IIB 

116TH CONGRESS 

1ST SESSION H. R. 1616 

IN THE SENATE OF THE UNITED STATES 

MARCH 26, 2019 

Received; read twice and referred to the Committee on Foreign Relations 

AN ACT 

To prioritize the efforts of and enhance coordination among 

United States agencies to encourage countries in Europe 

and Eurasia to diversify their energy sources and supply 

routes, increase energy security in the region, and help 

the United States reach its global energy security goals, 

and for other purposes. 


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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 ‘‘European Energy Se5 curity and Diversification Act of 2019’’. 

6 SEC. 2. DEFINITIONS. 

7 In this Act: 

8 (1) EARLY-STAGE PROJECT SUPPORT.—The 

9 term ‘‘early-stage project support’’ includes the fol10 lowing: 

11 (A) Feasibility studies. 

12 (B) Resource evaluations. 

13 (C) Project appraisal and costing. 

14 (D) Pilot projects. 

15 (E) Commercial support, such as trade 

16 missions, reverse trade missions, technical 

17 workshops, international buyer programs, and 

18 international partner searchers to link suppliers 

19 to projects. 

20 (F) Technical assistance and other guid21 ance to improve the local regulatory environ22 ment and market frameworks to encourage 

23 transparent competition and enhance energy se24 curity. 

25 (G) Long-term energy sector planning. 


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1 (2) LATE-STAGE PROJECT SUPPORT.—The term 

2 ‘‘late-stage project support’’ includes support de3 scribed in section 1421 of the Better Utilization of 

4 Investments Leading to Development Act of 2018 

5 (also referred to as the ‘‘BUILD Act of 2018’’; en6 acted as division F of the FAA Reauthorization Act 

7 of 2018 (Public Law 115–254)). 

8 (3) INTERNATIONAL FINANCIAL INSTITU9 TION.—The term ‘‘international financial institu10 tion’’ has the meaning given such term in section 

11 1701(c) of the International Financial Institutions 

12 Act (22 U.S.C. 262r(c)). 

13 SEC. 3. SENSE OF CONGRESS; STATEMENT OF POLICY. 

14 (a) SENSE OF CONGRESS.—It is the sense of Con15 gress that the United States has economic and national 

16 security interests in assisting European and Eurasian 

17 countries achieve energy security through diversification 

18 of their energy sources and supply routes. 

19 (b) STATEMENT OF POLICY.—It is the policy of the 

20 United States to— 

21 (1) advance United States foreign policy and 

22 development goals by assisting European and Eur23 asian countries to reduce their dependence on energy 

24 resources from countries that use energy dependence 

25 for undue political influence, such as the Russian 


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1 Federation, which has used natural gas to coerce, in2 timidate, and influence other countries; 

3 (2) promote the energy security of European 

4 and Eurasian allies and partners of the United 

5 States by encouraging the development of accessible, 

6 transparent, and competitive energy markets that 

7 provide diversified sources, types, and routes of en8 ergy; 

9 (3) encourage United States public and private 

10 sector investment in European and Eurasian energy 

11 infrastructure projects to bridge the gap between en12 ergy security requirements and commercial demand 

13 in a way that is consistent with the region’s absorp14 tive capacity; 

15 (4) help facilitate a well-functioning market for 

16 energy resources in a way that benefits the energy 

17 security of the United States and European and 

18 Eurasian allies and partners of the United States; 

19 and 

20 (5) help facilitate the export of United States 

21 energy technology and expertise to global markets. 


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1 SEC. 4. PRIORITIZATION OF EFFORTS AND ASSISTANCE 

2 FOR ENERGY INFRASTRUCTURE PROJECTS 

3 IN EUROPE AND EURASIA. 

4 (a) IN GENERAL.—In pursuing the policy described 

5 in section 3(b), the Secretary of State, in coordination 

6 with the heads of United States agencies that operate 

7 under the foreign policy guidance of the Secretary, shall, 

8 as appropriate, prioritize and expedite the efforts of the 

9 Department of State and such agencies in supporting the 

10 efforts of the European Commission and European and 

11 Eurasian countries to increase the energy security of such 

12 countries, including through— 

13 (1) providing diplomatic and political support to 

14 the European Commission and such countries, as 

15 necessary to— 

16 (A) facilitate international negotiations 

17 concerning cross-border infrastructure; 

18 (B) enhance Europe’s and Eurasia’s regu19 latory environment with respect to energy; and 

20 (C) develop accessible, transparent, and 

21 competitive energy markets supplied by diverse 

22 sources, types, and routes of energy; and 

23 (2) providing support to improve European and 

24 Eurasian energy markets, including early-stage 

25 project support and late-stage project support for 


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1 the construction or improvement of energy infra2 structure, as necessary, to— 

3 (A) diversify the energy sources and supply 

4 routes of such countries; 

5 (B) enhance energy market integration 

6 across the region; and 

7 (C) increase competition within energy 

8 markets. 

9 (b) PROJECT SELECTION.— 

10 (1) IN GENERAL.—The Secretary of State, in 

11 consultation with the heads of agencies described in 

12 subsection (a), shall identify and, in accordance with 

13 paragraph (3), select energy infrastructure projects 

14 that would be appropriate for United States assist15 ance under this section. 

16 (2) PROJECT ELIGIBILITY.—A project is eligible 

17 for United States assistance under this section if 

18 such project is— 

19 (A) related to— 

20 (i) natural gas infrastructure, such as 

21 interconnectors, storage facilities, liquefied 

22 natural gas import facilities, or reverse 

23 flow capacity; 


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1 (ii) electricity transmission infrastruc2 ture, electricity storage projects, or smart 

3 grid projects; 

4 (iii) renewable energy projects in 

5 wind, solar, tidal, or other forms; or 

6 (iv) the improvement, rehabilitation, 

7 or construction of electricity generation fa8 cilities to increase the efficiency and reli9 ability of electricity production; and 

10 (B) located in a European or Eurasian 

11 country. 

12 (3) PREFERENCE.—In selecting among projects 

13 that are eligible under paragraph (2), the Secretary 

14 of State and the heads of agencies described in sub15 section (a) shall give preference to projects that— 

16 (A) improve the capacity of energy systems 

17 to efficiently transfer gas and electricity within 

18 and between European or Eurasian countries; 

19 (B) have already been identified by the 

20 European Commission as being integral for the 

21 energy security of European or Eurasian coun22 tries; 

23 (C) are expected to enhance energy market 

24 integration and transparency; 


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1 (D) can attract funding from the private 

2 sector, an international financial institution, the 

3 government of the country in which the project 

4 will be carried out, or the European Commis5 sion; or 

6 (E) have the potential to use United States 

7 goods and services. 

8 (c) TYPES OF ASSISTANCE.— 

9 (1) DIPLOMATIC AND POLITICAL SUPPORT.— 

10 The Secretary of State, in coordination with the 

11 heads of agencies described in subsection (a), as ap12 propriate, shall provide diplomatic and political sup13 port to the European Commission and European or 

14 Eurasian countries, as necessary, including by using 

15 the diplomatic and political influence and expertise 

16 of the Department of State to build the capacity of 

17 such countries to resolve any impediments to the de18 velopment of projects selected under subsection (b). 

19 (2) EARLY-STAGE PROJECT SUPPORT.—The 

20 Secretary of State, in coordination, as appropriate, 

21 with the heads of agencies described in subsection 

22 (a), including the Director of the Trade and Devel23 opment Agency, shall provide early-stage project 

24 support to projects selected under subsection (b), as 


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1 necessary and in accordance with section 661 of the 

2 Foreign Assistance Act of 1961 (22 U.S.C. 2421). 

3 (3) LATE-STAGE PROJECT SUPPORT.—The Sec4 retary of State, in coordination, as appropriate, with 

5 the heads of agencies described in subsection (a), 

6 shall provide late-stage project support to projects 

7 selected under subsection (b), as necessary and in 

8 accordance with section 1412 of the Better Utiliza9 tion of Investments Leading to Development Act (re10 lating to the establishment of the United States 

11 International Development Finance Corporation). 

12 (d) FUNDING.— 

13 (1) TRADE AND DEVELOPMENT AGENCY.—Sub14 paragraph (A) of section 661(f)(1) of the Foreign 

15 Assistance Act of 1961 (22 U.S.C. 2421(f)(1)) is 

16 amended by striking ‘‘$48,000,000 for fiscal year 

17 2000’’ and inserting ‘‘$79,500,000 for fiscal year 

18 2020’’. 

19 (2) COUNTERING RUSSIAN INFLUENCE FUND.— 

20 Section 254 of the Countering Russian Influence in 

21 Europe and Eurasia Act of 2017 (enacted as title II 

22 of the Countering America’s Adversaries Through 

23 Sanctions Act; Public Law 115–44; 22 U.S.C. 9543) 

24 is amended— 


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1 (A) in subsection (a), by striking ‘‘fiscal 

2 years 2018 and 2019’’ and adding ‘‘fiscal years 

3 2020 and 2021’’; and 

4 (B) in subsection (b), by adding at the end 

5 the following new paragraph: 

6 ‘‘(7) To assist United States agencies that op7 erate under the foreign policy guidance of the Sec8 retary of State in providing assistance under section 

9 4 of the European Energy Security and Diversifica10 tion Act of 2019.’’. 

11 (e) EXCEPTION.—No United States assistance under 

12 this section may be provided to a European or Eurasian 

13 country that engages in a significant transaction described 

14 in subsection (a) of section 231 of the Countering Amer15 ica’s Adversaries Through Sanctions Act (22 U.S.C. 

16 9525). 

17 SEC. 5. PROGRESS REPORTS. 

18 Not later than one year after the date of the enact19 ment of this Act and annually thereafter for seven years, 

20 the President shall transmit to the Committee on Foreign 

21 Relations of the Senate and the Committee on Foreign 

22 Affairs of the House of Representatives a report on 

23 progress made in providing assistance for projects under 

24 section 4 that includes the following: 


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1 (1) A description of the energy infrastructure 

2 projects the United States has identified for such as3 sistance. 

4 (2) For each such project, the following: 

5 (A) A description of the role of the United 

6 States in the project, including in early-stage 

7 project support and late-stage project support. 

8 (B) The amount and form of any debt fi9 nancing and insurance provided by the United 

10 States Government for the project. 

11 (C) The amount and form of any early12 stage project support. 

13 (D) An update on the progress made on 

14 the project as of the date of the report. 

Passed the House of Representatives March 25, 

2019. 

Attest: CHERYL L. JOHNSON, 

Clerk. 


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