Strategic Energy and Minerals Initiative Act of 2021
Bill: S.1537 | Sponsor: Sen. Murkowski, Lisa (R-AK)
Policy area: Foreign Trade and International Finance

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
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.

To modernize certain Federal agencies for an era of strategic energy 
            and mineral competition, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Strategic Energy and Minerals 
Initiative Act of 2021''.

SEC. 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'' has the meaning given the term in section 7002(a) of the 
Energy Act of 2020 (division Z of Public Law 116-260; 134 Stat. 2562; 
30 U.S.C. 1606(a)).

SEC. 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 et seq.) is amended by adding 
at the end the following:

``SEC. 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; 134 Stat. 2562; 30 
        U.S.C. 1606(a))); and
            ``(2) may not prohibit, restrict, or otherwise impede the 
        provision of support on the basis of the type of energy 
        involved in a project.''.

SEC. 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'' has the meaning given that term 
in section 1701(c) of the International Financial Institutions Act (22 
U.S.C. 262r(c)).

SEC. 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 et seq.) is amended by adding at the 
end the following:

``SEC. 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' has the meaning given the term in section 7002(a) of 
the Energy Act of 2020 (division Z of Public Law 116-260; 134 Stat. 
2562; 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)) is amended by striking 
``nonnuclear renewable'' and inserting ``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)) is amended by striking ``any liquid metal fast 
breeder nuclear reactor or any nuclear fuel reprocessing facility'' and 
inserting ``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)) is amended--
                    (A) in paragraph (2), by striking ``fiscal years 
                2020 through 2027, means $135,000,000,000'' and 
                inserting ``2021 through 2031, means 
                $200,000,000,000''; and
                    (B) in paragraph (3), by striking ``If'' and 
                inserting ``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) is amended by striking ``2026'' and 
        inserting ``2031''.

SEC. 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)) is amended by adding at the end the following:
            ``(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; 134 Stat. 2563; 30 U.S.C. 
        1606(c)), including through the production, manufacturing, 
        processing, recycling, or fabrication of mineral 
        alternatives.''.

SEC. 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'' and dated June 2019.
                                 <all>