This section of the FEDERAL REGISTER

contains regulatory documents having general

applicability and legal effect, most of which

are keyed to and codified in the Code of

Federal Regulations, which is published under

50 titles pursuant to 44 U.S.C. 1510.

The Code of Federal Regulations is sold by

the Superintendent of Documents.

Rules and Regulations Federal Register

50491 

Vol. 82, No. 210 

Wednesday, November 1, 2017 

1Executive Order 13783 defined burden for 

purposes of the review of existing regulations to 

mean to unnecessarily obstruct, delay, curtail, or 

otherwise impose significant costs on the siting, 

permitting, production, utilization, transmission, or 

delivery of energy resources. 

2 82 FR 24582 (May 30, 2017). 

DEPARTMENT OF ENERGY 

2 CFR Chapter IX 

5 CFR Chapter XXIII 

10 CFR Chapters II, III and X 

41 CFR Chapter 109 

48 CFR Chapter 9 

Availability of Final Report on 

Regulatory Review Under Executive 

Order 13783 

AGENCY: Office of the Secretary, 

Department of Energy. 

ACTION: Notification of final report on 

regulatory review. 

SUMMARY: Through this document, the 

Department of Energy (DOE) announces 

the availability of its report issued 

under Executive Order 13783, 

‘‘Promoting Energy Independence and 

Economic Growth’’. 

DATES: The Secretary signed the final 

report on October 24, 2017. 

ADDRESSES: Copies of the report are 

available for public inspection at the 

U.S. Department of Energy, Forrestal 

Building, 1000 Independence Avenue 

SW., Washington, DC 20585. Public 

inspection can be conducted between 

9:00 a.m. and 4:00 p.m., Monday 

through Friday, except Federal holidays. 

This report is being published in its 

entirety and can also be accessed online 

at https://www.energy.gov/downloads/ 

final-report-regulatory-review-underexecutive-order-13783. 

FOR FURTHER INFORMATION CONTACT: 

Daniel Cohen, U.S. Department of 

Energy, Office of the General Counsel, 

1000 Independence Avenue SW., 

Washington, DC 20585. Telephone: 

(202) 586–5000. Email: 

Regulatory.Review@hq.doe.gov. 

SUPPLEMENTARY INFORMATION: The 

Department of Energy (DOE) announces 

the availability of its report issued 

under Executive Order 13783, 

‘‘Promoting Energy Independence and 

Economic Growth’’. The report provides 

the recommendations of DOE’s 

Regulatory Reform Task Force to reduce 

regulatory burdens on domestic energy 

resources, and is published as an 

appendix to this document and 

available at https://www.energy.gov/ 

downloads/final-report-regulatoryreview-under-executive-order-13783. 

Issued in Washington, DC, on October 26, 

2017. 

Shena A. Kennerly, 

Acting Director, Office of the Executive 

Secretariat, Department of Energy. 

Appendix 

Department of Energy 

Final Report on Regulatory Review Under 

Executive Order 13783 

On March 28, 2017, the President signed 

Executive Order (EO) 13783, entitled 

‘‘Promoting Energy Independence and 

Economic Growth.’’ Among other things, EO 

13783 requires the heads of agencies to 

review all existing regulations, orders, 

guidance documents, policies, and any other 

similar agency actions (collectively, ‘‘agency 

actions’’) that potentially burden 1 the 

development or use of domestically 

produced energy resources, with particular 

attention to oil, natural gas, coal, and nuclear 

energy resources. Such review does not 

include agency actions that are mandated by 

law, necessary for the public interest, and 

consistent with the policy set forth elsewhere 

in that order. 

On May 18, 2017, I submitted to the 

Director of the Office of Management and 

Budget (OMB) the Department of Energy’s 

(DOE) plan to review its agency actions 

under EO 13783. The plan was also sent to 

the Vice President, the Assistant to the 

President for Economic Policy, the Assistant 

to the President for Domestic Policy, and the 

Chair of the Council on Environmental 

Quality (CEQ). In the plan, I stated that 

DOE’s Regulatory Reform Task Force (Task 

Force) would conduct the review of agency 

actions subject to review under EO 13783. 

On May 30, 2017, DOE published in the 

Federal Register a Request for Information 

(RFI), seeking input and other assistance 

from entities significantly affected by 

regulations of the DOE, including State, local, 

and tribal governments, small businesses, 

consumers, non-governmental organizations, 

and manufacturers and their trade 

associations.2

DOE’s goal in publishing the RFI was to 

‘‘create a systematic method for identifying 

those existing DOE rules that are obsolete, 

unnecessary, unjustified, or simply no longer 

make sense.’’ DOE decided to solicit views 

on: (a) How DOE could best conduct its 

analysis of existing agency actions, and (b) 

insights on specific rules or Departmentimposed obligations that should be altered or 

eliminated. 

The comment period on the RFI closed on 

July 14, 2017. DOE received 132 separate 

public comments from decision-makers, 

stakeholders, and the public on rules 

promulgated by DOE and the burdens some 

of those rules have imposed. The Task Force 

has evaluated these comments to achieve 

meaningful regulatory reform in a manner 

consistent with our commitment to public 

participation in the rulemaking process. 

DOE sought views on the specific rules or 

Department-imposed obligations that should 

be altered or eliminated, because knowledge 

about the full effects of a rule is widely 

dispersed in society, and members of the 

public are likely to have useful information 

and perspectives on the benefits and burdens 

of existing requirements and how regulatory 

obligations may be updated, streamlined, 

revised, or repealed to better achieve 

regulatory objectives, while minimizing 

regulatory burdens, consistent with 

applicable law. Interested parties may also be 

well-positioned to identify those rules that 

are most in need of reform, and, thus, assist 

the Department in prioritizing and properly 

tailoring its review process. 

Beyond the RFI, the Task Force reviewed 

DOE Directives, Orders, Manuals, and 

Policies designed to ensure the effective 

management and operation of the National 

Laboratories, which contribute to American 

economic growth and energy security. Also, 

with the help of the Office of Management 

and staff for the Under Secretary of Energy, 

we reviewed DOE’s Directives, Orders, 

Manuals, and Policies specifically for 

burdens on domestic energy production. 

In addition to the work conducted to 

comply with EO 13783, DOE will continue to 

review all agency actions to assure that DOE 

does not burden domestic energy production. 

For example, as discussed below, we will 

review agency actions concerning fossil fuel 

consumption in Federal buildings, impact of 

building codes, and nuclear export licensing. 

DOE is committed to reducing regulatory 

burdens on the American people to unleash 

domestic energy production and promote job 

creation and economic growth. 

Recommendations To Reduce Regulatory 

Burdens on Domestic Energy Resources 

Based on a review of the comments 

received in response to the RFI, coupled with 

the work of the Task Force to identify both 

internal and external agency actions that 

inhibit domestic energy development and 

use, DOE’s Task Force offers the following 

recommendations: 


sradovich on DSK3GMQ082PROD with RULES
50492 Federal Register / Vol. 82, No. 210 / Wednesday, November 1, 2017 / Rules and Regulations 

(1) Streamline Natural Gas Exports; 

(2) Review National Laboratory Policies; 

(3) Review National Environmental Policy 

Act (NEPA) Regulations; and 

(4) Review the DOE Appliance Standards 

Program. 

DOE Task Force Recommendations 

(1) Streamline Natural Gas Exports 

Several commenters encouraged DOE to 

expedite exports of Liquefied Natural Gas 

(LNG). 

On September 1, 2017, DOE announced a 

proposed rule to provide faster approval of 

small-scale natural gas exports, including 

LNG. This measure will expedite the review 

and approval of applications to export small 

amounts of natural gas in the emerging smallscale LNG export market. Under the Natural 

Gas Act, DOE has jurisdiction over imports 

and exports of natural gas. For applications 

to export natural gas to countries without a 

qualifying free trade agreement (non-free 

trade agreement countries), DOE must 

conduct a public interest review before 

authorizing an export. This proposed rule 

provides that DOE, upon receipt of any 

complete application to export natural gas 

(including LNG) to non-free trade agreement 

countries, will grant the application if the 

application meets two criteria: The 

application proposes to export no more than 

0.14 billion cubic feet per day (bcf/d), and 

the proposed export qualifies for a categorical 

exclusion under DOE’s NEPA regulations. 

For applications meeting these criteria, the 

exports are considered ‘‘small-scale natural 

gas exports’’ and are deemed in the public 

interest under the Natural Gas Act. Exports 

of natural gas to free trade agreement 

countries are already deemed in the public 

interest under the Act. 

The Task Force will also consider whether 

future rulemakings can allow for expedited 

processing of larger-scale exports of natural 

gas as consistent with applicable law and 

DOE’s statutory authority. 

(2) Review National Laboratory Policies 

DOE manages several National Laboratories 

that support the Department’s energy, 

science, and nuclear non-proliferation 

missions. As part of our review, the Task 

Force conducted a comprehensive review of 

operations and procedures at the National 

Labs. The National Labs conduct research 

and development of innovative technologies 

that have the potential to enable future 

energy production. The Task Force identified 

several areas for reform that would permit 

the National Laboratories to operate more 

efficiently, focusing more time and resources 

on their mission-critical work: Conducting 

early-stage research and development of 

innovative energy technologies that advance 

American economic growth and energy 

security. 

(3) Review DOE’s National Environmental 

Policy Act (NEPA) Regulations and 

Implementation 

DOE received comments on the RFI 

concerning streamlining and simplifying the 

agency’s external regulations (10 CFR 1021) 

and internal operations to improve 

effectiveness and efficiency of NEPA 

document approval processes. The Task 

Force is comprehensively reviewing NEPA 

and offers several specific recommendations 

to reform DOE’s NEPA processes to optimize 

and ensure compliance with existing statutes, 

CEQ regulations (40 CFR 1500–1508), and 

EO. 

Specific NEPA recommendations include: 

• Reform the NEPA process for permitting 

and export applications, including LNG and 

infrastructure. 

• Review existing NEPA policies to assess 

whether DOE should grant more categorical 

exclusions. Further, enable DOE’s adoption 

of categorical exclusions already approved by 

other Federal agencies, and foster interagency 

collaboration, such as working with the 

Bureau of Land Management to consider 

categorical exclusions for geothermal energy 

on Federal lands. 

• Remove language in DOE Regulations (10 

CFR 1021) that is not consistent with 

overarching CEQ regulations (40 CFR 1500– 

1508). 

(4) Review DOE Appliance Standards 

Program 

Pursuant to the Energy Policy and 

Conservation Act of 1975 (EPCA), DOE 

implements minimum energy conservation 

standards and separate test procedures for 

more than 60 categories of appliances. DOE’s 

energy conservation standards apply to this 

EO because they impact U.S. energy 

consumption, the vast majority of which 

comes from oil, natural gas, coal, and nuclear 

resources. 

Below is a summary of the various public 

comments and proposals that DOE has 

received and is considering: 

• Review the Process Rule. Many 

commenters have asked DOE to follow and 

review the 1996 Process Rule (10 CFR 

Appendix A to Subpart C). The Process Rule 

describes the procedures, interpretations, and 

policies that guide DOE in establishing new 

or revised energy-efficiency standards for 

consumer products. Given our commitment 

to transparency and regulatory certainty, 

DOE will consider issuing a RFI to gather 

additional feedback from stakeholders on 

how to amend or improve the Process Rule. 

• Reduce the Burden of Serial Rulemaking. Many stakeholders, including 

manufacturers and small businesses, regard 

as overly burdensome and unnecessary the 

statutory requirement to reconsider standards 

at least once every six years. 

Æ Commenters offered similar feedback in 

response to the Department of Commerce’s 

RFI pursuant to the Presidential 

Memorandum on Streamlining Permitting 

and Reducing Regulatory Burdens for 

Domestic Manufacturing. 

Æ Commenters of both DOE’s and 

Commerce’s RFI suggest extending the time 

period between consideration of standards to 

give regulated industries more time to 

comply. This would require statutory 

changes, which are outside the scope of EO 

13783. 

However, DOE will consider other agency 

actions to reduce regulatory burdens on 

American families and businesses. As stated 

below, such reforms would give DOE more 

time to determine, before considering 

amending standards for a product, whether 

costs were accurately estimated and expected 

energy savings were realized. 

The current 6-year review process may not 

provide adequate time for such a 

retrospective analysis, which is critical to 

determine whether energy conservation 

standards are working as intended and the 

underlying assumptions are sound. 

Æ In lieu of statutory changes to the 6-year 

review period, DOE should consider ‘‘no 

amended standards’’ determinations when 

supported by data and when small energy 

savings require significant upfront cost to 

achieve. 

Æ Consider voluntary, non-regulatory, and 

market-based alternatives to standardssetting. For example, when appropriate and 

consistent with the law, consider using 

established industry test procedures as the 

DOE test procedures. 

Æ Consider establishing a baseline for 

energy savings that qualify as not significant 

and thus not economically justified. 

Æ Refrain from enacting standards through 

a direct final rule because of the economic 

burden it may impose on households and the 

lack of consumer voice in the rulemaking 

process. 

• Improve Cost-Benefit Analysis. EPCA 

requires DOE to promulgate rules that are 

economically justified, but this definition is 

subject to interpretation. Setting clear 

definitions that evaluate the comprehensive 

range of costs and benefits is crucial to 

ensure that DOE’s conservation standards 

save energy while minimizing economic 

burdens. Some topics for consideration 

include: 

Æ Establish internal DOE standards for 

how to regulate when large portions of the 

public would bear net costs (costs exceed 

benefits). Adopting a standard for 

determining a level at which the net cost is 

too large would preserve resources and 

mitigate burdens on consumers. 

Æ Conduct a retrospective review of 

previous standards to assess the validity of 

DOE’s analysis before it is used in new rules. 

This would give DOE enough time to collect 

information on consumer preferences and 

behavior, including surveys of consumers. 

• Reconsider standards and test 

procedures for particular products. 

Commenters identified numerous standards 

and test procedures for reconsideration, 

citing excessive regulatory burdens. DOE is 

evaluating these comments, examples of 

which include: 

Æ Review standards for natural gas 

products to consider whether the standards 

are inconsistent with the intent of EO 13783 

to minimize regulatory burdens on domestic 

energy resources. 

Æ Reconsider, or refrain from establishing, 

certain standards, including commercial 

packaged boilers, commercial and industrial 

fans and blowers, the refrigerated beverage 

vending machine standards rule published in 

2016; the commercial refrigeration 

equipment standards rule published in 2014; 

the residential furnace fan rule published in 

2014; and the residential water heaters 

standards published in 2010. Other 

commenters recommend maintaining many 

of these standards. 


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Federal Register / Vol. 82, No. 210 / Wednesday, November 1, 2017 / Rules and Regulations 50493 

1 82 FR 23758 (May 24, 2017). The Commission 

posted this document on its Web site on May 19, 

2017. Notice of Proposed Rulemaking on 

Amendments to Supplemental Standards of Ethical 

Conduct for Employees of the Postal Regulatory 

Commission, May 19, 2017 (Order No. 3906). 

2 82 FR 23766 (May 24, 2017). The Commission 

posted this document on its Web site on May 19, 

2017. Order No. 3907, Notice of Proposed 

Rulemaking on Amendments to Ethics Rules, May 

19, 2017. 

3See Executive Order No. 12674, 54 FR 15159 

(Apr. 12, 1989); Executive Order No. 12731, 55 FR 

42547 (Oct. 17, 1990). 

4See 57 FR 35006–35067, as corrected at 57 FR 

48557 (Oct. 27, 1992), 57 FR 52583 (Nov. 4, 1992), 

and 60 FR 66857–66858 (Dec. 27, 1995). 

5Comment Received from Beth Sum, June 19, 

2017 (Sum Comments). For transparency, this 

comment was posted to the Commission’s Web site 

and associated with this docket. 

6Public Representative Comments on Notices of 

Proposed Rulemaking on Amendments to Ethics 

Rules and Amendments to Supplemental Standards 

of Ethical Conduct for Employees of the Postal 

Regulatory Commission, June 26, 2017 (PR 

Comments). The Public Representative also filed a 

motion for late acceptance of his comments. Motion 

Continued 

Æ Repeal or reconsider several test 

procedures, including for compressors, 

residential central air conditioners and heat 

pumps, and consumer and commercial water 

heaters. Other commenters recommend 

maintaining current test procedures. 

• Follow the requirements of EO 13783 

when analyzing climate impacts. EO 13783 

withdraws certain documents concerning the 

development of the Social Cost of Carbon 

(SCC) and requires agencies to follow the 

requirements of OMB Circular A–4 in climate 

analyses. DOE will follow these requirements 

in our regulations. Also, some commenters 

encouraged DOE not to use SCC to calculate 

the climate impacts of regulations. 

In addition to the recommendations listed 

above, DOE is committed to enhancing 

engagement with stakeholders in an open 

and transparent process. Building on the 

listening session held on October 2, 2017, 

DOE is preparing to send a letter to each of 

the Department’s Federal Advisory 

Committees requesting them to include 

regulatory reform on the agenda for their next 

meeting. DOE will also consider holding 

additional listening sessions on a semiregular basis to gather feedback and hold the 

Department accountable to the public. 

Furthermore, DOE will continue to 

consider other areas where it may be possible 

to relieve burdens on domestic energy 

production. For example, DOE will consider, 

consistent with Federal law, possible 

flexibility for regulations relating to fossil 

fuel consumption in Federal buildings, 

buildings codes, nuclear export licensing, 

and DOE’s proposed nuclear damage 

contingent cost allocation rule. In short, we 

will remain committed to reducing burdens 

on all kinds of domestic energy production. 

Section 2(d) of EO 13783 

These recommendations comprise DOE’s 

final report, which will be submitted to the 

Vice President, the OMB Director, the 

Assistant to the President for Economic 

Policy, the Assistant to the President for 

Domestic Policy, and the Chair of the Council 

on Environmental Quality, as required by 

section 2(d) of EO 13783. 

If implemented, these recommendations 

would alleviate or eliminate aspects of 

agency actions that burden domestic energy 

development, production, and use. 

October 24, 2017 

Rick Perry, 

Secretary of Energy 

[FR Doc. 2017–23713 Filed 10–31–17; 8:45 am] 

BILLING CODE 6450–01–P 

POSTAL REGULATORY COMMISSION 

5 CFR Part 5601 

[Docket No. RM2017–4; Order No. 4177] 

Supplemental Standards of Ethical 

Conduct 

AGENCY: Postal Regulatory Commission. 

ACTION: Final rule. 

SUMMARY: The Commission is issuing a 

set of rules that amend existing rules 

related to supplemental standards of 

ethical conduct for Postal Regulatory 

Commission employees. The rules 

revise the existing rules in order to 

better conform to Office of Government 

Ethics standards and accurately reflect 

the Commission’s regulatory role under 

the Postal Accountability and 

Enhancement Act. 

DATES: Effective December 1, 2017. 

FOR FURTHER INFORMATION CONTACT: 

David A. Trissell, General Counsel, at 

202–789–6820. 

SUPPLEMENTARY INFORMATION: 

Table of Contents 

I. Introduction 

II. Background 

III. Comments 

IV. Commission Analysis 

V. Ordering Paragraphs 

I. Introduction 

On May 24, 2017, the Postal 

Regulatory Commission (Commission) 

issued a notice of proposed rulemaking 

to revise its supplemental standards of 

ethical conduct, 5 CFR part 5601.1 On 

the same day, the Commission also 

issued a notice of proposed rulemaking 

to revise the ethics rules applicable to 

Commission employees, 39 CFR subpart 

A of part 3000.2

Executive branch employees are 

subject to multiple federal ethics laws, 

regulations issued by the Office of 

Government Ethics (OGE), and 

executive orders. The supplemental 

standards of ethical conduct at issue in 

this Order are additional restrictions 

applicable only to Commission 

employees. These supplemental 

standards of ethical conduct concern 

prohibited financial interests, 

prohibited outside employment, 

disqualification when seeking nonfederal employment, and prior approval 

to engage in outside employment. For 

the reasons discussed below, the 

Commission adopts the proposed rules 

without alteration. OGE concurs with 

the Commission’s proposed revisions to 

5 CFR part 5601. 

II. Background 

In 1991, Executive Order 12674, as 

amended by Executive Order 12731, 

authorized OGE to establish a single, 

comprehensive, and clear set of 

executive branch standards of ethical 

conduct.3 On August 7, 1992, OGE 

published a final rule titled Standards of 

Ethical Conduct for Employees of the 

Executive Branch (OGE Standards).4

The OGE Standards, codified at 5 CFR 

part 2635, became effective February 3, 

1993, and established uniform standards 

of ethical conduct applicable to all 

executive branch personnel. On August 

12, 1993, the Postal Rate Commission 

collaborated with OGE to publish 

existing 5 CFR part 5601 as an interim 

rule. 58 FR 42839 (Aug. 12, 1993). 

In 2006, the Postal Accountability and 

Enhancement Act (PAEA), Public Law 

109–435, 120 Stat. 3198 (2006) changed 

the agency’s name from the Postal Rate 

Commission to the Postal Regulatory 

Commission and made several changes 

to the Commission’s regulatory role. 

Order No. 3906 at 2–3. The 

supplemental standards of ethical 

conduct, existing 5 CFR part 5601, have 

never been amended or finalized since 

their 1993 adoption and remain 

attributed to the Postal Rate 

Commission. The PAEA’s changes to the 

Commission’s responsibilities drive the 

need to modernize the Commission’s 

supplemental standards of ethical 

conduct. Moreover, experience has 

informed the Commission’s view 

regarding linguistic and organizational 

revisions to clarify the supplemental 

standards of ethical conduct. 

III. Comments 

The Commission received two sets of 

comments pertaining to the proposed 

revisions to the supplemental standards 

of ethical conduct and the 

Commission’s ethics rules. 

Sum Comments. The Commission 

received the following comment 

through the www.federalregister.gov 

Web site: ‘‘Any deletion of ethical 

conduct would not be in the best 

interest of the American people due to 

transparency.’’ 5

PR Comments. The Public 

Representative supports the proposed 

revisions.6 He deems it ‘‘critical that the 


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