Us Congress Senate Bill SB5190

Us Congress 2023-2024 Regular Session

• Introduced: 9/25/24
• Refer: 9/25/24

Caption

Blocking Bad Batteries Act

Impact

If enacted, this bill would significantly impact the procurement policies of the Department of State regarding energy storage solutions. By restricting investments in batteries manufactured by specific foreign entities, the bill could lead to a shift in supplier strategies and sourcing for government contracts. This might also encourage domestic production and innovation in battery technologies as agencies seek compliant alternatives to fulfill their energy needs without compromising national security.

Summary

SB5190, known as the 'Blocking Bad Batteries Act', is a legislative proposal aimed at restricting the Department of State from procuring batteries produced by specific companies, mainly based in China. The bill is set to take effect on October 1, 2027, prohibiting the use of federal funds for purchasing batteries from entities such as Contemporary Amperex Technology Company (CATL), BYD Company, and others listed in the bill text. The intent behind this legislation is to mitigate potential security risks associated with reliance on foreign manufacturers for critical energy storage technologies.

Contention

The bill may face opposition from proponents of free trade and international cooperation who argue that such restrictions could hinder competitive pricing and technological advancements that come from collaboration with established foreign manufacturers. Some stakeholders may also raise concerns about the impact on the supply chain and the availability of quality batteries that meet government standards. Furthermore, the national interest waiver provision allows flexibility for the Secretary of State to bypass these restrictions, adding complexity to the bill's implementation and potential criticisms about inconsistent enforcement.