Domestic Energy and Strategic Material Security Act of 1981

Domestic Energy and Strategic Material Security Act of 1981 - Directs the President to: (1) order the head of the appropriate Federal agencies to immediately remove restrictions not specifically required which impede the leasing and development of energy resources and strategic and critical material resources on Federal lands, as well as lands to which the Federal Government owns the mineral rights and the Outer Continental Shelf; (2) institute policies facilitating the development of energy resources and strategic and critical materials located within such areas; (3) identify any Federal restriction to such development and submit a list of such restrictions to the advisory panel established by this Act; and (4) appoint an advisory panel to review such list which shall report, within six months of receiving the list, to Congress and the President concerning such restrictions.

Directs the Secretary of the Interior to order substantial lease offerings within the National Petroleum Reserve in Alaska to begin immediately for private development only. Exempts any such lease from the environmental impact statement requirements of the National Environmental Policy Act.

Directs the President to give leasing priority to the areas of Outer Continental Shelf that have the highest hydrocarbon potential and known hydrocarbon reserves.

Directs the President to appoint the advisory panel necessary to carry out this Act. Sets forth provisions relating to panel members and their appointment.

Requires the agencies involved with the implementation of this Act to annually report to Congress, providing the following minimum information: (1) the reasonableness of restrictions; (2) legislative or administrative recommendations; and (3) agency efforts to reduce constraints to leasing.