HR 92119th CongressIn Committee

Strategic Production Response and Implementation Act

Introduced: Jan 3, 2025

Standard Summary

Comprehensive overview in 1-2 paragraphs

The Strategic Production Response and Implementation Act would add a new requirement to the Energy Policy and Conservation Act (EPCA) before any drawdown of petroleum from the Strategic Petroleum Reserve (SPR). Specifically, it would force the federal government to develop and implement a compensatory plan to increase the share of oil and gas produced from federal lands (including submerged Outer Continental Shelf lands) under the jurisdiction of four federal secretaries (Agriculture, Energy, Interior, and Defense) by the same percentage as the SPR is drawn down, with a hard cap of a 10% overall increase in leased federal lands. The plan must be prepared in consultation with the three other secretaries and would apply to the first and any subsequent SPR drawdowns, except in the case of a severe energy supply interruption defined in EPCA. The requirement would take effect before the first SPR drawdown after enactment.

Key Points

1New requirement: Adds subsection (k) to Section 161 of EPCA, creating a formal “Plan” process tied to SPR drawdowns.
2Compensatory increase: The plan must increase the percentage of federally leased lands available for oil and gas production by the same percentage as the SPR drawdown in that round.
3Cap: The total planned increase in federally leased lands for oil and gas production cannot exceed 10 percent.
4Scope of lands: Applies to federal lands under the jurisdiction of the Secretary of Agriculture, the Secretary of Energy, the Secretary of the Interior, and the Secretary of Defense, including submerged lands of the Outer Continental Shelf.
5Consultation: The plan must be prepared in consultation with the Secretaries of Agriculture, Interior, and Defense (in addition to the DOE setting the plan’s development).

Impact Areas

Primary group/area affected- Federal land management and energy agencies (Departments of Agriculture, Energy, Interior, and Defense) and their leasing/production programs.- Oil and gas producers with federal leases, including activity on federal lands and offshore areas (OCS).Secondary group/area affected- Strategic Petroleum Reserve operations and decisions on when to draw down petroleum products.- Environmental review and permitting processes tied to increased federal leasing and potential new drilling.- States and local communities where federal lands lie, given potential changes in drilling activity and economic impacts.Additional impacts- Policy and energy security: The bill ties SPR actions to increases in federal land production, potentially shaping short-term energy security responses.- Administrative burden: Requires interagency coordination and development of a formal plan before SPR drawdowns, which could slow the initial drawdown process (absent a severe disruption).- Legal and regulatory considerations: May interact with existing environmental laws, leasing regulations, and NEPA processes; potential for litigation or policy debate over expanded drilling on federal lands.- Economic and environmental trade-offs: Could influence federal revenue from leases, environmental protections, and land-use planning outcomes given a 10% cap and offshore/OCS implications.

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