1. Comprehensive Energy and Environmental Reform S. 2012 Energy Policy Modernization Act of 2016 February 18, 2016 Produced by: Ben Booker Edited by: Katharine Conlon Director: Afzal Bari

2. Energy Bill Seeks to Strengthen the Electrical Grid, Expedite Permitting, Along With Other Measures SENATE ENERGY BILLPRESENTATION CENTER February 18, 2016 | Ben Booker Source: U.S. Congress, “S.2012 Energy Policy Modernization Act of 2015,” Congress.gov, September 9, 2015. Major Areas of Reform in S.2012 Expedite the permitting process for energy projects including oil, gas, and hydropower Reauthorizing major programs like ARPA-E, the Quadrennial Energy Review, and the Land and Water Conservation Fund Research and fund carbon capture and conversions projects for fossil fuels Modernize and improve the electrical grid’s reliability, efficiency, cybersecurity, and storage capacity 1

3. The Bill Aims to Modernize and Improve the Electrical Grid’s Efficiency and Storage Capacity SENATE ENERGY BILLPRESENTATION CENTER February 18, 2016 | Ben Booker Transmission Infrastructure Faster permitting for transmission improvements Funding research programs to discover improved storage technology and techniques Electrical Storage Science 2 How Reforms Improve Electricity Sector Source: U.S. Congress, “S.2012 Energy Policy Modernization Act of 2015,” Congress.gov, September 9, 2015.

4. Cybersecurity and Reliability Reforms Provide Support for Electrical Grid’s Safety and Integrity SENATE ENERGY BILLPRESENTATION CENTER February 18, 2016 | Ben Booker 3 Cybersecurity and Reliability Reforms Source: U.S. Congress, “S.2012 Energy Policy Modernization Act of 2015,” Congress.gov, September 9, 2015. Cybersecurity Research and Protections Energy Secretary is given greater authority to respond to cybersecurity threats Funds cybersecurity research programs Electric Grid Reliability Reports Regional reliability organizations send reports to FERC Reports indicate the reliability of the bulk power systems and grid

5. Energy ProjectsChangeDetails Liquefied Natural Gas Faster approval for LNG export and transportation projects DOE would approve LNG export projects within 45 days or less Federal Energy Regulatory Commission (FERC) would approve LNG transportation projects within 90 days Oil and Gas Creating an Oil and Gas drilling pilot program Agencies would use a pilot program to determine ways to expedite oil and gas drilling permitting Hydropow er Giving FERC greater permitting authority Would the address backlog of hydropower projects FERC would be required to establish a schedule to better coordinate the permitting process The Bill’s Authors Want to Expedite the Permitting Process for Energy Projects SENATE ENERGY BILLPRESENTATION CENTER February 18, 2016 | Ben Booker Source: U.S. Congress, “S.2012 Energy Policy Modernization Act of 2015,” Congress.gov, September 9, 2015. Permitting Process Reforms 4

6. Fossil Fuel Research and Commercial Programs Would Include Carbon Capture and Reduction SENATE ENERGY BILLPRESENTATION CENTER February 18, 2016 | Ben Booker Source: U.S. Congress, “S.2012 Energy Policy Modernization Act of 2015,” Congress.gov, September 9, 2015. Federal Fossil Fuel Programs Changed Goals New Additional GoalImprove the conversion, use and storage of carbon dioxide Previous GoalsIncreasing energy efficiency Decreasing the cost of all fossil energy production, generation, and delivery Energy supply diversity Decreasing foreign energy dependence Energy security Decreasing environmental impact of energy activities Increase exports of equipment, technology, and services 5

7. Money For New Coal Technology Programs Would Fund R&D, Demonstrations, and Pilot Programs SENATE ENERGY BILLPRESENTATION CENTER February 18, 2016 | Ben Booker Source: U.S. Congress, “S.2012 Energy Policy Modernization Act of 2015,” Congress.gov, September 9, 2015.. Coal Technology Program Funding in Millions of Dollars ■ R&D ■ Demonstrations ■ Pilot Project Programs 6 Goals of New Program 1.Reliable power 2.Conversion efficiencies 3.Carbon capture and storage 4.Reduction of emissions 5.Water discharge management

8. SENATE ENERGY BILLPRESENTATION CENTER February 18, 2016 | Ben Booker Notes: ARPA-E – Advanced Research Projects Agency-Energy Source: U.S. Congress, “S.2012 Energy Policy Modernization Act of 2015,” Congress.gov, September 9, 2015. 7 The Bill Would Reauthorize and Increase Funding for ARPA-E Authorized Funding for ARPA-E, in Millions of Dollars

9. Reauthorization of Quadrennial Energy Review Would Involve More Participants Through POTUS Task Force SENATE ENERGY BILLPRESENTATION CENTER February 18, 2016 | Ben Booker Source: U.S. Congress, “S.2012 Energy Policy Modernization Act of 2015,” Congress.gov, September 9, 2015. Overview of the Quadrennial Energy Review’s (QER) Goals and Participants QER GoalsQER Participants Set national energy objectives considering economic, environmental and security priorities Department of Energy Department of Commerce Department of Defense Department of State Department of the Interior Department of Agriculture Department of the Treasury Department of Transportation Department of Homeland Security Office of Management and Budget National Science Foundation Environmental Protection Agency Any federal agencies the President decides should be part of the review Recommend coordinated actions across Federal agencies Assess and recommend priorities for research, development, and demonstration Provide a strong analytical base for Federal energy policy decisions Consider budgetary concerns when making recommendations 8

10. Would Permanently Reauthorize Land and Water Conservation (LWC) Fund, With New Spending Mandates SENATE ENERGY BILLPRESENTATION CENTER February 18, 2016 | Ben Booker Source: U.S. Congress, “S.2012 Energy Policy Modernization Act of 2015,” Congress.gov, September 9, 2015. Land and Water Conservation Fund Requirements ■ Title 54 Federal Purchases ■ State, Forest, Species, and Battlefields ■ Unallocated ■ Recreational Preservation Designated 40% Assistance to states in preserving land through land grants and other program Forest Legacy Program Cooperative species endangered species grants American Battlefield Protection Program Recreation Funding 1.5% or $10 million (whichever is larger) must be used to help preserve public access to federal land for recreational purposes This includes hunting and fishing 9

11. Would Create New Requirements for Considering Federal Land Purchases Through LWC Fund SENATE ENERGY BILLPRESENTATION CENTER February 18, 2016 | Ben Booker Source: U.S. Congress, “S.2012 Energy Policy Modernization Act of 2015,” Congress.gov, September 9, 2015. New Factors Secretaries of Agriculture and Interior Would Consider for Federal Land Purchases Factors to Consider Management efficiencies Management cost savings Geographic distribution Significance of the acquisition Urgency of the acquisition Threats to the integrity of the land potentially being purchased Recreational value of the land 10

12. Modernize and Improve the Electrical Grid’s Reliability, Efficiency and Storage Capacity SENATE ENERGY BILLPRESENTATION CENTER February 18, 2016 | Ben Booker Source: U.S. Congress, “S.2012 Energy Policy Modernization Act of 2015,” Congress.gov, September 9, 2015. SectionTopicDetails Sec. 2001Cybersecurity for Electrical Grid Designates DOE as Sector-Specific Agency for cybersecurity for the energy sector Directs the Secretary to carry out a cybersecurity-related research, development, and demonstration program Department would perform pilot demonstration projects for new technologies; and develop workforce curricula for energy sector-related cybersecurity. Sec. 2301Research Electric Grid Storage DOE would develop research, development and storage and demonstration programs for electric grid storage Aims to improve electric grid storage by discovering innovative techniques and technologies Sec. 2302- Sec. 2304 Electric Systems Improvement and Modeling Energy would develop models that assess resource and technology combinations to see if grid improves Creates grant program to improve the resiliency of the electrical grid Department would develop metrics to assess models on grid improvement Sec. 2309Expedite Electronic Transmission Infrastructure Permitting Creates Interagency Rapid Response Team for Transmission to improve the efficiency of electric transmitting infrastructure permitting Secretary would appoint a Transmission Ombudsmen to resolve delays in electric transmitting infrastructure Sec. 4301Electric Reliability Reports Regional reliability entities would submit reports to Congress and FERC within six months after enactment and three years thereafter Report would describe the state of and prospects for a region’s electric reliability Regional reliability entities would submit statements on federal rules that may significantly impact bulk power system 11 Electric Grid Reform

13. Expedite the Permitting Process for Energy Projects Including Oil, Gas and Hydropower SENATE ENERGY BILLPRESENTATION CENTER February 18, 2016 | Ben Booker Source: U.S. Congress, “S.2012 Energy Policy Modernization Act of 2015,” Congress.gov, September 9, 2015. SectionTopicDetails Sec. 2201Liquid and Natural Gas Exports Speed applications to export natural gas DOE must approve within 45 days an application to export natural gas after the FERC or Maritime Administration has reviewed it. This is only applicable to countries without a FTA with the United States Sec. 3103Liquid Natural Gas Transportation FERC must authorize within 90 days all natural gas transportation projects after the application is deemed complete. FERC must set up interagency schedule and refer all interagency disputes to CEQ Sec. 3104Oil and Gas Drilling Pilot Program Establish a pilot program in one State to test ways in which the permitting of oil and gas drilling can be expedited. Conditions: State must have 2,000 oil and gas drilling units in which the (1) the federal government owns or trusts 25% or less of the minerals and (2) the federal government does not own or trust any of the land Sec. 3001Hydropower Projects Address hydropower project backlogs FERC is the lead agency in addressing backlogs Set planning schedule and coordinate federal authorizations for hydropower projects Sec. 2201Liquid and Natural Gas Exports Speed applications to export natural gas DOE must approve within 45 days an application to export natural gas after the FERC or Maritime Administration has reviewed it. This is only applicable to countries without a FTA with the United States 12 Permitting Process Reforms

14. Research and Fund Carbon Capture and Conversions Projects for Fossil Fuels SENATE ENERGY BILLPRESENTATION CENTER February 18, 2016 | Ben Booker Source: U.S. Congress, “S.2012 Energy Policy Modernization Act of 2015,” Congress.gov, September 9, 2015. SectionTopicDetails Sec. 3401Fossil EnergyDOE research, development, demonstration and commercial programs would include the goal of improving the conversion, use, and storage of carbon dioxide produced from fossil fuels Sec. 3402Establishment of coal technology programs Repeals existing coal programs under EPACT of 2005 Replaces with new coal technology program The major focus of coal technology program would be on 1.reliable power 2.conversion efficiencies 3.carbon capture and storage 4.reduction of emissions 5.water discharge management 13 Permitting Process Reforms

15. Research and Fund Carbon Capture and Conversions Projects for Fossil Fuels SENATE ENERGY BILLPRESENTATION CENTER February 18, 2016 | Ben Booker Source: U.S. Congress, “S.2012 Energy Policy Modernization Act of 2015,” Congress.gov, September 9, 2015. SectionTopicDetails Sec. 4201ARPA-EARPA-E is reauthorized. Oversight to ensure there is no duplication between ARPA-E research and other DOE programs Sec. 4402Quadrennial Energy Review Tasked the President with establishing a Task Force to construct the Quadrennial Energy Review Cross-Department input to establish the national priorities of energy development Sec. 4503- 4504 Working Energy Group Working Group on Energy Markets composed of high-level agency officials chaired by the Secretary of Energy. Investigates the effects of financial investment on energy commodities Issues recommendations to the President and Congress if necessary Conducts a study about the pricing of crude oil and refined products Provides recommendations related to transparency and excessive speculation Sec.5001- 5002 Land and Water Conservation Fund National Park Service Critical Maintenance and Revitalization Conservation Fund to address high- priority deferred maintenance needs of the National Park Service with a prohibition on the use of funds for land acquisition. Permanently reauthorizes the Land and Water Conservation Fund (LWCF) The LWCF has new criteria to consider when making decisions about how it will use federal land Sec. 5003Historical Preservation Fund Permanently reauthorizes the Historical Preservation Fund 14 Permitting Process Reforms