Strategic Energy and Minerals Initiative Act of 2021

To modernize certain Federal agencies for an era of strategic energy and mineral competition, and for other purposes. 1. Short title This Act may be cited as the Strategic Energy and Minerals Initiative Act of 2021 2. Policy of the United States (a) In general It is the policy of the United States to enable the private sector in the United States to compete in global energy and critical minerals markets that may be dominated by cartels, state-sponsored enterprises, and trade finance agencies that utilize the provision of credit, capital, and other financial support for strategic energy purposes. (b) Critical mineral defined In this section, the term critical mineral Public Law 116–260 30 U.S.C. 1606(a) 3. Strategic energy and minerals portfolio of United States International Development Finance Corporation Title V of the Better Utilization of Investments Leading to Development Act of 2018 ( 22 U.S.C. 9671 1455. Strategic energy and minerals portfolio The Corporation— (1) may provide support under title II for projects related to any type of energy, including fossil fuels, renewables (including hydropower), and nuclear energy, or the production, processing, manufacturing, or recycling of critical minerals (as defined in section 7002(a) of the Energy Act of 2020 (division Z of Public Law 116–260 30 U.S.C. 1606(a) (2) may not prohibit, restrict, or otherwise impede the provision of support on the basis of the type of energy involved in a project. . 4. Opposition to policies at multilateral development banks restricting assistance based on type of energy involved (a) In general The Secretary of the Treasury shall direct the United States Executive Director of each multilateral development bank to use the voice and vote of the United States at the bank to oppose all policies, rules, and regulations at the bank that restrict the provision of development assistance to developing countries on the basis of the type of energy involved, including through restrictions on upstream fossil fuel activities and the use of coal-fired electricity generation. (b) Multilateral development bank defined In this section, the term multilateral development bank 22 U.S.C. 262r(c) 5. Promotion of energy and minerals exports by Export-Import Bank of the United States (a) Strategic energy and minerals portfolio The Export-Import Bank Act of 1945 ( 12 U.S.C. 635 16. Strategic energy and minerals portfolio (a) In general The Bank shall establish a strategic energy and minerals portfolio focused on providing financing (including loans, guarantees, and insurance) for civil nuclear energy infrastructure projects (subject to subsection (c)), natural gas infrastructure projects, and critical minerals projects (including production, processing, manufacturing, or recycling), that may facilitate— (1) increases in exports of United States energy commodities, such as regasification terminals; (2) the export of United States equipment, materials, and technology; or (3) the strategic diversification of supply chains critical to the United States economy. (b) Maximum exposure cap for strategic energy portfolio (1) In general The aggregate amount of loans, guarantees, and insurance under subsection (a) the Bank has outstanding at any one time may not exceed $50,000,000,000. (2) Treatment of defaults A default on financing provided under subsection (a) shall not— (A) be included in the default rate calculated by the Bank under section 8(g)(1); or (B) count for purposes of the freeze on lending provided for under section 6(a)(3). (c) Limitation The Bank may provide financing for civil nuclear energy infrastructure projects only in countries with which the United States has in effect a nuclear cooperation agreement under section 123 of the Atomic Energy Act of 1954 ( 42 U.S.C. 2153 (d) Rule of construction Nothing in this section may be construed to lessen the obligation of the Bank to conduct rigorous due diligence and mitigate risks with respect to transactions or projects for which the Bank provides financing under this section. (e) Critical mineral defined In this section, the term critical mineral Public Law 116–260 30 U.S.C. 1606(a) . (b) Promotion of energy exports Section 2(b)(1)(C) of the Export-Import Bank Act of 1945 ( 12 U.S.C. 635(b)(1)(C) nonnuclear renewable all (c) Modification of limitation on financing for nuclear energy exports Section 2(b)(5)(C) of the Export-Import Bank Act of 1945 ( 12 U.S.C. 635(b)(5)(C) any liquid metal fast breeder nuclear reactor or any nuclear fuel reprocessing facility any nuclear material, equipment, or technology not provided for under a nuclear cooperation agreement in effect under section 123 of the Atomic Energy Act of 1954 ( 42 U.S.C. 2153 (d) Extension of export-Import bank (1) Aggregate loan, guarantee, and insurance authority Section 6(a) of the Export-Import Bank Act of 1945 ( 12 U.S.C. 635e(a) (A) in paragraph (2), by striking fiscal years 2020 through 2027, means $135,000,000,000 2021 through 2031, means $200,000,000,000 (B) in paragraph (3), by striking If Except as provided in section 16(b)(2), if (2) Termination Section 7 of the Export-Import Bank Act of 1945 ( 12 U.S.C. 635f 2026 2031 6. Loan guarantees for projects that increase the domestic supply of critical minerals Section 1703(b) of the Energy Policy Act of 2005 ( 42 U.S.C. 16513(b) (13) Projects that increase the domestic supply of critical minerals (as designated by the Secretary of the Interior under section 7002(c) of the Energy Act of 2020 (division Z of Public Law 116–260 30 U.S.C. 1606(c) . 7. Implementation of federal strategy to ensure secure and reliable supplies of critical minerals Not later than 2 years after the date of the enactment of this Act, the Federal Government shall fully implement the recommendations made in the report of the Department of Commerce entitled A Federal Strategy to Ensure the Secure and Reliable Supplies of Critical Minerals

Summary: Strategic Energy and Minerals Initiative Act of 2021 This bill requires federal actions to increase competition in global energy and critical minerals markets. It also reauthorizes through December 31, 2031, the Export-Import Bank. Specifically, the bill authorizes the U.S. International Development Finance Corporation to provide support for energy projects and for producing, processing, manufacturing, or recycling critical minerals. The corporation may not prohibit or restrict its support based on the type of energy involved in a project. The Department of the Treasury must direct the U.S. executive directors at multilateral development banks to oppose restricting assistance to developing countries based on the type of energy involved. Additionally, the bill includes provisions related to the Export-Import Bank, including to direct the bank to establish a strategic energy and minerals portfolio focused on providing financing for projects related to civil nuclear energy infrastructure, natural gas infrastructure, and critical minerals; increase, for each of FY2021-FY2031, the authorized aggregate amount of loans, guarantees, and insurance that the bank may have outstanding; and prohibit the bank from guaranteeing, insuring, or extending credit for the purchase of any nuclear material, equipment, or technology not provided for under a specified agreement. The Department of Energy may make guarantees for projects that increase the domestic supply of critical minerals. The federal government must fully implement the recommendations made in the Department of Commerce's report titled A Federal Strategy to Ensure the Secure and Reliable Supplies of Critical Minerals, published in June 2019.