I 

112TH CONGRESS 

1ST SESSION H. R. 1017 

To provide for the sale of light grade petroleum from the Strategic Petroleum 

Reserve and its replacement with refined petroleum product. 

IN THE HOUSE OF REPRESENTATIVES 

MARCH 10, 2011 

Mr. MARKEY (for himself, Mr. OWENS, Mr. WELCH, Ms. DELAURO, and Mrs. 

CAPPS) introduced the following bill; which was referred to the Committee on Energy and Commerce 

A BILL 

To provide for the sale of light grade petroleum from the 

Strategic Petroleum Reserve and its replacement with 

refined petroleum product. 

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 ‘‘Enhanced Supply and 

5 Price Reduction Act of 2011’’ or the ‘‘Enhanced SPR 

6 Act’’. 

7 SEC. 2. DEFINITION. 

8 In this Act, the term ‘‘Secretary’’ means the Sec9 retary of Energy. 


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1 SEC. 3. PETROLEUM PRODUCT RESERVE. 

2 Section 154(a) of the Energy Policy and Conserva3 tion Act (42 U.S.C. 6234(a)) is amended by striking ‘‘1 

4 billion barrels of petroleum products’’ and inserting 

5 ‘‘1,000,000,000 barrels of petroleum products (including 

6 at least 30,000,000 barrels of refined petroleum prod7 ucts)’’. 

8 SEC. 4. SALE OF OIL FROM THE STRATEGIC PETROLEUM 

9 RESERVE AND ACQUISITION OF REFINED PE10 TROLEUM PRODUCT. 

11 (a) INITIAL PETROLEUM SALE AND REPLACE12 MENT.—Notwithstanding section 161 of the Energy Policy 

13 and Conservation Act (42 U.S.C. 6241), the Secretary 

14 shall— 

15 (1) sell, in the amounts and on the schedule de16 scribed in subsection (b), light grade petroleum from 

17 the Strategic Petroleum Reserve and acquire refined 

18 petroleum product; 

19 (2) deposit the cash proceeds from sales under 

20 paragraph (1) into the SPR Petroleum Account es21 tablished under section 167 of the Energy Policy 

22 and Conservation Act (42 U.S.C. 6247); and 

23 (3) from the cash proceeds deposited pursuant 

24 to paragraph (2), withdraw the amount necessary to 

25 pay for the direct administrative and operational 

26 costs of the sale and acquisition, including for acquiVerDate Mar 15 2010 04:26 Mar 11, 2011 Jkt 099200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H1017.IH H1017

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1 sition and maintenance of, and improvements to, 

2 storage facilities. 

3 (b) AMOUNTS AND SCHEDULE.— 

4 (1) IN GENERAL.—The sale and acquisition de5 scribed in subsection (a) shall require the offer for 

6 sale of a total quantity of not less than 30,000,000 

7 barrels of light grade petroleum from the Strategic 

8 Petroleum Reserve. The sale shall commence not 

9 later than 180 days after the date of enactment of 

10 this Act and be completed not later than 3 years 

11 after such date of enactment. In no event shall the 

12 Secretary sell barrels of oil under subsection (a) that 

13 would result in a Strategic Petroleum Reserve that 

14 contains fewer than 90 percent of the total amount 

15 of barrels in the Strategic Petroleum Reserve as of 

16 the date of enactment of this Act. 

17 (2) ACQUISITIONS.—The Secretary shall ac18 quire refined petroleum product under this section— 

19 (A) beginning no sooner than 180 days 

20 after the date of enactment of this Act; 

21 (B) ending no later than 5 years after the 

22 date of enactment of this Act; and 

23 (C) in a manner so as to minimize both 

24 the cost to the Federal Government and market 

25 disruption associated with the acquisition. 


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1 SEC. 5. REPORT TO CONGRESS. 

2 Not later than 18 months after the date of enactment 

3 of this Act, the Secretary shall transmit to Congress a 

4 report— 

5 (1) describing the amounts of light grade petro6 leum sold and refined petroleum product acquired 

7 under this Act; 

8 (2) describing the actions taken for the storage 

9 of refined petroleum product acquired under this 

10 Act, and identifying any requirements for additional 

11 facilities; 

12 (3) describing efforts the Department has taken 

13 to ensure that distributors and importers are not 

14 discouraged from maintaining and increasing sup15 plies of refined petroleum products; 

16 (4) describing actions that the Department has 

17 taken and plans to take to ensure quality of refined 

18 petroleum product in the Reserve, including the ro19 tation of product stored; and 

20 (5) analyzing the effects that activities under 

21 this Act have had on oil markets. 

Æ 


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