Offshore Energy Modernization Act of 2022
A BILL
To amend the Outer Continental Shelf Lands Act to support the responsible development of offshore renewable energy projects, establish the Offshore Power Administration, and for other purposes.
Sec. 2 Responsible development of offshore renewable energy projects
Definitions— Section 2 of the Outer Continental Shelf Lands Act (43 U.S.C. 1331) is amended by adding at the end the following:
“(u) Offshore renewable energy project—The term offshore renewable energy project means a project to carry out an activity described in section 8(p)(1)(C) related to wind, solar, wave, or tidal energy.”
National Policy for the Outer Continental Shelf— Section 3 of the Outer Continental Shelf Lands Act (43 U.S.C. 1332) is amended—
by amending paragraph (3) to read as follows:
“(3) the outer Continental Shelf is a vital national resource reserve held by the Federal Government for the public, which should be made available for expeditious and orderly development, subject to environmental safeguards and coexistence with other ocean users, in a manner which—
“(A) supports the generation, transmission, and storage of zero-emission electricity; and
“(B) is consistent with the maintenance of competition and other national needs, including the need to achieve State and Federal zero-emission electricity or renewable energy mandates, targets, and goals;”
by redesignating paragraphs (5) and (6) as paragraphs (6) and (7), respectively; and
by inserting after paragraph (4) the following:
“(5) the identification, development, and production of lease areas for offshore renewable energy projects should be determined by a robust and transparent stakeholder process that incorporates engagement and input from a diverse group of ocean users as well as Federal, State, Tribal, and local governments;”
Leases, Easements, and Rights-of-Way on the Outer Continental Shelf— Section 8(p) of the Outer Continental Shelf Lands Act (43 U.S.C. 1337(p)) is amended—
in paragraph (2)—
in subparagraph (B)—
by striking “27” and inserting “17”; and
by striking “15” and inserting “100”; and
by adding at the end the following:
“(C) Payments for conservation and mitigation activities
“(i) In general—Notwithstanding section 9, the Secretary shall, without appropriation or fiscal year limitation, use 10 percent of the revenue received by the Federal Government from royalties, fees, rents, bonuses, and other payments from any lease, easement, or right-of-way granted under this subsection to provide grants to—
“(I) State, local, and Tribal governments, and regional partnerships thereof, including Regional Ocean Partnerships and Regional Wildlife Science Collaboratives; and
“(II) nonprofit organizations.
“(ii) Use of grants—Grants provided under clause (i) shall be used for carrying out activities related to marine and coastal habitat protection and restoration, mitigation of damage to natural resources and marine life, relevant research and data sharing initiatives, or increasing the organizational capacity of an entity described in subclause (I) or (II) of clause (i) to increase the effectiveness of entities that carry out such activities.
“(D) Offshore renewable energy compensation fund—Notwithstanding section 9, the Secretary shall, without appropriation or fiscal year limitation, deposit 10 percent of the revenue received by the Federal Government from royalties, fees, rents, bonuses, and other payments from any lease, easement, or right-of-way granted under this subsection into the Offshore Renewable Energy Compensation Fund established under section 34.”
by amending paragraph (3) to read as follows:
“(3) Leasing
“(A) Competitive or noncompetitive basis—Except with respect to projects that meet the criteria established under section 388(d) of the Energy Policy Act of 2005, the Secretary shall issue a lease, easement, or right-of-way under paragraph (1) on a competitive basis unless the Secretary determines after public notice of a proposed lease, easement, or right-of-way that there is no competitive interest.
“(B) Schedule of offshore renewable energy lease sales—The Secretary shall, after providing an opportunity for public notice and comment, publish and periodically update a schedule of areas that may be available for leasing in the future for offshore renewable energy projects, indicating, to the extent possible, the timing of site identification activities, the timing of designation of any area to be leased, the anticipated size of such areas, the timing of lease sales, and the location of leasing activities.
“(C) Multi-factor bidding
“(i) In general—The Secretary may consider non-monetary factors when competitively awarding leases under paragraph (1), which may include commitments made by the bidder to—
“(I) support or increase access to registered apprenticeship programs and pre-apprenticeship programs that have an articulation agreement with a registered apprenticeships program for offshore renewable energy projects;
“(II) support development of domestic supply chains for offshore renewable energy projects, including development of ports and other energy infrastructure necessary to facilitate offshore renewable energy projects;
“(III) establish a community benefit agreement with one or more community or stakeholder groups, which may include covered entities;
“(IV) make investments to evaluate, monitor, improve, and mitigate impacts to the health and biodiversity of ecosystems and wildlife within the leased area; and
“(V) make other investments determined appropriate by the Secretary.
“(ii) Contractual commitments—When considering non-monetary factors under this subparagraph, the Secretary shall—
“(I) evaluate the quality of commitments made by the bidder; and
“(II) reward finalized binding agreements above assurances for future commitments.
“(iii) Definitions—In this subparagraph:
“(I) Covered entity—The term covered entity has the meaning given such term in section 34(k).
“(II) Registered apprenticeship program—The term registered apprenticeship program means an apprenticeship program registered under the Act of August 16, 1937 (commonly known as the National Apprenticeship Act; 50 Stat. 664, chapter 663; 29 U.S.C. 50 et seq.).”
by amending paragraph (4) to read as follows:
“(4) Requirements
“(A) In general—The Secretary shall ensure that any activity under this subsection is carried out in a manner that provides for—
“(i) safety;
“(ii) protection of the environment, which includes facilitation of the generation, transmission, and storage of zero-emission electricity;
“(iii) prevention of waste;
“(iv) conservation of the natural resources of the outer Continental Shelf;
“(v) coordination with relevant Federal agencies and State, Tribal, and local governments;
“(vi) protection of national security interests of the United States;
“(vii) protection of correlative rights in the outer Continental Shelf;
“(viii) a fair return to the United States for any lease, easement, or right-of-way under this subsection;
“(ix) reasonable uses (as determined by the Secretary) of the exclusive economic zone, the high seas, and the territorial seas;
“(x) consideration of—
“(I) the location of, and any schedule relating to, a lease, easement, or right-of-way for an area of the outer Continental Shelf; and
“(II) any other use of the sea or seabed, including use for a fishery, a sealane, a potential site of a deepwater port, or navigation;
“(xi) public notice and comment on any proposal submitted for a lease, easement, or right-of-way under this subsection;
“(xii) oversight, inspection, research, monitoring, and enforcement relating to a lease, easement, or right-of-way under this subsection; and
“(xiii) satisfaction of any applicable State and Federal renewable and clean energy mandates, targets, and goals.
“(B) Project labor agreements
“(i) In general—Beginning not later than January 1, 2024, the Secretary shall require, as a term or condition of each lease, right-of-way, and easement, as applicable, for an offshore renewable energy project that the holder of the lease, right-of-way, or easement, (and any successor or assignee) and its agents, contractors, and subcontractors engaged in the construction of any facilities for such offshore renewable energy project agree, for purposes of such construction, negotiate or become a party to a project labor agreement with one or more labor organizations. A project labor agreement shall bind all contractors and subcontractors on the project through the inclusion of appropriate specifications in all relevant solicitation provisions and contract documents. The Secretary shall not approve a construction and operations plan with respect to any offshore renewable energy project until being assured by the lessee that such project labor agreement will be maintained for the duration of the project.
“(ii) Definitions—In this subparagraph:
“(I) Construction—The term construction includes reconstruction, rehabilitation, modernization, alteration, conversion, extension, repair, or improvement of any facility, structure, or other real property (including any onshore facilities) for an offshore renewable energy project.
“(II) Labor organization—The term labor organization means a labor organization as defined in section 2(5) of the National Labor Relations Act (29 U.S.C. 152(5))—
“(aa) of which building and construction employees are members; and
“(bb) that directly, or through its affiliates, sponsors a registered apprenticeship program.
“(III) Project labor agreement—The term project labor agreement means a pre-hire collective bargaining agreement with one or more labor organizations that establishes the terms and conditions of employment for a specific construction project and is an agreement described in section 8(e) and (f) of the National Labor Relations Act (29 U.S.C. 158(f)).
“(IV) Registered apprenticeship program—The term registered apprenticeship program means an apprenticeship program registered under the Act of August 16, 1937 (commonly known as the National Apprenticeship Act; 50 Stat. 664, chapter 663; 29 U.S.C. 50 et seq.).
“(C) Domestic content
“(i) In general—Beginning not later than December 31, 2031, the Secretary shall require that—
“(I) all structural iron and steel products that are (upon completion of construction) components of facilities for an offshore renewable energy project shall be produced in the United States; and
“(II) not less than 80 percent of the total costs of all manufactured products that are (upon completion of construction) components of such facilities shall be attributable to manufactured products which are mined, produced, or manufactured in the United States.
“(ii) Waiver—The Secretary may waive the requirements of clause (i) in any case or category of cases in which the Secretary finds that—
“(I) applying clause (i) would be inconsistent with the public interest;
“(II) such products are not produced in the United States in sufficient and reasonably available quantities and of a satisfactory quality; or
“(III) the use of such products will increase the cost of the overall project by more than 25 percent.
“(iii) Public notification—If the Secretary receives a request for a waiver under this subparagraph, the Secretary shall make available to the public, on an informal basis, a copy of the request and information available to the Secretary concerning the request, and shall allow for informal public input on the request for at least 15 days prior to making a finding based on the request. The Secretary shall make the request and accompanying information available to the public by electronic means, including on the official public Internet site of the Department of the Interior.
“(iv) International agreements—This paragraph shall be applied in a manner consistent with United States obligations under international agreements.”
by amending paragraph (10) to read as follows:
“(10) Applicability
“(A) In general—This subsection does not apply to any area on the outer Continental Shelf within the exterior boundaries of any unit of the National Park System, National Wildlife Refuge System, or National Marine Sanctuary System, or any National Monument.
“(B) Certain transmission infrastructure—Notwithstanding subparagraph (A), if otherwise authorized pursuant to the National Marine Sanctuaries Act (16 U.S.C. 1431 et seq.), the Secretary may issue a lease, easement, or right-of-way to enable the transmission of electricity generated by an offshore renewable energy project, including a lease, easement, or right-of-way for electrical substations and other infrastructure used to transmit electricity generated by an offshore renewable energy project.”
by adding at the end the following:
“(11) Regional impact studies
“(A) In general—Beginning two years after the date of enactment of this paragraph, before holding any lease sale pursuant to paragraph (1) for an area, the Secretary shall conduct a study of such area, or the region that includes such area, in order to establish information needed for assessment and management of the environmental impacts on the human, marine, and coastal environments of the outer Continental Shelf and the coastal areas which may be affected by offshore renewable energy projects in such area or region.
“(B) Inclusions—A study conducted under subparagraph (A)—
“(i) may incorporate the best available existing science and data;
“(ii) may identify areas for which there is insufficient science and data; and
“(iii) shall include consideration of the cumulative impacts (including potential navigational impacts) of offshore renewable energy projects on human, marine, and coastal environments.
“(C) Use of data and assessments—The Secretary shall use the data and assessments included in studies conducted under this paragraph, as appropriate, when deciding—
“(i) which portions of an area or region are most appropriate to make available for leasing; and
“(ii) whether to issue any permit or other authorization that is necessary to carry out an offshore renewable energy project.
“(D) NEPA applicability—The Secretary conducting a study under subparagraph (A) shall not be considered a major Federal action under section 102(2)(C) of the National Environmental Policy Act of 1969 (42 U.S.C. 4332(2)(C)).”
Reservations— Section 12(a) of the Outer Continental Shelf Lands Act (43 U.S.C. 1341(a)) is amended to read as follows—
“(a) Withdrawal of unleased lands by the President
“(1) In general—The President of the United States may, from time to time, withdraw from disposition any of the unleased lands of the outer Continental Shelf.
“(2) Reversal for certain offshore renewable energy projects—With respect to a withdrawal under paragraph (1) of unleased lands from disposition, the President may reverse such a withdrawal only to allow for leasing under section (8)(p)(1)(C) and only if the President determines that environmental, national security, or national or regional energy conditions or demands have changed such that a reversal would be in the public interest.”
Citizen Suits, Court Jurisdiction, and Judicial Review— Section 23(c)(2) of the Outer Continental Shelf Lands Act (43 U.S.C. 1349(c)(2)) is amended to read as follows:
“(2) Any action of the Secretary to approve, require modification of, or disapprove any exploration plan or development and production plan under this Act, or any final lease, easement, or right-of-way granted pursuant to section (8)(p)(1) (and any related final Federal agency actions), shall be subject to judicial review only in a United States court of appeals for a circuit in which an affected State is located.”
Sec. 3 Offshore Renewable Energy Compensation Fund
The Outer Continental Shelf Lands Act (43 U.S.C. 1331) is amended by adding at the end the following:
“34. Offshore Renewable Energy Compensation Fund
“(a) Establishment—There is established in the Treasury of the United States the Offshore Renewable Energy Compensation Fund, which shall be used by the Secretary to provide to eligible recipients—
“(1) payments for claims—
“(A) described under subsection (f)(1); and
“(B) verified pursuant to subsection (d)(1); and
“(2) grants to carry out mitigation activities described in subsection (f)(2).
“(b) Availability of fund—The Fund shall be available to the Secretary without fiscal year limitations for the purpose of providing payments and grants under subsection (a).
“(c) Accounts—The Fund shall—
“(1) consist of the royalties, fees, rentals, bonuses, and other payments deposited under section 8(p)(2)(D); and
“(2) be divided into separate area accounts from which payments and grants shall be provided based on the area in which damages occur.
“(d) Regulations—The Secretary shall establish, by regulation, a process to—
“(1) file, process, and verify claims for purposes of providing payments under subsection (a)(1); and
“(2) apply for a grant provided under subsection (a)(2).
“(e) Payment amount—Payments provided under subsection (a)(1) shall—
“(1) be based on the scope of the verified claim;
“(2) be fair and provided efficiently and in a transparent manner; and
“(3) if the eligible recipient receiving the payment has or will receive direct compensation for the verified claim pursuant to a community benefit agreement or other agreement between such eligible recipient and a holder of a lease, easement, or right-of-way, be reduced by an amount that is equal to the amount of such direct compensation.
“(f) Eligible claims; mitigation grants
“(1) Eligible claims—A payment may be provided under subsection (a)(1) for a claim to—
“(A) replace or repair gear that was lost or damaged by the development of an offshore renewable energy project; or
“(B) replace income that was lost from the development of an offshore renewable energy project.
“(2) Mitigation grants—If the Secretary determines that there are sufficient amounts in an area account of the Fund to provide payments for all verified claims at any given time, the Secretary may use amounts in the Fund to provide grants to eligible recipients, and other entities determined appropriate by the Secretary, to mitigate the potential effects of development of an offshore renewable energy project, including by paying for gear changes, navigation technology improvements, and other measures to enhance safety.
“(g) Advisory group
“(1) In general—The Secretary shall establish and regularly convene an advisory group that shall provide recommendations on the development and administration of this section.
“(2) Membership—The advisory group shall—
“(A) be comprised of individuals—
“(i) appointed by the Secretary; and
“(ii) representing the geographic diversity of areas impacted by the development of offshore renewable energy projects; and
“(B) include representatives from—
“(i) recreational fishing interests;
“(ii) commercial fishing interests;
“(iii) Tribal fishing interests;
“(iv) the National Marine Fisheries Services;
“(v) the fisheries science community; and
“(vi) other fields of expertise necessary to effectively develop and administer this section, as determined by the Secretary.
“(3) Travel expenses—The Secretary may provide amounts to any member of the advisory group to pay for travel expenses, including per diem in lieu of subsistence, at rates authorized for an employee of an agency under section 5703 of title 5, United States Code, while away from the home or regular place of business of the member in the performance of the duties of the advisory group.
“(h) Insufficient funds
“(1) In general—If the Secretary determines that an area account does not contain a sufficient amount to provide payments under subsection (a)(1), the Secretary may, not more than once each calendar year, require any holder of an offshore renewable energy lease located within the area covered by the area account to pay an amount specified by the Secretary, which shall be deposited into such area account.
“(2) Amount—No holder of an offshore renewable energy lease shall be required to pay an amount in excess of $1 per acre of the leased land described in paragraph (1).
“(i) Administrative expenses—The Secretary may use up to 15 percent of any amount deposited into the Fund under section 8(p)(2)(D) for administrative expenses to carry out this section.
“(j) Annual report—The Secretary shall submit to Congress, and make publicly available, an annual report on activities carried out under this section, including a description of claims filed and the amount of payments and grants provided.
“(k) Definitions—In this section:
“(1) Covered entity—The term covered entity means a community, stakeholder, or tribal interest—
“(A) that uses a geographic space of a lease area, or uses resources harvested from a geographic space of a lease area; and
“(B) for which such use is directly and adversely impacted by the development of an offshore renewable energy project located in such leased area.
“(2) Eligible recipient—The term eligible recipient means—
“(A) a covered entity that is located in the United States; or
“(B) a regional association, cooperative, non-profit organization, commission, or corporation that—
“(i) serves a covered entity;
“(ii) acts on behalf of a covered entity for purposes of this section, including by submitting a claim for a covered entity; and
“(iii) is located in the United States.
“(3) Fund—The term Fund means the Offshore Renewable Energy Compensation Fund established under subsection (a).
“(4) Lease area—The term lease area means an area covered by an offshore renewable energy lease.
“(5) Offshore renewable energy lease—The term offshore renewable energy lease means a lease, easement, or right-of-way granted under section 8(p)(1)(C).”
Sec. 4 Improving environmental reviews to ensure timely permitting decisions
Bureau of ocean energy management— In addition to amounts otherwise available, there is appropriated to the Secretary of the Interior for fiscal year 2023, out of any money in the Treasury not otherwise appropriated, $50,000,000 to remain available until expended, to provide for the hiring and training of personnel, the development of programmatic environmental documents, the procurement of technical or scientific services for environmental reviews, support of regional ocean data portals, the development of environmental data or information systems (including efforts to standardize, establish a baseline for, publish, or otherwise improve the consistency of environmental data), the development of pre-application components, stakeholder and community engagement, updates to the Marine Cadastre for advancements in spatial data analysis and deconfliction, the purchase of new equipment for environmental analysis, and coordination (including through the public tracking of Federal authorizations and reviews) to facilitate timely and efficient permitting of offshore renewable energy projects.
National oceanic and atmospheric administration— In addition to amounts otherwise available, there is appropriated to the Secretary of Commerce for fiscal year 2023, out of any money in the Treasury not otherwise appropriated, $45,000,000 to remain available until expended, to provide for the hiring and training of personnel, the development of programmatic environmental documents, the procurement of technical or scientific services for environmental reviews, support of regional ocean data portals, the development of environmental data or information systems (including efforts to standardize, baseline, publish, or otherwise improve the consistency of environmental data), stakeholder and community engagement, updates to the Marine Cadastre for advancements in spatial data analysis and deconfliction, adaptation of scientific and fisheries surveys, and the purchase of new equipment for environmental analysis to facilitate timely and efficient environmental reviews for the permitting of offshore renewable energy projects.
Sec. 5 Report on decommissioning of offshore renewable energy projects
Not later than 5 years after the date of enactment of this Act, the Secretary of the Interior shall submit to Congress, and make publicly available, a report evaluating decommissioning options for offshore renewable energy projects, including an assessment of the potential for the holder of a lease, easement, or right-of-way to keep facilities in place or otherwise convert such facilities to artificial reefs to support marine habitats, provided that such facilities will not adversely impact navigation, national security, the marine environment, or other competing uses of the outer Continental Shelf.
Sec. 6 Offshore power administration
Establishment— Not later than 1 year after the date of enactment of this Act, the Secretary of Energy shall establish the Offshore Power Administration.
Authorities—
In general— The Offshore Power Administration may, subject to paragraphs (2) and (3)—
construct, finance, facilitate, plan, operate, maintain, acquire, and study covered transmission infrastructure; and
support construction, financing, facilitation, planning, operation, maintenance, acquisition, and study of covered transmission infrastructure.
Limitation on construction—
In general— The Offshore Power Administration may not construct covered transmission infrastructure in any region until the Secretary of Energy has made a determination (in consultation with the Secretary of the Interior) that the relevant State governments, regional transmission organizations, offshore renewable energy project developers, and other stakeholders the Secretary of Energy determines are relevant in such region have failed to adequately coordinate and cooperate on the development and use of shared covered transmission infrastructure.
Initial delay— The Secretary of Energy may not make a determination under this paragraph sooner than 3 years after the date of enactment of this Act.
Leases, easements, and rights-of-way— In carrying out any activity under paragraph (1), the Offshore Power Administration shall be subject to the requirements to obtain a lease, easement, or right-of-way under section 8(p) of the Outer Continental Shelf Lands Act (43 U.S.C. 1337).
Governance—
Organization— The Offshore Power Administration shall be preserved as a separate and distinct organizational entity within the Department of Energy and shall be headed by an Administrator appointed by the Secretary of Energy.
Regional offices— The Administrator shall establish and maintain such regional offices as necessary to facilitate the performance of the Administration.
Loans—
In general— Notwithstanding any other provision of law, the Secretary of the Treasury shall, without appropriation and without fiscal year limitation, make loans to the Offshore Power Administration that, in the judgment of the Administrator, are required to carry out the activities listed in subsection (b)(1).
Terms and conditions—
In general— Subject to subparagraphs (B) and (C), loans made by the Secretary of the Treasury under paragraph (1) shall include such terms and conditions that the Administrator and Secretary of the Treasury may agree to.
Interest— The rate of interest to be charged in connection with any loan made under paragraph (1) shall be fixed by the Secretary of the Treasury, taking into consideration market yields on outstanding marketable obligations of the United States of comparable maturities as of the date on which the loan is made.
Limitation— Loans made by the Secretary of the Treasury under paragraph (1) may not result in, in the aggregate (including deferred interest), $10,000,000,000 in outstanding repayable balances at any one time.
Refinancing— The Administrator may refinance loans made pursuant to this section with the Secretary of the Treasury in accordance with paragraph (2).
Agreements and partnerships— The Administrator may enter into agreements and partnerships with other entities to carry out any of the activities listed in subsection (b)(1).
Disposition of revenue—
In general— With respect to covered transmission infrastructure owned and operated by the Offshore Power Administration pursuant to this section, the Administrator shall use qualified revenue to pay the principal and interest of the loan made by Secretary of the Treasury with respect to such covered transmission infrastructure.
Qualified revenue— In this subsection, the term qualified revenue means—
all revenue received by the Offshore Power Administration from the operation of the covered transmission infrastructure; less
the amount the Administrator determines necessary to—
pay the costs of operating and maintaining the covered transmission infrastructure, including expenses described in subsection (g)(2); and
pay for any ancillary services that are used by the Offshore Power Administration.
Forgiveness of balances—
In general— If, at the end of the useful life of any covered transmission infrastructure acquired, constructed, maintained, or operated by the Offshore Power Administration pursuant to this section there is a remaining balance owed to the Treasury for a loan made under this section for any such purpose, such balance shall be forgiven.
Studies— A loan made under this section for purposes of studying covered transmission infrastructure that is not constructed shall be forgiven upon notification under paragraph (3).
Notification— The Administrator shall notify the Secretary of the Treasury of such amounts as are to be forgiven under this subsection.
Administration—
Accounts and audits—
In general— The Administrator shall keep complete and accurate accounts of the operation of covered transmission infrastructure owned and operated by the Offshore Power Administration, including all funds expended and received in connection with transmission of electric energy by the Offshore Power Administration.
Audits— The Administrator shall, after the close of each fiscal year, obtain an independent commercial-type audit of such accounts.
Expenses— The Administrator may make such expenditures for offices, vehicles, furnishings, equipment, supplies, books, travel for attendance at meetings, and for such other facilities and services as the Administrator determines necessary to carry out this section.
Prevailing wage— All laborers and mechanics employed by contractors and subcontractors in the performance of construction work carried out in whole or in part by the Offshore Power Administration shall be paid wages at rates not less than those prevailing on projects of a character similar in the locality as determined by the Secretary of Labor in accordance with subchapter IV of chapter 31 of title 40, United States Code. With respect to the labor standards in this subsection, the Secretary of Labor shall have the authority and functions set forth in Reorganization Plan Numbered 14 of 1950 (64 Stat. 1267; 5 U.S.C. App.) and section 3145 of title 40, United States Code.
Annual report to Congress— Beginning January 1, 2026, and each year thereafter, not later than 180 days after the end of each year, the Administrator shall submit to Congress a report for the previous year that includes—
a description of the activities of the Offshore Power Administration;
an accounting of the use of loans made under this section; and
an assessment of the coordination and cooperation by relevant State governments, regional transmission organizations, offshore renewable energy project developers, and other stakeholders the Secretary of Energy determines are relevant in each region to develop and use shared covered transmission infrastructure.
Definitions— In this section:
Administrator— The term Administrator means the Administrator of the Offshore Power Administration.
Covered transmission infrastructure— The term covered transmission infrastructure—
means electric power transmission infrastructure, and any related facilities thereof, that serves at least one offshore renewable energy project; and
includes onshore facilities that enable the interconnection of offshore renewable energy projects.
Sec. 7 Offshore transmission infrastructure studies and recommendations
The Secretary of Energy, in consultation with the Secretary of the Interior, the interagency comprehensive digital mapping initiative established under section 388(b) of the Energy Policy Act of 2005, and other relevant Federal, State, Tribal, and local agencies, shall periodically conduct studies and make recommendations available to the public on the potential siting of offshore transmission infrastructure in a manner that—
achieves transmission capacity to support offshore energy development to meet State or Federal renewable or clean electricity mandates, targets, or goals;
promotes safety, national security, and environmental protection while minimizing impacts to cultural and living marine resources; and
leads to efficient development of onshore points of interconnection.
Sec. 8 Interoperability of offshore transmission infrastructure
Study— Not later than 2 years after the date of enactment of this Act, the Secretary of Energy shall complete and publish on the website of the Department of Energy a study that assesses the need to, and challenges of, developing and standardizing interoperable equipment and systems in support of shared offshore transmission networks. Such study shall include recommendations for Congress, State, Tribal, and local governments, manufacturers of electric grid components, systems, and technologies, regional transmission organizations, offshore renewable energy project developers, and appropriate standards organizations to help ensure interoperability across seams between offshore renewable energy projects, States, and regions on the outer Continental Shelf.
Interoperability standard development program—
In general— The Secretary of Energy shall establish and implement a program to identify, develop, implement, support, and document a standard for interoperability of electric grid components, systems, and technologies to accelerate the implementation and delivery of electricity generated by offshore renewable energy projects through shared transmission infrastructure.
Goals— The goals of developing an interoperability standard under subparagraph (1) shall be—
to hasten adoption of shared transmission infrastructure for offshore electricity generation by encouraging cooperation of manufacturers of electric grid components, systems, or technologies in order to—
maximize interoperability among manufacturers’ systems, products, tools, and applications;
reduce offshore renewable energy project delays and cost overruns;
manage power grid complexity; and
enhance grid resilience, reliability, and cybersecurity; and
to establish technical baseline requirements to effectively and securely measure, monitor, control, and protect electricity generation and transmission infrastructure from the point of generation to the control center.
Financial assistance— The Secretary may provide financial assistance under the program to entities to carry out activities that—
engage equipment manufacturers and industry stakeholders in collaborative platforms, including workshops and forums;
identify current challenges and propose solutions to improve interoperability; and
develop an industry interoperability standard that meets the goals described in paragraph (2) for voluntary implementation.
Authorization of appropriations— There are authorized to be appropriated to the Secretary of Energy to carry out this section $5,000,000, to remain available until expended.
Sec. 9 Offshore wind shipbuilding
Offshore wind shipyard grant program—
In general— The Secretary of Energy shall establish a program to support the refurbishment, retooling, expansion, modernization, and establishment of shipyards and other manufacturing facilities by providing grants for the fabrication, repair, and conversion of vessels needed for the construction, operation, and maintenance of offshore wind energy projects.
Recipients— Under the program established under paragraph (1), the Secretary of Energy may provide grants to shipyard owners and operators, fabricators of the vessels described in paragraph (1), and relevant component suppliers.
Prevailing wage— The Secretary of Energy shall take such action as may be necessary to ensure all laborers and mechanics employed by contractors or subcontractors during construction, alteration, or repair that is supported, in whole or in part, by grants provided under this section shall be paid wages at rates not less than those prevailing on similar construction in the locality, as determined by the Secretary of Labor in accordance with subchapter IV of chapter 31 of title 40, United States Code. With respect to the labor standards in this subsection, the Secretary of Labor shall have the authority and functions set forth in Reorganization Plan Numbered 14 of 1950 (64 Stat. 1267; 5 U.S.C. App.) and section 3145 of title 40, United States Code.
Cost share— Section 988(c) of the Energy Policy Act of 2005 (42 U.S.C. 16352(c)) shall apply to a grant provided under this section as if such grant were a demonstration or commercial application activity described in section 988(a) of such Act.
Authorization of appropriations— There are authorized to be appropriated to the Secretary of Energy to carry out this section $100,000,000, to remain available until expended.
Loan guarantees for wind turbine installation vessels— At the end of Section 1703(b) of the Energy Policy Act of 2005, add the following:
“(14) Notwithstanding subsection (a)(1), projects that increase the domestically produced supply of offshore wind vessels, including wind turbine installation vessels.”
Sec. 10 Access to offshore renewable energy areas
It is the sense of Congress that fishing and boating access in and around offshore renewable energy projects will be maintained with narrow exceptions for construction and maintenance activities.
Sec. 11 Definitions
In this Act, the terms offshore renewable energy project and outer Continental Shelf have the meanings given such terms in section 2 of the Outer Continental Shelf Lands Act (43 U.S.C. 1331).