Compilation of energy-related legislation

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Title:
Compilation of energy-related legislation
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4 v. : ; 24 cm.
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English
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United States
United States -- Congress. -- House. -- Committee on Interstate and Foreign Commerce
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U.S. Govt. Print. Off.
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Washington
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Power resources -- Law and legislation -- United States   ( lcsh )
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non-fiction   ( marcgt )

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General Note:
At head of title: 96th Congress, 1st session. Committee print. Committee print 96-IFC 26-96-IFC-29
General Note:
Aug. 1979.
Statement of Responsibility:
prepared by the staff, Committee on Interstate and Foreign Commerce, U.S. House of Representatives.

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University of Florida
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All applicable rights reserved by the source institution and holding location.
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aleph - 026932793
oclc - 05990075
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AA00024904:00003

Full Text



io~~~~~ ~ ~ ','J"Nh oges f OMMITTEE
la eso I NT 96-IFC 28







COMPIERGY-RELATED
p LATION




/VOLMEII-ENRGY CONSERVATION, ORGANIZAIN, AND RELATED MATTERS




PREPRED Y THEB STAFF
COMITEEON INTERS TATE AND U.S. ~ HOSEOFRPRSENTATIVES







AUGUST 197









96th Congress COMMITTEE PRINT f ('om m ITTr:
1st Session f PRINT 96-IFC 28






COMPILATION OF ENERGY-RELATED
LEGISLATION



VOLUME III-ENERGY CONSERVATION, ORGANIZATION. AND RELATED MATTERS




PREPARED BY THE STAFF
COMMITTEE ON INTERSTATE AND
FOREIGN COMMERCE
U.S. HOUSE OF REPRESENTATIVES










AUGUST 1979





U.S. GOVERNMENT PRINTING OFFICE 43-144 O WASHINGTON : 1979

For sale by the Superintendent of Documents, U.S. Government Printing Office Washington, D.C. 20402























COMMITTEE ON INTERSTATE AND FOREIGN COMMERCE

HARLEY 0. STAGGERS, West Virginia, Chairman
JOHN D. DINGELL, Michigan JAMES T. BROYHILL, North Carolina
LIONEL VAN DEERLIN, California SAMUEL L. DEVINE, Ohio JOHN M. MURPHY, New York TIM LEE CARTER, Kentucky
DAVID E. SATTERFIELD III, Virginia CLARENCE J. BROWN, Ohio BOB ECKHARDT, Texas JAMES M. COLLINS, Texas
lRICHARDSON PREYER, North Carolina NORMAN P. LENT, New York JAMES H. SCHEUER, New York EDWARD R. MADIGAN, Illinois
RICHARD L. OTTINGER, New York CARLOS J. MOORHEAD, California
HENRY A. WAXMAN, California MATTHEW J. RINALDO, New Jersey
TIMOTHY E. WIRTH, Colorado DAVE STOCKMAN, Michigan
PHILIP R. SHARP, Indiana MARC L. MARKS, Pennsylvania
JAMES J. FLORIO, New Jersey TOM CORCORAN, Illinois
ANTHONY TOBY MOFFETT, Connecticut GARY A. LEE, New York JIM SANTINI, Nevada TOM LOEFFLER, Texas
ANDREW MAGUIRE, New Jersey WILLIAM E. DANNEMEYER, California
MARTY RUSSO, Illinois
EDWARD J. MARKEY, Massachusetts THOMAS A. LUKEN, Ohio
DOUG WALGREN, Pennsylvania ALBERT GORE, JR., Tennessee BARBARA A. MIKULSKI, Maryland RONALD M. MOTTL, Ohio
PHIL GRAMM, Texas
AL SWIFT, Washington
MICKEY LELAND, Texas
RICHARD C. SHELBY, Alabama KENNETH J. PAINTER, Acting Clerk ELEANOR A. DINKINs, Assistant Clerk LEwIS E. BERRY, Minority Counsel

(II)













CONTENTS



VOLUME I-OIL, GAS, AND COAL

PART A-OIL
Page
Emergency Petroleum Allocation Act of 1973 ------------------------Economic Stabilization Act of 1970 (certain provisions) ------------------27
Trans-Alaska Oil Pipeline------------------------------------------- 37
Petroleum Marketing Practices Act -------------------------------------59
Crude Oil Transportation Systems (title V of Public Law 95-6 17)------79

PART B-GAS
Natural Gas Act--------------------------------------------------- 91
Natural Gas Pipeline Safety Act of 1968 -------------------------------119
Alaska Natural Gas Transportation Act of 1976 -------------------------135
Natural Gas Policy Act of 1978 --------------------------------------151
Miscellaneous gas provisions (sec. 605-608 of Public Law 95-6 17)------215

PART C-COAL
Powerplant and Industrial Fuel Use Act of 1978 ------------------------227

VOLUME Il-ELECTRIC AND NUCLEAR

PART A-ELECTRIC
Federal Power Act -----------------------------------------------------5
Public Utility Holding Company Act of 1935 ---------------------------77
Public Utility Regulatory Policies Act of 1978 --------------------------119

PART B-NUCLEAR
Atomic Energy Act of 1954----------------------------------------- 161
Uranium Radiation Exposure Remedial Action (Public Law 92-314)- -- ----263 Uranium 'Mill Tailings Control Act of 1978 ----------------------------267
VOLUME III-ENERGY CONSERVATION, ORGANIZATION,
AND) RELATED MATTERS

PART A--CONSERVATION AND RELATED MATTERS
Energy Policy and Conservation Act -----------------------------------5
Energy Conservation and Production Act----------------------------- 159
National Energy Conservation Policy Act ------------------------------207
National Energy Extension Service Act --------------------------------279
Energy Supply and Environmental Coordination Act of 1974 -------------295'

PART B-ADMINISTRATION AND ORGANIZATION
Federal Energy Administration Act of 1974 ----------------------------321
Energy Reorganization Act of 1974 -----------------------------------35 1
Department of Energy Organization Act -------------------------------381







Iv

VOLUME IV-SELECTED APPROPRIATION AUTHORIZATIONS ANT) OTHER LEGISLATION

PART A-SELECTED ENERGY APPROPRIATION AUTHORIZATIONS
Page
Federal Energy Administration Authorization Act of 1977 -----------------5
Nuclear Regulatory Commission Authiorization of Appropriations for Fiscal Year 1979 ----------------------------------------------------- 13

PART B-SELECTED ENERGY-RELATED LEGISLATION
Federal Nonnuclear Energy Research and Development Act of 1974 --- 25 Energy Tax Act of 1978-------------------------------------------- 65
Outer Continental Shelf Lands Act ---------------------------------- 99

APPENDIX
National Environmental Policy Act of 1969 ----------------------------149
Title 5--Administrative Procedure -------------------------------------157
Section 1905 of title 18, United States Code -------------------------- 190





























PART A-CONSERVATION AND RELATED MATTERS





(1)


















Digitized by the Internet Archive
in 2013












http://archive.org/details/compeOOu nit




























ENERGY POLICY AND CONSERVATION ACT



















"ENERGY POLICY AND CONSERVATION ACT



Public Law 94-163 94th Congress, S. 622 December 22.,1975

AN ACT To increase domestic energy supplies and availability; to restrain energy demand; to prepare for energy emergencies; and for other purposes.
Be it enacted by the Senate and House ofRepresenta- Energy
ot Policy and
tietes of the United States of America in Congress assem- Conservation Act.
bled, That this Act may be cited as the "Energy Policy 42 Usc 6201
and Conservation Act". note.

TABLE OF CONTENTS
Sec. 2. Statement of purposes. Sec. 3. Definitions.
TITLE I-MATTERS RELATED TO DOMESTIC SUPPLY AVAILABILITY
PART A-DoMESTIC SUPPLY
Sec. 101. Coal conversion. Sec. 102. Incentives to develop underground coal mines. Sec. 103. Domestic use of energy supplies and related materials
and equipment.
Sec. 104. Materials allocation. Sec. 105. Prohibition of certain lease bidding arrangements. See. 106. Production of oil or gas at the maximum efficient rate
and temporary emergency production rate.

PART B- STRATEGIC PETROLEUM RESERVE
Sec. 151. Declaration of policy. Sec. 152. Definitions. Sec. 153. Strategic Petroleum Reserve Office. Sec. 154. Strategic Petroleum Reserve. Sec. 155. Early Storage Reserve. Sec. 156. Industrial Petroleum Reserve. Sec. 157. Regional Petroleum Reserve. Sec. 158. Other storage reserves. Sec. 159. Review by Congress and implementation. Sec. 160. Petroleum products for storage in the Reserve. Sec. 161. Drawdown and distribution of the Reserve. Sec. 162. Coordination with import quota system. Sec. 163. Disclosure, inspection, investigation. Sec. 164. Naval petroleum reserves study. Sec. 165. Annual reports. Sec. 166. Authorization of appropriations.
(5)







6

TITLE II-STANDBY ENERGY AUTHORITIES

PART A-GENERAL EMERGENCY AUTHORITIES
See. 201. Conditions of exercise of energy conservation and rationing authorities.
See. 202. Energy conservation contingency plans. See. 203. Rationing contingency plan.

PART B-AUTHORITIES WITia RESPECT TO INTERNATIONAL ENERGY PROGRAM
See. 2-1. International oil allocation. See. 252. International voluntary agreements. See. 253. Advisory committees. See. 254. Exchange of information. See. 255. Relationship of this title to the international energy
agreement.

TITLE III-IMPROVING ENERGY EFFICIENCY

PART A-AUTOMOTIVE FUEL ECONOMY
Sec. 301. Amendment to Motor Vehicle Information and Cost
Savings Act.
i6TITLE V-IMPROVING AUTOMOTIVE EFFICIENCY

"PART A-AUTOMOTIVE FUEL ECONOMY
"See. 501. Definitions.
"See. 502. Average fuel economy standards applicable to each
manufacturer.
-See. 503. Determination of average fuel economy.
"Sec. 504. Judicial review.
"See. 505. Information and reports.
"See. 506. Labeling.
"See. 507. Unlawful conduct.
"See. 508. Civil penalty.
"See. 509. Effect on State law.
"See. 510. Use of fuel efficient passenger automobile by the
Federal Government.
"See. 511. Retrofit devices.
"See. 512. Reports to Congress.".

PART B-ENERGY CONSERVATION PROGRAM FOR CONSUMER PRODUCTS OTHER THAN AUTOMOBILES
See. 321. Definitions. See. 322. Coverage. See. 323. Test procedures. Sec. 324. Labeling. See. 325. Energy efficiency standards. See. 326. Requirements of manufacturers and private labelers. See. 327. Effect on other law. See. 328. Rules.
See. 329. Authority to obtain information. See. 330. Exports. See. 331. Imports. See. 332. Prohibited acts. See. 333. Enforcement. See. 334. Injunctive enforcement. See. 335. Citizen suits. See. 336. Administrative procedure and judicial review. Sec. 33 7. Consumer education. See. 338. Annual report. Sec. 339. Authorization of appropriations.







7

PART C-CERTAIN INDUSTRIAL EQUIPMENT
Sec. 340. Definitions. See. 341. Purpose and coverage. See. 342. Study of electric motors and pumps and other industrial
equipment.
Sec. 343. Test procedures. See. 344. Labeling requirements. Sec. 345. Administration, penalties, and enforcement. See. 346. Authorization-of appropriations.

PART D-STATE ENERGY CONSERVATION PROGRAMS
See. 361. Findings and purpose. See. 362. State energy conservation plans. See. 363. Federal assistance to States. Sec. 364. Energy conservation goals. See. 365. General provisions. See. 366. Definitions. ESee. 367. Supplemental State energy conservation plans.'3
PART E-INDUSTRIAL ENERGY CONSERVATION
See. 371. Definitions. See. 372. Program.
See. 373. Identification of major energy consumers. See. 374. Industrial energy efficiency improvement targets. See. 374A. Targets for use of recovered materials. See. 375. Reports.
See. 376. General provisions.

PART F-OTHER FEDERAL ENERGY CONSERVATION MEASURES
See. 381. Federal energy conservation programs. See. 382. Energy conservation in policies and practices of certain
Federal agencies.
Sec. 383. Federal actions with respect to recycled oil.

PART G-ENERGY CONSERVATION PROGRAM FOR SCHOOLS AND HOSPITALS
See. 391. Definitions.
See. 392. Guidelines.
See. 393. Preliminary energy audits and energy audits. See. 394. State plans. See. 395. Applications for financial assistance. See. 396. Grants for project costs. and technical assistance. Sec. 397. Authorization of appropriations. See. 398. Allocation of grants. See. 399. Administration; annual reports. Sec. 400. Records.

PART H-ENERGY CONSERVATION PROGRAM FOR BUILDINGS OWNED BY UNITS OF LOCAL GOVERNMENT AND PUBLIC CARE INSTITUTIONS
See. 400A. Definitions. See. 400B. Guidelines and rules. See. 400C. Preliminary energy audits and energy audits. See. 400D. State plans. See. 400E. Applications for grants for technical assistance. See. 400F. Grants for technical assistance. See. 400G. Authorization of appropriations. Sec. 400H. Allocation of grants. See. 4001. Administration; annual reports. See. 400J. Records.

1 Public Law 94-385 added section 367, but did not amend the table of contents.







8

PART I-OFF-HIGHWAY MOTOR VEHICLES
Sec. 385. Off-Highway motor vehicle conservation study.

TITLE IV-PETROLEUM PRICING POLICY AND OTHER AMENDMENTS TO THE ALLOCATION ACT
PART A-PRICING POLICY
Sec. 401. Oil pricing policy.
Sec. 402. Limitations on pricing policy.
Sec. 403. Entitlements.

PART B-OTHER AMENDMENTS TO THE ALLOCATION ACT
Sec. 451. Amendments to the objectives of the Allocation Act.
Sec. 452. Penalties under the Allocation Act.
See. 453. Antitrust provision in Allocation Act.
Sec. 454. Evaluation of regulation under the Allocation Act.
Sec. 455. Conversion to standby authorities.
Sec. 456. Technical purchase authority.
Sec. 457. Direct controls on refinery operations.
Sec. 458. Inventory controls.
Sec. 459. Hoarding prohibitions.
Sec. 460. Asphalt allocation authority.
Sec. 461. Expiration of authorities.
Sec. 462. Reimbursement to States.
Sec. 463. Effective date of Allocation Act amendments.

TITLE V-GENERAL PROVISIONS

PART A-ENERGY DATA BASE AND ENERGY INFORMATION
Sec. 501. Verification examinations.
Sec. 502. Powers of the Comptroller General and reports.
Sec. 503. Accounting practices.
Sec. 504. Enforcement.
Sec. 505. Amendment to Energy Supply and Coordination Act of 1974.
Sec. 506. Extension of energy information gathering authority.

PART B-GENRA PROVISIONS
Sec. 521. Prohibition on certain actions.
Sec. 522. Conflicts of interest.
Sec. 523. Administrative procedure and judicial review.
Sec. 524. Prohibited acts.
Sec. 525. Enforcement.
Sec. 5-26. Effect on other laws.
Sec. 527. Transfer of authority.'
Sec. 528. Authorization of appropriations for interim period.
Sec. 529. Intrastate natural gas.
Sec. 530. Limitation on loan guarantees.
Sec. 531. Expiration.

PART C-CONGRESSIONAL REVIEW
Sec. 551. Procedure for congressional review of Presidential requests to implement certain authorities. Sec. 552. Expedited procedure for congressional consideration of certain authorities.

Public Law 95-619 repealed see. 527, but did not amend the Table of Contents.






9

STATEMENT OF PURPOSES
SEC. 2. The purposes of this Act are- 42 USC 6201.
(1) to grant specific standby authority to the
President, subject to congressional review, to impose rationing, to reduce demand for energy through the implementation of energy conservation plans, and to fulfill obligations of the United States under the
international energy program;
(2) to provide for the creation of a Strategic Petroleum Reserve capable of reducing the impact of
severe energy supply interruptions;
(3) to increase the supply of fossil fuels in the
United States through price incentives and production requirements;
(4) to conserve energy supplies through energy
conservation programs, and, where necessary, the
regulation of certain energy uses;
(5) to provide for improved energy efficiency of
motor vehicles, major appliances, and certain other
consumer products;
(6) to reduce the demand for petroleum produ&and natural gas through programs designed to provide greater availability and use of this Nation's
abundant coal resources; and
(7) to provide a means for verification of energy
data to assure the reliability of energy data.

DEFINITIONS
SEC.3. As used in this Act: 42 USC 6202.
(1) The term "Secretary" means the Secretary of Energy.
(2) The term "person" includes (A) any individual,
(B) any corporation, company, association, firm, partnership, society, trust, joint venture, or joint stock company, and (C) the government and any agency of the United States or any State or political subdivision thereof
(3) The term "petroleum product" means crude oil, residual fuel oil, or any refined petroleum product (including any natural liquid and any natural gas liquid product).
(4) The term "State" means a State, the District of Columbia, Puerto Rico, or any territory or possession of the United States.
(5) The term "United States" when used in the geographical sense means all of the States and the Outer Continental Shelf.
(6) The term "Outer Continental Shelf" has the same meaning as such term has under section 2 of the Outer Continental Shelf Lands Act (43 U.S.C. 1331).






10

(7) The term "international energy program" means, the Agreement on an International Energy Program, signed by the United States on November 18, 1974, including (A) the annex entitled "Emergency Reserves",
(B) any amendment to such Agreement which includes another; nation as a party to such Agreement, and (C) any technical or clerical amendment to such Agreement.
8) The term "severe energy supply interruption" means a national energy supply shortage which the President determines(A) is, or is lilcely to be, of significant scope and
duration, and of an emergency nature;
(B) may cause major adverse impact on national
safety or the national economy; and
(C) results, or is likely to result, from an interruption in the supply of imported petroleum products. or f rom sabotage or an act of God.
(9) The term "antitrust laws" includes(A) the Act entitled "An Act to protect trade and
commerce against unlawful restraints and monopolies", approved July 2, 1890 (15 U.S.C. 1, et seq.):
(B) the Act entitled "An Act to supplement existing laws against unlawful restraints and monopolies, and for other purposes", approved October 15, 1914
(15 U.S.C. 12, et seq.) ;
(C) the Federal Trade Commission Act (15
U. S.C. 411et seq.)
(D) sections 73 and 74 of the Act entitled "An Act
to reduce taxation, to provide revenue for the Government, and for other purposes", approved August 27,1894 (15 U.S.C. 8 and 9) ; and
(E) the Act of June 19., 1936, chapter 592 (15
U.S.C. 13,13a. 13b, and 21A)
(10) The term "Federal land" means all lands owned or controlled by the United States, including the Outer Continental Shelf and any land in which the United States has reserved mineral interests, except lands(A) held in trust for Indians or Alaska Natives,
(B) owned by Indians or Alaska Natives with
Federal restrictions on the title,
(C) within any area of the National Park System,
the National Wiidlife Refuge System, the National Wilderness Preservation System, the National System of Trails, or the Wild and Scenic Rivers System
or
(D) within military reservations.






11

TITLE I-MATTERS RELATED TO DOMESTIC
SUPPLY AVAILABILITY

PART A-DOMESTIC SUPPLY
COAL CONVERSION
;SEC. 101. (a) Section 2(f) of the Energy Supply and Environmental Coordination Act of 1974 is amended- 72
(1) in paragraph (1) thereof, by striking out15UC72
"'June 30, 1975-, and inserting in lieu thereof "June 30, 1977", and by striking out 'January 1, 19 79" and inserting in lieu thereof "January 1, 1985"; and
(2) in paragraph (2) thereof, by striking out
"December 31, 1978" and inserting in lieu thereof "December 31, 1984", and by striking out "January 1.
1979" and inserting in lieu thereof "January 1, 1985".
(b) Section 2 (a) of such Act is amended to read as follows:
"(a) The Federal Energy Administrator" (1) shall, by order, prohibit. any powerplant, and (2) may, by order, prohibit any major fuel burning installation, other than a powerplant,
from burning natural gas or petroleum products as its primary energy source, if the requirements of subsection (b ) are met and if (A) the Federal Energy Administrator determines such powerplant or installation on June 22, 1974, had, or thereafter acquires or is designed with, the capability and necessary plant equipment to burn coal, or (B) such powerplant or installation is required to meet a design or construction requirement under subsection (c)."1
(c) Section 2(c) of such Act is amended by inserting "or other major fuel burning installation" after "powerp)1ant" wherever it appears and by inserting "in the case of a powerpl ant" after "1(1)"1 in the second sentence.
INCENTIVES TO DEVELOP UNDERGROUND COAL MINES
SEC. 102. (a) The Secretary mnay, in accordance with 42 USC 6211. subsection (b) and rules prescribed under subsection (d), guarantee loans made to eligible persons described in subsection (c) (1) for the purpose of developing new underground coal mines.
(b) (1) A person may receive for a loan guarantee under subsection (a) only if the Secretary determines that.(A) such person is capable of successfully developing and operating the mine with respect to which the
loan guarantee is sought;
(B) such person has provided adequate assurance
that the mine will be constructed and operated in compliance with the provisions of the Federal Coal
Mine Health and Safety Act and that no final judg- 30 SC' 801 ment holding such person liable for any fine or 42 USC 1857
penalty under such Act is unsatisfied; note.






12

(C) there is a reasonable prospect of repayment of the guaranteed loan;
(D) such person has obtained a contract, of at least the duration of the period during which the loan is required to be repaid, for the sale or resale of coal to be produced from such mine to a person who the Administrator of the Environmental Protection
42 USC Agency certifies will be able to burn such coal in com1857e-5. pliance with all applicable requirements of the Clean
Air Act, and of any applicable implementation plan
(as defined in section 110 of such Act) ;
(E) the loan will be adequately secured;
(F) such person would be unable to obtain adequate financing without such guarantee;
(G) the guaranteeing of a loan to such person will enhance competition or encourage new market entry;
and
(H) such person has adequate coal reserves to cover contractual commitments described in subparagraph (D).
(2) The total amount of guarantees issued to any person (including all persons affiliated with such person) may not exceed $30,000,000. The amount of a guarantee issued with respect to any loan may not exceed 80 percent of the lesser of (A) the principal balance of the loan or, (B) the cost of developing such new underground coal
mine.
"Low sulfur coal." (3) The aggregate outstanding principal amount of
loans which are guaranteed under this section may not at any time exceed $750,000,000. Not more than 20 percent of the amount of guarantees issued under this section in any fiscal year may be issued with respect to loans for the purpose of opening new underground coal mines
which produce coal which is not low sulfur coal.
(c) For purposes of this section(1) A person shall be considered eligible for a guarantee under this section if such person (together
with all persons affiliated with such person)
(A) did not produce more than 1.000.000 tons of coal in the calendar year preceding the year in which he makes application for a loan guarantee under this section;
(B) did not produce more than 300,000 barrels of crude oil or own an oil refinery in such preceding calendar year; and
(C) did not have gross revenues in excess of $50,000,000 in such calendar year.
(2) A person is affiliated with another person if he controls, is controlled by, or is under common control with such other person, as such term may be further
defined by rule by the Secretary.






13

(3) The term "low sulfur coal" means coal which, in a quality necessary to produce one million British thermal units, does not contain sulfur or sulfur compounds the elemental sulfur content of which exceeds 0.6 pound. Sulfur content shall be determined after the application of any coal preparation process which takes place before sale of the coal by the producer.
(4) The term "developing new underground coal mine" includes expansion of any existing underground coal mine 'in a manner designed to increase the rate of production of such mine, and the reopening of any underground coal mine which had previously been closed. Such term also includes construction of a coal preparation plant which is designed to reduce the sulfur content of coal produced from any coal mine. S Regulation.
(d) The Secretary shall prescribe such regulations a may be necessary or appropriate to carry out this section. Such rules shall require that each application for a guarantee under this section shall be made in writing to the Secretary in such form and with such content and other submissions as the Secretary shall require, in order reasonably to protect the interests of the United States. Each guarantee shall be issued in accordance with subsections (a) through (c), and(1) under such terms and conditions as the Secretary, in consultation with the Secretary of the Treasury, considers appropriate;
(2) with such provisions with respect to the date
of issue of such guarantee as the Secretary, with the concurrence of the Secretary of the Treasury, considers appropriate, except that the required concurrence of the Secretary of the Treasury may not, without the consent of the Secretary, result in a delay in the issiiance of such guarantee for more than 60
days;and
(3) in such form as the Secretary considers
appropriate.
(e) Each person who receives a loan guarantee under Recordthis section shall keep such records as the Secretary or the, keeping. Secretary of the Treasury shall require, including records which fully disclose the total cost of the project for which a loan is guaranteed under this section and such other records as the Secretary or the Secretary of the Treasury determines necessary to facilitate an effective audit and performance evaluation. The Secretary, the Secretary of the Treasury, and the Comptroller General of the United States. or any of their duty authorized representatives, shall have access for the purpose of audit and examination to any pertinent books, documents, papers, and records of any person who receives a loan guarantee under this section.



43-144 0 79 2






14

DOMESTIC USE OF ENERGY SUPPLIES AND RELATED MATERIALS AND EQUIPMENT
Export SEC. 103. (a) The President may, by rule, under such
restrictions.
42 USC 6212. terms and conditions as he determines to be appropriate
and necessary to carry out the purposes of this Act, restrict exports of(1) coal, petroleum products, natural gas, or petrochemical feedstocks, and
(2) supplies of materials or equipment which he determines to be necessary (A) to maintain or further exploration, production, refining, or transportation of energy supplies, or (B) for the construction or maintenance of energy facilities within the United
States.
(b) (1) The President shall exercise the authority provided for in subsection (a) to promulgate a rule prohibiting the export of crude oil and natural gas produced in the United States, except that the President may, pursuant to paragraph (2), exempt from such prohibition such crude oil or natural gas exports which he determines to be consistent with the national interest and the purposes of this Act.
(2) Exemptions f rom any rule prohibiting crude oil or
natural gas exports shall be included in such rule or provided for in an amendment thereto and may be based on the purpose for export, class of seller or purchaser, country of destination, or any other reasonable classification or basis as the President determines to be appropriate and consistent with the national interest and the purposes
of this Act.
(c) Tn order to implement any rule promulgated under
subsection (a) of this section, the President may request
50 USC app. and, if so, the Secretary of Commerce shall, pursaunt to 2401 note. the procedures established by the Export Administration 50 USC app. Act of 1969 (but without regard to the phrase "and to 2402. reduce the serious inflationary impact of foreign demand" in section 3 (2) (A) of such Act), impose such restrictions as specified in any rule under subsection (a) on exports of coal, petroleum products, natural gas, or petrochemical feedstocks, and such supplies of materials
and equipment.
(d) Any finding by the President pursuant to subsection (a) or (b) and any action taken by the Secretary of Commerce pursuant thereto shall take into account the national interest as related to the need to leave uninterrupted or unimpaired(1) exchanges in similar quantity for convenience or increased efficiency of transportation with persons
or the government of a foreign state,
(2) temporary exports for convenience or increased efficiency of transportation across parts of an






15

adjacent foreign state which exports reenter the
United States, and
(3) the historical trading Felations of the United
States with Canada and Mexico.
(e) (1) The provisions of subehapter II of chapter 5 .5 usc z;,51. of title 51 United States Code, shall apply with respect to the promulgation of any rule pursuant to this section, except that the President may waive the requirement pertaining to the notice of proposed rulemaking or period for comment only if he finds that compliance with such requirements may seriously impair his ability to impose effective and timely prohibitions on exports.
(2) In the event such notice and comment period are waived with respect to a rule promulgated under this section, the President shall afford interested persons an opportunity to comment on any such rule at the earliest practicable date thereafter.
(3) If the President determines to request the Secretary of Commerce to impose specified restrictions as provided for in subsection (c), the enforcement and penalty provisions of the Export Administration Act of 1969 shall apply, in lieu of this Act, to any violation of such restrictions.
(f) The President shall submit quarterly reports to Reports to the Congress concerning the administration of this sec- Congress. tion and any findings made pursuant to subsection (a) or (b).
MATERIALS ALLOCATION
SEC. 104. (a) Section 101 of the Defense Production 50USC app.
Act of 1950 is amended by adding at the end thereof the 2071. following new subsection:
(c) (1) Notwithstanding any other provision of this Act, the President may, by rule or order, require the allocation of, or the priority performance under contracts or orders (other than contracts of employment) relating to, supplies of materials and equipment in order to maximize domestic energy supplies if he makes the findings required by paragraph (3) of this subsection. Report to
(2) The President shall report to the Congress within Congress. within sixty days after the date of enactment of this subsection on the manner in which the authority contained in paragraph (1) will be administered. This report shall include the manner in which allocations will be made, the procedure for requests and appeals, the criteria for determining priorities as between competing requests, and the office or agency which will administer such authorities.
(3) The authority granted in this subsection may not be used to require priority performance of contracts or orders, or to control the distribution of any supplies of






1 16

materials and equipment in the marketplace, unless the
President finds that
"(A) such supplies are scarce, critical, and essential to maintain or f further (i) exploration, production, refining, transportation, or (ii) the conservation of energy supplies, or (iii) for the construction
and maintenance of energy facilities; and
(B) maintenance or furtherance of exploration, production, refining, transportation, or conservation of energy supplies or the construction and maintenance of energy facilities cannot reasonably be accomplished without exercising the authority specified in
paragraph (1) of this subsection.
(4) During any period when the authority conferred
by this subsection is being exercised, the President shall take such action as may be appropriate to assure that such authority is being exercised in a manner which assures the coordinated administration of such authority with any priorities or allocations established under subsection (a) of this section and in effect during the same
period.".
50 USC app. (b) (1) The authority to issue any rules or orders
2071 note.
50 USC app. under section 101 (c) of the Defense Production Act of 2071. 1950, as amended by this Act, shall expire at midnight
December 31, 1984, but such expiration shall not affect any action or pending proceedings, civil or criminal, not finally determined on such date, nor any action or pro50 USC app. ceeding based upon any act committed prior to such date. 2061. (2) The expiration of the Defense Production Act of
1950 or any amendment of such Act after the date of enactment of this Act shall not affect the authority of the.
Ante, P. 878. President under section 101 (c) of such Act, as amended
by subsection (a) of this section and in effect on the date of enactment of this Act, unless Congress by law expressly provides to the contrary.

PROHIBITION OF CERTAIN LEASE BrDDING ARRANGEMENTS
42 USC 6213. SEC. 105. (a) The Secretary of the Interior shall, not
later than 30 days after the date of enactment of this Act, prescribe and make effective a rule which prohibits the bidding for any right to develop crude oil, natural gas, and natural gas liquids on any lands located onthe Outer Continental Shelf by any person if more than one major oil company, more than one affiliate of a major oil company, or a major oil company and any affiliate of a major c)il company, has or have a significant ownership interest in such person. Such rule shall define affiliate relationships and significant ownership interests.
(b) As used in this section:
"MaJor oil (1) The term "major oil company" means any
company." person who, individually or together with any other






17

n with respect to which such person has an
p9sioaterelationship or significant ownership interest, produced during a prior 6-month period specified by the Secretary, an average, daily volume of 1,600,000 barrels of crude oil, natural gas liquids
equivalents, and natural gas equivalents.
(2) One barrel of natural gas equivalent equals
5,626 cubic feet of natural gas measured at 14.73 pounds per square inch (MSL) and 60 degrees
Fahrenheit.
(3) One barrel of natural gas liquids equivalent
equals 1.454 barrels of natural gas liquids at 60
degrees Fahrenheit.
(c) The Secretary may, by amendment to the rule, exempt bidding for leases for lands located in frontier or other areas determined by the Secretary to be extremely high risk lands or to present unusually high cost exploration, or development, problems.
(d) This section shall not be construed to prohibit the utilization of producing fields to increase production or maximize ultimate recovery of oil or natural gas, or both.
(e) The Secretary shall study and report to the Con_ Report to gress, not later than 6 months after the date of enact- Congress. ment of this Act, with respect to the feasibility and desirability of extending the prohibition on joint bidding to
(1) bidding for any right to develop crude oil,
natural gas, and natural gas liquids on Federal lands other than those located on the Outer Continental Shelf ; and
(2) bidding for any right to develop coal and oil
shale on such lands.
PRODUCTION OF OIL OR GAS AT THE MAXIMUM EFFICIENT
RATE AND TEMPORARY EMERGENCY PRODUCTION RATE
SEC. 106. (a) (1) The Secretary of the Interior, by rule 42 USC 6214. on the record after an opportunity for a hearing, shall, to the greatest extent practicable, determine the maximum efficient rate of production and, if any, the temporary emergency production rate for each field on Federal lands which produces, or is determined to be capable of producing, significant volumes of crude oil or natural gas, or both.
(2) Except as provided in subsection (f), the President may, by rule or order, require crude oil or natural gas, or both, to be produced from fields on Federal lands designated by him(A) at the maximum efficient rate of production,
and






18

(B) during a severe energy supply interruption,
at the temporary emergency production rate
as determined pursuant to paragraph (1) for such field.
(b) (1) Each State or the appropriate agency thereof may, for the purposes of this section, pursuant to proce, dures and standards established by the State, determine the maximum efficient rate of production and, if any, the temporary emergency production rate, for each field (other than a field on Federal lands) within such State which produces, or is determined to be capable of producing, significant volumes of crude oil or natural gas, or both.
(2) If a State or the appropriate agency thereof has determined the maximum efficient rate of production and, if any, the temporary emergency production rate, or both, or their equivalents (however characterized), for any field (other than a field on Federal lands) within such State, the President may, by rule or order, during a severe energy supply interruption, require the production of such fields at the rates of production established by the State.
(c) With respect to any field, which produces, or is determined to be capable of producing, significant volumes of crude oil, natural gas, or both, which field is unitized and is composed of both Federal lands and lands other than Federal lands and there has been no determination of the maximum efficient rate of production or the temporary emergency production rate or both, the Secretary of the Interior may, pursuant to subsection (a) (1), determine a maximum efficient rate of production and a temporary emergency production rate, if any, for such field. The President may, during a. severe energy supply interruption by rule or order, require production at the maximum efficient rate, of production and the temporary emergency production rate, if any, determined for such field.
(d) If loss of ultimate recovery of crude oil or natural gas, or both, occurs or will occur as the result of a rule or order under the authority of this section to produce at the temporary emergency production rate, the owner of any property right 'who considers himself damaged by such order may bring an action in a United States district court to recover just compensation, which shall be awarded if the court finds that such loss constitutes a taking of property compensable under the Constitution.
(o) As used in this section:
(1) The term "maximum efficient rate of production" means the maximum rate of production of crude oil or natural gas, or both, which may be sustained without loss of ultimate recovery of crude oil or natural gas, or both, under sound engineering
and economic principles.






19

(2) The term "temporary emergency production
rate" means the maximum rate of production for a
field(A) which rate is above the maximum efcient rate of production established for such
field; and
(B) which may be maintained for a temporary period of less than 90 days without reservoir damage and without significant loss of ultimate recovery of crude oil or natural gas, or
both, from such field.
(f) Nothing in this section shall be construed to authorize the production of crude oil, or natural gas, or both, from any Naval Petroleum Reserve subject to the provisions of chapter 641 of title 10, United States Code.
SEC. 107. (a) No Governor of a State may issue any order or rule pursuant to section 125 of the Chean Air Act to any major fuel burning stationary source (or class or category thereof )
(1) prohibiting such source from using fuels other
than locally or regionally available coal or coal derivatives, or
(2) requiring such source to enter into a contract
(or contracts) for supplies of locally or regionally
available coal or coal derivatives.
(b) 1) The Governor of any State may petition the President to exercise the President's authorities pursuant to section 125 of the Clean Air Act with respect to any major fuel burning stationary source located in such State.
(2) Any petition under paragraph (1) shall include documentation which could support a finding that significant local or regional economic disruption or unemployment would result from use by such source of(A) coal or coal derivatives other than locally or
regionally available coal,
(B) petroleum products,
(C) natural gas, or
(D) any combination of f uels referred to in subparagraphs (A) through (C), to comply with the requirements of a State implementation plan pursuant to section 110 of the Clean Air Act..
(c) Within 90 days after the submission of a Governorls petition under subsection (b) the President shall either issue an order or rule pursuant to section 12 -a of the Clean Air Act or deny such petition, stating in writing his reasons for such denial. Tn making his determination to issue such an order or rule pursuant to this subsection, the President must find that such order or rule would '
(1) be consistent with section 1255 of the Clean Air
Act;






20

(2) result in no significant increase in the consumption of energy;
(3) not subje ct the ultimate consumer to significantly higher energy costs; and
(4) not violate any contractual relationship between such source and any supplier or transporter of
fuel to such source.
(d) Nothing in subsection (a) or (b) of this section
shall affect the authority of the President or the Secretary of the Department of Energy to allocate coal or
coal derivatives under any provision of law.
(e) The terms "major f uel burning stationary source
(or class or category thereof) "' and "locally or regionally available coal or coal derivatives" shall have the meanings assigned to them for the purposes of section 12 5 of the
Clean Air Act.

PARTB-STRATEGICPETRoLEum RESERVE
DECLARATION OF POLICY
SEC. 151. (a) The Congress finds that the storage of
substantial quantities of petroleum products will diminish the vulnerability of the United States to the effects of a severe energy supply interruption, and provide limited protection f rom the short-term consequences of interruptions in supplies of petroleum products.
(b) It is hereby declared to be the policy of the United
States to provide for the creation of a Strategic Petroleum Reserve for the storage of up to I billion barrels of petroleum products, but not less than 150 million barrels of petroleum products by the end of the 3-year period which begins on the date of enactment of this Act, for the purpose of reducing the impact of disruptions in supplies of petroleum products or to carry out obligations of the United States under the international energy program. It is f further declared to be the policy of the United States to provide for the creation of an. Early Storage Reserve, as part of the Reserve, for the purpose of providing limited protection f rom the impact of near-term disruptions in supplies of petroleum products or to carry out obligations of the United States under the international energy program.

DEFINITIONS
42 USC 6232. SEC. 1,52. As used in this part:
(1) The term "Early Storage Reserve" means that portion of the Strategic Petroleum Reserve which consists of petroleum products stored pursuant to
section 15115.






21

(2) The term ''importer" means any person who
owns, at the first place of storage, any petroleum
product imported into the United States.
(3) The term "Industrial Petroleum Reserve"
means that portion of the Strategic Petroleum Reserve which consists of petroleum products owned by importers or refiners and acquired, stored, or maintained pursuant to section 156.
(4) The term "interest in land"" means any ownership or possessory right with respect to real property, including ownership in fee, an easement, a
leasehold, and any subsurface or mineral rights.
tl*
(5) The term "readily available inventories"
means stocks and supplies of petroleum products which can be distributed or used without affecting the ability of the importer or refiner to operate at normal capacity; such term does not include minimum
working inventories or other unavailable stocks.
(6) The term "refiner"' means any person who
owns, operates, or controls the operation of any
refinery.
(7) The term "Regional Petroleum Reserve"
means that portion of the Strategic Petroleum Reserve which consists of petroleum products stored
pursuant to section 15 T.
(8) The term "related facility"" means any necessary appurtenance to a storage f facility, including pipelines, roadways, reservoirs, and salt brine lines.
(9) The term "Reserve" means the Strategic Petroleum Reserve.
(10) The term "storage facility" means any facility or geological formation which is capable of storing significant quantities of petroleum products.
(11) The term "Strategic Petroleum Reserve"
means petroleum products stored in storage f acilities pursuant to this part; such term includes the Industrial Petroleum Reserve, the Early Storage
Reserve, and the Regional Petroleum Reserve.

STRATEGIC PETROLEUM RESERVE OFFICE
SEC. 1 -33. There is established, in the Federal Eneror Establishment.
r-y 42 USC 6233.
Administration, a Strategic Petroleum Reserve Office. The Secretary, acting through such Office and in accord ance with this part, shall exercise authority over the establishment, management, and maintenance of the Reserve.
STRATEGIC PETROLEUM RESERVE
SEC. 154. (a) A Strategic Petroleum Reserve for the 42 USC 6234. storage of up to 1 billion barrels of petroleum products shall be created pursuant to this part. By the end of the






22

3-year period which begins on the date of enactment of this Act, the Strategic Petroleum Reserve (or the Early Storage Reserve authorized by section 155, if no Strategic Petroleum Reserve Plan has become effective pursuant to the provisions of section 159 (a) ) shall contain not less
than 150 million barrels of petroleum products.
Plan to (b) The Secretary, not later than December 15, 1976,
Congress. shall prepare and transmit to the Congxess, in accordance with section 551, a Strategic Petroleum Reserve Plan. Such Plan shall comply with the provisions of this section and shall detail the Secretary's proposals for designing, constructing, and filling the storage and related facilities of the Reserve.
(c) (1) To the maximum extent practicable and except
to the extent that any change in the storage schedule is justified pursuant to subsection (e) (6), the Strategic
Petroleum Reserve Plan shall provide that:
(A) within 7 years after the date of enactment of this Act, the volume of crude oil stored in the Reserve shall equal the total voluMe of crude oil which was imported into the United States during the base
period specified in paragraph (2) ;
(B) within 18 months after the date of enactment of this Act, the volume of crude oil stored in the Reserve shall equal not less than 10 percent of the
goal specified in subparagraph (A) ;
(C) within 3 years after the date of enactment of this Act, the volume of exude oil stored in the Reserve shall equal not less than 25 percent of the goal
specified in subparagraph (A) ; and
(D) within 5 years after the date of enactment of this Act, t& volume of crude oil stored in the Reserve shall equal not less than 65 percent of the goal
specified in subparagraph (A).
Volumes of crude oil initially stored in the Early Storage Reserve and volumes of crude oil storage in the Industrial Petroleum Reserve, and the Regional Petroleum Reserve shall be credited toward attainment of the storage goals specified in this subsection.
(2) The base period shall be the period of the 3 consecutive months, during the 24-month period preceding the date of enactment of this Act, in which average
monthly import levels were the highest.
(d) The Strategic Petroleum Reserve Plan shall be
designed to assure, to the maximum extent practicable, that the Reserve will minimize the. impact of any interruption or reduction in imports of refined petroleum products and residual fuel Oil in any region which the Secretary determines is, or is likely to become, dependent upon such imports for a substantial portion of the total energy requirements of such region. The Strate(vic Petroleum Reserve PlPn shall be designed to assure, to






23

the, maximum extent practicable, that each noncontiguous area of the United States which doe not have overland access to domestic crude oil production has its component of the Strategic Petroleum Reserve within its respective territory.
(e) The Strategic Petroleum Reserve Plan shall include:
(1) a comprehensive environmental assessment;
(2) a description of the type and proposed location of each storage facility (other than storage facilities of the Industrial Petroleum Reserve) proposed to be included in the Reserve.;
(3) a statement as to the proximity of each such
storage facility to related facilities;
(4) an estimate of the volumes and types of petroleum products proposed to be stored in each such
storage facility;
(5) a projection as to the aggregate size of the
Reserve, including a statement as to the most economically-efficient storage levels for each such storage facility;
(6) a justification for any changes, with respect
to volumes or dates, proposed in the storage schedule specified in subsection (c), and a program schedule for overall development and completion of the Reserve (taking into account all relevant factors, including cost effectiveness, the need to construct related facilities, and the ability to obtain sufficient quantities of petroleum products to fill the. storage
facilities to the proposed storage levels)
(7) an estimate of the direct cost of the Reserve, including(A) the cost of storage facilities;
(B) the cost of the petroleum products to
be stored;
(C) the cost of related facilities; and
(D) management and operation costs;
(8) an evaluation of the impact of developing
the Reserve taking into account
(A) the availability and the price of supplies
and equipment and the effect, if any, upon domestic production of acquiring such supplies
and equipment for the Reserve;
(B) any fluctuations in world, and domestic,
market prices for petroleum products which may result from the acquisition of substantial quantities of petroleum products for the
Reserve;
(C) the extent to which such acquisition may
support otherwise declining market prices for
such products; and






24

(D) the extent to which such acquisition will affect competition in the petroleum industry
(9) an identification of the ownership of each storage and related facility proposed to be included in the Reserve (other than storage and related facilities of the Industrial Petroleum Reserve)
(10) an identification of the ownership of the petroleum products to be stored in the Reserve in any case where such products are not owned by the
United States;
(11) a statement of the manner in which the provisions of this part relating to the establishment of the Industrial Petroleum Reserve and the Regional
Petroleum Reserve will be implemented; and
(12) a Distribution Plan setting forth the method of drawdown and distribution of tne Reserve.

EARLY STORAGE RESERVE
42 USC 6235. SEC. 155. (a) (1) The Secretary shall establish an Early
Storage Reserve as part of the Strategic Petroleum Reserve. The Early Storage Reserve shall be designedto store petroleum products, to the maximum extent practicable, in existing storage capacity. Petroleum products stored in the Early Storage Reserve may be owned by the United States or may be owned by others and stored
pursuant to section 156 (b).
(2) If the Strategic Petroleum Reserve Plan has not
become effective under section 1-9 (a), the Early Storage Reserve shall contain not less than 150 million barrels of petroleum products by the end of the 3-year period
which begins on the date of enactment of this Act.
(b) The Early Storage Reserve shall provide for meeting regional needs for residual fuel oil and refined peLroleum products in any region which the Secretary determines is, or is likely to become, dependent upon imports of such oil or products for a substantial portion of
the total energy requirements of such region.
Plan, trans- (e) Within 90 days after the date of enactment of this mittal to
Congress. Actl the Secretary shall prepare and transmit to the Congress an Early Storage Reserve Plan which shall provide for the storage of not less than 1050 million barrels of petroleum products by the end of 3 years from the date of enactment of this Act. Such plan shall detail the Secretary"s proposals for implementing the Early Storage Reserve requirements of this section. The, Early Storage Reserve Plan shall, to the maximum extent practicable, provide for, and set forth the manner in which, Early Storage Reserve facilities will be incorporated into the Strategic, Petroleum Reserve after the Strategic Petroleum Reserx-e Plan has become effective under section 1.59 (a). The Early Storage Reserve Plan shall include,






25

with respect to the Early Storage Reserve, the same or similar assessments, statements, estimates, evaluations, projections, and other information which section 154(e) requires to be. included in the Strategic Petroleum Reserve Plan, including a Distribution Plan for the Early Storage Reserve.

INIDU TRIAL PETROLEUM RESERVE
SEC. 156. (a) The Secretary may establish an Indus- Establishment. trial Petroleum Reserve as part of the Strategic Petro- 42 USC 6236. leum Reserve.
(b) To implement the Early Storage Reserve Plan or the Strategic Petroleum Reserve Plan which has taken effect pursuant to section 159 (a), the Secretary may require each importer of petroleum products and each refiner to (1) acquire, and (2) store and maintain in readily available inventories, petroleum products in amounts determined by the Secretary, except that the Secretary may not require any such importer or refiner to store such petroleum products in an amount greater than 3 percent of the amount imported or refined by such person,, as the case may be, during the previous calendar year. Petroleum products imported and stored in the Industrial Petroleum Reserve shall be exempt from any tariff or import license fee.
(c) The Secretary shall implement this section in a manner which is appropriate to the maintenance of an economically sound and competitive petroleum industry. The Secretary shall take such steps as are necessary to avoid inequitable economic impacts on refiners and importers, and he may grant relief to any refiner or importer who would otherwise incur special hardship, inequity, or unf air distribution of burdens as the result of any rule, regulation, or order promulgated under this section. Such relief may include full or partial exemption f rom any such rule, regulation, or order and the issuance of an order permitting such an importer or refiner to store petroleum products owned by such importer or refiner in surplus storage capacity owned by the United States.

REGIONAL PETROLEUM RESERVE
SEC. 157. (a) The Strategic Petroleum Reserve Plan 42 USC 63237. shall provide for the establishment and maintenance of a Regional Petroleum Reserve in, or readily accessible to, each Federal Energy Administration Region, as defined in title 10, Code of Federal Regulations in effect on November 1, 1975, in which imports of residual fuel oil or any refined petroleum product, during the 24month period preceding the date of computation, equal more than 20 percent of demand for such oil or product






26

in such regions during such period, as determined by the
Secretary. Such volume shall be computed annually.
(b) To implement the Strategic Petroleum Reserve
Plan, the Secretary shall accumulate and maintain in or near any such Federal Energy Administration Region described in subsection (a), a Regional Petroleum Reserve containing volumes of such oil or product, described in subsection (a), at a level adequate to provide substantial protection against an interruption or reduction in imports of such oil or product to such region, except that the level of any such Regional Petroleum Reserve shall not exceed the aggregate volume of imports of such oil or product into such region during the period of the 3 consecutive months, during the 24-month period specified in subsection (a), in which average monthly import levels were the highest, as determined by the Secretary. Such
volume shall be computed annually.
(c) The Secretary may place in storage crude oil, residual fuel oil, or any refined petroleum product in substitution for all or part of the volume of residual fuel oil or any refined petroleum product stored in any Regional Petroleum Reserve pursuant to the provisions of thls section if lie finds that such substitution (1) is necessary or desirable for purposes of economy, efficiency, or for other reasons, and (2) may be made without delaying or otherwise adversely affecting the fulfillment of the purpose of the Regional Petroleum Reserve.

OTHER STORAGE RESERVES
Report to SEC. 158. Within 6 months after the Strategic PetroCongress.
42 USC 6238. leum Reserve Plan is transmitted to the Congress, pursuant to the requirements of section 1054(b), the Secretary shall prepare and transmit to the Congress a report setting forth his recommendations concerning the necessity
for, and feasibility of, establishing.(1) Utility Reserves containing coal, residual fuel oil, and refined petroleum products, to be established and maintained by major fossil- fuel -fired caseload
electric power generating stations;
(2) Coal Reserves to consist of (A) federallyowned coal which is mined by or for the United States from Federal lands, and (B) Federal lands froin'which coal could be produced with minimum
delay; and
(3) Remote Crude Oil and Natiiral Gas Reserves consisting of crude oil and natural gas to be acquired and stored by the United States, in place, pursuant to a contract or other agreement or arrangement entered into between the United States and persons
who discovered such oil or gas in remote areas.






27

REVIEW BY CONGRESS AND IMPLEMENTATION
SEC. 159. (a) The Strategic Petroleum Reserve Plan 42 USC 6239. shall not become effective and may not be implemented, unless(1) the Secretary has transmitted such Plan to the
Congress pursuant to section 154 (b) ; and
(2) neither House of Congress has disapproved
(or both Houses have approved) such Plan, in accordance with the procedures specified in section 551.
(b) For purposes of congressional review of the Strategic Petroleum Reserve Plan under subsection (a), the 5 calendar days described in section 551 (f ) (4) (A) shall be lengthened to 15 calendar days, and the 15 calendar days described in section 551 (c) and (d) shall be lengthened to 45 calendar days.
(c) The Secretary may, prior to transmittal of the Strategic Petroleum Reserve Plan, prepare and transmit to the Congress proposals for designing, constructing, and filling storage or related facilities. Any such proposal shall be accompanied by a statement explaining
(1) the need for action on such proposals prior to completion of such Plan, (2) the anticipated role of the proposed storage or related facilities in such Plan, and (3) to the maximum extent practicable, the same or similar assessments, statements, estimates, evaluations, projections, and other information which section 154(e) requires to be included in the Strategic Petroleum Reserve Plan.
(d) The Secretary may prepare amendments to the Strategic Petroleum Reserve Plan or to the Early Storage Reserve Plan. He shall transmit any such amendment to the Congress together with a statement explaining the need for such amendment and, to the maximum extent practicable, the same or similar assessments, statements, estimates, evaluations, projections, and other information which section 154(e) requires to be included in the Strategic Petroleum Reserve Plan.
(e) Any proposal transmitted under subsection (c) and any amendment transmitted under subsection (d), other than a technical or clerical amendment or an amendment to the Early Storage Reserve Plan, shall not become effective and may not be implemented unless(1) the Secretary has transmitted such proposal
or amendment to the Congress in accordance with
subsection (c) or (d) (as the case may be), and
(2) neither House of Congress has disapproved
.(or both Houses of Congress have approved) such proposal or amendment, in accordance with the procedures specified in section 551.






28

(f) To the extent necessary or appropriate to implement
(1) the Strategic Petroleum Reserve Plan which
has taken effect pursuant to subsection (a)
(2) the Early Storage Reserve Plan;
(3) any proposal described in subsection (c), or
any amendment described in subsection (d), which such proposal or amendment has taken effect pursuant to subsection (e) ; and
(4) any technical or clerical amendment or any
amendment to the Early Storage Reserve Plan, the Secretary may:
(A) promulgate rules, regulations, or orders;
(B) acquire by purchase. condemnation, or otherwise, land or interests in land for the location of
storage and related facilities;
(C) construct, purchase, lease, or otherwise acquire
storage and related facilities;
(D) use, lease, maintain, sell, or otherwise dispose,
of storage and related facilities acquired pursuant to
this part;
(E) acquire, subject to the provisions of section
1601 by purchase, exchange, or otherwise, petroleum products for storage in the Strategic Petroleum Reserve, including the Early Storage Reserve and the
Regional Petroleum Reserve;
(F) store petroleum products in storage facilities
owned and controlled by the Vnited States or in storage facilities owned by others if such facilities
are subject to audit by the United States;
(G) execute any contracts necessary to carry out
the provisions of such Strategic Petroleum Reserve Plan, Early Storage Reserve Plan, proposal or
amendment;
(H) require any importer of petroleum products
or any refiner to (A) acquire, and (B) store and maintain in readily available inventories, petroleum products in the Industrial Petroleum Reserve, pursuant to section 156;
(1) require the storage of petroleum products in
the Industrial Petroleum Reserve, pursuant to seetion 156,on such reasonable terms as the Secretary may specify in storage facilities owned and controlled by the United States or in storage facilities other than those owned by the United States if such facilities are subject to audit by the United States;
(J) require the maintenance of the. Industrial Petroleum Reserve;
(K) maintain the Reserve; and
(L) bring an action, whenever lie deenis it necessary to implement the Strategic Petroleum Reserve Plan, in any court having jurisdiction of such pro-






29

ceedings, to acquire by condemnation any real or personal property, including facilities, temporary use of facilities, or other interests in land, together with any personal property located thereon or used therewith.
(g) Before any condemnation proceedings are instituted, an effort shall be made to acquire the property involved by negotiation, unless, the effort to acquire such property by negotiation would, in the judgment of the Secretary be futile or so time-consuming as to unreasonably delay the implementation of the Strategic Petroleum Reserve Plan, because of (1) reasonable doubt as to the identity of the owners, (2) the large number of persons with whom it would be necessary to negotiate, or (3) other reasons.

PETROLEUM PRODUCTS FOR STORAGE I N THE RESERVE
SEC. 160. (a) The Secretary is authorized, for purposes 42 USC 6240. of implementing the Strategic Petroleum Reserve Plan or the Early Storage Reserve Plan, to place in storage, transport, or exchange(1) crude oil produced f rom. Federal lands, including crude oil produced from the Naval Petroleum Reserves to the extent that such production is
authorized by law;
(2) crude oil which the United States is entitled
to receive in kind as royalties f rom, production on
Federal lands; and
(3) petroleum products acquired by purchase, exchange, or otherwise.
(b) The Secretary shall, to the greatest extent practicable, acquire petroleum products for the Reserve, including the Early Storage Reserve and the Regional Petroleum Reserve in a manner consonant with the following objectives:
(1) minimization of the cost of the Reserve;
(2) orderly development of the Naval Petroleum
Reserves to the extent authorized by law;
(3) minimization of the Nation's vulnerability to
a severe energy supply interruption;
(4) minimization of the impact of such acquisition upon supply levels and market forces: and
(5) encouragement of competition in the petroleum industry.

DRAWDOWN AND DISTRIBUTION OF THE RESERVE
SEC. 161. (a) The Secretary may drawdown and dis- 42 USC 6241. tribute the Reserve only in accordance with the provisions of this section.
(b) Except as provided in subsections (c) and (f), no drawdown and distribution of the Reserve may be made


4~3-144t 0 79 3






30

except in accordance with the provisions of the Distribution Plan contained in the Strategic Petroleum Reserve
Plan which has taken effect pursuant in section 159 (a).
(c) Drawdown and distribution of the Early Storage
Reserve may be made in accordance with the provisions of the Distribution Plan contained in the Early Storage, Reserve Plan until the Strategic Petroleum Reserve Plan
has taken effect pursuant to section 159 (a).
(d) Neither the Distribution Plan contained in the
Strategic Petroleum Reserve Plan nor the Distribution Plan contained in the Early Storage Reserve Plan may be implemented, and no drawdown and distribution of the Reserve or the Early Storage Reserve may be made, unless the President has found that implementation of ither such Distribution Plan is required by a severe, energy supply interruption or by obligations of the United
States under the international energy program.
Rules. (e) The Secretary may, by rule, provide for the allocation of any petroleum product withdrawn from the Strategic Petroleum Reserve in amounts specified in (or determined in a manner prescribed by) and at prices specified in (or determined in a manner prescribed by) such rules. Such price levels and allocation procedures shall be consistent with the attainment, to the maximum extent practicable, of the objectives specified in section 4(b) (1) of the Emergency Petroleum Allocation Act of
1973.
15 USC 753. (f) The Secretary may permit any importer or refiner
who owns any petroleum products stored in the Industrial Petroleum Reserve pursuant to section 156 to remove or otherwise dispose of such products upon such terms and
conditions as the Secretary may prescribe.

COORDINATION WITH IMPORT QUOTA SYSTEM
42 USC 6242. SEC. 162. No quantitative restriction on the importation
of any petroleum product into the United States imposed by law shall apply to volumes of any such petroleum product imported into the United States for storage in
the Reserve.

DISCLOSURE, INSPECTION INVESTIGATION
Recordkeeping. SEC. 163. (a), The Secretary may require any person to 42 USC 6243. prepare and maintain such records or accounts as the
Secretary, by rule, determines necessary, to carry out the
purposes of this part.
(b) The Secretary may audit the operations of any
storage facility in which any petroleum -oduct is stored or required to be stored pursuant to the provisions of this
part
(c) The Secretary may require access to, and the right
to inspect -and examine, at reasonable times, (1) any rec-






31

ords or accounts required to be prepared or maintained pursuant to subsection (a) and (2) any storage facilities subject to audit by the United States under the authority of this part.

NAVAL PETROLEUM RESERVES STUDY
SEC. 164. The Secretary shall, in cooperation and con- Report to
sultation with the Secretary of the Navy and the S(elcr- 42 USC 6244. tary of the Interior, develop and submit to the Congress within 180 days after the date of enactment of tliis Act., a written report recommending procedures for the exploration, development, and product ion of Naval Pet role m Reserve Number 4. Such report shall include recommendations for protecting the economic, social, and environmental interests of Alaska Natives residing within the Naval Petroleum Reserve Number 4 and analyses of arrangements which provide for (1) p~articipationi by private industry and private capital, and (2) leasing to private industry- The Secretary of the Navy and the Secretary of the Interior shall cooperate fully with one another and with the Secretary; the Secretary of the Navy shall provide to the Secretary and Secretary of the Interior all relevant data on Naval Petroleum Reserve Number 4 in order to assist the Secretary in the preparation of such report.

ANNUAL REPORTS
SEC. 165. The Secretary shall report to the President Report to and the Congress, not later than one year after the trans- and Presimitalof the Strategic Petroleum IReserve Plan to the dent. 245 Congress and each year thereafter, on all actions taken to implement this part. Such report shall include(1) a detailed statement of the status of the Strategic Petroleum Reserve;~
(2) a summary of the actions taken to develop and
implement the Strategic Petroleum Reserve Plan
and the Early Storage Reserve Plan;
(3) an analysis of the impact and effectiveness of
such actions on the vulnerability of the United States to interruption in supplies of petroleum
products;
(4) a summary of existing problems with respect
to further implementation of the Early Storage Reserve Plan and the Strategic Petroleum Reserve
Plan; and
(5) any recommendations for supplemental legislation deemed necessary or appropriate by the Secretary to implement the provisions of this part.






32

AUTHORIZATION OF APPROPRIATIONS
42 USC 6246. SEC. 166. There are authorized to be appropriated(1) such funds as are necessary to develop and implement the Early Storage Reserve Plan (including planning, administration, acquisition, and construction of storage and related facilities) and as are necessary to permit the acquisition of petroleum products for storage in the Early Storage Reserve or, if the Strategic Petroleum Reserve Plan has become effective under section 159(a), for storage in the Strategic Petroleum Reserve in the minimum volume specified in section 154 (a) or 155 (a) (2), whichever
is applicable;
(2) $1,100,000,000 to remain available until expended to carry out the provisions of this part to develop the Strategic Petroleum Reserve Plan and to implement such plan which has taken effect pursuant to section 159 (a), including planning, administration, and acquisition and construction of storage and related facilities, but no funds are authorized to be appropriated under this paragraph for the purchase of petroleum products for storage in the
Strategic Petroleum Reserve; and
(3) such funds for the fiscal year ending September 30, 1978, not to exceed $1,210,000,000, as are necessary to permit the acquisition and storage of petroleum products in the Strategic Petroleum Reserve, in accordance with the storage schedule set forth in the Strategic Petroleum Reserve Plan then in effect in excess of the minimum volume specified in section 154 (a), but not in excess of 500,000,000
barrels.

TITLE II-STANDBY ENERGY AUTHORITIES

PARTA-GENERALEMERGENcy AuTHORITIES

CONDITIONS OF EXERCISE OF ENERGY CONSERVATION AND RATIONING AUTHORITIES
Plans to SEC. 201. (a) (1) Within 180 days after the date of enCongress.
42 V SC 6261. actinent of this Act, the President shall transmit to the
Congress pursuant to subsection (b) (1) one or more energy conservation contingency plans and a rationing contingency plan. The President may at any time submit additional contingency plans. A contingency plan may become effective only as provided in this section. Such plan may remain in effect for a period specified in the plan but not more than 9 months, unless earlier rescinded
by the President.






33

(2) For purposes of this section, the term "contingency "Continplan" means gency plan."
(A) an energy conservation contingency plan prescribed under section 202; oi(B) a rationing contingency plan prescribed under section 203.
(b) Except as otherwise provided in subsection (d) or
(e) and subject to the requirements of subsection (c), no contingency plan may become effective unless(1) the President has transmitted such contingency plan to the Congress in accordance with section 552 (a) ;
(2) such contingency plan has been approved by a
resolution by each House of Congress in accordance
with the procedures specified in section 552; and
(3) after approval of such contingency plan the
President(A) has found that putting such contingency
plan into effect is required by a severe energy supply interruption or in order to f fulfill obligations of the United States under the international energy program, and
(B) has transmitted such finding to the Congress, together with a statement of the effective
date and manner for exercise of such plan.
(c) In addition to the requirements of subsection (b), a rationing contingency plan approved under subsection
(b) (2) may not become effective unless(1) the President has transmitted to the Congress
in accordance with section 551 (b) a request to put
such rationing contingency plan into effect, and
(2) neitlier House of Congress has disapproved
(or both Houses have approved) such request in accordance with the procedures specified in section 551.
(d) (1) Except as provided in paragraph (2) or (3), a contingency plan may not beamended unless the President has transmitted such amendment to the Congress in accordance with section 552 and each House of Congress has approved such amendment in accordance with the. procedures specified in section 552.
(2) An amendment to a contingency plan which is transmitted to the Congress during any period in which such plan is in effect may take effect if the President has transmitted such amendment to the Congress in accordance with section 551 (b) and neither House of Congress has disapproved (or both Houses have approved) such amendment in accordance with the procedures specified in section 551.
(3) The President may prescribe technical or clerical amendments to a contingency plan in accordance with section 523,
(e) Beginning at any time during the 90-day period which begins on the date of enactment of this Act, the






34

President may put a contingency plan into effect for a
period of not more than 60 days if(1) the President(A) has found that putting such contingency plan into effect is required by a severe energy supply interruption or is necessary to comply with obligations of the United States under the international energy program; and
(B) has transmitted such contingency plan to the Congress in accordance with section 551 (b), together with a request to put such plan into effect; and
(2) neither House of Congress has disapproved (or both Houses have approved) such request in accordance with the procedures specified in section
551.
(f) Any contingency plan which the President transmits to the Congress pursuant to subsection (b) (1) or (e) (1) (B) shall contain a specific statement explaining the need for and the rationale and operation of such plan and shall be based upon a consideration of, and to the extent practicable, be accompanied by an evaluation of, the, potential economic impacts of such plan, including an
analysis of(1) any effects of such plan on(A) vital industrial sectors of the economy;
(B) employment (on a national and regional basis) ;
(C) the economic vitality of States and regional areas;
(D) the availability and price of consumer goods and services; and
(E) the gross national product; and
(2) any potential anticompetitive effects.

ENERGY CONSERVATION CONTINGENCY PLANS
42 USC 6262. SEC. 202. (a) (1) The President shall prescribe, in ac"Energy
conservation cordance with section 523 (a), one or more energy concontingency reservation contingency plans. As used in this sectl;n, the plan." term "energy conservation contingency plan" means a
plan which imposes reasonable restrictions on the public or private use of energy which are necessary to reduce energy consumption. In prescribing energy conservation contingency plans, the President shall take into consideration the mobility needs of the handicapped, as defined
in section 203 (a) (2) (B).
(2) An energy conservation contingency plan prescribed under this section may not(A) impose rationing or any tax, tariff, or user fee;
(B) contain any provision respecting the price of petroleum products; or






35

(C) provide for a credit or deduction in computing any tax.
(b) An energy conservation contingency plan shall apply in each State or political subdivision thereof, except such plan may provide for procedures for exempting any State or political subdivision thereof from such plan, in whole or part, during a period for which (1) the President determines a comparable program of such State or political'subdivision is in effect, or (2) the President finds special circumstances exist in such State or political subdivision.
(c) Any energy conservation contingency plan shall not deal with more than one logically consistent subject matter.
RATIONING CONTINGENCY PLAN
SEC. 203. (a) (1) The President shall prescribe, by rule Rules.
in accordance with section 523(a) of this Act, a ration- 42 USC 60-63. ing contingency plan which shall, for purposes of en- '5 USC 754. forcenient under section 5 of the Emergency Petroleum 15 USC 753. Allocation Act of 1973, be deemed a part of the regulation under section 4(a) of the Emergency Petroleum Allocation Act of 1973 and which shall provide, consistent with the attainment, to the maximum extent practicable, of the objectives specified in section 4(b) (1) of such Act(A) for the establishment of a program for the
rationing and ordering of priorities among classes of end-users of gasoline and diesel fuel used in motor
vehicles, and
(B) for the assignment of rights, and evidence of
such rights, to end-users of gasoline and such diesel fuel, entitling such end-users to obtain gasoline or such diesel fuel in precedence to other classes of endusers not similarly entitled.
(2) (A) For purposes of paragraph (1), the objectives specified in section 4 (b) (1) of the Emergency Petroleum Allocation Act of 1973 shall be deemed to include consideration of the mobility needs of handicapped persons and their convenience in obtaining the end-user's rights specified in paragraph (1).
(B) For purposes of this part, the term "handicapped
capped
person" means any individual who, by reason of disease. person." injury, age, congenital malfunction, or other permanent incapacity or disability, is unable without special facilities, planning or design to utilize mass transportation vehicles, facilities, and services and who has a substantial, permanent impediment to mobility.
(b) Any finding required to be made by the President pursuant to section 201 (b) (3) and any request to put a rationing contingency plan into effect pursuant to section 201 (e) shall be accompanied by a finding of the






36

President that such plan is necessary to attain, to the maximum extent practicable, the objectives specified in section 4 (b) (1) of the Emergency Petroleum Allocation 15 USC 753. Act of 1973 and the purposes of Ws Act.
(c) The President shall, by order under section 4 of
the Emergency Petroleum Allocation Act of 1973, for the purpose of carrying out a rationing contingency plan which is in effect, cause such adjustments to be niade in the allocations made pursuant to the regulation under section 4 (a) of such Act as the President determines to be necessary to carry out the purposes of this section and to be consistent with the attainment, to the maximum extent practicable, of the objectives specified in section
4(b) (1) of such Act and the purposes of this Act.
(d) (1) The President shall, to the extent practicable,
provide for the use of local boards described in paragraph (2) with authority to(A) receive petitions from any end-user of gasoline and diesel fuel used in motor vehicles with respect to the priority and entitlement of such user
under a rationing contain ncy plan, and C_ ge
(B) order a reclassification or modification of any determination made under a rationing continge!icy plan with respect to such end-user's rationing priority or rights specified in paragraph (1).
Such boards shall operate under the procedures prescribed by the President by rule.
(2) not later than 30 days after the date of the approval of a rationing contingency plan pursuant to section 201 (b) (2), the President shall, by rule, prescribe(A) criteria for delegation of his functions, in whole or part, under this Act with respect to such rationing contingency plan to officers or local boards (of balanced composition reflecting the community as a whole) of States or political subdivisions thereof and
(B) procedures for petitioning for the receipt of such delegation.
(3) (A) Officers or local boards of States or political
subdivisions thereof, following the establishment of criteria and procedures under paragraph (2), may petition the President to receive delegation under such paragraph.
(B) The President shall, within 30 days after the date
of the receipt of any such petition which is properly submitted, grant or deny such petition.
(e) No rationing contingency plan under this section
may
(1) impose any tax,
(2) provide for a credit or deduction in computing any tax, or
(3) impose any user fee, except to the extent necessary to defray the cost of administering the rationing






137

contingency plan or to provide for initial distribution of end-user rights specified in para graph ()
(f ) Notwithstanding section 03 1, all authority to carry out any rationing contingency plan shall expire on the same date as authority to issue and enforce rules and orders under the Emergency Petroleum Allocation Act of 1 S 5 1973. note.
PART B-ALTiiORiTihs WITH RESPECT TO
INTERNATIONAL E-NERGY PROGRAM
INTERNATIONAL OIL ALLOCATION

SEC. 251. (a) The President may, by rule, require that 42 USC 6271. persons engaged in producing, transporting, refining, distributing, or storing petroleum products, take such action as he determines to be necessary f or implementation of the obligations of the United States under chapters III and IV of the international energy program insofar as such obligations relate to the international al location of petroleum products. Allocation under such rule shall be in such amounts and at such prices as are specified in (or determined in a manner prescribed by) such rule. Such rule may apply to any petroleum product owned or controlled by any person described in the first sentence of this subsection who is subject to the jurisdiction of the United States, including any petroleum product destined, directly or indirectly, for import into the United States or any foreign country, or produced in the United States. Subject to subsection (b) (2), such a rule shall remain in effect until amended or rescinded by the President.
(b) (1) No rule under subsection (a) may take effect unless the President(A) has transmitted such rule to the Con'g ress;
(B) has found that putting such rule into effect is
required in order to fulfill obligations of the United States under the international energy program; and
(C) has transmitted such finding to the Congress.,
together with a statement of the effective date and
manner for exercise of such rule.
or2) No rule under subsection (b) may be put into effect remain in effect after the expiration of 12 months after the date such rule was transmitted to Congress under paragraph (1) (A).
(c) (1) Any rule under this section shall be consistent with the attainment, to the maximum extent practicable, of the objectives specified in section 4(b) (1) of the15UC73 Emergency Petroleum Allocation Act of 1973.15UC53
(2) No officer or agency of the United States shall have any authority, other than authority under this section. to require that petroleum products be allocated to other countries for the purpose of implementation of the obliga-






38

tions of the United States under the international energy
program.
(d) Neither section 103 of this Act nor section 28 (u) of 30 USC 185. the Mineral Leasing Act of 1920 shall preclude the allocation and export, to other countries in accordance with this section, of petroleum products produced in the United
States.
INTERNATIONAL VOLUNTARY AGREEMENTS
Effective SEC. 20-2. (a) Effective 90 days after the date of enactdate.
42 USC 6272. ment of this Act, the requirements of this section shall be
the sole procedures applicable to(1) the development or carrying out of voluntary agreements and plans of action to implement the allocation and information provisions of the international energy program, and
(2) the availability of immunity from the antitrust laws with respect to the development or carrying out of such voluntary agreements and plans of
action.
Standards (b) The Secretary, with the approval of the Attorney
and procedures. General, after each of them has consulted with the Federal Trade Commission and the Secretary of State, shall prescribe, by rule, standards and procedures by which persons engaged in the business of producing, transporting, refining, distributing, or storing petroleum products may develop and carry out voluntary agreements, and plans of action, which are required to implement the allocation and information provisions of the international
energy program.
(c) The standards and procedures prescribed under
subsection (b) shall include the following requirements: Meetings. (1) (A) (i) Except as provided in clause (ii) or
(iii) of this subparagraph, meetings held to develop or carry out a voluntary agreement or plan of action under this subsection shall permit attendance by representatives of committees of Congress and interested persons, including all interested segments of the petroleum industry, consumers, and the public; shall be preceded by timely and adequate notice with idenNotice. tification of the agenda of such meeting to the
Attorney General, the Federal Trade Commission, committees of Congress, and (except -during an international energy supply emergency with respect to meetings to carry out a voluntary agreement or to develop or carry out a plan of action) the public; and shall be initiated and chaired by a regular full-time
Federal employee.
(ii) Meetings of bodies created by the Interntional Energy Agency established by the international energy program need not be open to interested per-






39

sons and need not be initiated and chaired by a regular f ull-tinie Federal employee.
(iii) The President, in consultation with the Secretary, the Secretary of State, and the Attorney General, inaydetermine that a meeting held to carry out a voluntary agreement or to develop or carry out a plan of action shall not be open to interested persons or that attendance by interested persons may be limited, if the President finds that a wider disclosure would be detrimental to the foreign policy interests
of the United States.
(B) No meetings may be held to develop or carry
out a voluntary agreement or plan of action under this section unless a regular full-time Federal
employee is present.
(2) Interested persons permitted to attend such a comments.
meeting shall be afforded an opportunity to present, in writing and orally, data, views, and arguments at such meetings, subject to any reasonable limitations with respect to the manner of presentation of data, views, and arguments as the Secretary may impose.
(3) A full and complete record, and where practicable a verbatim transcript, shall be kept of any meeting held, and a full and complete record shall be kept of any communication (other than in a meeting) made, between or among participants or potential participants, to develop, or carry out a voluntary agreement or a plan of action under this section. Such record or transcript shall be deposited, together with any agreement resulting therefrom, with the Secretary, and shall be available to the Attorney General and the Federal Trade Commission. Such records or transcripts shall be available for public inspection and copying in accordance with section 5-02 of title 5, United States Code; except that (A) matter may not be withheld from disclosure under section 552 (b) of such title on grounds other than the grounds specified in section 552 (b) (1), (b) (3) or so much of 5 USC 552.
(b) (4) as relates to trade secrets; and (B) in the exercise of authority under section 552 (b) (1), the President shall consult with the Secretary of State, the Secretary, and the Attorney General with respect to questions relating to the foreign policy interests of
the United States.
(4) No provision of this section may be exercised
so as to prevent representatives of committees of Congress from attending meetings to which this section applies, or f rom having access to any transcripts, records, and agreements kept or made under this
section.
(d) (1) The Attorney General and the Federal Trade Commission shall participate from the beginning in the






40

development, and when practicable, in the carrying out of voluntary agemet and plans of action authorized under this section. Each may propose any alternative which would avoid or overcome, to the greatest extent practicable, possible anticompetitive effects while achieving substantially the purposes of this part. A voluntary agreement or plan of action under this section may not be carried out unless approved by the Attorney General, after consultation with the Federal Trade Commission.
Prior to the expiration of the period determined under Publication paragraph (2), the Federal Trade Commission shall in Federal trnmttth.AtreGeeaitviwastwehr Register. tasi oteAtre eea t iw st hte
such an agreement or' plan of action should be approved, and shall publish such vie~vs in the Federal Register. The Attorney General, in consultation with the Federal Trade Commission, the Secretary of State, and the Secretary, shall have the right to review, amiend, modify, disapproeor revoke, on his own motion or upon the request
of the Federal Trade Commission or any interested person, any voluntary agreement or plan of action at any time, and, if rex-oked. thierebv wit hdrawx prospectively any iminunity wichl may be conferred by subsection (f)
or (k).
(2) Any voluntary agreement or plan of action entered
into purisuant to this section shall be submitted in writing to the Attorney General and the Federal Trade Commission 20 days before being implemented;~ except that during an international energy supply emergency, the Secretary, subject to approval of the Attorney General, may reduce such 20-day period. Any such agreement or plan of action shall be available for public inspection and copying, except that. a plan of action shall be so available only to the extent to which records or transcripts are so available as provided in the last sentence of subsection (c) (3). Any action taken pursuant to such voluntary agreement or plan of action shall be reported to the Attorney General and the Federal Trade Commission pursuant to such regulations as shall be prescribed under
paragraphs (3) and (4) of subsection (e).
(3) A plan of action may not he approved by the Attorney General under this subsection unless such plan (A) describes the types of substantive actions which may be taken under the plan, and (B) is as specific in its description of proposed substantive actions as is reasonable in
light of known circumstances.
(e) (1) The Attorney General and the Federal Trade
Commission shall monitor the development and carrying out of voluntary agreements and plans of action authorized under this section in order to promote competition and to prevent anticompet itive practices and effects, while
achieving substantially the purIposes of this part.






41

(2) In addition to any requirement, speciied under sub- Rules. sections (b) and (c) of this section and in order to carry out the purposes of this section. the Attorney G-'eneral, inl consultation with the Federal Trade Comniss ion and the Secretary, shall promnulgate rules concerning the nia intenance of necessary and appropriate records relatedI to the development and carrying ouit of voluntary agreements and plans of action authorized pursuant to this section. Reod
(3) Persons developing or carrying out voluntary kecpingagreements and plans of action authorized pursuant toepig thisc section shall maintain such records as are required by rules promulgated under paragraph (2). The Attorney General and the Federal Trade Comlmission shall have Accessibility. access to and the right to copy such records at reasonable times and upon reasonable notice.
(4) The Attorney General and the F~ederal Trade COr- Rules. mission may eaclh prescribe such rules as may be necessary or appropriate to carry out their respective responsibilities under this section. They mayv both utilize for such purposes and for purposes of enforcement any p~owvers conferred upon the Federal Trade Commission or the Department of Justice, or both, by the antitrust laws or the Antitrust Civil Process Act.; and wherever any. such law refers to "the purposes of this Act" or like terms, the ref 15 USC 1311 erence shall be understood to include this section. note.
(f) (1) There shall be available as a defense to any civil or criminal action brought under the antitrust laws (or any similar State law) in respect to actions taken to develop or carry out a voluntary agreement or plan of action by persons engaged in the business of producing, transporting, re fin in g, distri but ing, or storing pet roleumi products (provided that such actions were not taken for the purpose of injuring competition) that(A) such actions were taken(i) in the course of developing a voluntary
agreement or plan of action pursuant to this section, or
(ii) to, carry out a voluntary agreement orplan of action authorized and approved in accordance with this section, and
(B) such persons complied with the requirements
of this section and the rules pronmlgated hereunder.
(2) Except in the case of actions taken to develop a voluntary agreement or plan of action, the defense provided in this subsection shall be available only if the person asserting the defense demonstrates that the actions were specified in, or within the reasonable contemplation of, an approved plan of action.
(3) Persons interposing the defense provided by this subsection shall have the burden of proof, except that the burden shall be on the person against whom the de-






42

fense is asserted with respect to whether the actions were
taken for the purpose of injuring competition.
(g) No provision of this section shall be construed as
granting immunity for, or as limiting or in any way affecting any remedy or penalty which may result from any legal action or proceeding arising from, any act or practice which occurred prior to the date of enactment of
this Act or subsequent to its expiration or repeal.
(h) Upon the expiration of the 90-day period which begins on the date of enactment of this Act, the provisions of sections 708 and 708A (other than 708A (o) ) of the 50 USC app. Defense Production Act of 1950 shall not apply to any 2158. 2158a. agreement or action undertaken for the purpose of developing or carrying out (1) the international energy program, or (2) any allocation, price control, or similar program with respect to petroleum products under this Act or under the Emergency Petroleum Allocation Act 42 USC 751 of 1973. For purposes of section 708A (o) of the Denote. fense Production Act of 1950, the effective date of the
provisions of this Act which relate to international voluntary agreements to carry out the International Energy Program shall be deemed to be 90 days after the
date of enactinent of this Act.
Report to (i) The Attorney General and the Federal Trade
President
and Commission shall each submit to the Congress and to
Congress. the President, at least once every 6 months, a report on
the impact on competition and on small business of actions authorized bv this section.
Termination (j) The authority granted by this section shall termidate. nate October 31, 1910.
(k) In any action in any Federal or State court for
breach of contract, there shall be available as a defense that the alleged breach of contract was caused predominantly by action taken during an international energy supply emergency to carry out a voluntary agreement or plan of action authorized and approved in accordance
with this section.
(1) As used in this section and section 54:
"Interna- (1) The term "international energy supply emertional energy gency" means any period (A) beginning on any date supply
emergency." which the President determines allocation of petroleiim products to nations participating in the international energy program is required by chapters III and IV of such program, and (B) ending on a date on which he determines that such allocation is no longer required. Such a period may not exceed 90 days, but the President may establish one or more additional 90-day periods by making anew the determination under subparagraph (A) of the preceding sentence. Any dete nomination respecting the beginning or end of any such period shall be published in the Federal Re ister.






43

(2) The term "allocation and information pro- "Allocation.
visions of the international energy program" means the provisions of the international energy program which relate to international allocation of petroleum products and to the information system provided in
such program.
-ADVISORY COMXIIVEES
SEC. 253. (a) To achieve the purposes of the interna- Establishment, tional energy program with respect to international al- 42 USC 627:1. location of petroleum products and the information system provided in such program, the Secretary may provide for the establishment of such advisory committees as he determines are necessary. In addition to the requirements specified in this section, such advisory committees shall be subject to the provisions of section 17 of the Federal Energy Administration Act of 19T4 15 17SC 776(whether or not such Act or any of its provisions expire or terminate before June 30, 1985) ; shall be chaired by a regular full-time Federal employee; and shall include representatives of the public. The meetings of such committees shall be open to the public. The Attorney Gen- '-Notice of eral and the Federal Trade Commission shall have meetings. adequate advance notice of any meeting and may have an official representatives attend and participate in any such meet M*g.
(b) A verbatim transcript shall be kept of such ad- verbatim visory committee meetings, and shall be deposited with transcript. the Attorney General and the Federal Trade Commission. Such transcript shall be made available for public inspection and copying in accordance with section 552 of title a-, United States Code, except that matter may not be withheld from disclosure under section 552(b) of such title on grounds other than the grounds spec fied in section 552 (b) (1), (b) (3), and so much of (b; (4) as relates to trade secrets, or pursuant to a determination under subsection (c).
(c) The President, after consultation -with the Secretar y of State, the Federal Trade Commission, the Attorney General, and the Secretary, may suspend the application of(1) sections 10 and 11 of the Federal Advisory 5 USC app. L
Committee Act,
(2) subsections (b) and (c) of section 11 of the
Federal Energy Administration Act of 1974, 15 USC 776.
(3) the requirement under subsection (a) of this
section that meetings be open to the public. and
(4) the second sentence of subsection (b) ;
if the President determines with respect to a particular meeting, (A) that such suspension is essential to the developing or carrying out of the international energy






44

program, (B) that such suspension relates solely to the purpose of international allocation of petroleum products and the information system provided in such program, and (C) that the meeting deals with matters described in section 552 (b) (1) of title 5, United States Code. Such determination by the President shall be in writing, shall set forth a detailed explanation of reasons justifying the granting of such suspension, and shall be" published in the Federal Register at a reasonable time prior to the
effective date of any such suspension.

EXCHANGE OF INFORMATION
42 USC 6274. SEC. 254. (a) (1) Except as provided in subsections
(b) and (c), the Secretary, after consultation with the Attorney General, may provide to the Secretary of State, and the Secretary of State may transmit to the International Energy Agency established by the international energy program, the information and data related to the energy industry certified by the Secretary of State as required to be submitted under the international energy program.
(2) (A) Except as provided in subparagraph (B) of
this paragraph, any such information or data which is geological or geophysical information or a trade secret or commercial or financial information to which sec,tion 552 (b) (9) or (b) (4) of title 5, United States Code, applies shall, prior to such transmittal, be aggregated, accumulated, or otherwise reported in such manner as to avoid, to the fullest extent feasible, identification of any person from whom the United States obtained such information or data, and in the case of geological or geophysical information, a competitive
disadvantage to such person.
(B) (i) Notwithstanding subparagraph (A) of this
paragraph, during an international energy supply emergency, any such information or data with respect to the international allocation of petroleum products may be made available to the International Energy Agency if otherwise authorized to be made available to such Agency
by paragraph (1) of this subsection.
(ii) Subparagraph (A) shall not apply to information
described in subparagraph (A) (other than geological or geophysical information) if the President certines, after opportunity for presentation of views by interested persons, that the International Energy Agency has adopted and is implementing security measures which assure that such information will not be disclosed by such Agency or its employees to any person or foreign country without having been aggregated, accumulated, or otherwise reported in such manner as to avoid identification of any person from whom the United States obtained such information or data.






45

(3) (A) Within 90 days after the date of enactmentof Review. this Act, and periodically thereafter, the President shall review the operation of this section and shall det.ermine whether other signatory nations to the international energy program are transmitting information and data to the International Energy Agency in substantial compliance with such program. If the President determines that other nations are not so complying, paragraph (2)
(B) (ii) shall not apply until he determines other nations are so complying.
(B) Any person who believes lie has been or will be damaged by the transmittal of information or data pursuant to this section shall have the right to petition the President and to request changes in procedures which will protect such person f rom any competitive damage.
(b) If the President determines that the transmittal of data or information pursuant to the authority of this section would prejudice competition, violate the antitrust laws, or be inconsistent with United States national security interests, he may require that such data or information not be transmitted.
(c) Information and data the confidentiality of which is protected by statute shall not be provided by the Secretary to the Secretary of State under subsection (a) of this section for transmittal to the International Energy Agency, unless the Secretary has 'obtained the specific concurrence of the head of any department or agency which has the primary statutory authority for the collection, gathering, or obtaining of such information and data. In making a determination to concur in providing such information and data, the head of any department or agency which has the primary statutory authority for the collection, gathering, or obtaining of such information and data shall consider the purposes for which such information and data were collected, gathered, and obtained, the confidentiality provisions of such statutory authority, and the international obligations of the Unite4 States under the international energy program with re.spect to the transmittal of such information and data to an international organization or foreign country.
(d) For the purposes of carrying out the obligations of the United States under the international energy program, the authority to collect data granted by sections 11 and 13 of the Energy Supply and Environmental Coordination Act and the Federal Energy Administration Act of 1974, respectively, shall continue in full force and ef 1.5 USC T96. fect without regard to the provisions of such Acts relat- 88 Stat. 265. ing to their expiration.
(e) The authority under this section to transmit information shall be subject to any limitations on disclosure contained in other laws, except that such authority may be exercised without regard to43-144 0 79 4






46

(1) section 11 (d) of the Energy Supply and Environmental Coordination Act of 1974;
(2) section 14 (b) of the Federal Energy Administration Act of 1974;
15 Usc 773. (3) section 7 of the Export Administration Act of
50 USC app.
2406.1969;
(4) section 9 of title 13, United States Code;
(5) section 1 of the Act of January 27, 1938 (15 U.S.C. 176(a)); and
(6) section 1905 of title 18, United States Code.

RELATIONSHIP OF THIS TITLE TO THE INTERNATIONAL ENERGY AGREEMENT
42 USC 6275. SEC. 255. The purpose of the Congress in enacting this
title is to provide standby energy emergency authority to deal with energy shortage conditions and to minimize economic dislocations and adverse impacts on employment. While the authorities contained in this title may, to the extent authorized by this title, be used to carry out obligations incurred by the United States in connection with the International Energy Program, this title shall not be construed in any way as advice and consent, ratification, endorsement, or other form of congressional approval of the specific terms of such program.

TITLE III-IMPROVING ENERGY EFFICIENCY

PART A-AUTOMOTVE FuE. ECONOMY
AMENDMENT TO MOTOR VEHICLE INFORMATION AND COST SAVINGS ACT
SEC. 301. The Motor Vehicle Information and Cost
Savings Act (15 U.S.C. 1901 et seq.) is amended by inserting (except part A of title V) after "SEC. 2. For the purpose of this Act" in section 2 thereof and by adding
at the end of such Act the following new title:

"TITLE V-IMPROVING AUTOMOTIVE EFFICIENCY

"PART A-AUTOi~oTrvE FUEL ECONOMY
"cDEFINITIONS
15 USC 2001. "SEC. 501. For purposes of this part: "1(1) The term automobilel' means any 4-wheeled vehicle propelledl by futel which is manufactured primarily for use on public streets, roads, and highways (except any vehicle operated exclusively on a
rail or rails), and
(A) which is rated at 6,000 lbs. gross vehicle weight or less, or
(B) which-






47

(i) is rated at more than 6,000 lbs. gross
vehicle weight but less than 10,000lbs. gross
vehicle weight,
(ii) is a type of vehicle for which the
Secretary determines, by rule, average, fuel economy standards under this part are feasible, any
(iii) is a type of vehicle for which the
Secretary determines by rule, average fuel economy standards will result in significant energy conservation, or is a, type of vehicle which the Secretary determines is substantially used for the same purposes as, vehicles described in subparagraph (A) of this
paragraph.
The Secretary may prescribe such rules as may be Rules. necessary to implement this paragraph.
(2) The term 'passenger automobile' means any automobile (other than an automobile capable of offhighway operation) which the Secretary determines by rule is manufactured primarily for use in the transportation of not more than 10 individuals.
(3) The term 'automobile capable of off-highway operation' means any automobile which the Secretary determines by ule"(A) has a significant feature (other than 4wheel drive) which is designed to equip such
automobile for off -highway operation, and
(B) either" (i) is a 4-wheel drive automobile, or
11(ii) is rated at more than 6,000 pounds
gross vehicle weight.
(4) The term 'average fuel economy' means average fuel economy, as determined under section 503.
(5) The term 'fuel' means gasoline and diesel oil. The Secretary may, by rule, include any other liquid fuel or any gaseous fuel within the meaning of the term 'fuel' if he determines that such inclusion is consistent with the need of the Nation to conserve energy.
(6) The term 'fuel economy' means the average number of miles traveled by an automobile per g,%IIon of gasoline (or equivalent amount of other fuel) consumed, as determined by the EPA Administrator in accordance with procedures established under section 503 (d).
(7) The term 'average fuel economy standard' means a performance standard which specifies a minimum level of average fuel economy which is applicable to a manufacturer in a model year.
(8) The term 'manufacturer' means any person engaged in the business of manufacturing automo-






48

biles. The Secretary shall prescribe rules for determining, in cases where more than one person is the manufacturer of an automobile, which person is to be treated as the manufacturer of such automobile
for purposes of this part.
(9) The term 'manufacturer (except for purposes of section 502 (c) ) means to produce or assemble in the customs territory of the United States, or to
import. .
(10) The term 'import' means to import into the customs territory of the United States.
(11) The term 'model type' means a particular class of automobile as determined, by rule, by the EPA Administrator, after consultation and coordination with the Secretary.
(12) The term 'model year', with reference to any specific calendar year, means a manufacturer's annual production period (as determined by the EPA Administrator) which includes January 1 of such calendar y ear. If a manufacturer has no annual production period, the term 'model year' means the
calendar year.
(13) The term 'Secretary' means the Secretary of Transportation.
"(14) The term 'EPA Administrator' means the Administrator of the Environmental Protection
Agency.
"AVERAGE FUEL ECONOMY STANDARDS APPLICABLE TO EACH MANUFACTURER
15 USC 2002. "SEC. 502. (a) (1) Except as other-wise provided in
paragraph (4)~ or in subsection (c.) or (d), the average fuel economy for passenger automobiles manufactured by any manufacturer in any model year after model year 1977 shall not be less than the number of miles p er gallon establised for such model year under the folowing able:Average fuel economy standard (in miles per gallon)
"Model year:
1978 -------------18.0
1979 -------------19.0
1980 -------------20.0
1981 -------------Determined by Secretary under paragraph (3) of this subsection. 1982 -------------Determined by Secretary under paragraph (3) of this subsection. 19M3-------------Determined by Secretary under paragraphs (3) of this subsection. 1984 -------------Determined by Secretary under paragraph (3) of this subsection. 1985 and thereafter --------27.5






49

"(2) Not later than January 15 of each year, begin- Transmittal
to Conigress,
ning in 1977. the Secretarv shall transmit to each Hoclse toCohratio of Congress, and publish in the Federal Re_ister. a review of average fuel economy standards under this part. The review required to be transmitted not later than January 15, 1979, shall include a comprehensive analysis of the program required by this part. Such analysis shall include an assessment of the ability of manufacturers to meet the average fuel economy standard for model year 1985 as specified in paragraph (1) of this subsection, and any legislative recommendations the Secretary or the EPA Administrator may have for improving the program required by this part.
"(3) Not later than July 1, 1977, the Secretary shall prescribe, by rule, average fuel economy standards for passenger automobiles manufactured in each of the model years 1981 through 1984. Any such standard shall apply to each manufacturer (except as provided in subsection
(c)), and shall be set for each such model year at a level which the Secretary determines (A) is the maximum feasible average fuel economy level, and (B) will result in steady progress toward 'meeting the average fuel economy standard established by or pursuant to this subsection for model year 1985.
"(4) The Secretary may, by rule, amend the average fuel economy standard specified in paragraph (1) for model year 1985, or for any subsequent model year, to a level which he determines is the maximum feasible average fuel economy level for such model year, except that any amendment which has the effect of increasing an average fuel economy standard to a level in excess of 27.5 miles per gallon, or of decreasing any such standard to a level below 26.0 miles per gallon, shall be submitted to the Congress in accordance with section 551 of the Energy Policy and Conservation Act, and shall not take effect if either House of the Congress disapproves such amendment in accordance with the procedures specified in such section.
"(5) For purposes of considering any modification which is submitted to the Congress under paragraph
(4)! the 5 calendar days specified in section 551(f) (4)
(A) of the Energy Policy and Conservation Act shall be lengthened to 20 calendar days, and the 15 calendar days specified in section 551 (c) and (d) of such Act shall be lengthened to 60 calendar days.
"(b) The Secretary shall, by rule, prescribe average fuel economy standards for automobiles which are not passenger automobiles and which are manufactured by any manufacturer in each model year which begins more than 30 months after the date of enactment of this title. Such rules may provide for separate standards for different classes of such automobiles (as determined by the Secretary), and shall be set at a level which the Secre-






50

tary determines is the maximum feasible average fuel economy level which such manufacturers are able to achieve in each model year to which this subsection applies. Any standard applicable to a model year under this subsection shall be prescribed at least 18 months
prior to the beginning of such model year.
Application. "(c) On application of a manufacturer who manufactured (whether or not in the United States) fewer than 10,000 passenger automobiles in the, second model year preceding the model year for which the application is made, the Secretary may, by rule, exempt such manufacturer from subsection (a). An application for such an exemption shall be submitted to the Secretary, and shall contain such information as the Secretary may require, by rule. Such exemption may only be granted if the Secretary determines that the averaore, fuel economy standard otherwise applicable under subsection (a) is more stringent than the maximum feasible average fuel economy level which such manufacturer can attain. The Secretary may not issue exemptions with respect to a model year unless he establishes, by rule, alternative average fuel economy standards for passenger automobiles manufactured by manufacturers which receive exemptions under this subsection. Such standards may be established for an individual manufacturer, for all automobiles to which this subsection applies, or for such classes of such automobiles as the Secretary may define by rule. Each such standard shall be set at a level which the Secretary determines is the maximum feasible average fuel economy level for the manufacturers to which the standard applies. An exemption under this subsection shall apply to a model year only if the manufacturer manufactures (whether or not in the Vnited States) fewer than 10,000 passenger automobiles in such model year.
44 (d) (1) Any manufacturer may apply to the Secretary for modification of an average fuel economy standard applicable under subsection (a) to such manufacturer for model year 1978, 1979, or 1980. Such application shall contain such information as the Secretary may require by rule, and shall be submitted to the Secretary within 24 months before the beginning of the model year
for which such modification is requested.
(2) (A) If a manufacturer demonstrates and the Secretary finds that" (i) a Federal standards fuel economy reduction is likely to exist for such manuf acturer for the model
year to which the application relates, and
11 (ii) such manufacturer applied a reasonable selected technology,
the Secretary shall, by rule, reduce the average fuel economy standard applicable under subsection (a) to such manufacturer by the amount of such manufacturer's






51

Federal standards fuel economy reduction, rounded off to the nearest one-tenth mile per gallon (in accordance with rules of the Secretary). To the maximum extent practicable, prior to making a finding under this paragraph with respect to an application, the Secretary shall request, and the EPA Administrator shall supply, test results collected pursuant to section 503(d) of this Act for all automobiles covered by such application.
(B) (i) If the Secretary does not find that a Federal standards f uel economy reduction is likely to exist for a manufacturer who filed an application under paragraph
(1), he shall deny the application of such manufacturer.
(ii) If the Secretary" J) finds that a Federal standards fuel economy
reduction is likely to exist for a manufacturer who
filed an application under paragraph (1), and
JI) does not find that such manufacturer applied a reasonably selected technology.
the average fuel economy standard applicable under subsection (a) to such manufacturer shall, by rule, be reduced by an amount equal to the Federal standards f uel economy reduction which the Secretary finds would have resulted from the application of a reasonably selected technology.
(3) For purposes of this subsection:
(A) The, term 'reasonably selected technology' Definitions
means a technolog-y which the Secretary determines it was reasonable f or a manuf acturer to select, considering (i) the Nation's need to improve the fuel economy of its automobiles, and (ii) the energy savings, economic costs, and lead-time requirements associated with alternative technologies practicably
available to such manufacturer.
(B) The term 'Federal standards fuel economy
reduction' means the sum of the applicable fuel economy reductions determined under subparagraph
(C)
(C) The term'applicable fuel economy reduction'
means a number of miles per gallon equal to"(i) the reduction in a manufacturer's average'fuel economy in a model year which results from the application of a category of Federal standards applicable to such model year, and which would not have occurred had Federal standards of such category applicable, to model year 197- remained the only standards of such
category in effect, minus
11 (ii) 0.5 mile per gallon.
(D) Each of the following is a category of Federal standards;






52
42 USC (i) Emissions standards under section 202
1857f-1.
42 USC of the Clean Air Act, and emissions standards
18'57f-6a. applicable by reason of section 209(b) of such
Act.
(ii) Motor vehicle safety standards under the
15 USC 1381 National Traffic and Motor Vehicle Safety Act
note. of 1966.
49 (iii) Noise emission standards under section 42 USC 4905. 6 of the Noise Control Act of 1972.
(iv) Property loss reduction standards under title I of this Act.
(E) In making the determination under this subparagraph, the Secretary (in accordance with such methods as he shall prescribe by rule) shall assume a production mix for such manufacturer which would have achieved the average fuel economy standard for such model year had standards described in subparagraph (D) applicable to model year 1975
remained the only standards in effect.
(4) The Secretary may, for the purposes of conducting a proceeding under this subsection, consolidate one or
more applications filed under this subsection.
(e) For purposes of this section, in determining maximum feasible average fuel economy, the Secretary shall
consider" (1) technological feasibility; (2) economic practicability; (3) the effect of other Federal motor vehicle standards on fuel economy; and
(4) the need of the Nation to conserve energy.
(f ) (1) The Secretary may, by rule, from time to time,
amend any average fuel economy standard prescribed under subsection (a) (3), (b), or (c) so long as such standard, as amended, meets the requirements of subsection (a) (3), (b), or (c), as the case may be.
64 (2) Any amendment prescribed under this section
which has the effect of making any average, fuel economy standard more stringent shall be" (A) promulgated, and
(B) if required by paragraph (4) of subsection
(a), submitted to the Congress.
at least 18 months prior to the beginning of the model
year to which such amendment will apply.
(g) Proceedings under subsection (a) (4) or (d) shall
be conducted in accordance with section 553 of title 5, United States Code, except that interested persons shall he entitled to make oral as well as written presentations.
A transcript shall be taken of any oral presentations.






53

DETERMINATION OF AVERAGE FUEL ECONOMY

"SEC. 503. (a) (1) Average fuel economy for purposes 15 USC 2Q4). of section 502 (a) and (c) shall be calculated by the EPA Administrator by dividing"(A) the total number of passenger automobiles
manuf~actured in a given model year by a manufacturer, by
"(B) a sum o f terms, each term of which is a f raction created by dividing" (j) the number of passenger automobiles
of a given model type manufactured by such
manufacturer in such model year, by
(ii) the fuel economy measured for such
model type.
"(2) Average fuel economy for purposes of section 502(b) shall be calculated in accordance with rules of the EPA Administrator.
(b) (1) In calculating average fuel economy under subsection (a) (1), the EPA Administrator shall separate the total number of passenger automobiles manufactured by a manufacturer into the following two categories:
"(A) Passenger automobiles which are domestically manufactured by such manufacturer (plus, in the case of model year 1978 and model year 1979, passenger automobiles which are within the includable base import volume of such manufacturer).
(B) Passenger automobiles which are not domestically manuf actured by such manuf acturer (and which, in the case of moael year 1978 and model year 1979, are not within the includable base import volume of such manufacturer).
The EPA Administrator shall calculate the average fuel economy of each such separate category, and each such category shall be treated as if manufactured by a separate manufacturer for purposes of this part.
"(2) For purposes of this subsection: Definitions.
"(A) The term 'includable base import volume',
with respect to any manufacturer in model year 1978 or 1979, as the case may be, is a number of passenger
automobiles which is the lesser of" (i) the manufacturer's base import volume,
or
(ii) the number of passenger automobiles
calculated by multiplying" (I) the quotient obtained by dividing
such manufacturer's base import volume by such manufacturer's base production volume, times






54

(11) the total number of passenger automobiles manufactured by such manufacturer during such model year.
(B) The term 'base import volume' means onehalf the sum of" (i) the total number of passenger automobiles which were not domestically manufactured by such manufacturer during model year 1974 and which were imported by such manufacturer
during such model year, plus
44 (ii) 133 percent of total number of passenger
automobiles which were not domestically manufactured by such manufacturer during the first 9 months of model year 1975 and which were imported by such manufacturer during such
9-month period.
(C) The term 'base production volume' means
one-half the sum of"(i) the total number of passenger automobiles manufactured by such manufacturer during model year 1974, plus
(ii) 133 percent of the total number of passenger automobiles manufactured by such manufacturer during the first 9 months of model
year 1975.
(D) For purposes of subparagraphs (B) and
(C) of this paragraph any passenger automobile imported during model year 1976, but prior to July 1, 1975, shall be deemed to have been manufactured (and imported) during the first 9 months of model
year 1975.
(E) An automobile shall be considered domestically manufactured in any model year if at least 75 percent of the cost to the manufacturer of such automobile is attributable to value added in the United States or Canada, unless the assembly of such automobile is completed in Canada and such automobile is not imported into the United States prior to the expiration of 30 days following the end of such model year. The EPA Adminstrator may prescribe rules for purposes of carrying out this subparagraph.
(F) The fuel economy of each passenger automobile which is imported by a manufacturer in model year 1978 or 1979,as the case may be, and which is not domestically manufactured by such manufacturer, shall be deemed to be equal to the average fuel
economy of all such passenger automobiles.
(c) Any reference in this part to automobiles manufactured by a manufacturer shall be deemed"(1) to include all automobiles manufactured by
persons who control, are. controlled by, or -are under
common control with, such manufacturer; and






55

(2) to exclude all automobiles manufactured
(within the meaninow of paragraph (1)) during a model year by such manufacturer which are exported prior to the expiration of 30 days following the end
of such model year.
(d) (1) Fuel economy for any model type shall be measured, and average fuel economy of a manufacturer shall be, calculated, in accordance with testing and calculation procedures established by the EPA Administrator, by rule. Procedures so established with respect to passenger automobiles (other than for purposes of section 506) shall be the procedures utilized by the EPA Administrator for model year 1975 (weighed 25 percent urban cycle, and 45 percent highway cycle), or procedures which yield comparable results. Procedures under this subsection, to the extent practicable shall require that fuel economy tests be conducted in conjunction with emissions tests conducted under section 206 of the Clean Air Act. The EPA 42 USC Administrator shall report any measurements of fuel 1857f-5. economy and any calculations of average fuel economy to the Secretary.
(2) The EPA Administrator shall, by rule, determine that quantity of any other fuel which is the equivalent of one gallon of gasoline.
(3) Testing and calculation procedures applicable to a model year, and any amendment to such procedures (other than a technical or clerical amendment), shall be promulgated not less than 12 months prior to the model year to which such procedures apply.
(e) For purposes of this part (other than section 506), any measurement of fuel economy of a model type, and any calculation of average fuel economy of a manufacturer, shall be rounded off to the nearest one-tenth mile per gallon (in accordance with rules of the EPA Administrator).
(f) The EPA Administrator shall consult and coordinate with the Secretary in carrying out his duties under this section.
44 JUDICIAL REVIEW

"SEC. 504. (a) Any person who may be adversely af 15 USC 2004. fected by any rule prescribed under section 501, 502, 503, o, -06 may, at any time prior to 60 days after such rule is prescribed (or in the case of an amendment submitted to each House of the Congress under section 502 (a) (4), at any time prior to 60 days after the expiration of the 60day period specified in section -002 (a) (5) )1 file a petition in the United States Court of Appeals for the District of Columbia, or for any circuit wherein such person resides or has his principal place of business, for judicial review of such rule. A copy of the petit-ion shall be forthwith






56

transmitted by the clerk of such court to the officer who prescribed the rule. Such officer shall thereupon cause to be filed in such court the written submissions and other materials in the proceeding upon which such rule was based. Up)01 the filing of such p)etition,. the court shall have jurisdiction to review the rule in accordance with 5 USC 701 chapter 7 of title 5, United States Code, andl to grant apet 8cq.propriate relief as provided in such chapter. Findings of
the Secretary under section 502 (d) shall be set aside lby tie court on review unless such findings are supported
by substantial evidence.
(b) If the petitioner applies to the court in a proceeding under subsection (a) for leave to make additional submissions, and shows to the satisfaction of the court that such additional submissions are material and that there were reasonable grounds for the failure to make such submissions in the administrative, proceeding, the court may order the Secretary or the EPA Administrator, as tile case may be, to provide additional opportunity to make such submissions. The Secretary or the EPA Administrator, as the case may be, may modify or set :ticle the rule involved or prescribe a new rule by reason iof the additional submissions, and shall file any such modified or new rule in the court, together with such additional submissions. The court shall thereafter review
such new or modified rule.
(c) The judgment of the court affirming or setting
aside, in whole or in part., any such rule shall be final, subject to review by the Supreme Court of the United States upon certiorari or certification as provided in section 1254 of title 28, United States Code.
(d) The remedies provided for in this section shall be
in addition to, and not in lieu of, any other remedies pr'ovided by law.
INFORMATIONN AND REPORTS
15 USC 2005. "SEC. 505. (a) (1) Each manufacturer shall submit a
report to the Secretary during the 30-day period preceding the beginning of each model year after model year 19 V 7T, and during the 30-day period beginning on tile 180th day of each such model year. Eacih such report shall contain (A) a~ statement as to whether such manuf act urer wvill1 comply with average fuel economy standards under section 502 applicable to the model year for which such report is made; (1B) a plan which describes the steps tile manufacturer has taken or intends to take, in order to comply with such standards;~ and (C) such other informiation as the Secretary may reqiire.
(2) Whenever a manufacturer determines that a
plan submitted under p)aragraphl (1) which hie stated






57

was sufficient to insure compliance with applicable average fuel economy standards is not sufficient to insure such compliance, he shall submit a report to the Socretary containing a, revised plan which specifies any additional measures which such manufacturer intends to take in order to comply with such standards, and a statement as to whether such revised plan is sufficient to insure such compliance.
"(3) The Secretary shall prescribe rules setting forth Rules. the form and content of the reports required under paragraphs (1) and (2).
"(b) (1) For the purpose of carrying out the provi- Hearings. sons of this part, the Secretary or the EPA Administrator, or their duly designated agents, may hold such hearings, take such 'testimony, sit and act at such times and places, administer such oaths, and require, by subpena, the attendance and testimony of such witnesses and the production of such books, papers, correspondence, memorandums, contracts, agreements, or other records as the Secretary, the EPA Administrator, or such agents deem advisable. The Secretary or the EPA Administrator may require, by general or special orders that any person"(A) file, in such form as the Secrdtary or EPA
Administrator may prescribe, reports or answers in writing to specific questions relating to any function of the Secretary or the EPA Administrator under this part, and
"(B) provide the Secretary, the EPA Administrator, or their duly designated agents, access to (and for the purpose of examination, the right to copy) any documentary evidence of such person which is relevant to any function of the Secretary or the EPA
Administrator under this part.
Such reports and answers shall be made under oath or otherwise, and shall be filed with the Secretary or the EPA Administrator within such reasonable period as either may prescribe.
"(2) The district courts of the United States for a judicial district in the jurisdiction of which an inquiry is carried on may, in the case of contumacy or refusal to obey a duly authorized subpena or order of the Secretary, the EPA Administrator, or a duly designated agent of either, issued under paragraph (1), issue an order requiring compliance with such subpena or order. Any failure to obey such an order of the court may be treated by such court as a contempt thereof.
"(3) Witnesses summoned pursuant to this subsection shall be paid the same fees and mileage that are paid witnesses in the courts of the United States.
"(c) (1) Every manufacturer shall establish and maintain such records, make such reports, conduct such






58

tests, and provide such items and information as the Secretary or the EPA Administrator may, by rule, reasonably require to enable the Secretary or the EPA Administrator to carry out their duties under this part and under any rules pre-scribed pursuant to this part. Such manufacturer shall, upon request of a duly designated agent of the Secretary or the EPA Administrator who presents appropriate credentials, permit such agent, at reasonable times and in a reasonable manner, to enter the premises of such manufacturer to inspect automobiles and appropriate books, papers, records, and documents. Such manufacturer shall make available all of such items and information in accordance with such reasonable rules as the Secretarv or the EPA AdIninistrator may prescribe.
(2) The district courts of the United States may, if a
manufacturer refuses to accede to any rule or reasonable request made under paragraph (1), issue an order requiring compliance with such requirement or request.
Any failure to obey such an order of the court may be
treated by such court as a contempt thereof.
(d) (1) The Secretary and the EPA Administrator
shall each disclose any information obtained under this part (other than section 503(d)) to the public in accordance with section 552 of title 5., United States Code, except that information may be withheld from disclosure under subsection, (b) (4) of such section only if the Seeretary or the EPA Administrator, as the case may be, determines that such information, if disclosed, would result in significant competitive damage. Any matter described in section 552(b) (4) relevant to any administrative or judicial proceeding under this part may be
disclosed in such proceeding.
(2) Measurements and calculations under section
503(d) shall be made available to the public in a-ccordance with section 552 of title 5., Vnited States Code,
without regard to subsection (b) of such section.
C4 LABELING
15 USC 2006. SEC. 506. (a) (1) Except as otherwise provided in
paragraph (2), each manufacturer shall cause to be. affixed, and each dealer shall cause, to be maintained, on each automobile manufactured in any model year after
model year 1976, in a prominent place, a label(A) indicating" (i) the fuel economy of such automobile, (ii) the estimated annual fuel cost associated with the operation of such automobile, and (iii) the range of fuel economy of comparable automobiles (whether or not manufactured by such manufacturer),






59

as determined in accordance with rules of the EPA
Administrator,
"(B) containing a statement that written information (as described in subsection (b) (1)) with respect to the fuel economy of other automobiles manufa~ctured in such model year (whether or not mnanufactured by such manufacturer) is available from the dealer in order to facilitate comparison among
the various model types, and
(C) containing any other information authorized
or required by the EPA Administrator which relates to information described in subparagraph (A)
or (B).
"(2) With respect to automobiles" (A) for which procedures established in the
EPA and FEA Voluntary Fuel Labeling Program for Automobiles exist on the date of the enactment
of this title, and
(B) which are manufactured in model year 1976
and at least 90 days after such date of enactment,
each manufacturer shall cause to be affixed, and each dealer shall cause~ to be maintained, in a prominent place, a label indicating the fuel economy of such automobile, in accordance with such procedures.
(3) The form and content of the labels required under paragraphs (1) and (2), and the manner in which such labels shall be affixed, shall be prescribed by the EPA Administrator by rule. The EPA Administrator may permit a manufacturer to comply with this paragraph by permitting such manufacturer to disclose the information required under this subsection on the label required by section 3 of the Automobile Information Disclosure Act (15 U.S.C. 1232).
"(b) (1) The EPA Administrator shall compile and Booklets. prepare a simple and readily understandable booklet containing data, on fuel economy of automobiles manmfactured in each model year. Such booklet shall also contain information with respect to estimated annual fuel costs, and may contain information with respect to geographical or other differences in estimated annual fuel costs. The Administrator of the Federal Energy Administration shall publish and distribute such booklets.
(2) The EPA Administrator, not later than July 31, Rules. 1976, shall prescribe rules requiring dealers to make available to prospective purchasers information compiled by 66the EPA Administrator under paragraph (1).
"(c) (1) A violation of subsection (a) shall be treated as a violation of section 3 of the Automobile Information Disclosure Act (15 U.S.C. 1232). For purposes of the Federal Trade Commission Act (other than Sections 5 15 USC 58.
(in) and (18)), a violation of subsection (a) shall be treated as an unf air or deceptive act or practice in or affecting commerce.






60
"Dealer." "(2) As used in this section, the term 'dealer' has the
same meaning as such term has in section 2 (e) of the Automobile Information Disclosure Act (15 U.S.C. 1231 (e) ) except that in applying such term to this section, the term 'automobile' has the same meaning as such
term has in section 501 (1) of this part.
(d) Any disclosure with respect to fuel economy or
estimated annual fuel cost which is required to be made under the provisions of this section. shall not create an express or implied warranty under State or Federal law that such fuel economy will be achieved, or that such cost will not be exceeded, under conditions of actual
use.
(e) In carrying out his duties under this section, the
EPA Administrator shall consult with the Federal Trade Commission, the Secretary, and the Federal Energy
Administrator.
4t UNLAWFUL CONDUCT
15 USC 2007. "SEC. 5 07. The following conduct is unlawful: (1) the failure of any manufacturer to comply with aniy ave rage f uel economy standard applicable to such manufacturer under section 502 (other than
section 502 (b) ),
"(2) the failure of any manufacturer to comply with any average fuel economy standard applicable
to such manufacturer under section 502 (b), or
(3) the failure of any person (A) to comply with any provision of this part applicable to such person (other than section 502, 506 (a), 510, or 511), or (B) to comply with any standard, rule or order applicable to such person which is issued pursuant to such
a provision.

44CIVIL PENALTY
15 USC 2008. "SEC. 508. (a) (1) If average fuel economy calculations
r-eported under section 503 (d) indicate that any manuf acturer has violated section 507 (1) or (2), then (unless further measurements of fuel economy, further calculations of average fuel economy, or other information indicates there is no violation of section 507 (1) or (2)) the Secretary shall commence a proceeding under paragraph (2) of this subsection. The results of such further measuirements, further calculations, and any such other information, shall be published in the Federal Register.
"(2) If, on the record after opportunity for agency
hearing, thie Secretary determines that such mi-anufacir-er has violated section 507 (1) or (2), or- that any piW1so1 has violated section .507(3), the Secretary shall assess the penalties provided for under suibsection (b).






61

Amy interested person may participate in any proceeding under th IiS paragraph.
(3) (A) (i) Whenever the average fuel economy of the passenger automobiles manufactured by a manufacturer in a particular model year exceeds -,'in applicable average fuel economy standard established under section 502 (a) or (c) (determined without regard to any adjustment under section 502(d)), such manufacturer shall be entitled to a credit, calculated under clause (ii), which shall be-" (1) deducted from the amount of any civil penalty which has been or may be assessed against such manufacturer for a violation of section 507 (1) occurring in the model year immediately prior to the model year in which such manufacturer exceeds such
applicable average fuel economy standard, and
JI) to the extent that such credit is not deducted
pursuant to subclause J), deducted from the amount of any civil penalty assessed against such iiianufaeturer for a violation of section 507 (1) occurring in the model year immediately following the model year in which such manufacturer exceeds such applicable average fuel economy standard.
"(ii) The amoun"it, of credit to which a manufacturer is entitled under clause (i) shall be equal to" J) $5 for each tenth of a mile per gallon by
which the average fuel economy of the passenger automobiles manufactured by such manufacturer in the model year in which the credit is earned pursuant to clause (i) exceeds the applicable average fuel economy standard established under section 502 (a)
or (c), multiplied by
JI) the total number of passenger automobiles
manufactured by such manufacturer during such
model year.
(B) (i) Whenever the average fuel economy of a class of automobiles which are not passenger automobiles and which are manufactured by a manufacturer in a particular model year exceeds an average fuel economy standard applicable to automobiles of such class under section D02 (b), such manufacturer shall be entitled to a credit, calculated under clause, (ii), which shall be" (1) deducted from the amount of any civil penalty which has been or may be assessed against such manufacturer for a violation of section __507 (2) occurring in the model year immediately prior to the model year in which such manufacturer exceeds such
applicable average fuel economy standard, and
(11) to the extent that such credit is not deducted
pursuant to subelause (1), deducted from the amount of any such civil penalty assessed against such manufacturer for a violation of section 507 (2) occurring



43-144 0 79 5






62

in the model year immediately following the model year in which such manufacturer exceeds such applicable average fuel economy standard.
(ii) The amount of credit to which a manufacturer is
entitled under clause (i) shall be equal to" (1) $5 for each tenth of a mile per gallon by which the average fuel economy of the automobiles of such class manufactured by such manufacturer in the model year in which the credit is earned pursuitnt to clause (i) exceeds the applicable average fuel economy standard established under section
502 (b), multiplied by
(II) the total number of automobiles of such class manufactured by such manufacturer during
such model year.
(C) Whenever a civil penalty has been assessed and
collected under this section from a manufacturer who is entitled to a credit under this paragraph with respect to such civil penalty, the Secretary of the Treasury shall refund to such manufacturer the amount of credit to which such manufacturer is so entitled, except that the amount of such refund shall not exceed the amount of the civil
penalty so collected.
Rules. (D) The Secretary may prescribe rules for purposes
of carrying out the provisions of this paragraph.
4 (b) 1) (A) Any manufacturer whom the Secretary
determines under subsection (a) to have violated a provision of section 507 (1), shall be liable to the United States for a civil penalty equal to (i) $5 for each tenth of a mile per gallon by which the average fuel economy of the passenger automobiles manufactured by such manufacturer during such model year is exceeded by the applicable average fuel economy standard established under section 502 (a) and (c), multiplied by (ii) the total number of passenger automobiles manufactured by such manufacturer during such model year.
(B) Any manufacturer whom the Secretary determines under subsection (a) to have violated section 507 (2) shall be liable to the United States for a civil penalty equal to (i) $5 for each, tenth of a mile per gallon by which the applicable average fuel economy standard exceeds the average fuel economy of automobiles to which such standard applies, and which are manufactured by such manufacturer during the model year in which the violation occurs, multiplied by (ii) the total number of automobiles to which such standard applies and which are manufactured by such manufacturer during such
model year.
(2) Any person whom the Secretary determines
under subsection (a) to have violated a provision of section 507 (3) shall be liable to the United States for a civil penalty of not more than $10,000 for each viola-






63

tion. Each day of a continuing violation shall constitute a separate violation for -purposes of this paragraph.
(3) The amount of such civil penalty shall be assessed by the Secretary by written notice. The Secretary shall have the discretion to compromise, modify, or remit, with or without conditions, any civil penalty assessed under this subsection against any person, except that any civil penalty assessed for-a violation of section 507 (1) or (2) may be so compromised, modified, or remitted only to the extent"(A) necessary to prevent the insolvency or bankruptcy of such manuf acturer,
"(B) such manufacturer shows that the violation
of section 507 (1) or (2) resulted from an act of
God, a. strike, or a fire, or
(C) the Federal Trade Commission has certified
that modification of such penalty is necessary to prevent a substantial lessening of competition, as
determined under paragraph (4).
The Attorney General shall collect any civil penalty for which a manufacturer is liable under this subsection in a civil action under subsection (e) (2) (unless the manufacturer pays such penalty to the Secretary).
(4) Not later than 30 days after a determination by the Secretary under subsection (a) (2) that a manufacturer has violated section 507 (1) or 2), such manufacturer may apply to the Federal Trade Commission for a certification under this paragraph. If the manufacturer shows and the Federal Trade Commission determines that modification of the civil penalty for which such manufacturer is otherwise liable is necessary to prevent a substantial lessening of competition in that segment of the automobile industry subject to the standard with respect to which such penalty was assessed, the Conimission.shall so certify. The certification shall specify the maximum amount that such penalty may be reduced. To the maximum extent practicable, the Commission shall render a decision with respect to an application under this paragraph not later than 90 days after the application is filed with the Commission. A proceeding under this paragraph shall not have the effect of delaying the manuf acturer's liability under this section for a civil penalty for more than 90 days after such application is filed, but any payment made before a decision of the Commission under this paragraph becomes final shall be paid to the court in which the penalty is collected, and shall (except as otherwise provided in paragraph (5)), be held by such court, until 90 days after such decision becomes final (at which time it shall be paid into the general fund of the Treasury).
"M Whenever a civil penalty has been assessed and collected from a manufacturer under this section, and is






64

being held by a court in accordance with, paragraph (4), and the Secretary subsequently determines to modify such civil penalty pursuant to paragraph (3) (C) the Secretary shall direct the court to remit the appropriate
amount of such penalty to such manufacturer.
(6) A claim of the United States for a civil penalty
assessed against a manufacturer under subsection (b) (1) shall, in the case of the bankruptcy or insolvency of such manufacturer, be subordinate to any claim of a. creditor of such manufacturer which arises from an extension of credit before the date on which the judgment in any collection action under this section becomes final (without regard to paragraph (4) ).
(c) (1) Any interested person may obtain review of
determination (A) of the Secretary pursuant to which civil penalty has been assessed under subsection (b), or (B) of the Federal Trade Commission under subsection (b) (4), in the United States Court of Appeals for the District of Columbia, or for any circuit wherein such person resides or has his principal place of business. Such review may be obtained by filing a notice of appeal in such court within 30 days after the date of such determination, and by simultaneously sending a copy of such notice by certified mail to the Secretary or the Federal Trade Commission, as the case may be. The Secretary or the Commission, as the case may be, shall promptly file in such court a certified copy of the, record upon which such determination was made. Any such determination shall be reviewed in accordance with chapter 7
of title 5, United States Code.
5 USC 701 (2) If any person fails to pay an assessment of a
et 8eq. civil penalty after it has become a final and unappealable
order, or after the appropriate court of appeals has entered final judgment in favor of the Secretary. the Attorney General shall recover the amount for which the manufacturer is liable in any appropriate district court of the United States. In such action, the validity and appropriateness of the final order imposing the civil
penalty shall not be, subject to review.
4iEFIFECT ON STATE LAW

15 USC 2009. "SEC. 509. (a) Whenever an average fuel economy
standard established under this part is in effect, no State or political subdivision of a State shall have authority to adopt or enforce any law or regulation relating to fuel economy standards or average fuel economy standards applicable to automobiles covered by such Federal
standard.
(b) Whenever any requirement under section 506 is
in effect with respect to any automobile, no State or political subdivision of a State shall have authority to






65

adopt or enforce any law or regulation with respect to the disclosure of fuel economy of such automobile, oi- of fuel cost associated with the operation of such automobile, if such law or regulation is not, identical with such requirement.
"(c) Nothing in this section shall be construedI to prevent any State or political subdivision thereof from establishing requirements -with respect to fuel economy of automobiles procured for its own use.
4USE OF FUEL EFFICIENT PASSENGER AUTOMOBILES BY THlE
FEDERAL GOVERNMENT
"S~c. 5010. (a) The President shall, within 120 days Rules.
af ter the date of enactment of this ,title, promulg~ate, 15 USC 2010. rules which shall require that all passenger automobiles acquired by all executive agencies in each fiscal year which begins after such (late of enactment achieve a fleet average fuel economy fox' such year not less than"(1) 18 miles per gallon, or
'12) the average fuel economy standard applicable under section 5002 (a) for the model year which
includes January 1 of such fiscal y ear', whichever is greater.
"(b) As used in this section: Definitions.
"(1) The term 'fleet average fuel economy' means
(A) the total number of passenger automobiles acquired in a fiscal year to which this section applies by all executive agencies (excluding passenger automobiles designed to perform combat related missions for the Armed Forces or designed to be used in law enforcement work or emergency rescue work), divided by (B) a sum of terms, each term of which is a
fraction created by dividing"(i) the number of passengers' automobiles so
acquired of a given model type, by
"(ii) the fuel economy of such model type.
(2) The term 'executive agency' has the same
meaning as such term has for purposes of section 105)
of title a-, United States Code.
"(3) The term 'acquired' means leased for a period
of 60 continuous days or more, or purchased.
RETROFITT DEVICES

"SEC. 511. (a) The Federal Trade Commission shall 15 USC 2011. establish a program fox' systematically examining fuel economy rep resent ation s made with respect to retrofit devices. WXhenever the Commission has reason to believe that any such rep resent ation may be inaccurate, it shall request the EPA Administrator to evaluate, in accordance with subsection (b), the retrofit device with respect to which such rep~resentation was made.






66

(b) (1) Upon application of any manufacturer of a
retrofit device (or prototype thereof), upon the request of the Federal Trade Commission pursuant to subsection (a), or upon his own motion, the EPA Administrator shall evaluate, in accordance with rules prescribed under subsection (d), any retrofit device to determine whether the retrofit device increases fuel economy and to determine whether the representations (if any) made with
respect to such retrofit device are accurate.
(2) If under paragraph (1) the EPA Administrator
tests, or causes to be tested, any retrofit device upon the application of a manufacturer of such device, such manufacturer shall supply, at his own expense, one or more samples of such device to the Administrator and shall be liable for the costs of testing which are incurred by the Administrator. The procedures for testing retrofit devices so supplied may include a requirement for preliminary testing by a qualified independent testing laboraPublication in tory, at the expense of the manufacturer of such device. Federal "(c) The EPA Administrator shall publish in the
Register. F federal Register a summary of the results of all tests
conducted under this section, together with the EPA
Administrator's conclusions as to-" (1) the effect of any retrofit device on fuel economy;
(2) the effect of any such device on emissions of air pollutants; and
(3) any other information which the Administrator determines to be relevant in evaluating such
device.
Such summary and conclusions shall also be submitted
to the Secretary and the Federal Trade Commission.
(d) Within 180 days after the date of enactment
of this title, the EPA Administrator shall, by rule,
establish" (1) testing and other procedures for evaluating the extent to which retrofit devices affect fuel economy and emissions of air pollutants, and
"(2) criteria for evaluating the accuracy of fuel economy representations made with respect to retrofit devices.
"Retrofit (e) For purposes of this section the term 'retrofit dedevice." 4
vice, means any component., equipment, or other device" (1) which is designed to be installed in or on an automobile (as an addition to, as a replacement for, or through alteration or modification of, any origiiial component, equipment, or other device); and
(2) which any manufacturer, dealer, or distributor of such device represents will provide higher fuel economy than would have resulted with the automobile as originally equipped,






67

as determined under rules of the Administrator. Such term also includes a fuel additive for use in an automobile.
'REPORTS TO CONGRESS
"'SEC. .512. (a) Within 180 (lays after the date of enact- 15 USC 2012. ment of this title, the Secretary shall prepare and submit to the Congress and the President a comprehensive report setting forth findings and containing conclusions and recommendat ions with respect to (1) a requirement that each new automobile be equipped with a fuel flow instrument reading directly in miles per gallon, and (2) the most feasible means of equipping used automobiles with such instruments. Such report shall include an examination of the effectiveness of such instruments in promoting voluntary reductions in fuel consumption, the cost of such instruments, means of encouraging automobile purchasers to voluntarily purchase automobiles equipped with such instruments, and any other factor bearing on the cost and effectiveness of such instruments and their use.
(b) (1) Within 180 days after the date of enactment of this title, the Secretary shall prepare and submit to the Congress and the President a comprehensive report setting forth findings and containing conclusions and recommendations with respect to whether or not electric vehicles and other vehicles not. consuming fuel (as defined in the first sentence of section 501 (5)) should be covered by this part. Such report shall include an examination of the extent to which any such vehicle should be included under the provisions of this part, the manner in which energy requirements of such vehicles may be compared with energy requirements of fuel-consuming vehicles, the extent to which inclusion of such vehicles would stimulate their production and introduction into commerce, and any recommendations for legislative action.
"(2) As used in this subsection, the term 'electric "Electric vehicle' means a vehicle, powered primarily by an electric vehicle." motor drawing current from rechargeable batteries, fuel cells, or other portable sources of electrical current.". PART B-ENERGY CONSERVATIO-N PROGRAM FOR CON.SUM.NIER
PRODUCTS OTHER THAN AUTOMOBILES
DEFINITIONS
SEc. 321. (a) For purposes of this part: 42 USC 6291.
(1) The term "consumer product" means any article (other than an automobile, as defined in section 501 (1) of the Motor Vehicle Information and Cost
Savings Act) of a type-- Ante, p. 901.
(A) which in operation consumes, or is designed to consume, energy; and






68

(B) which, to any significant extent, is distributed in commerce for personal use or consumption by individuals;
without regard to whether such article of such type is in fact distributed in commerce for personal use or consumption by an individual.
(2) The term "covered product" means a consumer product of a type specified in section 322.
(3) The term "energy" means electricity, or fossil fuels. The Secretary may, by rule, include other fuels within the meaning of the term "energy" if he determines that such inclusion is necessary or appropriate to carry out the purposes of this Act.
(4) The, term "energy use," means the quantity of energy directly consumed by a. consumer product at point of use, determined in accordance with test procedures under section 323.
(5) The term "energy efficiency" means the ratio of the useful output of services from a consumer product to the energy use of such product, determined in accordance with test procedures under section 323.
(6) The term "energy efficiency standard" means a performance standard(A) which prescribes a minimum level of
energy efficiency for a covered product, determined in accordance with test procedures prescribed under section 323, and
(B) which includes any other requirements
which the Secretary may prescribe, under section
325 (c).
(7) The term "estimated annual operating cost" means the aggregate retail cost of the energy which is likely to be consumed annually in representative use of a consumer product, determined in accordance with section 323.
(8) The term "measure of energy consumption" 'means energy use, energy efficiency, estimated annual operating cost, -or other measure of energy consumption.
(9) The term "class of covered products" means a group of covered products, the functions or intended uses of which are similar (as determined by the Secretary).
(10) The term "manufacture" means to manufacture, produce, assemble, or import.
(11) The, terms "import" and "importation" mean to import in to the customs territory of the United States.
(12) The term "manufacturer" means any person who manufactures a consumer products.






69

(13) The term ','retailer" means a person to whom
a consumer product is delivered or sold, if such delivery or sale is for purposes of sale or distribution in commerce to purchasers who buy such product for
purposes other than resale.
(14) The term "distributor" means a person (other
than a manufacturer or retailer) to whom a consumer product is delivered or sold for purposes of
distribution in commerce,.
(15) (A) The term "private labeler" means an
owner of a brand or trademark on the label of a consumer product which bears a private label.
(B) A consumer product bears a private label if
(i) such product (or its container) is labeled with the brand or trademark of a person other than a manufacturer of such product, (ii) the person with whose brand or trademark such product (or container) is labeled has authorized or caused such product to be. so labeled, and (iii) the brand or trademark of a manufacturer of such product does not appear
on such label.
(16) The term "to distribute in commerce" and
"distribution in commerce" mean to sell in commerce,, to import, to introduce or deliver for introduction into commerce, or to hold for sale or distribution
after introduction into commerce.
(17) The term "commerce" means trade, traffic,
commerce, or transportation
(A) between a plam in a State and any place
outside thereof, or
(B) which affects trade, traffic, commerce., or
transportation described in subparagraph (.A.).
(18) The term "Commission" means the Federal
Trade Commission.

COVERAGE
SEC. 322. (a) A consumer product is a covered product 42 USC 6292. if it is one of the following types (or is designed to perform a function which is the principal function of any of the following types) :
(1) Refrigerators and refrigerator- freezers.
(2) Freezers.
(3) Dishwashers.
(4) Clothes dryers.
(5 ) Water heaters.
(6) Room air conditioners.
(7) Home heating equipment, not including furnaces.
(8) Television sets.
.(9) Kitchen ranges and ovens.






70

(10) Clothes washers.
(11) Humidifiers and dehumidifiers.
(12) Central air conditioners.
(13) Furnaces.
(14) Any other type of consumer product which the Secretary classifies as a covered product under
subsection (b).
(b) (1) The Administrator may classify a type of consumer product as a covered product if lie determines
that
(A) classifying products of such type as covered products is necessary or appropriate to carry out the
purposes of this Act, and
(B) average annual per-household energy use by products of such type is likely to exceed 100 kilowatthours (or its Btu equivalent) per year. Definitions. (2) For purposes of this subsection:
(A) The term "average annual per-household energy use with respect to a type of product means the estimated aggregate annual energy use (in kilowatthours or the Btu equivalent) of consumer products of such type which are used by households in the United States, divided by the number of such households
which use products of such type.
(B) The Btu equivalent of one kilowatt-hour is 3,412 British thermal units.
(C) The term "household" shall be defined under rules of the Secretary.

TEST PROCEDURES
42 USC 6293. SEC. 323. (a) (1) The Secretary shall, during the 30-day
period which begins on the date of enactment of this Act, afford interested persons an opportunity to present written data, views, and arguments with respect to test procedures to be developed for covered products of each of the types specified in paragraphs (1) through (13) of section
322 (a).
(2) The Secretary shall direct the National Bureau of
Standards to develop test procedures for the determination of (A) estimated annual operating costs of covered products of the types specified in paragraphs (1) through (13) of section 322 (a), and (B) at least one other useful tticasure of energy consumption of such products which the Secretary determines is likely to assist consumers in
making purchasing decisions.
(3) The Secretary shall publish proposed test procedures with respect to all covered products of each of the types specified in paragraphs (1) through (13) of section 322 (a), and shall afford interested persons an opportunity to present oral and written data, views, and argu-






71

ments with respect to such proposed test procedures. Such comment period shall not be less than 45 days.
(4) The Secretary shall prescribe test procedures for the determination of (i) estimated annual operating costs of all covered products of each of the, types specified in paragraphs (1) through (13) of section 322 (a), and (ii) at least one other measure of energy consumption of such products which the Secretary determines is likely to assist consumers in making purchasing decisions. Except as provided in paragraph (6), such test procedures shall be prescribed not later than January 31, 1978.
(5) If the Secretary has classified a type of product as a covered product under section 322(b), the Secretary may, after affording interested persons an opportunity to comment, direct the National Bureau of Standards to develop, and may publish proposed test procedures for such type of covered product (or class thereof). The Secretary shall afford interested persons an opportunity to present oral and written data, views, and arguments with respect to such proposed test procedures. Such comment period shall not be less than 45 days. The Secretary may thereafter prescribe test procedures in accordance with subsection (b) of this section with respect to such type or class of product, if the Secretary or the Commission determines that(A) the application of subsection (e) to such type
of covered product (or class thereof) will assist consumers in making purchasing decisions, or
(B) labeling in accordance with section 324 will
assist purchasers in making purchasing decisions.
(6) (A) The Secretary may delay the prescription of test procedures under paragraph (4) for a type of covered product (or class thereof) if he determines that he cannot, within the applicable time period, prescribe test procedures applicable to such type (or class) which meet the requirements of subsection '('b), and he submits to the Congress a report of such determination together with the reasons therefor, and also publishes such determination (andreasons) in the Federal Register. In any such case, he shall prescribe such test procedures as soon as practicable, but in no event later than 90 days after the date specified in paragraph (4).
(B) The Secretary is not required to publish and prescribe test procedures under paragraphs (3) and (4) for a type of covered product (or class thereof) if he determines, by rule, that test, procedures cannot be developed which meet the requirements of subsection (b) and publishes such determination in the ]Federal Register, together with thereasons therefor. For purposes of section 327, a determination under this subparagraph with respect to any type (or class) of covered product, while






72

effective, shall have the same effect as would a standard prescribed for such type (or class) under section 325.
(7) (A) In the case of(i) any test procedure prescribed under this subsection; or
(ii) any determination under paragraph (6) that
a test procedure cannot be developed which meets the
requirements of subsection (b) ;
the Secretary shall, not later than 3 years after the date of the enactment of this paragraph (and from time to time thereafter), conduct a reevaluation and, on the basis of such reevaluation, shall determine if such test procedure should be amended or such determination should be rescinded. In conducting such reevaluation, the Secretary shall take into account such information as he deems relevant, including technological developments relating to the energy efficiency of the type (or class) of covered products involved.
(B) If the Secretary determines under subparagraph
(A) that(i) a test procedure should be amended, he shall
promptly publish in the Federal Register proposed test procedures incorporating such amendments, or
(ii) a determination under paragraph (6) should
be rescinded, lie shall promptly publish notice thereof
in the Federal Register,
and afford interested persons an opportunity to present oral and written data, views, and arguments. Such comment period shall not be less than 45 days.
(b) (1) Any test procedures prescribed under this section shall be reasonably designed to produce test results which reflect energy efficiency, energy use, or estimated annual operating cost of a covered product during a representative, average use cycle (as determined by the Secretary), and shall not be unduly burdensome to conduct.
(2) If the test procedure is a procedure for determining estimated annual operating costs, such procedure shall provide that such costs shall be calculated from measurements of energy use in a representative averageuse cycle. (as determined by the Secretary), and from representative average unit costs of the energy needed to operate such product during such cycle. The Secretary shall provide information to manufacturers respecting representative average unit costs of energy.
(c) (1) Effective 180 days after a test procedure rule applicable to a covered product is prescribed under this section, no manufacturer, distributor, retailer, or private labeler may make, any representation(A) in writing (including a representation on a
label), or
(B) in any broadcast advertisement,






73

respecting the energy consumption of such product or cost of energy consumed by such product, unless such product has been tested in accordance with such test procedure and such representation f airly discloses theresults of such testing.
(2) On the petition of any manufacturer, distributor, retailer, or private labeler, filed not later than the 60th day before the expiration of the period involved, the 180day period referred to in paragraph (1) may be extended by the Commission with respect to the petitioner (but in no event for more than an additional 180 days) if he finds that the requirements of paragraph (1) would impose on such petitioner an undue hardship (as determined by the Commission).

LABELING
SEC. 324. (a) (1) The Commission shall prescribe labeling rules under this section applicable to all covered products of each of the types specified in paragraphs (1) through (9) of section 322 (a), except to the extent that, with respect to any such type (or el ass thereof ) the Commission determines under the second sentence of subsection (b) (5) that labeling in accordance with this section is not technologically or economically feasible.
(2) The Commission shall prescribe, labeling rules under this section applicable to all covered products of each of the types specified in paragraphs (10) through
(13) of section 322 (a) except to the extent that with respect to any such type (or class thereof), the Commission determines under the second sentence of subsection
(b) (5) that labeling in accordance with this section is not technologically or economically feasible or is not likely to assist consumers in making purchasing decisions.
(3) The Commission may prescribe a labeling rule under this section applicable to covered products of a type specified in paragraph (14) of section 322 (9,) (or a class thereof) if(A) the Commission or the Secretary has made, a
determination with respect to such type (or a class
thereof ) under section 323 (a) (5) (B),
(B) the Secretary has prescribed test procedures
under section 323 (a) (5) for such type (or class
thereof ), and
(C) the Commission determines with respect to
such type (or claQs thereof ) that application of labeling rules under this section to such type (or class thereof) is economically and technologically feasible.
(4) Any determination under this subsection shall be published in the Federal Register.






74

(b) (1) Not later than 30 days after the date on whieb
a proposed test procedure applicable to a covered product of any of the types specified in paragraphs (1) through (14) of section 322(a) (or class thereof) is published under section 323 (a), the Commission shall publish a proposed labeling rule applicable to such type (or class
thereof).
(2) The Commission shall afford interested p rsons an
opportunity to present written or oral data, views, and comments with respect to the proposed labeling rules published under paragraph (1). The period for such
presentations shall not be less than 45 days.
(3) Not earlier than 45 days nor later than 60 days
after the date on which test procedures are prescribed under section 323 with respect to covered products of any type (or class thereof) specified in paragraphs (1) through (13) of section 322(a), the, Commission shall prescribe labeling rules with respect to covered products of such type (or class thereof). Not earlier than 45 days after the date on which test procedures are prescribed under section 323 with respect to covered products of a type specified in paragraph (14) of section 322(a), the Commission may prescribe labeling rules with respect, to
covered products of such type (or class thereof).
(4) A labeling rule prescribed under paragraph (3)
shall take effect not later than 3 months after the date of prescription of such rule, except that such rules may take effect not later than 6 months after such date of prescription if the Commission determines that such extension is necessary to allow persons subject to such rules adequate
time to come into compliance with such rules.
Publication (5) The Commission may delay the publication of a
in Federal
Register. proposed labeling rule, or the prescription of a labeling
rule, beyond the dates specified in paragraph (1) or (3), if it determines that it cannot. publish proposed labeling rules or prescribe. labeling rules which meet the require.ments of this section on or prior to the date specified in the, applicable paragraph and publishes such determination in the Federal Register, together with the reasons therefor. In any such case, it shall publish proposed labeling rules or prescribe labeling rules for covered products of such type (or class thereof) as soon as practicable Publication unless it determines (A) that labeling in accordance with In Federal
Register. this section is not economically or technically feasible, or
(13) in the case of a type specified in paragraphs (10) through (13) of section 322 (a), that labeling in accordance with this section is not. likely to assist consumers in purchasing decisions. Any such determination shall be published in the Federal Register, together with the reasons therefor. This paragraph shall not apply to the prescription of a labeling rule with respect to covered prod-






75

ucts of a type specified in paragr'aph (14) of section 322 (a).
(c) (1) Subject to paragraph (6), a rule prescribed under this section shall require that each covered product in the type or class of covered products to which the rule applies bear' a label which discloses(A) the estimated annual operating cost of such
product (determined in accordance with test procedures prescribed under section 323), except that if(i) the Secretary determines that disclosure
of estimated annual operating cost is not technologically feasible, or t
(ii) the Commission determines that such disclosure is not likely to assist consumers in making purchasing decisions or is not economically
feasible,
the Commission shall require disclosure of a different useful measure of energy consumption (determined in accordance with test procedures p rescribedc uncler
section 323) ; and
(B) information respecting the range of estimated
annual operating costs for covered products to which the rule applies; except that if the Commission requires disclosure under subparagraph (A) of a measure of energy consumption different from estimated annual operating cost, then the label shall disclose the range of such measure of energy consumption of
covered products to which such rule applies.
(2) A rule under this section shall include the following:
(A) A description of the type or class of covered
products to which such rule applies.
(B) Subject to paragraph (6), information respecting the range of estimated annual operating costs or other useful measure of energy consumption (determined in such manner as the rule may prescribe) for such type or class of covered products.
(C) A description of the test procedures under
section 323 used in determining the estimated annual operating costs or other measure of energy consumption of the type or class of covered products.
(D) A prototype label and directions for displaying such label.
(3) A rule under this section shall require that the label be displayed in a manner that the Commission determines is likely to assist consumers in making purchasing decisions and is appropriate to carry out this part. The Commission may permit a tag to be used in lieu of a label in any case in which the Commission finds that a tag will carry out the purposes for which the label was intended.






76

(4) A. rule under this section applicable to a covered product may require disclosure, in any printed matter displayed or distributed at the point of sale of such product, of any information which may be required under this section to be disclosed on the label of such product. Requirements under this paragraph shall not apply to any broadcast advertisement or any advertisement in any newspaper, magazine, or other periodical.
(5) The Commission may require that a manufacturer of a covered product to which a rule under this section applies(A) include on the label,
(B) separately attach to the product, or
(C) ship with the product,
additional information relating to energy consumption, including instructions for the maintenance, use, or repair of the covered product, if the Commission determines that such additional information would assist consumers in making purchasing decisions or in using such product, and that such requirement would not be unduly burdensome to manuf acturers.
(6) The Commission may delay the effective date of the requirement specified in paragraph (1) (B) of this subsection applicable to a type or class of covered product, insofar as it requires the disclosure on the label of information respecting range of a measure of energy consumption, for not more than 12 months after the date on which the rule under this section is first applicable to such type or class, if the Commission determines that such information will not be available within an adequate period of time before such date.
(d) A rule under this section (or an amendment thereto) shall not apply to any covered product the, manufacture of which was completed prior to the effective date of such rule or amendment, as the case may be.
(e) The Secretary, in consultation with the Commission, shall study consumer products for -which labeling rules under this section have not been proposed, in order to determine (1) the aggregate energy consumption of such products, and (2) whether the imposition of labeling requirements under this section would be feasible and useful to consumers in making purchasing decisions. The Secretary shall include the results of such study in the annual report under section 338.
(f ) The Secretary and the Commission shall consult with each other on a continuing basis as may be necessary or appropr ate to carry out their respective responsibilities under this part. Before the Commission makes any determination under subsection (a) (1) or (2), it shall obtain the views of the Secretary and shall take such views into account in making such determination.






77

(g) Until such time as labeling rules under this sect ion take effect with respect to a type or class of covered product, this section shall not affect any authority of the Coinmissionl under the Federal Trade Comis-sion 'Act to require labeling with respect to energy consumption of such type or class of covered product.

ENERGY EFFICIENCY STA.NDAPIWS
SEC. 325. (a) (1) The Secretary shall, by rule, rsrb
an energy efficiency standard for each type (or class) of covered products specified in paragraphs (1) through
(13) of section 322 (a).
(2) The Secretary may, by rule, prescribe an energy efficiency standard for any type (or class) of covered products of a type specified in paragraph (14) of section 322 (a), if hie determines, for the purposes of this section, that
(A) the average per household energy use -within
the United States by products of such type (or class) exceeded 150 kilowatt-hours (or its Btu equivalent) for any 12-calendar-month period ending before such
determination;'
(B) the aggregate household energy use within
the United States by products of such type (or class) exceeded 4,200,000,000 kilowatt -hours (or its Btu equivalent) for any such 12-calendar-month period;
(C) substantial improvement in the energy ef
ficiency of products of such type (or class) is *technologically feasible; and
(D) the application of a labeling rule under section 324 to such type (or class) is not likely to be sufficient to induce manufacturers to produce, and consumers and other persons to purchase, covered products of such type (or class) which achieve the maximum energy efficiency which is techinologically feasible to attain and is economically justified. Not later than 2 years after the (late of the enactment of this paragraph, the Secretary shall publish in the Federal Register a list of those types (and classes) of covered products which he considers may be subject to standards authorized to be prescribed under this paragraph. The Secretary may revise such list from time to time thereafter.
(b) No standard for a type (or class) of covered products shall be prescribed pursuant to subsection (a) if(1) a test procedure has not been prescribed pursuant to section 323 with respect to that type (or'
class) of products, or
(2) the Secretary determines, by rule, that the
establishment of such standard will not result in significant conservation of energy or that the estab43-144 0 79 6






78

hishinent, of such standard is not technologically
feasible or economically justified.
F~or purposes of section 327, a determination under paragraph (2) with respect to anl'y type (or class) of covered products shall have the same effect as would a standard Prescribed for such type (or class) under this section.
(c) Energy efficiency standards for each type (or class) oif covered products prescribed under this section shall be designed to achieve the maximurn improvement in energy efficiency which the Secretary determines is technologically feasible and economically justified. Such standards may be phased Inl, over a period not in excess of 5 years, through the establishment of intermediate standards, as determined by the Secretary.
(d) Before determining whether a standard is econom.ically justified under subsection (c), the Secretary, after receiving any views and comments f urnished with respect to the proposed standard under section 336, shall determine that the benefits of the standard exceed its burdens based, to the greatest extent practicable, on a weighing of the following factors:
(1) the economic impact of the standard on the
manufacturers and on the consumers of the products
subject to such standard,
(2) the savings in operating costs throughout the
estimated average, life of the covered products in the type (or class), compared to any increase in the price of, or in the initial charges for, or maintenance expenses of, the covered products which are likely
to result f rom. the imposition of the standard,
(3) the total projected amount of energy savings
likely to result directly from the imposition of the
standard,
(4) any lessening of the utility or the performance
of the covered products likely to result firm the
imposition of the standard,
(5) the impact, of any lessening of competition
determined in writing by the Attorney General that is likely to result from the imposition of the standard,
(6) the need of the Nation to conserve energy, and (7) any other f actors the Secretary considers
relevant.
For puriIposes of paragraph (5) the Attorney General shall, not later than 60 days after the publication of a proposed rule prescribing an energy efficiency standard, make a determination of the impact, if any, from any lessening of competition likely to result from such standardl and transmit. such determination in writing to the Secretary, together with an analysis of the nature and extent of such impact. Any such determination and analysis shall be published by the Secretary in the Federal Register.






79

(e) (1) Subject -to paragraph (2), the Secretary may, on application of any manu fact u rci, exempt such manufacturer from all or part of the requirements of any rule prescribing an energy efficiency standard under thils section for any period which does not extend beyond the date which is 24 months after- the date such rule is prescribed, if the Secretary finds that the, annual gross revenues to such manufacturer for the preceding 12month period from all its operations (including the manufacture and sale of covered products) does not exceed $8,000,000. In making such finding in the case of any manufacturer, the Secretary shall take into account the annual gross revenues of any other person who controls, is controlled by, or is under common control with, such manuf acturer.
(2) The Secretary mnay not exercise the authority granted under paragraph (1) with respect to any type (or class) of covered product subject to an energy efficiency standard established under this section unless he makes a finding, after obtaining the written views of the Attorney General, that a failure to allow an exemption under paragraph (1) would likely result in a lessening of competition.
(f) (1) A rule prescribing an energ-y efficiency standard for a type (or class) of covered products shall specify a level of energy efficiency higher or lower than that which applies (or would apply) for such type (or class) for any group of covered products which have the same function or intended use, if the Secretary, in his discretion, determines that covered products within such group(A) consume a different kind of energy from that
consumed by other covered products within such
type (or class), or
(B) have a capacity or other performance-rehated feature which other products within such type
(or class) do not have,
justifying a higher or lower standard from that which applies (or will apply) to other products within such type (or' class). In determining under this paragraph whether a perform ance- related feature justifies the establishment of a higher or lower standard, the Secretary shall consider such factors as the utility to the consumer of such a feature, and such other factors as hie deems appropriate.
(2) Any rule prescribing a higher or lower level of energy efficiency under paragraph (1) shall include an explanation of the basis on which such higher or lower level was established.
(g) In prescribing energy efficiency standards under this section, the Seceretary shall give priority to the establishment of energy efficiency standards for types






80

of products (or classes thereof ) specified in paragraphs
(1), (2), (4), (5) (6), (7), (9), (12), and (13) of section 322 (a).
(h) (1) Not later than 5 years after prescribing an energy efficiency standard under this section (and from tinie to time thereafter), the Secretary shall(A) conduct a reevaluation in order to determine
whether such standard should be amended in any
manner, and
(B) make, and publish in the Federal Register,
such determination.
In conducting such reevaluation, the Secretary shall take into account such information as he deems relevant, including technological developments with respect to the type (or class) of covered products involved, and the economic impact of the standard.
(2) If the Secretary determines under paragraph (1) that a standard should be amended, he shall promptly publish a proposed rule incorporating such amendments and afford interested persons an opportunity to present oral and written data, views, and arguments. Such comment period shall not be less than 45 days.
(i) Any energy efficiency standard shall be prescribed in accordance with the following procedure:
(1) The Secretary shall (A) publish an advance notice of proposed rulemaking which specifies the type (or class) of covered products to which the rule is likely to apply, and (B) invite interested persons to submit, within 45 days after the date of publication of such advance notice, written presentations of data, views, and arguments relevant to establishing such an energy efficiency standard.
(2) An advance notice of proposed rulemaking under paragraph (1) shall be published by the Secretary(A) in the case of types of covered products (or
classes thereof) of the types specified in paragraphs (1) (2), (4), (5), (6) (7), (9), (12), and (13) of section 322 (a), not later than 30 days after a test procedure with respect to that type of covered products (or class thereof ) has been prescribed, or 45 days after the date of the enactment of this subparagraph., whichever is later; and
(B) in the case of types of covered products (or
classes thereof) specified in paragraphs (3), (8), (10), and (11), of section 322(a), not later than 30 days after a test procedure with respect to that type (or class) of covered products has been prescribed, or one year after the date of the enactment
of t1iis stibparagraph, wliieliever is later.
(3) A proposed rule which prescribes an energy efficiency standard for a type (or class) of covered products, may not be published earlier than 60 days after the.






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date of publication of advance notice of proposed rulemaking for such type (or class). The Secretary shall determine the maximum improvement in energy efficiency that is technologically feasible for each type (or class) of covered products in prescribing such standard and if such standard is not designed 'to achieve such efficiency, the Secretary shall state in the proposed rule the reasons therefor, After the publication of such proposed rulemaking, the Secretary shall afford interested persons, in accordance with section 336, an opportunity to present oral and written comments (including an opportunity to question those who make such presentations, as provided in such section) on matters relating to such proposed rule, include
(A) whether the standard to be prescribed is
economically justified (taking into account those factors which the Secretary must consider under
subsection (d) ),
(B) whether the standard will achieve the maximum improvement in energy efficiency which is
technologically feasible,
(C) if the standard will not achieve such improvement, whether the reasons for not achieving sueb
improvement are adequate, and
(D) whether such rule should prescribe a level of
energy efficiency which is higher or lower than that which would otherwise apply in the case of any gro p of products within the type (or class) to be
subject to such standard.
(4) A rule prescribing an energy efficiency standard for a type (or class) of covered products may not be published earlier than 60 days after the date of publication of the proposed rule under this section for such type (or class). Such rule shall be published as soon as practicable after such 60-day period, but in no event later than 2 years after publication of the advance notice. Such rule shall take effect not earlier than 180 days after the date of its publication in the Federal Register. Such rule (or any amendment thereto) shall not apply to any covered prodiiets the manufacturer of which was completed before the effective date of the rule or amendment as the case may be.
An energy efficiency standard prescribed under this section shall include, test procedures prescribed in accordance with section 323, and may include any requirement which the Secretary determines is necessary to assure, that each covered product to which such standard applies meets the required minimum level of energy efficiency specified in such standard.

REQUIREMENTS OF MANUFACTURERS
SEC. 326. (a) Each manufacturer of a covered product to which a rule under section 324 applies shall provide a






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label which meets, and is displayed in accordance with, the requirements of such rule. If such manufacturer or any distributor, retailer, or private labeler of such product advertises such product in a catalog from which it may be purchased, such catalog shall contain all information required to be displayed on the label, except as otherwise provided by rule of the Commission. The preceding sentence shall not require that a catalog contain information respecting a covered product if the distribution of such catalog commenced before the effective date of the labeling rule under section 324 applicable to such product.
(b) (1) Each manufacturer of a covered product to which a rule under section 324 applies shall notify the Secretary or the Commission(A) not later than 60 days after the date such rule
takes effect, of the models in current production (and starting serial numbers of those models) to which
such rule applies; and
(B) prior to commencement of production, of all
models subsequently produced (and starting serial numbers of those models) to which such rule applies.
(2) If requested by the Secretary or Commission, the manufacturer of a covered product to which a rule under section 324 applies shall provide, within 30 days of the date of the request, the data from which the information included on the label and required by the rule was derived. Data shall be kept on file by the manufacturer for a period specified in the rule.
(3) When requested(A) by the Secretary for purposes of ascertaininj
whether a product subject to a standard prescribe
under section 325 is in compliance with that standard, or
(B) by the Commission for purposes of ascertaining whether the information set out on a label of a
product, as required under section 324, is accurate,
each manufacturer of such a product shall supply at his expense a reasonable number of such covered products to any laboratory designated by the Secretary or the Commission, as the case may be. Any reasonable charge levied by the laboratory for such testing shall be borne by the United States, if and to the extent provided in appropriation Acts.
(4) Each manufacturer of a covered product to which a rule under section 324 applies shall annually, at a time specified by the Commission, supply to the Commission relevant data respecting energy consumption developed in accordance with the test procedures applicable to such product under section 323.
(5) A rule under section 323, 324, or 325 may require the. manufacturer or his agent to permit a representative designated by the Commission or the Secretary to observe






83

any testing required by this part and inspect the results of such testing
(c) Each manufacturer shall use labels reflecting the range data required to be disclosed under section 324
(c) (1) (B) after the expiration of 60 days following the date of publication of any revised table of ranges unless the rule under section 324 provides for a later date. The Commission may not require labels be changed to reflect revised tables of ranges more often than annually.
(d) For purposes of carrying out this part, the Secretary may require, under authority otherwise available to him under this part or other provisions of law administered by him, each manufacturer of covered products to submit such information or reports of any kind or nature directly to the Secretary with respect to energy efficiency of such covered products, and with respect to the economic impact of any proposed eneiwv efficiency standard. as the Secretary de ermines may be necessary to establish and revise test procedures, labeling rules, and energy efficiency standards for such products and to insure, compliance with the requirements of this part. The provisions of section 11 (d) of the Energy Supply and Environmental Coordination Act. of 19"74 shall'apply with respect to information obtained under this subsec'tion to the same extent and in the same, manner as it applies with respect to energy information obtained under section 11 of such Act.

EFFECT ON OTHER LAW
SEC. 327. (a) This part supersedes any State regulation insof ar as such State regulation may now or hereafter provide for(1) the disclosure of information with respect to
any measure of energy consumption of any covered
product(A) if there is any rule under section 323 applicable to such covered product, and such State regulation requires testing in any manner other than that prescribed in such rule under section
323, or
(B) if there is a rule under section 324 applicable to such covered product and such ;fate regulation requires disclosure of information other than information disclosed in accordance
with such rule under section 324; or
M any energy efficiency standard or other requirement with respect to energy efficiency or energy
use of a covered product(A) if there is a standard under section 325
applicable to such product, and such State regulation is not identical to such standard, or






84

(B) if there is a rule under section 323 or 324
applicable to such product and such State regu1 6on requires testing in accordance with test procedures which are not identical to the test
procedures specified in such rule.
(b) (1) If a State regutatioll is piescribed which establishes an energy efficiency standard or other requirement respecting energy use or energy efficiency of a type (or class) of covered products and which is not superseded by subsection (a) (2) or (b) (2), then any person subject to such reLulation may file a petition with the Secretar3requesting that the Secretary prescribe a rule under this subsection which supersedes such State regulation in whole or in part. The Secretary, after consideration of the petition, the views of the affected State and the comments of any interested person, shall issue such requested rule only if the Secretary finds (and publishes such finding) that
(A) there is no significant. State or local interest
sufficient to justify such State regulation; and
(B) such State regulation unduly burdens interstate commerce.
(2) If a State regulation is prescribed after January 1, 1978, which establishes an energy efficiency standard or other requirement respecting energy use or energy efficiency of a type (or class) of covered Droducts and which is not superseded by subsection (a) (2), then such State regulation is superseded. Notwithstanding the requirement of the preceding sentence, such State may file a petition with the Secretary requesting a rule that such State regulation is not superseded pursuant to this paragraph. The Secretary, after consideration of the petition and the comments of interested persons, shall prescribe such rule only if he finds there is a significant State, or local interest to justify such State regulations; except that the Secretary may not prescribe such rule if he finds that such State regulation would unduly burden interstate commerce.
(3) Notwithstanding subsection (a) (2), any State prescribing a State regulation which provides an energy efficiency standard or other requirement respecting energy use or energy efficiency for any type (or class) of covered products for which a Federal energy efficiency standard is applicable may file a petition with the Secretary requesting a rule that such regulation not be y, after consideration of the
superseded. The Secretar petition and the comments of interested persons, shall prescribe such rule only if he finds (and publishes such finding) that(A) there is a significant State or local interest to
justify such State regulation; and






85

(B) such State regulation contains a more stringent energy efficiency standard than such Federal
standard;
except that the Secretary may not prescribe such rule if he finds that such State regulation would unduly burden interstate commerce.
(4) The Secretary shall give notice of any petition filed under this subsection and afford interested persons a reasonable opportunity to make written comments thereon. The Secretary, within 6 months after the date any petition is filed, shall deny such petition or prescribe the requested rule, except that the Secretary may publish a notice in the Federal Register extending such period to a date certain. Such notice shall include the reasons for delay. In the case of any denial of a petition under this subsection, the Secretary shall publish in the Federal Register notice of such denial and the reasons for suchi denial.
(5-) The requirement, of paragraph (2) shall not continue in effect after July 1, 19,80, in the case of any type (or class) of covered products specified in paragraphs
(1) through (13) of section 322 (a).
(c) Notwithstanding the provisions of subsection (a). any State regulation which sets forth procurement st and ards for a State (or political subdivision thereof) shall not be superseded by the provisions of this part if such State standards are more stringent than the corresponding Federal standards.
(d) For purposes of this section, the term "State regulation" means a law or regulation of a State or political subdivision thereof.
(e) Any disclosure with respect to energy use, energy efficiency, or estimated annual operating co4--. which is required to be made under the provisions of this part, shall not create an express or implied warranty under State or Federal law that such energy efficiency will bo achieved, or that such energy use or estimated annual operating cost will not be exceeded, under conditions of actual use.
RULES
SEC. 328. The Commission and the Secretary may each 42 USC 6298. issue. such rules as each deems necessary to carry out the provisions of this part.

AUTHORITY TO OBTAIN INFORMATION
SEC. 329. (a) For purposes of carrying out this part, 42 USC 6299. the Commission and the Secretary may each sign and issue subpenas for the attendance and testimony of witnesses and the production of relevant books, records, papers, and other documents, and may each administer






86

oaths. Witnesses summoned under the provisions of this section shall be paid the same fees and mileage as are paid to witnesses in the courts of the United States. In case of contumacy by, or refusal to obey a subpoena served, upon any persons subject to this part, the Commission and the Secretary may each seek an order from the district court of the United States for any district in which such person is found or resides or transacts business requiring such person to appear and give testimony, or to appear and prodtice documents. Failure to obey any such order is punishable by such court as a contempt
thereof.
(b) Any information submitted by any person to the
Secretary or the Commission under this part shall not be considered energy information as defined by section 11 (e) (1) of the Energy Supply and Environmental Co15 USC 796. ordination Act of 1974 for purposes of any verification
Po'et, P. 956. examination authorized to be conducted by the Comptroller General under section 501 of this Act.

EXPORTS
42 USC 6300. SEC. 330. This part shall not apply to any covered product if (1) such covered product is manufactured, sold, or held for sale for export from the United States (or such product was imported for export), unless such product is in fact distributed in commerce for use in the United States, and (2) such covered product when distributed in commerce, or any container in which it is enclosed when so distributed, bears a stamp or label stating that such
covered product is intended for export.

IMPORTS
42 USC 6301. SEC. 331. Any covered product offered for importation
in violation of section 332 shall be refused admission into the customs territory of the United States under rules issued by the Secretary of the Treasury, except that the Secretary of the Treasury may, by such rules, authorize the, importation of such covered product upon such terms and conditions (including the furnishing of a bond) as may appear to him appropriate to ensure that such covered product will not violate section 332, or will be exported or abandoned to the United States. The Secretary of the Treasury shall prescribe rules under this section not later than 180 days after the date of enactment of this Act.

PROHIBrrED ACTS
42 USC 6302. SEC.332. (a) It shall be unlawful(1) for any manufacturer or private labeler to distribute in commerce any new covered product to






87

which a rule under section 324 applies, unless such covered product is labeled in accordance with such
rule;
(2) for any manufacturer, distributor, retailer, or
private labeler to remove from any new covered product or render illegible any label required to be provided with such product under a rule under section 324;
(3) for any manufacturer to fail to permit access
to, or copying of, records required to be supplied under this part, or fail to make reports or provide other information required to be supplied under this
part;
(4) for ny person to f ai I to comply with an applicable requirement of section 326 (a), (b) (2), (b) (3),
or (b) (5) ; or
(5) for any manuf acturer or private labeler to
distribute in commerce any new covered product which is not in conformity with an applicable energy
efficiency standard prescribed under this part.
(b) For purposes of this section, the term "new covered product" means a covered product the title of which has not passed to a purchaser who buys such product for purposes other than (1) reselling such product, or (2) leasing such product for a period in excess of one year.

ENFORCEMENT
SEc. 333. (a) Except as provided in subsection (c), any 42 USC 6303. person who knowingly violates any provision of section 332 shall be subject to a civil penalty of not more than $100 for each violation. Such penalties shall be assessed by the Commission, except that penalties for violations of section 332(a) (3) which relate to requirements prescribed by the Secretary, violations of section 332 (a) (4) which relate to requests of the Secretary under section 326
(b) (2), or violations of section 332 (a) (5) shall be assessed by the Secretary. Civil penalties assessed under this part may be compromised by the agency or officer authorized to assess the penalty, taking into account the nature and degree of the violation and the impact of the penalty upon a particular respondent. Each violation of paragraph (1) 1 (2), or (5) of section 332 (a) shall constitute a separate violation with respect to each covered product, and each day of violation of section 332 (a) (3) or (4) shall constitute a separate violation.
(b) As used in subsection (a), the term "knowingly"
means (1) the having of actual knowledge, or (2) the "Knowingly." presumed having of knowledge deemed to be possessed by a reasonable man who acts in the circumstances, including knowledge obtainable upon the exercise of due care.






88

(c) It shall be an unfair or deceptive act or practice in or affecting commerce (within the meaning of section 5
(a) (1) of the Federal Trade Commission Act) for any person to violate section 323 (c), except to the extent that such violation is prohibited under the provisions of section 332 (a) (1), in which case such provisions shall apply.
(d) (1) Before issuing an order assessing a civil penalty against any person under this section, the Secretary shall provide to such person notice of the proposed penalty. Such notice shall inform such person of his opportunity to elect in writing within 30 days after the date of receipt of such notice to have the procedures of paragraph (3) (in lieu of those of paragraph (2) ) apply with respect to such assessment.
(2) (A) Unless an election is made within 30 calendaT days after receipt of notice under paragraph (1) to hav( paragraph (3) apply with respect to such penalty, the Secretary shall assess the penalty, by order, after a determination of violation has been made on the record after an opportunity for an agency hearing pursuant to section 554 of title 5, United States Code, before an administrative law judge appointed under section 3105 of such title, 5. Such assessment order shall include the administrative law d 's findings and the basis for such assessment.
(B) ny person against whom a penalty is assessed under this paragraph may, within 60 calendar days after the date of the order of the Secretary assessing such penalty, institute an action in the United States court of appeals for the appropriate judicial circuit for judicial review of such order in accordance with chapter 7 of title 5, United States Code. The court shall have jurisdiction to enter a judgment affirming, modifying, or setting aside in whole or in part, the order-of the Secretary, or the court may remand the proceeding to the Secretary for such further action as the court may direct.
(3) (A) In the case of any civil penalty with respect to which the procedures of this paragraph have been elected, the Secretary shall promptly a ssess such penalty, by order, after the date of the receipt of the notice under paragraph (1) of the proposed penalty.
(B) If the civil penalty has not been paid within 60 calendar days after the assessment order ha-s been made under subparagraph (A), the Secretary shall institute an action in the appropriate district court of the United States for an order affirming the assessment of the civil penalty. The court shall have authority to review de novo the law and the facts involved, and shall have jurisdiction to enter a judgment enforcing, modifying, and enforcing as so modified, orsetting aside in whole or in part, such assessment.
(C) Any election to have this paragraph apply may not be revoked except with the consent f the Secretary.






89

(4) If any person fails to pay an assessment of a civil penalty after it has become a final and unappealable order under paragraph (2), or after the appropriate district court has entered final judgment in favor of the Secretary under paragraph (3), the Secretary shall institute an action to recover the amount of such penalty in any appropriate ditsrict. court of the United States. In such action, the validity and appropriateness of such final assessment order or judgment shall not be subject to review.
(5 ) ( A) Not withstanding* the provisions of title 28, 'United States Code, or section 502 (c) of the Department of Energy Organization Act, the Secretary shall be represented by the general counsel of the Department of Energy (or any attorney or attorneys within the Department of Energy designated by the Secretary) who shall supervise, conduct, and argue any civil litigation to which paragraph (3) of this subsection applies (including any related collection action under paragraph (4) ) in a court of the United States or in any other court, except the Supreme Court. However, the Secretary or the general counsel shall consult with the Attorney General concerning such litigation, and the Attorney General shdIl provide, on request, such assistance in the conduct of such litigation as may be appropriate.
(B) Subject to the provisions of section 502(c) of the Department of Energyv Organization Act, the Secretary shall be represented by the Attorney General, or the Solicitor General, as appropriate, in actions under this subsection, except to the extent provided in subparagraph
(A) of this paragraph.
(C) Section 402 (d) of the Department of Energy Organization Act shall not apply with respect to the functions of the Secretary under this subsection.
(6) For purposes of applying the preceding provisions of this subsection in the case of the assessment of a penalty by the Commission for a violation of paragraphs
(1) and (2) of section 332, references in such provisions to "Secretary" and "Department of Energy" shall be considered to be references to the "Commission"

INJUNCTIVE ENFORCEMENT
SEC. 334. The United States district courts shall have jurisdiction to restrain (1) any violation of section 332 and (2) any person from distributing in commerce any covered product which does not comply with an applicable rule under section 324 or 325. Any such action shall be brought by the Commission, except that any such action to restrain any violation of section 332 (a) (3) which relates to requirements prescribed by the Secretary, any violation of section 332 (a) (4) whic relates to requests of the Secretary under section 326 (b) (2), or any violation of section 332 (a) (5) shall be brought by the Secre-






90

tary. Any such action may be brought in any United States district court for a district wherein any act, omission, or transaction constituting the violation occurred, or in such court for the district wherein the defendant is found or transacts business. In any action under this section, process may be served on a defendant in any othey district in which the defendant resides or may be found.

CITIZEN SUITS
42 USC 6305. SEC. 335. (a) Except as otherwise provided in subsection (b), any person may commence a civil action
against(1) any manufacturer or private labeler who is alleged to be in violation of any provision of this part
or any rule under this part; or
(2) any Federal agency which has a responsibility under this part where there is an alleged failure of such agency to perform any act or duty under this
part which is not discretionary.
The United States district courts shall have jurisdiction, without regard to the amount in controversy or the citizenship of the parties, to enforce such provision or rule, or order such Federal agency to perform such act or duty,
as the case may be.
(b) No action may be commenced(1) under subsection (a) (1)
(A) prior to 60 days after the date on which the plaintiff has given notice of the violation (i) to the Secretary, (ii) to the Commission, and (iii) to any alleged violator of such provision or rule, or

il(B) if the Commission has commented and is d gently prosecuting a civil action to require compliance with such provision or rule, but, in any such action, any person may intervene as a matter of riaht.
(2) under subsection (a) (2) prior to 60 days after the date on which the plaintiff has given notice of
such action to the Secretary and Commission.
Notice under this subsection shall be given in such manner as the Commission shall prescribe by rule.
(c) In such action under this section, the Secretary or
the Commission (or both), if not a party, may intervene
as a matter of right.
(d) The court, in issuing any final order in any action
brought pursuant to subsection (a) of this section, may award costs of litigation (including reasonable attorney and expert witness fees) to any party, whenever the court
determines such award is appropriate.
(e) Nothing in this section shall restrict any right
which any person (or class of persons) may have un der






91

any statute or common law to seek enforcement of this part or any rule thereunder, or to seek any other relief (including relief against the Secretary or the CommisSion).
(f) For purposes of this section, if a manufacturer or private labeler complied in good faith with a rule under this part, then he shall not be deemed to have violated any provision of this part by reason of the alleged invalidity of such rule.
ADMINISTRATIVE PROCEDURE AND JUDICIAL REVIEW
SEC. 336. (a) Rules under sections 323, 324, 325 (a), 327 42 USC 6306.
(b), or 328 shall be pre-scribed in accordance with section 553 of title 5, United States Code, except that(1) interested persons shall be afforded an opportunity to present written and oral data, views, and
arguments with respect to any proposed rule, and
(2) in the case, of a rule under section 325 (a), the
Secretary shall, by means of conferences or other informal procedures, afford any interested person an
opportunity to question(A) other interested persons who have made
oral presentations under paragraph (1) and
(B) employees of the United States who have
made written or oral presentations,
with respect to disputed issues of material fact. Such opportunity shall be afforded to the extent the Secretary determines that questioning pursuant to such procedures is likely to result in a more timely and
effective resolution of such issues.
A transcript shall be kept of any oral presentations made under this subsection.
(2) Subsections (c) and (d) of section 18 of the Fed- 15 USC 57a eral Trade Commission Act shall apply to rules under section 325 (other than subsections (a) (1), (2), and (3) ) to the same extent that such subsections apply to rules under section 18 (a) (1) (B) of such Act.
(b) (1) Any person who will be adversely affected by a rule prescribed under section 323, 324, or 325 when it is effective may, at any time prior to the sixtieth day after the date such rule is pre-scribed, file a petition with the United States court of appeals for the circuit wherein such person resides or has his principal place of business, for a judicial review thereof. A copy of the petition shall be forthwith transmitted by the clerk of the court to the agency which prescribed the rule. Such agency thereupon shall file in the court the written submissions to, and transcript of, the proceedings on which the rule was based as provided in section 2112 of title 28, United States Code.
(2) Upon the filing of the petition referred to in para- 5 USC 701 graph (1), the court shall have jurisdiction to review the






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rule in accordance with chapter 7 of title 5, United States Code, and to grant appropriate relief as provided in such chapter. No rule under section 323, 324, or 325 may be affirmed unless supported by substantial evidence.
(3) The judgment of the court affirming or setting
aside, in whole or in part, any such rule shall be final, subject to review by the Supreme Court of the United States upon certiorari or certification as provided in section 12.54 of title 28, United States Code.
(4) The remedies provided for in this subsection shall
be in addition to, and not in substitution for, any other
remedies provided by law.
(c) (1) Titles IV and V of the Department of Energy
Organization Act (42 U.S.C. 7191 et seq.) shall not apply
with respect to the procedures under this part.
*(2) The procedures applicable under this part shall
not
(..A) be considered to be modified or affected by any other provision of law unless such other provision specifically amends this part (or provisions of law
cited herein), or
(B) be considered to be superseded by any other provision of law unless such other provision does so in specific terms, referring to this part, and declaring that such provision supersedes, in whole or in part,
the procedures of this part.

CONSUMER EDUCATION
42 USC 6307. SEC. 337. The Secretary shall, in close cooperation and
coordination with the Commission and appropriate indlustry trade associations and industry members, including retailers, and interested consumer and environmental organizations, carry on t a program to educate consumers
and other persons with respect to(1) the significance of estimated annual operating costs;
(2) the way in -which comparative shopping, in chiding comparisons of estimated annual operating co:;ts, can save energy for the Nation and money for
consumers; and
(3) such other matters as the Secretary determines may encourage the conservation of energy in the use
of consumer products.
Such steps to educate consumers may include publications, audiovisual present ationis, demonstrations, and the sponsorship of national anid regional conferences involving maniufact urers, distributors,, retailers,,and consumers, and State, local, and Federal Governmenit. representatives.
Nothing in this section may be construed to require the compilation of lists which compare the estimated annual operating costs of consumer products by model or manif actiirer's name.






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ANNUAL REPORT
SEC. 338. The Secretary shall report to the Congress 42 USC 0308. and the President either (1) as part of his annual report, or (2) in a separate report submitted annually, on the progress of the program undertaken pursuant to this part and on the energy savings impact of this part. Each such report shall specify the actions undertaken by the Secretary in carrying out this part during the period covered by such report, and those actions which the Secretary was required to take under this part during such period but which were not taken, together with the reasons therefor.
AUTHORIZATION OF APPROPRIATIONS
SEC. 339. (a) There are authorized to be appropriated 42 USC 6309. to the Secretary not more than the following amounts to carry out his responsibilities under this part(1) $1,700,000 for fiscal year 1976; (2) $1,500,000 for fiscal year 1977;
(3) $3,300,000 for fiscal year 1978; and
(4) $10,000,000 for fiscal year 1979.
Amounts authorized for such purposes under paragraph
(3) shall be in addition to amount s otherwise authorized and appropriated for such purposes.
(b) There are authorized to be appropriated to the Commission not more than the following amounts to carry out its responsibilities under this part(1) $650,000 for fiscal year 1976; (2) $700,000 for fiscal year 1977;
(3) $700,000 for fiscal year 1978; and
(3) $2,000,000 for fiscal year 1979.1
(c) There are authorized to be appropriated to the Secretary to be allocated not more than the following amounts(1) $1,100,000 for fiscal year 1976;
(2) $2,500,000 for fiscal year 1977; and
(3) $1,800,000 for fiscal year 1978.
Such amounts shall, and any amount s authorized to be appropriated under subsection (a), may be allocated by the Secretary to the National Bureau of Standards.

PART C-CERTAIN INDUSTRIAL EQUIP-NIENT

DEFINITIONS
SEC. 340. For purpose-s of this part(1) The term "covered equipment" means one of
the following typeS of industrial equipment:
(A) Electric motors and pumps.

Public Law 95-e19 added new (3) ". Should be (4) OP.




43-144 0 79 7






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(B) Any other type of industrial equipment
which the Secretary classifies as covered equipment under section 341 (b).
(2) (A) The term "industrial equipment" means any article of equipment referred to in subparagraph
(B) of a type(i) which in operation consumes, or is designed to consume, energy;
(ii) which, to any significant extent, is distributed in commerce for industrial or commercial use; and
(iii) which is not a "covered product" as defined in section 321 (a) (2), other than a component of a covered product with respect to which there is in effect a determination under
section 341(c) ;
without regard to whether such article is in fact distributed in commerce for industrial or commercial use.
(B) The types of equipment referred to in this subparagraph (in addition to electric motors and pumps) are as follows:
(i) compressors;
(ii) fans;
(iii) blowers;
(iv) refrigeration equipment;
(v) air conditioning equipment;
(vi) electric lights;
(vii) electrolytic equipment; (viii) electric arc equipment;
(ix) steam boilers;
(x) ovens;
(xi) furnaces;
(xii) kilns;
(xiii) evaporators; and
(xiv) dryers.
(3) the term "energy efficiency" means the ratio of the useful output of services from an article of in dustrial equipment to the energy use by such article, determined in accordance with test procedures under section 343.
(4) The term "energy use" means the quantity of energy directly consumed by an article of industrial equipment at the point of use, determined in accordance with test procedures established under section 343.
(5) The term "manufacturer" means any person who manufactures industrial equipment.
(6) The term "label" may include any printed matter determined appropriate by the Secretary.
(7) The terms "energy," "m-anu facture," "impoint, .. .importation," "consumer product, ..".distrib-