Supporting efforts to increase energy security of eligible Latin American and Caribbean partner countries

(a) In general The Secretary of State, in consultation with the Secretary of Energy and the heads of other relevant Federal departments and agencies, shall, as appropriate, prioritize and expedite the efforts of the Department of State and those other departments and agencies in supporting the efforts of eligible Latin American and Caribbean partner countries to increase their energy security, including through— (1) providing diplomatic and political support to these governments, as necessary— (A) to facilitate international negotiations concerning cross-border infrastructure and transactions; (B) to enhance and build Latin America’s and the Caribbean’s regulatory environment with respect to energy; and (C) to develop accessible, transparent, and competitive energy markets supplied by diverse sources, types, and routes of energy to achieve energy efficiency; and (2) providing support to improve Latin American and Caribbean energy markets, including early-stage project support and late-stage project support for the construction or improvement of energy and related infrastructure, as necessary— (A) to diversify the energy sources and supply routes of eligible Latin American and Caribbean partner countries; (B) to enhance energy market integration across the region; and (C) to increase competition and aggregate energy markets. (b) Project selection (1) In general The Federal departments and agencies described in subsection (a) shall identify energy infrastructure projects that would be appropriate for United States assistance under this section. (2) Project eligibility A project is eligible for United States assistance under this section if the project— (A) (i) improves electricity transmission infrastructure and power generation through the use of a broad power mix, prioritizing renewable energy or energy efficiency; (ii) advances energy storage projects, smart grid projects, distributed generation models, or other technological innovations and digitalization of the power sector, as appropriate; and (iii) improves energy access for marginalized and underserved communities; (B) is located in an eligible Latin American or Caribbean partner country; and (C) can be conducted in a transparent and accountable manner that mitigates any risk of corruption. (3) Preference In selecting among projects that are eligible under paragraph (2), the Federal departments and agencies described in subsection (a) shall give preference to projects that— (A) link the energy systems of two or more Latin American and Caribbean partner countries; (B) address the impacts of sustained global temperature increases; (C) enhance resilience to sustained global temperature increases and global economic shocks; (D) are expected to enhance energy market integration; (E) can demonstrate sustainability by attracting funding from the private sector, an international financial institution, or the government of the country in which the project will be carried out; (F) have the potential to use United States goods and services during project implementation; or (G) decrease electricity prices and promote price stability in the face of global economic shocks. (c) Types of assistance (1) Diplomatic and political support The Secretary of State shall provide diplomatic and political support to the governments of eligible Latin American and Caribbean countries, as necessary, including by using the diplomatic and political influence and expertise of the Department of State to build the capacity of those countries to resolve any impediments to the development of projects selected under subsection (b). (2) Early-stage project support The Director of the Trade and Development Agency, in consultation with the United States Agency for International Development, the Inter-American Development Bank, the Caribbean Development Bank, and the World Bank, shall provide early-stage project support with respect to projects selected under subsection (b), as necessary. (3) Late-stage project support Federal departments and agencies described in subsection (a) that provide late-stage project support shall do so with respect to projects selected under subsection (b), as necessary. (d) Exception from certain limitation under build act For purposes of providing support for projects under this section— (1) the United States International Development Finance Corporation may provide support for projects in countries with upper-middle-income economies or high-income economies (as those terms are defined by the World Bank); (2) the restriction under section 1412(c)(2) of the BUILD Act of 2018 (22 U.S.C. 9612(c)(2)) shall not apply; and (3) the Corporation shall restrict the provision of such support in a country described in paragraph (1) unless— (A) the President certifies to the appropriate congressional committees that such support furthers the national economic or foreign policy interests of the United States; and (B) such support is— (i) designed to produce significant developmental outcomes or provide developmental benefits to the poorest population of that country; or (ii) necessary to preempt or counter efforts by a strategic competitor of the United States to secure significant political or economic leverage or acquire national security-sensitive technologies or infrastructure in a country that is an ally or partner of the United States. (e) Progress reports Not later than one year after the date of the enactment of this Act, and annually thereafter for seven years, the President shall transmit to the Committee on Foreign Affairs and the Committee on Appropriations of the House of Representatives and the Committee on Foreign Relations and the Committee on Appropriations of the Senate a report on progress made in providing assistance for projects under this section that includes the following: (1) A description of the energy infrastructure projects the United States has identified for such assistance. (2) For each such project— (A) a description of the role of the United States in the project, including in early-stage project support and late-stage project support; (B) the amount and form of any debt financing and insurance provided by the United States Government for the project; (C) the amount and form of any early-stage project support; and (D) an update on the progress made on the project as of the date of the report. (f) Eligible latin american or caribbean partner country defined In this section, the term eligible Latin American or Caribbean partner country has the meaning given that term in section 3(h).