Summary
Allows more ships to transport oil and petroleum between U.S. ports, as long as they have no connection to Russia or China.
What problem does this solve?
Current laws limit which ships can move goods between U.S. ports, which can make it expensive to transport oil. This bill creates an exception for oil tankers to increase the number of available ships and lower costs.
Who does this affect?
- U.S. maritime industry workers and companies
- Oil and petroleum companies
- Energy consumers
What does this bill do?
Reference
Text:
Section:
Sec. 2(a)
Header:
Exemption from coastwise laws for vessels transporting crude oil and petroleum products
Creates an exemption for oil transport vessels
Allows vessels carrying crude oil and petroleum products to operate between U.S. ports without meeting strict U.S. ownership and build requirements.
Reference
Text:
Section:
Sec. 2(a)
Header:
Exemption from coastwise laws for vessels transporting crude oil and petroleum products
Excludes Russian and Chinese vessels
Prohibits the exemption for any vessel that is owned by, flagged by, or has crew members from Russia or the People's Republic of China.
Amends coastwise endorsement rules
Modifies the law to specifically allow vessels that transport crude oil and petroleum products to receive a coastwise endorsement, letting them trade between U.S. ports.
What is the real world impact?
•
Aims to lower domestic energy costs
Increases the number of available ships to transport oil and petroleum between U.S. ports. This added competition and supply could reduce shipping costs, potentially lowering fuel prices for consumers.
When does this start?
The changes would take effect as soon as the bill is signed into law.