†
432
HR 6 EAS
provide convenient and reliable markets for trade in
energy goods and services.
(3) Development of sustainable energy alter-
natives in the countries of the Western Hemisphere
can improve energy security, balance of trade, and
environmental quality and provide markets for en-
ergy technology and agricultural products. Brazil and
the United States have led the world in the produc-
tion of ethanol, and deeper cooperation on biofuels
with other countries of the hemisphere would extend
economic and security benefits.
(4) Private sector partnership and investment in
all sources of energy is critical to providing energy se-
curity in the Western Hemisphere.
(b) HEMISPHERE ENERGY COOPERATION FORUM.—
(1) ESTABLISHMENT.—The Secretary of State,
in coordination with the Secretary of Energy, should
immediately seek to establish a regional-based min-
isterial forum to be known as the Hemisphere Energy
Cooperation Forum.
(2) PURPOSES.—The Hemisphere Energy Co-
operation Forum should seek—
(A) to strengthen relationships between the
United States and other countries of the Western
†
433
HR 6 EAS
Hemisphere through cooperation on energy
issues;
(B) to enhance cooperation between major
energy producers and major energy consumers in
the Western Hemisphere, particularly among the
governments of Brazil, Canada, Mexico, the
United States, and Venezuela;
(C) to ensure that energy contributes to the
economic, social, and environmental enhance-
ment of the countries of the Western Hemisphere;
(D) to provide an opportunity for open dia-
logue and joint commitments between member
governments and with private industry; and
(E) to provide participating countries the
flexibility necessary to cooperatively address
broad challenges posed to the energy supply of
the Western Hemisphere that are practical in
policy terms and politically acceptable.
(3) ACTIVITIES.—The Hemisphere Energy Co-
operation Forum should implement the following ac-
tivities:
(A) An Energy Crisis Initiative that will
establish measures to respond to temporary en-
ergy supply disruptions, including through—
†
434
HR 6 EAS
(i) strengthening sea-lane and infra-
structure security;
(ii) implementing a real-time emer-
gency information sharing system;
(iii) encouraging members to have
emergency mechanisms and contingency
plans in place; and
(iv) establishing a Western Hemisphere
energy crisis response mechanism as author-
ized under section 705(c).
(B) An Energy Sustainability Initiative to
facilitate long-term supply security through fos-
tering reliable supply sources of fuels, including
development, deployment, and commercialization
of technologies for sustainable renewable fuels
within the region, including activities that—
(i) promote production and trade in
sustainable energy, including energy from
biomass;
(ii) facilitate investment, trade, and
technology cooperation in energy infrastruc-
ture, petroleum products, natural gas (in-
cluding liquefied natural gas), energy effi-
ciency (including automotive efficiency),
†
435
HR 6 EAS
clean fossil energy, renewable energy, and
carbon sequestration;
(iii) promote regional infrastructure
and market integration;
(iv) develop effective and stable regu-
latory frameworks;
(v) develop renewable fuels standards
and renewable portfolio standards;
(vi) establish educational training and
exchange programs between member coun-
tries; and
(vii) identify and remove barriers to
trade in technology, services, and commod-
ities.
(C) An Energy for Development Initiative
to promote energy access for underdeveloped
areas through energy policy and infrastructure
development, including activities that—
(i) increase access to energy services for
the poor;
(ii) improve energy sector market con-
ditions;
(iii) promote rural development though
biomass energy production and use;
†
436
HR 6 EAS
(iv) increase transparency of, and par-
ticipation in, energy infrastructure projects;
(v) promote development and deploy-
ment of technology for clean and sustainable
energy development, including biofuel and
clean coal technologies; and
(vi) facilitate use of carbon sequestra-
tion methods in agriculture and forestry
and linking greenhouse gas emissions reduc-
tion programs to international carbon mar-
kets.
(c) HEMISPHERE ENERGY INDUSTRY GROUP.—
(1) AUTHORITY.—The Secretary of State, in co-
ordination with the Secretary of Commerce and the
Secretary of Energy, should approach the govern-
ments of other countries in the Western Hemisphere
to seek cooperation in establishing a Hemisphere En-
ergy Industry Group, to be coordinated by the United
States Government, involving industry representatives
and government representatives from the Western
Hemisphere.
(2) PURPOSE.—The purpose of the forum should
be to increase public-private partnerships, foster pri-
vate investment, and enable countries of the Western
†
437
HR 6 EAS
Hemisphere to devise energy agendas compatible with
industry capacity and cognizant of industry goals.
(3) TOPICS
OF
DIALOGUES.—Topics for the
forum should include—
(A) promotion of a secure investment cli-
mate;
(B) development and deployment of biofuels
and other alternative fuels and clean electrical
production facilities, including clean coal and
carbon sequestration;
(C) development and deployment of energy
efficient technologies and practices, including in
the industrial, residential, and transportation
sectors;
(D) investment in oil and natural gas pro-
duction and distribution;
(E) transparency of energy production and
reserves data;
(F) research promotion; and
(G) training and education exchange pro-
grams.
(d) ANNUAL REPORT.—The Secretary of State, in co-
ordination with the Secretary of Energy, shall submit to
the appropriate congressional committees an annual report
on the implementation of this section, including the strategy
†
438
HR 6 EAS
and benchmarks for measurement of progress developed
under this section.
SEC. 707. NATIONAL SECURITY COUNCIL REORGANIZATION.
Section 101(a) of the National Security Act of 1947
(50 U.S.C. 402(a)) is amended—
(1) by redesignating paragraphs (5), (6), and (7)
as paragraphs (6), (7), and (8), respectively; and
(2) by inserting after paragraph (4) the fol-
lowing:
‘‘(5) the Secretary of Energy;’’.
SEC. 708. ANNUAL NATIONAL ENERGY SECURITY STRATEGY
REPORT.
(a) REPORTS.—
(1) IN GENERAL.—Subject to paragraph (2), on
the date on which the President submits to Congress
the budget for the following fiscal year under section
1105 of title 31, United States Code, the President
shall submit to Congress a comprehensive report on
the national energy security of the United States.
(2) NEW PRESIDENTS.—In addition to the re-
ports required under paragraph (1), the President
shall submit a comprehensive report on the national
energy security of the United States by not later than
150 days after the date on which the President as-
†
442
HR 6 EAS
‘‘(b) SOVEREIGN IMMUNITY.—A foreign state engaged
in conduct in violation of subsection (a) shall not be im-
mune under the doctrine of sovereign immunity from the
jurisdiction or judgments of the courts of the United States
in any action brought to enforce this section.
‘‘(c) INAPPLICABILITY OF ACT OF STATE DOCTRINE.—
No court of the United States shall decline, based on the
act of state doctrine, to make a determination on the merits
in an action brought under this section.
‘‘(d) ENFORCEMENT.—The Attorney General of the
United States may bring an action to enforce this section
in any district court of the United States as provided under
the antitrust laws.’’.
(c) SOVEREIGN IMMUNITY.—Section 1605(a) of title
28, United States Code, is amended—
(1) in paragraph (6), by striking ‘‘or’’ after the
semicolon;
(2) in paragraph (7), by striking the period and
inserting ‘‘; or’’; and
(3) by adding at the end the following:
‘‘(8) in which the action is brought under section
7A of the Sherman Act.’’.
†
443
HR 6 EAS
SEC. 711. CONVENTION ON SUPPLEMENTARY COMPENSA-
TION FOR NUCLEAR DAMAGE CONTINGENT
COST ALLOCATION.
(a) FINDINGS AND PURPOSE.—
(1) FINDINGS.—Congress finds that—
(A) section 170 of the Atomic Energy Act of
1954 (42 U.S.C. 2210) (commonly known as the
‘‘Price-Anderson Act’’)—
(i) provides a predictable legal frame-
work necessary for nuclear projects; and
(ii) ensures prompt and equitable com-
pensation in the event of a nuclear incident
in the United States;
(B) section 170 of that Act, in effect, pro-
vides operators of nuclear powerplants with in-
surance for damage arising out of a nuclear in-
cident and funds the insurance primarily
through the assessment of a retrospective pre-
mium from each operator after the occurrence of
a nuclear incident;
(C) the Convention on Supplementary Com-
pensation for Nuclear Damage, done at Vienna
on September 12, 1997, will establish a global
system—
†
444
HR 6 EAS
(i) to provide a predictable legal
framework necessary for nuclear energy
projects; and
(ii) to ensure prompt and equitable
compensation in the event of a nuclear inci-
dent;
(D) the Convention benefits United States
nuclear suppliers that face potentially unlimited
liability for a nuclear incidents outside the cov-
erage of section 170 of the Atomic Energy Act of
1954 (42 U.S.C. 2210) by replacing a potentially
open-ended liability with a predictable liability
regime that, in effect, provides nuclear suppliers
with insurance for damage arising out of such
an incident;
(E) the Convention also benefits United
States nuclear facility operators that may be
publicly liable for a Price-Anderson incident by
providing an additional early source for a Price-
Anderson incident by providing an additional
early source of funds to compensate damage aris-
ing out of the Price-Anderson incident;
(F) the combined operation of the Conven-
tion, section 170 of the Atomic Energy Act of
1954 (42 U.S.C. 2210), and this section will
†
445
HR 6 EAS
augment the quantity of assured funds available
for victims in a wider variety of nuclear inci-
dents while reducing the potential liability of
United States suppliers without increasing po-
tential costs to United States operators;
(G) the cost of those benefits is the obliga-
tion of the United States to contribute to the
supplementary compensation fund established by
the Convention;
(H) any such contribution should be funded
in a manner that neither upsets settled expecta-
tions based on the liability regime established
under section 170 of the Atomic Energy Act of
1954 (42 U.S.C. 2210) nor shifts to Federal tax-
payers liability risks for nuclear incidents at for-
eign installations;
(I) with respect to a Price-Anderson inci-
dent, funds already available under section 170
of the Atomic Energy Act of 1954 (42 U.S.C.
2210) should be used; and
(J) with respect to a nuclear incident out-
side the United States not covered by section 170
of the Atomic Energy Act of 1954 (42 U.S.C.
2210), a retrospective premium should be pro-
rated among nuclear suppliers relieved from po-
†
446
HR 6 EAS
tential liability for which insurance is not avail-
able.
(2) PURPOSE.—The purpose of this section is to
allocate the contingent costs associated with partici-
pation by the United States in the international nu-
clear liability compensation system established by the
Convention on Supplementary Compensation for Nu-
clear Damage, done at Vienna on September 12,
1997—
(A) with respect to a Price-Anderson inci-
dent, by using funds made available under sec-
tion 170 of the Atomic Energy Act of 1954 (42
U.S.C. 2210) to cover the contingent costs in a
manner that neither increases the burdens nor
decreases the benefits under section 170 of that
Act; and
(B) with respect to a covered incident out-
side the United States that is not a Price-Ander-
son incident, by allocating the contingent costs
equitably, on the basis of risk, among the class
of nuclear suppliers relieved by the Convention
from the risk of potential liability resulting from
any covered incident outside the United States.
(b) DEFINITIONS.—In this section:
†
447
HR 6 EAS
(1) 
COMMISSION.—The 
term 
‘‘Commission’’
means the Nuclear Regulatory Commission.
(2) CONTINGENT COST.—The term ‘‘contingent
cost’’ means the cost to the United States in the event
of a covered incident the amount of which is equal to
the amount of funds the United States is obligated to
make available under paragraph 1(b) of Article III of
the Convention.
(3) 
CONVENTION.—The 
term 
‘‘Convention’’
means the Convention on Supplementary Compensa-
tion for Nuclear Damage, done at Vienna on Sep-
tember 12, 1997.
(4) COVERED INCIDENT.—The term ‘‘covered in-
cident’’ means a nuclear incident the occurrence of
which results in a request for funds pursuant to Arti-
cle VII of the Convention.
(5) COVERED INSTALLATION.—The term ‘‘covered
installation’’ means a nuclear installation at which
the occurrence of a nuclear incident could result in a
request for funds under Article VII of the Convention.
(6) COVERED PERSON.—
(A) IN GENERAL.—The term ‘‘covered per-
son’’ means—
(i) a United States person; and
†
448
HR 6 EAS
(ii) an individual or entity (including
an agency or instrumentality of a foreign
country) that—
(I) is located in the United States;
or
(II) carries out an activity in the
United States.
(B) EXCLUSIONS.—The term ‘‘covered per-
son’’ does not include—
(i) the United States; or
(ii) any agency or instrumentality of
the United States.
(7) NUCLEAR
SUPPLIER.—The term ‘‘nuclear
supplier’’ means a covered person (or a successor in
interest of a covered person) that—
(A) supplies facilities, equipment, fuel, serv-
ices, or technology pertaining to the design, con-
struction, operation, or decommissioning of a
covered installation; or
(B) transports nuclear materials that could
result in a covered incident.
(8) 
PRICE-ANDERSON
INCIDENT.—The 
term
‘‘Price-Anderson incident’’ means a covered incident
for which section 170 of the Atomic Energy Act of
1954 (42 U.S.C. 2210) would make funds available to
†
449
HR 6 EAS
compensate for public liability (as defined in section
11 of that Act (42 U.S.C. 2014)).
(9) SECRETARY.—The term ‘‘Secretary’’ means
the Secretary of Energy.
(10) UNITED STATES.—
(A) 
IN
GENERAL.—The 
term 
‘‘United
States’’ has the meaning given the term in sec-
tion 11 of the Atomic Energy Act of 1954 (42
U.S.C. 2014).
(B) 
INCLUSIONS.—The 
term 
‘‘United
States’’ includes—
(i) the Commonwealth of Puerto Rico;
(ii) any other territory or possession of
the United States;
(iii) the Canal Zone; and
(iv) the waters of the United States ter-
ritorial sea under Presidential Proclama-
tion Number 5928, dated December 27,
1988 (43 U.S.C. 1331 note).
(11) 
UNITED
STATES
PERSON.—The 
term
‘‘United States person’’ means—
(A) any individual who is a resident, na-
tional, or citizen of the United States (other than
an individual residing outside of the United
†
450
HR 6 EAS
States and employed by a person who is not a
United States person); and
(B) any corporation, partnership, associa-
tion, joint stock company, business trust, unin-
corporated organization, or sole proprietorship
that is organized under the laws of the United
States.
(c) USE OF PRICE-ANDERSON FUNDS.—
(1) IN GENERAL.—Funds made available under
section 170 of the Atomic Energy Act of 1954 (42
U.S.C. 2210) shall be used to cover the contingent cost
resulting from any Price-Anderson incident.
(2) EFFECT.—The use of funds pursuant to
paragraph (1) shall not reduce the limitation on pub-
lic liability established under section 170 e. of the
Atomic Energy Act of 1954 (42 U.S.C. 2210(e)).
(d) EFFECT ON AMOUNT OF PUBLIC LIABILITY.—
(1) IN GENERAL.—Funds made available to the
United States under Article VII of the Convention
with respect to a Price-Anderson incident shall be
used to satisfy public liability resulting from the
Price-Anderson incident.
(2) AMOUNT.—The amount of public liability al-
lowable under section 170 of the Atomic Energy Act
of 1954 (42 U.S.C. 2210) relating to a Price-Ander-
†
451
HR 6 EAS
son incident under paragraph (1) shall be increased
by an amount equal to the difference between—
(A) the amount of funds made available for
the Price-Anderson incident under Article VII of
the Convention; and
(B) the amount of funds used under sub-
section (c) to cover the contingent cost resulting
from the Price-Anderson incident.
(e) RETROSPECTIVE RISK POOLING PROGRAM.—
(1) IN GENERAL.—Except as provided in para-
graph (2), each nuclear supplier shall participate in
a retrospective risk pooling program in accordance
with this section to cover the contingent cost resulting
from a covered incident outside the United States that
is not a Price-Anderson incident.
(2) DEFERRED PAYMENT.—
(A) IN GENERAL.—The obligation of a nu-
clear supplier to participate in the retrospective
risk pooling program shall be deferred until the
United States is called on to provide funds pur-
suant to Article VII of the Convention with re-
spect to a covered incident that is not a Price-
Anderson incident.
(B) AMOUNT OF DEFERRED PAYMENT.—The
amount of a deferred payment of a nuclear sup-
†
452
HR 6 EAS
plier under subparagraph (A) shall be based on
the risk-informed assessment formula determined
under subparagraph (C).
(C) 
RISK-INFORMED
ASSESSMENT
FOR-
MULA.—
(i) IN
GENERAL.—Not later than 3
years after the date of enactment of this Act,
and every 5 years thereafter, the Secretary
shall, by regulation, determine the risk-in-
formed assessment formula for the allocation
among nuclear suppliers of the contingent
cost resulting from a covered incident that
is not a Price-Anderson incident, taking
into account risk factors such as—
(I) the nature and intended pur-
pose of the goods and services supplied
by each nuclear supplier to each cov-
ered installation outside the United
States;
(II) the quantity of the goods and
services supplied by each nuclear sup-
plier to each covered installation out-
side the United States;
(III) the hazards associated with
the supplied goods and services if the
†
453
HR 6 EAS
goods and services fail to achieve the
intended purposes;
(IV) the hazards associated with
the covered installation outside the
United States to which the goods and
services are supplied;
(V) the legal, regulatory, and fi-
nancial infrastructure associated with
the covered installation outside the
United States to which the goods and
services are supplied; and
(VI) the hazards associated with
particular forms of transportation.
(ii) FACTORS FOR CONSIDERATION.—
In determining the formula, the Secretary
may—
(I) exclude—
(aa) goods and services with
negligible risk;
(bb) classes of goods and
services not intended specifically
for use in a nuclear installation;
(cc) a nuclear supplier with
a de minimis share of the contin-
gent cost; and
†
454
HR 6 EAS
(dd) a nuclear supplier no
longer in existence for which there
is no identifiable successor; and
(II) establish the period on which
the risk assessment is based.
(iii) APPLICATION.—In applying the
formula, the Secretary shall not consider
any covered installation or transportation
for which funds would be available under
section 170 of the Atomic Energy Act of
1954 (42 U.S.C. 2210).
(iv) REPORT.—Not later than 5 years
after the date of enactment of this Act and
every 5 years thereafter, the Secretary shall
submit to the Committee on Environment
and Public Works of the Senate and the
Committee on Energy and Commerce of the
House of Representatives a report on wheth-
er there is a need for continuation or
amendment of this section, taking into ac-
count the effects of the implementation of
the Convention on the United States nuclear
industry and suppliers.
(f) REPORTING.—
(1) COLLECTION OF INFORMATION.—
†
455
HR 6 EAS
(A) IN GENERAL.—The Secretary may col-
lect information necessary for developing and
implementing the formula for calculating the de-
ferred payment of a nuclear supplier under sub-
section (e)(2).
(B) PROVISION
OF
INFORMATION.—Each
nuclear supplier and other appropriate persons
shall make available to the Secretary such infor-
mation, reports, records, documents, and other
data as the Secretary determines, by regulation,
to be necessary or appropriate to develop and
implement 
the 
formula 
under 
subsection
(e)(2)(C).
(2) PRIVATE INSURANCE.—The Secretary shall
make available to nuclear suppliers, and insurers of
nuclear suppliers, information to support the vol-
untary establishment and maintenance of private in-
surance against any risk for which nuclear suppliers
may be required to pay deferred payments under this
section.
(g) EFFECT ON LIABILITY.—Nothing in any other law
(including regulations) limits liability for a covered inci-
dent to an amount equal to less than the amount prescribed
in paragraph 1(a) of Article IV of the Convention, unless
the law—
†
456
HR 6 EAS
(1) specifically refers to this section; and
(2) explicitly repeals, alters, amends, modifies,
impairs, displaces, or supersedes the effect of this sub-
section.
(h) PAYMENTS TO AND BY THE UNITED STATES.—
(1) ACTION BY NUCLEAR SUPPLIERS.—
(A) NOTIFICATION.—In the case of a request
for funds under Article VII of the Convention re-
sulting from a covered incident that is not a
Price-Anderson incident, the Secretary shall no-
tify each nuclear supplier of the amount of the
deferred payment required to be made by the nu-
clear supplier.
(B) PAYMENTS.—
(i) IN GENERAL.—Except as provided
in clause (ii), not later than 60 days after
receipt of a notification under subpara-
graph (A), a nuclear supplier shall pay to
the general fund of the Treasury the de-
ferred payment of the nuclear supplier re-
quired under subparagraph (A).
(ii) ANNUAL
PAYMENTS.—A nuclear
supplier may elect to prorate payment of
the deferred payment required under sub-
paragraph (A) in 5 equal annual payments
†
457
HR 6 EAS
(including interest on the unpaid balance at
the prime rate prevailing at the time the
first payment is due).
(C) VOUCHERS.—A nuclear supplier shall
submit payment certification vouchers to the
Secretary of the Treasury in accordance with
section 3325 of title 31, United States Code.
(2) USE OF FUNDS.—
(A) IN GENERAL.—Amounts paid into the
Treasury under paragraph (1) shall be available
to the Secretary of the Treasury, without further
appropriation and without fiscal year limita-
tion, for the purpose of making the contributions
of public funds required to be made by the
United States under the Convention.
(B) ACTION
BY
SECRETARY
OF
TREAS-
URY.—The Secretary of the Treasury shall pay
the contribution required under the Convention
to the court of competent jurisdiction under Arti-
cle XIII of the Convention with respect to the ap-
plicable covered incident.
(3) FAILURE TO PAY.—If a nuclear supplier fails
to make a payment required under this subsection,
the Secretary may take appropriate action to recover
from the nuclear supplier—
†
458
HR 6 EAS
(A) the amount of the payment due from the
nuclear supplier;
(B) any applicable interest on the payment;
and
(C) a penalty of not more than twice the
amount of the deferred payment due from the
nuclear supplier.
(i) LIMITATION ON JUDICIAL REVIEW; CAUSE OF AC-
TION.—
(1) LIMITATION ON JUDICIAL REVIEW.—
(A) IN GENERAL.—In any civil action aris-
ing under the Convention over which Article
XIII of the Convention grants jurisdiction to the
courts of the United States, any appeal or review
by writ of mandamus or otherwise with respect
to a nuclear incident that is not a Price-Ander-
son incident shall be in accordance with chapter
83 of title 28, United States Code, except that the
appeal or review shall occur in the United States
Court of Appeals for the District of Columbia
Circuit.
(B) SUPREME COURT JURISDICTION.—Noth-
ing in this paragraph affects the jurisdiction of
the Supreme Court of the United States under
chapter 81 of title 28, United States Code.
†
459
HR 6 EAS
(2) CAUSE OF ACTION.—
(A) IN GENERAL.—Subject to subparagraph
(B), in any civil action arising under the Con-
vention over which Article XIII of the Conven-
tion grants jurisdiction to the courts of the
United States, in addition to any other cause of
action that may exist, an individual or entity
shall have a cause of action against the operator
to recover for nuclear damage suffered by the in-
dividual or entity.
(B) 
REQUIREMENT.—Subparagraph 
(A)
shall apply only if the individual or entity seeks
a remedy for nuclear damage (as defined in Ar-
ticle I of the Convention) that was caused by a
nuclear incident (as defined in Article I of the
Convention) that is not a Price-Anderson inci-
dent.
(C) EFFECT OF PARAGRAPH.—Nothing in
this paragraph limits, modifies, extinguishes, or
otherwise affects any cause of action that would
have existed in the absence of enactment of this
paragraph.
(j) RIGHT OF RECOURSE.—This section does not pro-
vide to an operator of a covered installation any right of
recourse under the Convention.