S.Amdt. 1388

1. Adds SEC. 22__. IMPROVING ENERGY SYSTEM RESILIENCE at the end of part II of subtitle B of title II

   Adds a section

   Inserted: SEC. 22__. IMPROVING ENERGY SYSTEM RESILIENCE.

   Inserted: (a) Definitions.--In this section:

   Inserted: (1) Combined heat and power technology.--The term "combined heat and power technology" means a technology for the generation of electric energy and heat in a single, integrated system--

   Inserted: (A) that meets the efficiency criteria described in clauses (ii) and (iii) of section 48(c)(3)(A) of the Internal Revenue Code of 1986; and

   Inserted: (B) under which heat that is conventionally rejected is--

   Inserted: (i) recovered; and

   Inserted: (ii) used to meet thermal energy requirements.

   Inserted: (2) Distributed energy resource.--The term "distributed energy resource" means any energy technology that is--

   Inserted: (A) located on a customer site;

   Inserted: (B) operating on the customer side of the electric meter; and

   Inserted: (C) interconnected with the grid.

   Inserted: (3) Energy storage.--The term "energy storage" means any technology for the storage of electric energy that is capable of discharge on demand to meet customer or grid needs for electric energy.

   Show 127 more inserted paragraphsShow less

   Inserted: (4) Energy system.--

   Inserted: (A) In general.--The term "energy system" means all components relating to the production, conversion, delivery, or use of energy.

   Inserted: (B) Inclusions.--The term "energy system" includes any energy generation, transmission, or distribution asset.

   Inserted: (5) Grid.--The term "grid" means the electric grid composed of--

   Inserted: (A) electric energy distribution and transmission lines; and

   Inserted: (B) associated facilities, including--

   Inserted: (i) substations;

   Inserted: (ii) sensors; and

   Inserted: (iii) operational controls.

   Inserted: (6) Resilience.--The term "resilience", with respect to an energy system or a component of an energy system, means the ability of the energy system or component--

   Inserted: (A) to adapt to changing conditions; and

   Inserted: (B) to withstand and recover rapidly from a disruption, including a deliberate attack, accident, or naturally occurring threat or incident.

   Inserted: (b) Report on Energy System Performance Under Extreme Storms.--

   Inserted: (1) In general.--Not later than 180 days after the date of enactment of this Act, the Secretary shall submit to the appropriate committees of Congress a report describing energy emergencies, resilience, and mitigation actions that could lessen the impact of future energy system disruptions.

   Inserted: (2) Requirements.--In preparing the report under paragraph (1), the Secretary shall--

   Inserted: (A) take into consideration any lessons learned from prior storms, including lessons learned from--

   Inserted: (i) Superstorm Sandy; and

   Inserted: (ii) Hurricanes Harvey, Irma, and Maria;

   Inserted: (B) include a description of the anticipated cost effectiveness and avoided cost to energy ratepayers if a mitigation action described in the report is implemented; and

   Inserted: (C) identify specific lessons learned with regard to coordination among Federal, State, and local entities with respect to energy emergency preparedness, mitigation, and recovery across all energy sectors.

   Inserted: (c) Regional Energy Emergency Preparedness Exercises.--

   Inserted: (1) In general.--Title V of the Homeland Security Act of 2002 (6 U.S.C. 311 et seq.) is amended by adding at the end the following:

   Inserted: "SEC. 529. REGIONAL ENERGY EMERGENCY PREPAREDNESS EXERCISES.

   Inserted: "(a) Definitions.--In this section:

   Inserted: "(1) Energy system.--

   Inserted: "(A) In general.--The term 'energy system' means all components relating to the production, conversion, delivery, or use of energy.

   Inserted: "(B) Inclusions.--The term 'energy system' includes any energy generation, transmission, or distribution asset.

   Inserted: "(2) Secretary.--The term 'Secretary' means the Secretary of Energy.

   Inserted: "(b) Establishment of Permanent Program.--In carrying out the duties of the Secretary under Emergency Support Function 12 of the National Response Plan, the Secretary shall establish a permanent program within the Office of Electricity Delivery and Energy Reliability under which the Secretary shall conduct regional energy emergency preparedness exercises to strengthen the capability of participants to respond to, and recover from, severe events affecting the reliable operation of the energy system.

   Inserted: "(c) Requirements.--An exercise conducted under subsection (b) shall include analyses of--

   Inserted: "(1) any potential hazards to energy systems and associated interdependent systems;

   Inserted: "(2) the outcome of any physical security, cybersecurity, and energy emergency preparedness and response activities conducted under the exercise;

   Inserted: "(3) options for mitigating the impacts of energy system disruptions; and

   Inserted: "(4) the availability and delivery times of material and equipment required to rebuild after energy system disruptions.

   Inserted: "(d) Participants.--Participants in an exercise conducted under subsection (b) shall include--

   Inserted: "(1) State energy officials;

   Inserted: "(2) State public utility commissioners;

   Inserted: "(3) State emergency management officials;

   Inserted: "(4) local emergency management officials;

   Inserted: "(5) utilities;

   Inserted: "(6) petroleum and natural gas providers and other fuel providers;

   Inserted: "(7) utility-scale renewable energy providers;

   Inserted: "(8) telecommunications providers;

   Inserted: "(9) first responders; and

   Inserted: "(10) any other individuals determined to be appropriate by the Secretary.

   Inserted: "(e) Coordination.--In carrying out this section, the Secretary is encouraged to coordinate and consult with--

   Inserted: "(1) the Secretary of Defense;

   Inserted: "(2) the Secretary of Homeland Security;

   Inserted: "(3) the Secretary of Transportation;

   Inserted: "(4) the Administrator of the Federal Emergency Management Agency;

   Inserted: "(5) the head of the Office of Energy Infrastructure Security of the Federal Energy Regulatory Commission; and

   Inserted: "(6) the heads of such other Federal departments and agencies as the Secretary determines to have an interest in strengthening the reliable operation of the energy system.

   Inserted: "(f) Funding.--The Secretary may request such funding as the Secretary determines to be necessary to carry out this section.".

   Inserted: (2) Technical and conforming amendments.--

   Inserted: (A) Section 201(g)(4) of the Homeland Security Act of 2002 (6 U.S.C. 121(g)(4)) is amended by inserting ", subject to section 529," after "Energy and".

   Inserted: (B) Section 303(1) of the Homeland Security Act of 2002 (6 U.S.C. 183(1)) is amended, in the matter preceding subparagraph (A), by striking "The following" and inserting "Subject to section 529, the following".

   Inserted: (C) Section 501(8) of the Homeland Security Act of 2002 (6 U.S.C. 311(8)) is amended by striking "section 502(a)(6)" and inserting "section 504(a)(6)".

   Inserted: (D) Section 504(a)(3)(B) of the Homeland Security Act of 2002 (6 U.S.C. 314(a)(3)(B)) is amended by striking ", the National Disaster Medical System,".

   Inserted: (d) Energy Resilience Pilot Program.--

   Inserted: (1) Establishment.--The Secretary shall establish a pilot program under which the Secretary shall provide to States grants for the development of--

   Inserted: (A) State plans to be used as models for developing a systematic and holistic approach to energy system resilience; and

   Inserted: (B) all-hazards, all-fuels energy emergency plans and mitigation actions.

   Inserted: (2) Application.--

   Inserted: (A) In general.--To be eligible to receive a grant under this subsection, a State, acting jointly with the State energy office and the public utility or service commission of the State (or a substantially similar entity) and in consultation with State energy management offices, utilities (including municipal utilities), electric cooperatives, and private-sector partners in the applicable State or region, shall submit to the Secretary an application at such time, in such manner, and

   Inserted: containing such information as the Secretary may require.

   Inserted: (B) Inclusions.--An application submitted under subparagraph (A) shall include a description of the manner in which the proposed plan would, with respect to the area proposed to be served by the plan--

   Inserted: (i) improve the resilience of the energy system and natural gas and petroleum infrastructure that services critical facilities, including medical facilities, first responder stations, water treatment plants, telecommunications nodes, schools, and other State and local government facilities used for emergency shelter;

   Inserted: (ii) encourage a multi-State coordinated effort to respond to disasters;

   Inserted: (iii) improve the deployment of--

   Inserted: (I) energy-efficient practices and technologies;

   Inserted: (II) distributed energy resources;

   Inserted: (III) combined heat and power technologies; and

   Inserted: (IV) energy storage;

   Inserted: (iv) support the implementation of smart grid technology, including--

   Inserted: (I) sensors;

   Inserted: (II) advanced metering;

   Inserted: (III) automation;

   Inserted: (IV) equipment;

   Inserted: (V) control systems;

   Inserted: (VI) high-temperature, low-sag electric transmission and subtransmission cable; and

   Inserted: (VII) other technologies that enable the dynamic optimization of--

   Inserted: (aa) electric grid operations; and

   Inserted: (bb) energy system hardening;

   Inserted: (v) address technical and organizational communications obstacles that may impair getting energy systems back online after disasters;

   Inserted: (vi) improve protections against cyberattacks on--

   Inserted: (I) the energy system;

   Inserted: (II) natural gas systems; and

   Inserted: (III) petroleum product refining and distribution systems;

   Inserted: (vii) improve petroleum product emergency response and contingency plans impacting first responder and other mission-critical transportation fleets; and

   Inserted: (viii) address and improve critical infrastructure interdependencies, including with respect to energy sources, water, telecommunications, transportation, and food system delivery.

   Inserted: (C) Criteria.--The Secretary shall evaluate an application for a grant submitted under this subsection--

   Inserted: (i) on the basis of merit; and

   Inserted: (ii) using criteria identified by the Secretary, including--

   Inserted: (I) whether there exists demonstrated support for the plan from utilities, electric cooperatives, municipal utilities, and private-sector partners in the applicable State or region;

   Inserted: (II) whether transportation systems and delivered fuels are adequately addressed;

   Inserted: (III) whether the plan would provide for the dissemination of results obtained in carrying out the plan; and

   Inserted: (IV) the permanence of the infrastructure to be put in place by the plan.

   Inserted: (3) Regional diversity.--To the maximum extent practicable, the Secretary shall ensure regional diversity among States that receive grants under this subsection, including participation by--

   Inserted: (A) rural States; and

   Inserted: (B) small States.

   Inserted: (4) Best practices.--In carrying out the pilot program under this subsection, the Secretary shall--

   Inserted: (A) identify and collect information regarding best practices for strengthening the capability of States to improve the resilient, secure, and flexible operation of the energy system; and

   Inserted: (B) develop a means to securely share with States those best practices, as available.

   Inserted: (5) Report.--Not later than 2 years after the date on which the pilot program is established under paragraph (1), and biennially thereafter for the duration of the program, the Secretary shall submit to Congress a report that identifies any technical, policy, or regulatory issues requiring legislative action to improve the resilience of--

   Inserted: (A) the electric grid;

   Inserted: (B) renewable energy systems;

   Inserted: (C) natural gas systems; and

   Inserted: (D) petroleum refining and distribution systems.

   Inserted: (6) Termination.--The authority to carry out the pilot program under this subsection terminates on the date that is 5 years after the date on which the Secretary establishes the pilot program under paragraph (1).

   Inserted: (7) Authorization of appropriations.--There are authorized to be appropriated to the Secretary such sums as are necessary to carry out this subsection, subject to the condition that not more than $20,000,000 may be made available to carry out this subsection for any 1 fiscal year.

   Inserted: (e) Consultation and Coordination.--In carrying out this section and the amendments made by this section, the Secretary shall--

   Inserted: (1) consult with--

   Inserted: (A) State public utility commissions;

   Inserted: (B) State energy offices;

   Inserted: (C) regional transmission organizations;

   Inserted: (D) electric and natural gas utilities;

   Inserted: (E) independent power producers;

   Inserted: (F) distributed energy providers;

   Inserted: (G) energy storage providers;

   Inserted: (H) transportation fuel providers;

   Inserted: (I) telecommunications providers;

   Inserted: (J) public interest organizations;

   Inserted: (K) any Department-sponsored entity involved in a support or advisory activity under Emergency Support Function 12 of the National Response Plan; and

   Inserted: (L) other appropriate stakeholders, as determined by the Secretary; and

   Inserted: (2) to the maximum extent practicable, use--

   Inserted: (A) existing programs at the Department; and

   Inserted: (B) resources available through the National Laboratories.

   Original wording

   At the end of part II of subtitle B of title II, add the following:

Read automatically from the Congressional Record. Check the original before relying on it.

As printed