and sequester greenhouse gases from emissions 
        streams; and
            ``(3) remove and sequester greenhouse gases from the 
        atmosphere.
    ``(c) Program Plan.--Not later than 1 year after the date of 
enactment of this Act, the Secretary shall prepare and submit to the 
Congress a 10-year program plan to guide activities under this section. 
Thereafter, the Secretary shall biennially update and resubmit the 
program plan to the Congress. In preparing the program plan, the 
Secretary shall:
            ``(1) include quantitative technology performance and 
        carbon emissions reduction goals, schedule milestones, 
        technology approaches, Federal funding requirements, and non-
        Federal cost sharing requirements;
            ``(2) consult with appropriate representatives of industry, 
        institutions of higher education, Department of Energy national 
        laboratories, and professional, scientific and technical 
        societies;
            ``(3) take into consideration how the Federal Government, 
        acting through the Secretary, can be effective in ensuring the 
        availability of such technologies when they are needed and how 
        the Federal Government can most effectively cooperate with the 
        private sector in the accomplishment of the goals set forth in 
        subsection (b); and
            ``(4) consider how activities funded under the program can 
        be complementary to, and not duplicative of, existing research 
        and development activities within the Department.
    ``(d) Solicitation.--Not later than 1 year after the date of 
submission of the 10-year program plan, the Secretary shall solicit 
proposals for conducting activities consistent with the 10-year program 
plan and select one or more proposals not later than 180 days after 
such solicitations.
    ``(e) Proposals.--Proposals may be submitted by applicants or 
consortia from industry, institutions of higher education, or 
Department of Energy national laboratories. At minimum, each proposal 
shall also include the following:
            ``(1) a multi-year management plan that outlines how the 
        proposed research, development, demonstration and deployment 
        activities will be carried out;
            ``(2) quantitative technology goals and greenhouse gas 
        emission reduction targets that can be used to measure 
        performance against program objectives;
            ``(3) the total cost of the proposal for each year in which 
        funding is requested, and a breakdown of those costs by 
        category;
            ``(4) evidence that the applicant has in existence or has 
        access to--
                    ``(A) the technical capability to enable it to make 
                use of existing research support and facilities in 
                carrying out the research objectives of the proposal;
                    ``(B) a multi-disciplinary research staff 
                experienced in technologies or practices able to 
                sequester, avoid, or capture greenhouse gas emissions;
                    ``(C) access to facilities and equipment to enable 
                the conduct of laboratory-scale testing or 
                demonstration of technologies or related processes 
                undertaken through the program; and
                    ``(D) commitment for matching funds and other 
                resources from non-Federal sources, including cash, 
                equipment, services, materials, appropriate technology 
                transfer activities, and other assets directly related 
                to the cost of the proposal;
            ``(5) evidence that the proposed activities are 
        supplemental to, and not duplicative of, existing research and 
        development activities carried out, funded, or otherwise 
        supported by the Department;
            ``(6) a description of the technology transfer mechanisms 
        and industry partnerships that the applicant will use to make 
        available research results to industry and to other 
        researchers;
            ``(7) a statement whether the unique capabilities of 
        Department of Energy national laboratories warrant 
        collaboration with those laboratories, and the extent of any 
        such collaboration proposed; and
            ``(8) demonstrated evidence of the ability of the applicant 
        to undertake and complete the proposed project, including the 
        successfully introduction of the technology into commerce.
    ``(f) Selection of Proposals.--From the proposals submitted, the 
Secretary shall select for funding one or more proposals that will best 
accomplish the program objectives outlined in this section.
    ``(g) Annual Report.--The Secretary shall prepare and submit an 
annual report to Congress that--
            ``(1) demonstrates that the program objectives are 
        adequately focused, peer-reviewed for merit, and not 
        unnecessarily duplicative of the science and technology 
        research being conducted by other Federal agencies and 
        programs,
            ``(2) states whether the program as conducted in the prior 
        year addresses an adequate breadth and range of technologies 
        and solutions to address anthropogenic climate change; and
            ``(3) evaluates the quantitative progress of funded 
        proposals towards the program objectives outlined in this 
        section, and the technology and greenhouse gas emission 
        reduction, avoidance or sequestration goals as described in 
        their respective proposals.
    ``(h) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this subtitle $200,000,000 for each of fiscal 
years 2002 through 2011, to remain available until expended.''.
    ``(b) Conforming Amendments.--Section 6 of the Federal Nonnuclear 
Energy Research and Development Act of 1974 (42 U.S.C. 5905) is 
amended--
            (1) in subsection (a)--
                    (A) in paragraph (2), by striking ``and'' at the 
                end;
                    (B) in paragraph (3) by striking the period at the 
                end and inserting '', and ''; and
                    (C) by adding at the end the following:
            ``(4) solutions to the effective management of greenhouse 
        gas emissions in the long term by the development of 
        technologies and practices designed to--
                    ``(A) reduce or avoid anthropogenic emissions of 
                greenhouse gases;
                    ``(B) remove and sequester greenhouse gases from 
                emissions streams; and
                    ``(C) remove and sequester greenhouse gases from 
                the atmosphere. ''; and
            (2) in subsection (b)--
                    (A) in paragraph (2), by striking ``subsection 
                (a)(1) through (3)'' and inserting ``paragraphs (1) 
                through (4) of subsection (a)''; and
                    (B) in paragraph (3)--
                            (i) in subparagraph (R), by striking 
                        ``and'' at the end;
                            (ii) in subparagraph (S), by striking the 
                        period at the end and inserting ''; and''; and
                            (iii) by adding at the end the following:
                    ``(T) to pursue a long-term climate technology 
                strategy designed to demonstrate a variety of 
                technologies by which stabilization of greenhouse gases 
                might be best achieved, including accelerated research, 
                development, demonstration and deployment of--
                            ``(i) renewable energy systems;
                            ``(ii) advanced fossil energy technology;
                            ``(iii) advanced nuclear power plant 
                        design;
                            ``(iv) fuel cell technology for residential 
                        industrial and transportation applications;
                            ``(v) carbon sequestration practices and 
                        technologies, including agricultural and 
                        forestry practices that store and sequester 
                        carbon;
                            ``(vi) efficient electrical generation, 
                        transmission and distribution technologies; and
                            ``(vii) efficient end use energy 
                        technologies.''.

SEC. 6. INTERNATIONAL ENERGY TECHNOLOGY DEPLOYMENT PROGRAM.

    Section 1608 of Energy Policy Act of 1992 (42 U.S.C. 13387) is 
amended by striking subsection (l) and inserting the following:
    ``(l) International Energy Technology Deployment Program.--
            ``(1) Definitions.--In this subsection:
                    ``(A) International energy deployment project.--The 
                term ``international energy deployment project'' means 
                a project to construct an energy production facility 
                outside the United States--
                            ``(i) the output of which will be consumed 
                        outside the United States; and
                            ``(ii) the deployment of which will result 
                        in a greenhouse gas reduction per unit of 
                        energy produced when compared to the technology 
                        that would otherwise be implemented of--
                                    ``(I) 10 percentage points or more, 
                                in the case of a unit placed in service 
                                before January 1, 2010;
                                    ``(II) 20 percentage points or 
                                more, in the case of a unit placed in 
                                service after December 31, 2009, and 
                                before January 1, 2020; or
                                    ``(III) 30 percentage points or 
                                more, in the case of a unit placed in 
                                service after December 31, 2019, and 
                                before January 2, 2030.
                    ``(B) Qualifying international energy deployment 
                project.--The term ``qualifying international energy 
                deployment project'' means an international energy 
                deployment project that--
                            ``(i) is submitted by a United States firm 
                        to the Secretary in accordance with procedures 
                        established by the Secretary by regulation;
                            ``(ii) uses technology that has been 
                        successfully developed or deployed in the 
                        United States, or in another country as a 
                        result of a partnership with a company based in 
                        the United States;
                            ``(iii) meets the criteria of subsection 
                        (k);
                            ``(iv) is approved by the Secretary, with 
                        notice of the approval being published in the 
Federal Register; and
                            ``(v) complies with such terms and 
                        conditions as the Secretary establishes by 
                        regulation.
                    ``(C) United States.--The term `United States', 
                when used in a geographical sense, means the 50 States, 
                the District of Columbia, Puerto Rico, Guam, the Virgin 
                Islands, American Samoa, and the Commonwealth of the 
                Northern Mariana Islands.
            ``(2) Pilot program for financial assistance.--
                    ``(A) In general.--Not later than 180 days after 
                the date of enactment of this Act, the Secretary shall, 
                by regulation, provide for a pilot program for 
                financial assistance for qualifying international 
                energy deployment projects.
                    ``(B) Selection criteria.--After consultation with 
                the Secretary of State, the Secretary of Commerce, and 
                the United States Trade Representative, the Secretary 
                shall select projects for participation in the program 
                based solely on the criteria under this title and 
                without regard to the country in which the project is 
                located.
                    ``(C) Financial assistance.--
                            ``(i) In general.--A United States firm 
                        that undertakes a qualifying international 
                        energy deployment project that is selected to 
                        participate in the pilot program shall be 
                        eligible to receive a loan or a loan guarantee 
                        from the Secretary.
                            ``(ii) Rate of interest.--The rate of 
                        interest of any loan made under clause (i) 
                        shall be equal to the rate for Treasury 
                        obligations then issued for periods of 
                        comparable maturities.
                            ``(iii) Amount.--The amount of a loan or 
                        loan guarantee under clause (i) shall not 
                        exceed 50 percent of the total cost of the 
                        qualified international energy deployment 
                        project.
                            ``(iv) Developed countries.--Loans or loan 
                        guarantees made for projects to be located in a 
                        developed country, as listed in Annex I of the 
                        United Nations Framework Convention on Climate 
                        Change, shall require at least a 50 percent 
                        contribution towards the total cost of the loan 
                        or loan guarantee by the host country.
                            ``(v) Developing countries.--Loans or loan 
                        guarantees made for projects to be located in a 
                        developing country (those countries not listed 
                        in Annex I of the United Nations Framework 
                        Convention on Climate Change) shall require at 
                        least a 10 percent contribution towards the 
                        total cost of the loan or loan guarantee by the 
                        host country.
                            ``(vi) Capacity building research.--
                        Proposals made for projects to be located in a 
                        developing country may include a research 
                        component intended to build technological 
                        capacity within the host country. Such research 
                        must be related to the technologies being 
                        deployed and must involve both an institution 
                        in the host country and an industry, university 
                        or national laboratory participant from the 
                        United States. The host institution must 
                        contribute at least 5 percent of funds for the 
                        capacity building research.
                    ``(D) Coordination with other programs.--A 
                qualifying international energy deployment project 
                funded under this section shall not be eligible as a 
                qualifying clean coal technology under section 415 of 
                the Clean Air Act (42 U.S.C. 7651n).
                    ``(E) Report.--Not later than 5 years after the 
                date of enactment of this section, the Secretary shall 
                submit to the President and the Congress a report on 
                the results of the pilot projects.
                    ``(F) Recommendation.--Not later than 60 days after 
                receiving the report under subparagraph (E), the 
                Secretary shall submit to Congress a recommendation 
                concerning whether the financial assistance program 
                under this section should be continued, expanded, 
                reduced, or eliminated.
                    ``(G) Authorization of appropriations.--There are 
                authorized to be appropriated to carry out this section 
                $100,000,000 for each of fiscal years 2002 through 
                2011, to remain available until expended.''.

SEC. 7. NATIONAL GREENHOUSE GAS EMISSIONS REGISTRY.

    Section 1605 of the Energy Policy Act of 1992 (42 U.S.C. 13385) is 
amended--
            (1) by amending the second sentence of subsection (a) to 
        read as follows: ``The Secretary shall annually update and 
        analyze such inventory using available data, including, 
        beginning in calendar year 2001, information collected as a 
        result of voluntary reporting under subsection (b). The 
        inventory shall identify for calendar year 2001 and thereafter 
        the amount of emissions reductions attributed to those reported 
        under subsection (b).'';
            (2) by amending subsection (b)(1) (B) and (C) to read as 
        follows--
                    ``(B) annual reductions or avoidance of greenhouse 
                gas emissions and carbon sequestration achieved through 
                any measures, including agricultural activities, co-
                generation, appliance efficiency, energy efficiency, 
                forestry activities that increase carbon sequestration 
                stocks (including the use of forest products), fuel 
                switching, management of crop lands, grazing lands, 
                grasslands and dry lands, manufacture or use of 
                vehicles with reduced greenhouse gas emissions, methane 
                recovery, ocean seeding, use of renewable energy, 
                chlorofluorocarbon capture and replacement, and power 
                plant heat rate improvement; and
                    ``(C) reductions in, or avoidance of, greenhouse 
                gas emissions achieved as a result of voluntary 
                activities domestically, or internationally, plant or 
                facility closings, and State or Federal 
                requirements.''.
            (3) by striking in the first sentence of subsection (b)(2) 
        the word ``entities'' and inserting ``persons or entities'' and 
        in the second sentence of such subsection, by inserting after 
        ``Persons'' the words ``or entities'';
            (4) by inserting in the second sentence of subsection 
        (b)(4) the words ``persons or'' before ``entity'';
            (5) by adding after subsection (b)(4) the following new 
        paragraphs--
            ``(5) Recognition of voluntary greenhouse gas emissions 
        reduction, avoidance, or sequestration.--To encourage new and 
        increased voluntary efforts to reduce, avoid, or sequester 
        emissions of greenhouse gases, the Secretary shall develop and 
        establish a program of giving annual public recognition to all 
        reporting persons and entities demonstrating voluntarily 
        achieved greenhouse gases reduction, avoidance, or 
        sequestration, pursuant to the voluntary collections and 
        reporting guidelines issued under this section. Such 
        recognition shall be based on the information certified, 
        subject to section 1001 of title 18, United States Code, by 
        such persons or entities for accuracy as provided in paragraph 
        2 of this subsection, and shall include such information 
        reported prior to the enactment of this paragraph. At a minimum 
        such recognition shall annually be published in the Federal 
        Register.
            ``(6) Review and Revision of Guidelines.--
                    ``(A) In general.--Not later than 1 year after the 
                date of enactment of this subparagraph, the Secretary 
                of Energy, acting through the Administrator of the 
                Energy Information Administration, shall conduct a 
                review of guidelines established under this section 
                regarding the accuracy and reliability of reports of 
                greenhouse gas reductions and related information.
                    ``(B) Contents.--The review shall include the 
                consideration of the need for any amendments to such 
                guidelines, including--
                            ``(i) a random or other verification 
                        process using the authorities available to the 
                        Secretary under other provisions of law;
                            ``(ii) a range of reference cases for 
                        reporting of project-based activities in 
                        sectors, including the measures specified in 
                        subparagraph (1)(B) of this subsection, and the 
                        inclusion of benchmark and default 
                        methodologies and best practices for use as 
                        reference cases for eligible projects;
                            ``(iii) issues, such as comparability, that 
                        are associated with the option of reporting on 
                        an entity-wide basis or on an activity or 
                        project basis; and
                            ``(iv) safeguards to address the 
                        possibility of reporting, inadvertently or 
                        otherwise, of some or all of the same 
                        greenhouse gas emissions reductions by more 
                        than one reporting entity or person and to make 
                        corrections where necessary;
                            ``(v) provisions that encourage entities or 
                        persons to register their certified, by 
                        appropriate and credible means, baseline 
                        emissions levels on an annual basis, taking 
                        into consideration all of their reports made 
                        under this section prior to the enactment of 
                        this paragraph;
                            ``(vi) procedures and criteria for the 
                        review and registration of ownership of all or 
                        part of any reported and verified emissions 
                        reductions relative to a reported baseline 
                        emissions level under this section; and
                            ``(vii) accounting provisions needed to 
                        allow for changes in registration of ownership 
                        of emissions reductions resulting from a 
                        voluntary private transaction between reporting 
                        entities or persons.
                For the purposes of this paragraph, the term 
                `reductions' means any and all activities taken by a 
                reporting entity or person that reduce, avoid or 
                sequester greenhouse gas emissions, or sequester 
                greenhouse gases from the atmosphere.
                    ``(C) Economic analysis.--The review should 
                consider the costs and benefits of any such amendments, 
                the effect of such amendments on participation in this 
                program, including by farmers and small businesses, and 
                the need to avoid creating undue economic advantages or 
                disadvantages for persons or entities in the private 
                sector. The review should provide, where appropriate, a 
                range of reasonable options that are consistent with 
                the voluntary nature of this section and that will help 
                further the purposes of this section.
                    ``(D) Public comment and submission of report.--The 
                findings of the review shall be made available in draft 
                form for public comment for at least 45 days, and a 
                report containing the findings of the review shall be 
                submitted to Congress and the President no later than 
                one year after date of enactment of this section.
                    ``(E) Revision of guidelines.--If the Secretary, 
                after consultation with the Administrator, finds, based 
                on the study results, that changes to the program are 
                likely to be beneficial and cost effective in improving 
                the accuracy and reliability of reported greenhouse gas 
                reductions and related information, are consistent with 
                the voluntary nature of this section, and further the 
                purposes of this section, the Secretary shall propose 
                and promulgate changes to program guidelines based with 
                such findings. In carrying out the provisions of this 
                paragraph, the Secretary shall consult with the 
                Secretary of Agriculture and the Administrator of the 
                Small Business Administration to encourage greater 
                participation by small business and farmers in 
                addressing greenhouse gas emission reductions and 
                reporting such reductions.
                    ``(F) Periodic review and revision of guidelines.--
                The Secretary shall thereafter review and revise these 
                guidelines at least once every 5 years, following the 
                provisions for economic analysis, public review, and 
                revision set forth in subsections (C) through (E) of 
                this section.''.
            (6) in subsection (c), by inserting ``the Secretary of the 
        Department of Agriculture, the Secretary of the Department of 
        Commerce, the Administrator of the Energy Information 
        Administration, and'' before ``the Administrator''; and
            (7) by adding at the end the following:
    ``(d) Public Awareness Program.--
            ``(1) In general.--The Secretary shall create and implement 
        a public awareness program to educate all persons in the United 
        States of--
                    ``(A) the direct benefits of engaging in voluntary 
                greenhouse gas emissions reduction measures and having 
                the emissions reductions certified under this section 
                and available for use therein; and
                    ``(B) the ease of use of the forms and procedures 
                for having emissions reductions certified under this 
                section.
            ``(2) Agricultural and small business outreach.--The 
        Secretary of Agriculture and the Administrator of the Small 
        Business Administration shall assist the Secretary in creating 
        and implementing a targeted public awareness program to 
        encourage voluntary participation by small businesses and 
        farmers.''.

SEC. 8. REVIEW OF FEDERALLY FUNDED ENERGY TECHNOLOGY RESEARCH AND 
              DEVELOPMENT.

    (a) In General.--Title XVI of the Energy Policy Act of 1992 (42 
U.S.C. 13381 et seq.) is amended by adding the following new section:

``SEC. 1610. REVIEW OF FEDERALLY FUNDED ENERGY TECHNOLOGY RESEARCH AND 
              DEVELOPMENT.

    ``(a) Department of Energy Review.--
            ``(1) In general.--The Secretary shall review annually all 
        federally funded research and development activities carried 
        out with respect to energy technology; and submit to a report 
        to Congress by October 15 of each year.
            ``(2) Assessment of technology readiness and barriers to 
        deployment.--As part of this review, the Secretary shall--
                    ``(A) assess the status and readiness (including 
                the potential commercialization) of each energy 
                technology and any regulatory or market barriers to 
                deployment;
                    ``(B) consider--
                            ``(i) the length of time it will take for 
                        deployment and use of the energy technology and 
                        for the technology to have a meaningful impact 
                        on emission reductions;
                            ``(ii) the cost of deploying the energy 
                        technology; and
                            ``(iii) the safety of the energy 
                        technology;
                    ``(C) assess the available resource base for any 
                energy resources used by the energy technology, and the 
                potential for expanded sustainable use of the resource 
                base; and
                    ``(D) recommend to Congress any changes in law or 
                regulation deemed appropriate by the Secretary to 
                hasten deployment and use of the energy technology.
    ``(b) Energy Technology Research and Development Clearinghouse.--
The Secretary shall establish an information clearinghouse to 
facilitate the transfer and dissemination of the results of federally 
funded research and development activities being carried out on energy 
technology subject to any restrictions or safeguards established for 
national security or the protection of intellectual property rights 
(including trade secrets and confidential business information 
protected under section 552(b)(4) of title 5, United States Code).''.
    (b) Technical Amendment.--The table of contents of the Energy 
Policy Act of 1992 (106 Stat. 2776) is amended by inserting after the 
item relating to section 1609 the following:

``Sec. 1610. Review of federally funded energy technology research and 
                            development.''.

SEC. 9. OFFICE OF APPLIED ENERGY TECHNOLOGY AND GREENHOUSE GAS-
              MANAGEMENT.

    Section 1603 of the Energy Policy Act of 1992 (42 U.S.C. 13383) is 
amended to read as follows:

``SEC. 1603. OFFICE OF APPLIED ENERGY TECHNOLOGY AND GREENHOUSE GAS 
              MANAGEMENT.

    ``(a) Establishment.--There is established by this section in the 
Department of Energy an Office of Applied Energy Technology and 
Greenhouse Gas Management.
    ``(b) Function.--The Office shall--
            ``(1) establish appropriate quantitative performance and 
        deployment goals for energy technologies that reduce, avoid, or 
        sequester emissions of greenhouse gases, provided that such 
        goals are consistent with any national climate change strategy;
            ``(2) manage domestic and international energy technology 
        demonstration and deployment programs for energy technologies 
        that reduce, avoid or sequester emissions of greenhouse gases, 
        including those authorized under this title; provided that such 
        programs supplement and do not replace existing energy research 
        and development activities within the Department;
            ``(3) facilitate the development of domestic and 
        international cooperative research and development agreements 
        (as that term is defined in section 12(d)(1) of the Stevenson-
        Wydler Technology Innovation Act of 1980 (15 U.S.C. 
        3710a(d)(1)), or similar cooperative, cost-shared partnerships 
        with non-Federal organizations to accelerate the rate of 
        domestic and international demonstration and deployment of 
        energy technologies that reduce, avoid or sequester emissions 
        of greenhouse gases;
            ``(4) conduct necessary programs of monitoring, 
        experimentation, and analysis of the technological, scientific, 
        and economic viability of energy technologies that reduce, 
        avoid, or sequester greenhouse gas emissions; and
            ``(5) coordinate issues, policies, and activities for the 
        Department regarding climate change and related energy matters 
        pursuant to this title, and coordinate the issuance of such 
        reports as many be required under this title.
    ``(c) Director.--The Secretary shall appoint a director of the 
Office, who--
            ``(1) shall report to the Secretary;
            ``(2) shall be compensated at no less than level IV of the 
        Executive Schedule; and
            ``(3) at the request of the Committees of the Senate and 
        House of Representatives with appropriation and legislative 
        jurisdiction over programs and activities of the Department of 
        Energy, shall report to Congress on the activities of the 
        Office.
    ``(d) Duties.--The Director shall, in addition to performing all 
functions necessary to carry out the functions of the Office--
            ``(1) in the absence of the Secretary, serve as the 
        Secretary's representative for interagency and multilateral 
        policy discussions of global climate change, including the 
        activities of the Committee on Earth and Environmental Sciences 
        as established by the Global Change Research Act of 1990 (15 
        U.S.C. 292 et seq.);
            ``(2) participate, in cooperation with other federal 
        agencies, in the development and monitoring of domestic and 
        international policies for their effects on any kind of climate 
        change globally and domestically and on the generation, 
        reduction, avoidance, and sequestration of greenhouse gases;
            ``(3) develop and implement a balanced, scientific, non-
        advocacy educational and informational public awareness program 
        on--
                    ``(A) potential climate change, including any known 
                adverse and beneficial effects on the United States and 
                the economy of the United States and the world economy, 
                taking into consideration whether those effects are 
                known or expected to be temporary, long-term, or 
                permanent;
                    ``(B) the role of national energy policy in the 
                determination of current and future emissions of 
                greenhouse gases, particularly measures that develop 
                advanced energy technologies, improve energy 
                efficiency, or expand the use of renewable energy or 
                alternative fuels; and
                    ``(C) the development of voluntary means and 
                measures to mitigate or minimize significant adverse 
                effects of climate change and, where appropriate, to 
                adapt, to the greatest extent practicable, to climate 
                change.
            ``(4) provide, consistent with applicable provisions of 
        law, public access to all information on climate change, 
        effects of climate change, and adaptation to climate change; 
        and
            ``(5) in accordance with all law administered by the 
        Secretary and other applicable Federal law and contracts, 
        including patent and intellectual property laws, and in 
        furtherance of the United Nations Framework Convention of 
Climate Change--
                    ``(A) identify for, and transfer, deploy, diffuse, 
                and apply to, Parties to such Convention, including the 
                United States, any technologies, practices, or 
                processes which reduce, avoid, or sequester emissions 
                of greenhouse gases if such technologies, practices or 
                processes have been developed with funding from the 
                Department of Energy or any of its facilities or 
                laboratories; and
                    ``(B) support reasonable efforts by the Parties to 
                such convention, including the United States, to 
                identify and remove legal, trade, financial, and other 
                barriers to the use and application of any 
                technologies, practices, or processes which reduce, 
                avoid or sequester emissions of greenhouse gases.''.

SEC. 10. COORDINATION OF GLOBAL CHANGE RESEARCH.

    (a) Definitions.--As used in this Section, the term--
            (1) ``Committee'' means the Committee on Earth and 
        Environmental Sciences established under Section 102 of the 
        Global Change Research Act of 1990 (15 U.S.C. 2933).
            (2) ``Program'' means the United States Global Change 
        Research Program established under Section 103 of the Global 
        Change Research Act of 1990 (15 U.S.C. 2933).
    (b) Coordination of Climate Observation Activities.--At the 
direction of the Committee, the Director of the Program shall develop 
and implement activities within the Program that--
            (1) coordinate system design and implementation and 
        operation of a multi-user, multi-purpose long-term climate 
        observing system for the measurement and monitoring of relevant 
        climatic variables;
            (2) carry out basic research, development and deployment of 
        innovative scientific techniques and instruments (both in-situ 
        and space-based) for measurement and monitoring of relevant 
        climatic variables;
            (3) coordinate Program activities to ensure the integrity 
        and continuity of data records; including--
                    (A) calibration and inter-comparison of multiple 
                instruments that measure the same climatic variable or 
                set of variables;
                    (B) backup instruments to ensure data record 
                continuity; and
                    (C) documentation of changes in instruments, 
                observing practices, observing locations, sampling 
                rates, processing algorithms and other changes;
            (4) establish ongoing activities for the development, 
        implementation, operation and management of climatic-specific 
        observational programs, with special emphasis on activities 
        that seek the most efficient and reliable means of observing 
        the climate system;
            (5) coordinate activities of the Program that contribute to 
        the design, implementation, operation, and data management 
        activities of international climate system observation 
        networks; and
            (6) establish and maintain a free and openly accessible 
        national data management system for the storage, maintenance, 
        and archival of climate observation data, with an emphasis on 
        facilitation access to, use of and interpretation of such data 
        by the scientific research community and the public.
    (c) Coordination of Climate Modeling Activities.--At the direction 
of the Committee, the Director of the Program shall develop and 
implement activities within the Program that--
            (1) establish and periodically revise a national climate 
        system modeling strategy designed to position the United States 
        as a world leader in all aspects of climate system modeling;
            (2) coordinate Program activities designed to carry out 
        such a national climate system modeling strategy;
            (3) carry out basic research, development and deployment of 
        innovative computational techniques for climate system 
        modeling;
            (4) develop the intellectual and computational capacity to 
        carry out climate system modeling activities to assess the 
        potential consequences of climate change on the United States;
            (5) carry out the continued development and inter-
        comparison of United States climate models with special 
        emphasis on activities that--
                    (A) establish the ability of United States climate 
                models to successfully reproduce the historical climate 
                observational record;
                    (B) incorporate new climate system processes or 
                improve spatial or temporal resolution of climate model 
                simulations;
                    (C) develop standardized tools and structures for 
                climate model output, evaluation and programming 
                design;
                    (D) improve the accuracy and completeness of 
                supporting data sets used to drive climate models; and
                    (E) reduce uncertainty in assessments of climate 
                change and its impacts on the United States.
            (6) coordinate activities of the Program that contribute to 
        the design, implementation, operation, and data analysis 
        activities of international climate system modeling inter-
        comparisons and assessments; and
            (7) establish and maintain a free and openly accessible 
        national data management system for the storage, maintenance, 
        and archival of climate model code, auxiliary data, and 
        results, with an emphasis on facilitating access to, use of and 
        interpretation of such data by the scientific research 
        community and the public.
    (d) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section $50,000,000 for each of fiscal 
years 2002 through 2004, to remain available until expended, and 
thereafter such sums are necessary.
    (e) Use of Existing Infrastructure.--In carrying out new activities 
under subsections (b) and (c) of this section, the Program shall, where 
possible, use and incorporate existing Program activities and 
resources, such as Program Working Groups.
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