Section 1 Short title
This Act may be cited as the “Energy Parity Act”.
Energy Parity Act
A BILL
To amend the Energy Act of 2020 to provide for energy parity, and for other purposes.
Sec. 2 Parity in reductions in royalty rates and capacity fees
in paragraph (1)(B), by inserting “, or the production of oil or natural gas,” after “wind energy”; and
in paragraph (4)—
strike “that” and insert “that—”; and
strike “uses wind, solar, or geothermal energy to generate energy.” and insert the following:
“(A) uses wind, solar, or geothermal energy to generate energy; or
“(B) produces oil or natural gas.”
in subsection (a)—
by inserting “royalty rates,” after “capacity fees, ”; and
by striking “wind and solar” and inserting “oil, natural gas, wind, and solar”;
in subsection (b)—
by striking “and capacity fees, or both,” and inserting “, capacity fees, and royalty rates”;
by striking “wind and solar” and inserting “oil, natural gas, wind, and solar”; and
in paragraph (2)—
by striking “or capacity fee” and inserting “, capacity fee, or royalty rate”; and
by striking “wind and solar” and inserting “oil, natural gas, wind, and solar”; and
by adding at the end the following:
“(c) Parity in reductions in royalty rates and capacity fees—If the Secretary reduces capacity fees for wind and solar authorizations pursuant to this section, the Secretary shall reduce royalty rates for oil and natural gas authorizations by the percentage that is equal to the percentage of the reduction in capacity fees.”
Sec. 3 Proposed rule on rights-of-way, leasing, and operations for renewable energy
Not later than 120 days after the date of enactment of this Act, the Bureau of Land Management shall reissue the proposed rule titled “Rights-of-Way, Leasing, and Operations for Renewable Energy” and published June 16, 2023 (88 Fed. Reg. 39726), to carry out the amendments made by section 2.
Sec. 4 Rates under the Mineral Leasing Act
Onshore oil and gas royalty rates—
in subsection (b)(1)(A)—
by striking “not less than 162/3” and inserting “not less than 12.5”; and
by striking “or, in the case of a lease issued during the 10-year period beginning on the date of enactment of the Act titled “An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14”, 162/3 percent in amount or value of the production removed or sold from the lease”; and
by striking “162/3 percent” each place it appears and inserting “12.5 percent”.
Conditions for reinstatement— Section 31(e)(3) of the Mineral Leasing Act (30 U.S.C. 188(e)(3)) is amended by striking “20” inserting “162/3”.
in paragraph (1)(B), by striking “$10 per acre during the 10-year period beginning on the date of enactment of the Act titled “An Act to provide for reconciliation pursuant to title II of S. Con. Res. 14”.” and inserting “$2 per acre for a period of 2 years from the date of the enactment of the Federal Onshore Oil and Gas Leasing Reform Act of 1987.”; and
in paragraph (2)(C), by striking “$10 per acre” and inserting “$2 per acre”.
Fossil fuel rental rates— Section 17(d) of the Mineral Leasing Act (30 U.S.C. 226(d)) is amended to read as follows:
“(d) All leases issued under this section, as amended by the Federal Onshore Oil and Gas Leasing Reform Act of 1987, shall be conditioned upon payment by the lessee of a rental of not less than $1.50 per acre per year for the first through fifth years of the lease and not less than $2 per acre per year for each year thereafter. A minimum royalty in lieu of rental of not less than the rental which otherwise would be required for that lease year shall be payable at the expiration of each lease year beginning on or after a discovery of oil or gas in paying quantities on the lands leased.”