Notice of Updated Department of State Public Guidance for the Protecting Europe's Energy Security Act (PEESA), as Amended, 19684-19686 [2021-07662]
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19684
Federal Register / Vol. 86, No. 70 / Wednesday, April 14, 2021 / Notices
2. Statutory Basis
The Exchange believes that its
proposed rule change is consistent with
Section 6(b) of the Act 3 in general, and
furthers the objectives of Section 6(b)(5)
of the Act 4 in particular, in that it is
designed to prevent fraudulent and
manipulative acts and practices, to
promote just and equitable principles of
trade, to foster cooperation and
coordination with persons engaged in
regulating, clearing, settling, processing
information with respect to, and
facilitating transactions in securities, to
remove impediments to and perfect the
mechanisms of a free and open market
and a national market system and, in
general, to protect investors and the
public interest.
The proposed rule change will
promote just and equitable principles of
trade, foster cooperation and
coordination with persons engaged in
regulating, clearing, settling, processing
information with to, and facilitating
transaction in securities. Further, the
proposed rule change promotes the
protection of investors and the public
interest by providing an accurate URL to
where the public and investors may find
the current and complete copy of the
OLPP. It is in the public and investors
interest for Exchange rules to be
accurate and concise so as to avoid the
potential for confusion.
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B. Self-Regulatory Organization’s
Statement on Burden on Competition
The Exchange does not believe that
the proposed rule change will impose
any burden on competition that is not
necessary or appropriate in furtherance
of the purposes of the Act. The
Exchange believes the proposed rule
change will not impose any burden on
intra-market competition as every
Member of the Exchange benefits from
the location of the OLPP being corrected
in the Exchange’s rulebook.
Additionally, the proposed rule change
is similar to the rules of other
exchanges.5
The Exchange does not believe that
the proposed rule change will impose
any burden on inter-market competition
as the proposed change is not a
competitive filing and is being made
solely to correct an inaccurate URL.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
Written comments were neither
solicited nor received.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
Because the foregoing proposed rule
change does not: (i) Significantly affect
the protection of investors or the public
interest; (ii) impose any significant
burden on competition; and (iii) become
operative for 30 days after the date of
the filing, or such shorter time as the
Commission may designate, it has
become effective pursuant to Section
19(b)(3)(A) of the Act 6 and Rule 19b–
4(f)(6) 7 thereunder.
At any time within 60 days of the
filing of the proposed rule change, the
Commission summarily may
temporarily suspend such rule change if
it appears to the Commission that such
action is necessary or appropriate in the
public interest, for the protection of
investors, or otherwise in furtherance of
the purposes of the Act. If the
Commission takes such action, the
Commission shall institute proceedings
to determine whether the proposed rule
should be approved or disapproved.
IV. Solicitation of Comments
Interested persons are invited to
submit written data, views and
arguments concerning the foregoing,
including whether the proposed rule
change is consistent with the Act.
Comments may be submitted by any of
the following methods:
Electronic Comments
• Use the Commission’s internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
• Send an email to rule-comments@
sec.gov. Please include File Number SR–
PEARL–2021–13 on the subject line.
Paper Comments
• Send paper comments in triplicate
to Secretary, Securities and Exchange
Commission, 100 F Street NE,
Washington, DC 20549–1090.
All submissions should refer to File
Number SR–PEARL–2021–13. This file
number should be included on the
6 15
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(6). In addition, Rule 19b–
4(f)(6) requires a self-regulatory organization to give
the Commission written notice of its intent to file
the proposed rule change at least five business days
prior to the date of filing of the proposed rule
change, or such shorter time as designated by the
Commission. The Exchange has satisfied this
requirement.
7 17
3 15
U.S.C. 78f(b).
U.S.C. 78f(b)(5).
5 See Nasdaq ISE Options 4, Section 6; and Cboe
Exchange Rule 4.7(a).
4 15
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subject line if email is used. To help the
Commission process and review your
comments more efficiently, please use
only one method. The Commission will
post all comments on the Commission’s
internet website (https://www.sec.gov/
rules/sro.shtml). Copies of the
submission, all subsequent
amendments, all written statements
with respect to the proposed rule
change that are filed with the
Commission, and all written
communications relating to the
proposed rule change between the
Commission and any person, other than
those that may be withheld from the
public in accordance with the
provisions of 5 U.S.C. 552, will be
available for website viewing and
printing in the Commission’s Public
Reference Room, 100 F Street NE,
Washington, DC 20549 on official
business days between the hours of
10:00 a.m. and 3:00 p.m. Copies of the
filing also will be available for
inspection and copying at the principal
office of the Exchange. All comments
received will be posted without change.
Persons submitting comments are
cautioned that we do not redact or edit
personal identifying information from
comment submissions. You should
submit only information that you wish
to make available publicly. All
submissions should refer to File
Number SR–PEARL–2021–13 and
should be submitted on or before May
5, 2021.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.8
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2021–07602 Filed 4–13–21; 8:45 am]
BILLING CODE 8011–01–P
DEPARTMENT OF STATE
[Public Notice 11405]
Notice of Updated Department of State
Public Guidance for the Protecting
Europe’s Energy Security Act (PEESA),
as Amended
ACTION:
Notice.
The Protecting Europe’s
Energy Security Act (PEESA) was
amended by the FY21 National Defense
Authorization Act (NDAA) on January 1,
2021. The Department of State is issuing
updated, clarifying public guidance and
Frequently Asked Questions (FAQs) for
PEESA, as amended, on April 09, 2021,
to provide public notice of the
SUMMARY:
8 17
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CFR 200.30–3(a)(12).
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Federal Register / Vol. 86, No. 70 / Wednesday, April 14, 2021 / Notices
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Administration’s implementation of
PEESA, as amended, and the range of
activities captured under the amended
legislation.
DATES: Applicable Date: The public
guidance and associated FAQs for
PEESA, as amended, is effective on
April 9, 2021.
ADDRESSES: The Department of State
will publish the PEESA, as amended,
public guidance and associated FAQs,
on its website, replacing the October
2020 PEESA public guidance (https://
www.state.gov/protecting-europesenergy-security-act-peesa/).
FOR FURTHER INFORMATION CONTACT:
Email CAATSA_PEESA_
Energysanctions@state.gov.
SUPPLEMENTARY INFORMATION:
Frequently Asked Questions on PEESA,
as Amended by the National Defense
Authorization Act for FY2021
The Department of State is committed
to fully implementing sanctions
authorities in the Protecting Europe’s
Energy Security Act of 2019 (‘‘PEESA’’
or ‘‘the Act,’’ Title LXXV, National
Defense Authorization Act for Fiscal
Year 2020, Pub. L. 116–92), as amended
on January 1, 2021 by the National
Defense Authorization Act for FY2021
(FY2021 NDAA), Public Law 116–283.
PEESA (Sec. 7503 of FY2020 NDAA), as
amended (by FY2021 NDAA Sec. 1242).
We continue to call on Russia to cease
using its energy resources for coercive
purposes. Russia uses its energy export
pipelines to create national and regional
dependencies on Russian energy
supplies, leveraging these dependencies
to expand its political, economic, and
military influence, weaken European
security, and undermine U.S. national
security and foreign policy interests.
These pipelines also reduce European
energy diversification, and hence
weaken European energy security.
PEESA, as amended, provides the
United States with the authority to
advance U.S. national security and
foreign policy objectives, in particular to
address Russian pipeline projects that
create risks to U.S. national security,
threaten Europe’s energy security, and
consequently, endanger Europe’s
political and economic welfare.
In accordance with PEESA Section
7503, as amended, the Secretary of
State, in consultation with the Secretary
of the Treasury, is to submit a report to
Congress for the relevant period,
identifying, among other things, (A)
vessels that engaged in pipe-laying or
pipe-laying activities at depths of 100
feet or more below sea level for the
construction of the Nord Stream 2
pipeline project, the TurkStream
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pipeline project, or any project that is a
successor to either such project; and (B)
foreign persons that the Secretary of
State, in consultation with the Secretary
of the Treasury, determines have
knowingly: (i) Sold, leased or provided,
or facilitated selling, leasing, or
providing those vessels for the
construction of such a project; (ii)
facilitated deceptive or structured
transactions to provide those vessels for
the construction of such a project; (iii)
provided for those vessels underwriting
services or insurance or reinsurance
necessary or essential for the
completion of such a project; (iv)
provided services or facilities for
technology upgrades or installation of
welding equipment for, or retrofitting or
tethering of, those vessels if the services
or facilities are necessary or essential for
the completion of such a project; or (v)
provided services for the testing,
inspection, or certification necessary or
essential for the completion or operation
of the Nord Stream 2 pipeline.
In addition, the FY2021 NDAA
amendments to PEESA expanded the
types of vessel activity subject to
reporting requirements in Section
7503(a)(1)(A) from solely ‘‘pipe-laying’’
to also include ‘‘pipe-laying activities,’’
which are defined in Section 7503(k)(5)
as ‘‘activities that facilitate pipe-laying,
including site preparation, trenching,
surveying, placing rocks, backfilling,
stringing, bending, welding, coating,
and lowering of pipe.’’ Furthermore,
pursuant to Section 7503(c), sanctions
are to be imposed on those foreign
persons that are determined to meet the
criteria pursuant to Section
7503(a)(1)(B)(i–v) of PEESA, as
amended, and who are not certified for
wind-down under the applicable winddown period and are not subject to the
exceptions under PEESA, as amended.
The amendments made to PEESA by the
FY2021 NDAA require consultation
with the governments of Norway,
Switzerland, the United Kingdom, and
member countries of the EU before
imposing any sanctions.
Persons with additional questions are
encouraged to contact the State
Department at CAATSA_PEESA_
Energysanctions@state.gov.
Frequently Asked Questions
Q: What conduct does Section
7503(a)(1)(B) of PEESA, as amended,
cover?
A: Section 7503(a)(1)(B)(i), as
amended, requires that the report to
Congress include foreign persons that
the Secretary of State, in consultation
with the Secretary of the Treasury,
determines have knowingly ‘‘sold,
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19685
leased, or provided or facilitated selling,
leasing, or providing those vessels [i.e.,
the vessels listed for having engaged in
pipe-laying or pipe-laying activities at
depths of 100 feet or more below sea
level] for the construction of such a
project.’’ Such projects include Nord
Stream 2, TurkStream, or any project
that is a successor to either such project.
Section 7503(a)(1)(B)(i) covers foreign
persons who provide or finance the
vessels and also covers certain forms of
support provided to the vessels not
already covered under Sections
7503(a)(1)(B)(ii–v).
Additionally, Section 7503(a)(1)(B)(ii)
covers foreign persons that the Secretary
of State, in consultation with the
Secretary of the Treasury, determines
have knowingly facilitated deceptive or
structured transactions to provide those
vessels for the construction of such a
project. Such projects include Nord
Stream 2, TurkStream, or any project
that is a successor to either such project.
Further, Sections 7503(a)(1)(B)(iii)–(v)
cover foreign persons that the Secretary
of State, in consultation with the
Secretary of the Treasury, determines
have knowingly: Provided for those
vessels underwriting services or
insurance or reinsurance necessary or
essential for the completion of any of
the aforementioned projects; provided
services or facilities for technology
upgrades or installation of welding
equipment for, or retrofitting or
tethering of, those vessels if the services
or facilities are necessary or essential for
the completion of any of the
aforementioned projects; or provided
services for the testing, inspection, or
certification necessary or essential for
the completion or operation of the Nord
Stream 2 pipeline.
Q: Does PEESA provide for certain
activities to be excepted from sanctions?
A: PEESA, as amended, includes a
number of exceptions specifying
activities to which sanctions under
PEESA shall not apply. For example,
pursuant to Section 7503(e)(3) of
PEESA, as amended, sanctions under
this section shall not apply with respect
to a person providing provisions to a
vessel identified under Section
7503(a)(1)(A) if such provisions are
intended for the safety and care of the
crew aboard the vessel, the protection of
human life aboard the vessel, or the
maintenance of the vessel to avoid any
environmental or other significant
damage.
Pursuant to Section 7503(e)(4) of
PEESA, as amended, sanctions under
this section shall not apply with respect
to a person for engaging in activities
necessary for or related to the repair or
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19686
Federal Register / Vol. 86, No. 70 / Wednesday, April 14, 2021 / Notices
maintenance of, or environmental
remediation with respect to, Nord
Stream 2, TurkStream, or any project
that is a successor to either such project.
Pursuant to Section 7503(e)(6) of
PEESA, as amended, sanctions under
this section shall not apply with respect
to the European Union; the government
of Norway, Switzerland, the United
Kingdom or any member country of the
European Union; or any entity of the
European Union or a government noted
herein that is not operating as a business
enterprise.
Q. How does the U.S. government plan
to implement the wind-down specified
in Section 1242(f) of the National
Defense Authorization Act for Fiscal
Year 2021 (NDAA)?
A: Upon passage of the FY2021
NDAA on January 1, 2021, the
amendments made to PEESA pursuant
to Section 1242(f) of the FY2021 NDAA
immediately became effective. In
accordance with the wind-down
provision in Section 1242(f) of the
FY2021 NDAA, persons that were
knowingly engaged in conduct subject
to sanctions under the amendments to
PEESA would have needed to cease
construction-related activity or engage
in good faith efforts to wind down
sanctionable activity no later than 30
days after PEESA, as amended, became
effective. That date was January 31,
2021. The wind-down provision in
Section 1242(f) of the FY2021 NDAA is
not applicable to activities that were
already subject to sanctions under
Section 7503 of PEESA prior to the
amendments in the FY2021 NDAA.
Following the conclusion of the winddown period, the Secretary of State, in
consultation with the Secretary of the
Treasury, is required to impose
sanctions on those foreign persons that
are determined to meet the criteria
pursuant to Section 7503(a)(1)(B)(i–v) of
PEESA, as amended, and who are not
otherwise subject to the exceptions
under PEESA, as amended.
Virginia E. Palmer,
Acting Assistant Secretary, Bureau of Energy
Resources, Department of State.
[FR Doc. 2021–07662 Filed 4–13–21; 8:45 am]
ADDRESSES:
[Public Notice: 11395]
Notice of Determinations; Culturally
Significant Objects Being Imported for
Exhibition—Determinations: ‘‘The
Buddha Transcendent’’ Exhibition
Notice is hereby given of the
following determinations: I hereby
determine that certain objects being
imported from abroad pursuant to an
agreement with the foreign owner or
custodian for temporary display in the
exhibition ‘‘The Buddha Transcendent’’
at the Museum of Fine Arts, Houston, in
Houston, Texas and at possible
additional exhibitions or venues yet to
be determined, are of cultural
significance, and, further, that their
temporary exhibition or display within
the United States as aforementioned is
in the national interest. I have ordered
that Public Notice of these
determinations be published in the
Federal Register.
FOR FURTHER INFORMATION CONTACT: Chi
D. Tran, Program Administrator, Office
of the Legal Adviser, U.S. Department of
State (telephone: 202–632–6471; email:
section2459@state.gov). The mailing
address is U.S. Department of State,
L/PD, SA–5, Suite 5H03, Washington,
DC 20522–0505.
SUPPLEMENTARY INFORMATION: The
foregoing determinations were made
pursuant to the authority vested in me
by the Act of October 19, 1965 (79 Stat.
985; 22 U.S.C. 2459), Executive Order
12047 of March 27, 1978, the Foreign
Affairs Reform and Restructuring Act of
1998 (112 Stat. 2681, et seq.; 22 U.S.C.
6501 note, et seq.), Delegation of
Authority No. 234 of October 1, 1999,
and Delegation of Authority No. 236–3
of August 28, 2000.
SUMMARY:
Matthew R. Lussenhop,
Acting Assistant Secretary, Bureau of
Educational and Cultural Affairs, Department
of State.
[FR Doc. 2021–07613 Filed 4–13–21; 8:45 am]
BILLING CODE 4710–05–P
SUSQUEHANNA RIVER BASIN
COMMISSION
Projects Approved for Consumptive
Uses of Water
BILLING CODE 4710–AE–P
Susquehanna River Basin
Commission.
ACTION: Notice.
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AGENCY:
This notice lists the projects
approved by rule by the Susquehanna
River Basin Commission during the
period set forth in DATES.
SUMMARY:
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March 1–31, 2021.
Susquehanna River Basin
Commission, 4423 North Front Street,
Harrisburg, PA 17110–1788.
FOR FURTHER INFORMATION CONTACT:
Jason E. Oyler, General Counsel and
Secretary to the Commission, telephone:
(717) 238–0423, ext. 1312; fax: (717)
238–2436; email: joyler@srbc.net.
Regular mail inquiries may be sent to
the above address.
SUPPLEMENTARY INFORMATION: This
notice lists the projects, described
below, receiving approval for the
consumptive use of water pursuant to
the Commission’s approval by rule
process set forth in 18 CFR 806.22(f) for
the time period specified above:
DATES:
DEPARTMENT OF STATE
Sfmt 4703
Water Source Approval—Issued Under
18 CFR 806.22(f)
1. Cabot Oil & Gas Corporation; Pad ID:
BenediktK P1; ABR–202102003;
Bridgewater Township, Susquehanna
County, Pa.; Consumptive Use of Up to
5.0000 mgd; Approval Date: March 1,
2021.
2. SWN Production Company, LLC; Pad ID:
WY–18 WEST PAD; ABR–201510008.R1;
Eaton and Mehoopany Townships,
Wyoming County, Pa.; Consumptive Use
of Up to 4.9990 mgd; Approval Date:
March 1, 2021.
3. SWN Production Company, LLC; Pad ID:
GU–X SEYMOUR PAD; ABR–
201512010.R1; Stevens Township,
Bradford County; and Rush Township,
Susquehanna County; Pa.; Consumptive
Use of Up to 4.9990 mgd; Approval Date:
March 1, 2021.
4. SWN Production Company, LLC; Pad ID:
Hayes Well Pad; ABR–201202034.R2;
Silver Lake Township, Bradford County,
Pa.; Consumptive Use of Up to 4.0000
mgd; Approval Date: March 1, 2021.
5. SWN Production Company, LLC; Pad ID:
Demento Pad; ABR–201102036.R2;
Silver Lake Township, Bradford County,
Pa.; Consumptive Use of Up to 4.9900
mgd; Approval Date: March 2, 2021.
6. SWN Production Company, LLC; Pad ID:
Knapik Well Pad; ABR–201102033.R2;
Liberty Township, Susquehanna County,
Pa.; Consumptive Use of Up to 4.0000
mgd; Approval Date: March 2, 2021.
7. BKV Operating, LLC; Pad ID: Yarasavage
Well Pad; ABR–201102021.R2;
Washington Township, Wyoming
County, Pa.; Consumptive Use of Up to
5.0000 mgd; Approval Date: March 2,
2021.
8. Repsol Oil & Gas USA, LLC; Pad ID:
HARTNETT (05 097) R; ABR–
201010045.R2; Orwell and Warren
Townships, Bradford County, Pa.;
Consumptive Use of Up to 6.0000 mgd;
Approval Date: March 4, 2021.
9. Rockdale Marcellus, LLC; Pad ID:
Guillaume 715; ABR–201011002.R2;
Liberty Township, Tioga County, Pa.;
Consumptive Use of Up to 4.9900 mgd;
Approval Date: March 4, 2021.
10. SWN Production Company, LLC; Pad ID:
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]]>Agencies
[Federal Register Volume 86, Number 70 (Wednesday, April 14, 2021)]
[Notices]
[Pages 19684-19686]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-07662]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF STATE
[Public Notice 11405]
Notice of Updated Department of State Public Guidance for the
Protecting Europe's Energy Security Act (PEESA), as Amended
ACTION: Notice.
-----------------------------------------------------------------------
SUMMARY: The Protecting Europe's Energy Security Act (PEESA) was
amended by the FY21 National Defense Authorization Act (NDAA) on
January 1, 2021. The Department of State is issuing updated, clarifying
public guidance and Frequently Asked Questions (FAQs) for PEESA, as
amended, on April 09, 2021, to provide public notice of the
[[Page 19685]]
Administration's implementation of PEESA, as amended, and the range of
activities captured under the amended legislation.
DATES: Applicable Date: The public guidance and associated FAQs for
PEESA, as amended, is effective on April 9, 2021.
ADDRESSES: The Department of State will publish the PEESA, as amended,
public guidance and associated FAQs, on its website, replacing the
October 2020 PEESA public guidance (https://www.state.gov/protecting-europes-energy-security-act-peesa/).
FOR FURTHER INFORMATION CONTACT:
Email [email protected].
SUPPLEMENTARY INFORMATION:
Frequently Asked Questions on PEESA, as Amended by the National Defense
Authorization Act for FY2021
The Department of State is committed to fully implementing
sanctions authorities in the Protecting Europe's Energy Security Act of
2019 (``PEESA'' or ``the Act,'' Title LXXV, National Defense
Authorization Act for Fiscal Year 2020, Pub. L. 116-92), as amended on
January 1, 2021 by the National Defense Authorization Act for FY2021
(FY2021 NDAA), Public Law 116-283. PEESA (Sec. 7503 of FY2020 NDAA), as
amended (by FY2021 NDAA Sec. 1242). We continue to call on Russia to
cease using its energy resources for coercive purposes. Russia uses its
energy export pipelines to create national and regional dependencies on
Russian energy supplies, leveraging these dependencies to expand its
political, economic, and military influence, weaken European security,
and undermine U.S. national security and foreign policy interests.
These pipelines also reduce European energy diversification, and hence
weaken European energy security.
PEESA, as amended, provides the United States with the authority to
advance U.S. national security and foreign policy objectives, in
particular to address Russian pipeline projects that create risks to
U.S. national security, threaten Europe's energy security, and
consequently, endanger Europe's political and economic welfare.
In accordance with PEESA Section 7503, as amended, the Secretary of
State, in consultation with the Secretary of the Treasury, is to submit
a report to Congress for the relevant period, identifying, among other
things, (A) vessels that engaged in pipe-laying or pipe-laying
activities at depths of 100 feet or more below sea level for the
construction of the Nord Stream 2 pipeline project, the TurkStream
pipeline project, or any project that is a successor to either such
project; and (B) foreign persons that the Secretary of State, in
consultation with the Secretary of the Treasury, determines have
knowingly: (i) Sold, leased or provided, or facilitated selling,
leasing, or providing those vessels for the construction of such a
project; (ii) facilitated deceptive or structured transactions to
provide those vessels for the construction of such a project; (iii)
provided for those vessels underwriting services or insurance or
reinsurance necessary or essential for the completion of such a
project; (iv) provided services or facilities for technology upgrades
or installation of welding equipment for, or retrofitting or tethering
of, those vessels if the services or facilities are necessary or
essential for the completion of such a project; or (v) provided
services for the testing, inspection, or certification necessary or
essential for the completion or operation of the Nord Stream 2
pipeline.
In addition, the FY2021 NDAA amendments to PEESA expanded the types
of vessel activity subject to reporting requirements in Section
7503(a)(1)(A) from solely ``pipe-laying'' to also include ``pipe-laying
activities,'' which are defined in Section 7503(k)(5) as ``activities
that facilitate pipe-laying, including site preparation, trenching,
surveying, placing rocks, backfilling, stringing, bending, welding,
coating, and lowering of pipe.'' Furthermore, pursuant to Section
7503(c), sanctions are to be imposed on those foreign persons that are
determined to meet the criteria pursuant to Section 7503(a)(1)(B)(i-v)
of PEESA, as amended, and who are not certified for wind-down under the
applicable wind-down period and are not subject to the exceptions under
PEESA, as amended. The amendments made to PEESA by the FY2021 NDAA
require consultation with the governments of Norway, Switzerland, the
United Kingdom, and member countries of the EU before imposing any
sanctions.
Persons with additional questions are encouraged to contact the
State Department at [email protected].
Frequently Asked Questions
Q: What conduct does Section 7503(a)(1)(B) of PEESA, as amended, cover?
A: Section 7503(a)(1)(B)(i), as amended, requires that the report
to Congress include foreign persons that the Secretary of State, in
consultation with the Secretary of the Treasury, determines have
knowingly ``sold, leased, or provided or facilitated selling, leasing,
or providing those vessels [i.e., the vessels listed for having engaged
in pipe-laying or pipe-laying activities at depths of 100 feet or more
below sea level] for the construction of such a project.'' Such
projects include Nord Stream 2, TurkStream, or any project that is a
successor to either such project. Section 7503(a)(1)(B)(i) covers
foreign persons who provide or finance the vessels and also covers
certain forms of support provided to the vessels not already covered
under Sections 7503(a)(1)(B)(ii-v).
Additionally, Section 7503(a)(1)(B)(ii) covers foreign persons that
the Secretary of State, in consultation with the Secretary of the
Treasury, determines have knowingly facilitated deceptive or structured
transactions to provide those vessels for the construction of such a
project. Such projects include Nord Stream 2, TurkStream, or any
project that is a successor to either such project.
Further, Sections 7503(a)(1)(B)(iii)-(v) cover foreign persons that
the Secretary of State, in consultation with the Secretary of the
Treasury, determines have knowingly: Provided for those vessels
underwriting services or insurance or reinsurance necessary or
essential for the completion of any of the aforementioned projects;
provided services or facilities for technology upgrades or installation
of welding equipment for, or retrofitting or tethering of, those
vessels if the services or facilities are necessary or essential for
the completion of any of the aforementioned projects; or provided
services for the testing, inspection, or certification necessary or
essential for the completion or operation of the Nord Stream 2
pipeline.
Q: Does PEESA provide for certain activities to be excepted from
sanctions?
A: PEESA, as amended, includes a number of exceptions specifying
activities to which sanctions under PEESA shall not apply. For example,
pursuant to Section 7503(e)(3) of PEESA, as amended, sanctions under
this section shall not apply with respect to a person providing
provisions to a vessel identified under Section 7503(a)(1)(A) if such
provisions are intended for the safety and care of the crew aboard the
vessel, the protection of human life aboard the vessel, or the
maintenance of the vessel to avoid any environmental or other
significant damage.
Pursuant to Section 7503(e)(4) of PEESA, as amended, sanctions
under this section shall not apply with respect to a person for
engaging in activities necessary for or related to the repair or
[[Page 19686]]
maintenance of, or environmental remediation with respect to, Nord
Stream 2, TurkStream, or any project that is a successor to either such
project.
Pursuant to Section 7503(e)(6) of PEESA, as amended, sanctions
under this section shall not apply with respect to the European Union;
the government of Norway, Switzerland, the United Kingdom or any member
country of the European Union; or any entity of the European Union or a
government noted herein that is not operating as a business enterprise.
Q. How does the U.S. government plan to implement the wind-down
specified in Section 1242(f) of the National Defense Authorization Act
for Fiscal Year 2021 (NDAA)?
A: Upon passage of the FY2021 NDAA on January 1, 2021, the
amendments made to PEESA pursuant to Section 1242(f) of the FY2021 NDAA
immediately became effective. In accordance with the wind-down
provision in Section 1242(f) of the FY2021 NDAA, persons that were
knowingly engaged in conduct subject to sanctions under the amendments
to PEESA would have needed to cease construction-related activity or
engage in good faith efforts to wind down sanctionable activity no
later than 30 days after PEESA, as amended, became effective. That date
was January 31, 2021. The wind-down provision in Section 1242(f) of the
FY2021 NDAA is not applicable to activities that were already subject
to sanctions under Section 7503 of PEESA prior to the amendments in the
FY2021 NDAA. Following the conclusion of the wind-down period, the
Secretary of State, in consultation with the Secretary of the Treasury,
is required to impose sanctions on those foreign persons that are
determined to meet the criteria pursuant to Section 7503(a)(1)(B)(i-v)
of PEESA, as amended, and who are not otherwise subject to the
exceptions under PEESA, as amended.
Virginia E. Palmer,
Acting Assistant Secretary, Bureau of Energy Resources, Department of
State.
[FR Doc. 2021-07662 Filed 4-13-21; 8:45 am]
BILLING CODE 4710-AE-P
