Sec. 5. Fee on lifecycle carbon dioxide-equivalent emissions from cargo vessels
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/bill/118/s/1920/is/section-5A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
2 –e emissions profile for maritime fuels Not later than January 1, 2024, the Administrator shall develop a lifecycle carbon dioxide-equivalent (CO 2 –e) emissions profile for each fuel used in maritime shipping to express the emissions from the combustion of that fuel in carbon dioxide-equivalent per unit mass combusted. Beginning on January 1, 2024, not later than 30 days after the date on which the Administrator receives from the operator of a covered voyage the information required to be submitted under section 4(a), the Administrator, in conjunction with the Secretary of the Treasury, shall assess on the operator a fee with respect to the covered voyage in an amount determined in accordance with paragraph (2).
Subject to subparagraph
(B)and subsection (d), the amount of a fee assessed under subsection
(a)with respect to a covered voyage shall be the total sum of, for each type of fuel consumed during the covered voyage, the product obtained by multiplying— the total mass of the fuel consumed during the covered voyage; the carbon dioxide-equivalent emissions of the fuel, expressed in metric tons per unit mass of fuel consumed, as determined under subsection (a); and $150. Beginning in calendar year 2025, the Administrator shall annually increase the amount described in subparagraph (A)(iii) by the percentage that is equal to the sum obtained by adding— the rate of inflation, as determined by the Administrator using the changes for the 12-month period ending the preceding November 30 in the Consumer Price Index for All Urban Consumers published by the Bureau of Labor Statistics of the Department of Labor; and 5 percentage points. For any portion of a covered voyage that involves travel north of 60 degrees north latitude or south of 60 degrees south latitude, the amount described in subparagraph (A)(iii) with respect to fuel consumed during that portion of the voyage, after adjustment under clause (i), if applicable, shall be tripled. A fee assessed under paragraph
(1)shall be due and payable to the Administrator not later than the later of— the date that is 30 days after the date on which the fee is assessed; and the end of the calendar year in which the fee is assessed. Notwithstanding any other provision of law or any circumstances that jeopardize the safety of a vessel the voyage of which is a covered voyage, the persons aboard such a vessel, or the environment, if an operator fails to pay a fee assessed under paragraph
(1)by the date described in paragraph (3)— the Administrator shall inform the Commandant of the Coast Guard of the failure of the operator to pay the fee; and the Commandant of the Coast Guard shall, until the Administrator informs the Commandant of the Coast Guard that all outstanding fees assessed under paragraph
(1)have been paid, prohibit— the operator from operating within the waters of the United States; and vessels of the operator from docking at ports of call in the United States. In this subsection, the term qualified importing voyage means a voyage made using a vessel— the primary purpose of which is transporting cargo or freight; and that, at a foreign port of call, offloads cargo or freight that is ultimately intended to be transported to the United States by sea, land, or air. Beginning on January 1, 2024, each importer for which a qualified importing voyage has cargo or freight that is bound for the United States shall submit to the Administrator the information described in subsection
(b)of section 4 in accordance with that section (except as otherwise provided in this paragraph). For purposes of clause (i), any reference contained in section 4(b) to— the final port of call shall be considered to be a reference to the foreign port of call within which the cargo or freight of the importer was offloaded from the vessel; the covered voyage shall be considered to be a reference to the qualified importing voyage; and the port of origin shall be considered to be a reference to the port at which the cargo or freight bound for the United States was onboarded. Beginning on January 1, 2024, not later than 30 days after the date on which the Administrator receives from an importer described in subparagraph (A)(i) the information required to be submitted under that subparagraph, the Administrator, in conjunction with the Secretary of the Treasury, shall assess on the importer the fee described in subsection
(b)in accordance with that subsection, but the amount of that fee shall be adjusted as follows: The amount of the fee shall be prorated for the share (by mass) of the cargo or freight on the vessel making the qualified importing voyage that is ultimately bound for the United States that is being imported by the importer. After the adjustment described in subclause (I), the amount of the fee shall be reduced by the amount of the fee, if any, otherwise assessed on the qualified importing voyage pursuant to subsection (b). For purposes of clause (i), any reference in subsection
(b)to the covered voyage shall be considered to be a reference to the qualified importing voyage. An importer described in subparagraph (A)(i) may not import the cargo or freight from a qualified importing voyage into the United States until the importer— submits the information required under subparagraph (A); and pays the fee assessed under subparagraph (B). Notwithstanding any other provision of law, if, at the time of importation of the cargo or freight from a qualifying importing voyage into the United States, an importer described in subparagraph (A)(i) cannot provide proof of payment of the fee assessed under subparagraph (B), the Commissioner of U.S. Customs and Border Protection shall seize the cargo or freight until the Administrator informs the Commissioner of U.S. Customs and Border Protection that all outstanding fees assessed under subparagraph
(B)have been paid. If a vessel with cargo or freight ultimately bound for the United States, or an operator of such a vessel, is subject to a pollution-based fee by the country of the port of origin of the vessel, any fee assessed on the operator of the vessel or an importer with cargo or freight on that vessel under this section shall be— if the fee from the other country is equal to or more than 50 percent of the fee that would otherwise be assessed under this section, reduced by 50 percent; and if the fee from the other country is less than 50 percent of the fee that would otherwise be assessed under this section, reduced by an amount equal to the amount of the fee from the other country. This section ceases to apply on the date on which the Administrator publishes in the Federal Register a determination that the International Maritime Organization or another agency of the United Nations has instituted and is enforcing a global fee on lifecycle carbon dioxide-equivalent emissions from operators of covered voyages that is in an amount equal to or greater than the fees assessed for a covered voyage under this section.