Strategic Energy Reserves Act

(Measure passed Senate, amended, roll call #263 (91-0))

Strategic Energy Reserves Act - =Title I: General Provisions= - Declares it to be the policy of the United States to create over a period of seven years, and to maintain thereafter, strategic energy reserves in storage capable of replacing energy imports for at least ninety days in order to reduce the impact of interruptions or reductions in imports of energy supplies.

=Title II: Strategic Energy Reserve System= - States that in order to protect the United States economy against interruptions in energy imports and to provide adequate energy inventories for national security purposes there is hereby created a strategic energy reserve system for those fuels subject to the provisions of this Act which shall be composed of: (1) national strategic energy reserves; (2) regional petroleum product reserves; (3) interim industry storage reserves; and (4) such other components of the system as may be authorized by Congress.

Establishes in the Federal Energy Administration a Strategic Energy Reserve Office.

Authorizes to be created national strategic energy reserves, which shall consist of crude oil stored in tanks, natural geological formations, or otherwise.

Directs the Administrator of the Federal Energy Administration to establish within seven years of the date of enactment of this Act, and maintain thereafter, national strategic energy reserves equal to not less than the volume of crude oil imports into the United States for three consecutive months.

Provides that for the purpose of establishing and maintaining such reserves, the Administrator is authorized to place in storage, transport, or exchange crude oil produced from Federal lands, including the naval petroleum reserves to the extent authorized by law.

Sets forth a schedule for the Administrator to follow in establishing the reserves required by this Act.

Authorizes to be created regional petroleum product reserves which shall consist of refined petroleum products or residual fuel oil stored in tanks, natural geological formations or otherwise.

Specifies required reserves of No. 2 fuel oil which the Administration shall establish and maintain regionally.

Authorizes the Administrator to establish within five years of the date of enactment of this Act, and maintain thereafter, regional petroleum product reserves in any Petroleum Administration for Defense District (PAD District).

Authorizes the creation of interim industry storage reserves which shall consist of crude oil, residual fuel oil, or refined petroleum products maintained in storage by importers and refiners. Requires that from the date of enactment of this Act until such time as the national strategic energy reserves authorized by this Act and the regional petroleum product reserves authorized by this Act are complete, the Administrator is authorized to require that every importer of crude oil, residual fuel oil, or refined petroleum products and every refiner of crude oil shall acquire, store, and maintain in readily available inventories, as reserves, crude oil, residual fuel oil, or refined petroleum products in amounts as determined by the Administrator, but in no event to exceed 3 percent of their imports or refinery throughput of the previous calendar year.

Requires, within six months after the date of enactment of this Act, the Administrator to prepare and submit to the Congress a report setting forth his recommendations for including in the system: (1) utility storage reserves, coal storage reserves, and industry storage reserves; and (2) remote oil and gas storage reserves consisting of oil and gas to be acquired and stored by the United States, in place.

Requires the Administrator, within six months after the date of the enactment of this Act, to prepare and submit to the Congress a report setting forth his views and recommendations: (1) as to what extent, if any, Naval Petroleum Reserve Numbered 1 could have been effectively utilized to alleviate energy shortages during the so-called oil embargo; and (2) with respect to what extent, if any, the procedures required in order to increase production from oil or gas reserves within the Naval Petroleum Reserves should be modified or otherwise changed in order to enable such reserves to be better utilized in order to meet certain energy shortages within the United States.

=Title III: Administration= - Authorizes the Administrator to: (1) use, sell, exchange, or otherwise dispose of crude oil, residual fuel oil, or refined petroleum products from the strategic energy reserve system created pursuant to this Act which may be in excess of the volumes required to be stored; and (2) in the case of an embargo adjust the processing operations of domestic refineries to produce refined products in proportions commensurate with national needs and consistent with the objectives of the Emergency Petroleum Allocation Act of 1973.

Requires any importer of crude oil, residual fuel oil, or refined petroleum products or any refiner of crude oil to acquire, store, and maintain crude oil, refined petroleum products, and residual fuel oil in the interim industry storage reserve pursuant to this Act.

Requires every importer, refiner, or user of fuels subject to the provisions of this Act to prepare such accounts, records of cost- accounting procedures, correspondence, memoranda, papers, books, and other records as the Administrator may by rule or regulation prescribe as necessary or appropriate for purposes of the administration of this Act.