119-s-1274119th CongressWALLET

Protecting American Households From Rising Energy Costs Act of 2025

Sponsored By: Senator Merkley, Jeff [D-OR]

Introduced

Summary

Blocks exports of U.S. liquefied natural gas and petroleum to entities tied to China, Russia, North Korea, and Iran. The bill would also give the Secretary of Energy authority to grant narrow waivers and write rules, and it creates large civil and criminal penalties for violations.

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  • Exporters and export authorization holders must prevent direct or indirect sales or resales of LNG and petroleum to entities operating in those specified territories or under the ownership or control of those governments. Violations can trigger civil penalties up to the greater of $250 million or twice the transaction value and criminal fines up to $100 million and/or up to 20 years in prison.
  • The Secretary of Energy would be able to waive the prohibition only if an imminent and acute national security emergency exists and other responses would be inadequate. The Secretary may also issue, change, or remove rules to implement the law and must provide a copy of any waiver to the Senate Committee on Energy and Natural Resources and the House Committee on Energy and Commerce within 15 days.
  • The bill makes compliance with Office of Foreign Assets Control and Federal Energy Regulatory Commission rules the responsibility of the export authorization holder, tying export practices to existing Treasury and FERC authorities.

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Bill Overview

Analyzed Economic Effects

2 provisions identified: 0 benefits, 2 costs, 0 mixed.

Ban on LNG and Oil Exports

If enacted, this bill would bar companies from exporting or reselling liquefied natural gas (LNG) or petroleum products to entities in or owned by China, Russia, North Korea, or Iran. It would also block sales to entities those governments own or control as the Energy Secretary decides. Export authorization holders would still need to follow U.S. sanctions and FERC rules. The Energy Secretary could waive the ban before a contract date only if there is an imminent national security emergency and must tell two Congressional committees within 15 days of any waiver.

Large penalties for export violations

If enacted, the bill would make it illegal to break the export rules it creates. People who knowingly violate the rules could face criminal fines up to $100,000,000 and up to 20 years in prison, or both. The Energy Secretary could also order civil penalties up to the greater of $250,000,000 or twice the value of the transaction, after notice and a hearing. The Secretary can sue to collect unpaid penalties and ask courts for temporary or permanent injunctions.

Sponsors & CoSponsors

Sponsor

Merkley, Jeff [D-OR]

OR • D

Cosponsors

  • Sen. Reed, Jack [D-RI]

    RI • D

    Sponsored 4/3/2025

  • Sen. King, Angus S., Jr. [I-ME]

    ME • I

    Sponsored 4/3/2025

Roll Call Votes

No roll call votes available for this bill.

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