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ARTICLE · 25 MAY 2020

Trump Administration Moves To Restrict Bulk-Power Systems From "Foreign Adversaries"

Kirkland & Ellis International LLP
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On May 1, 2020, the White House issued an executive order that could result in restrictions on transactions involving non-U.S. bulk-power system electric equipment.

United KingdomEnergy and Natural Resources
Mario Mancuso
Mario Mancuso
Sanjay Mullick
Sanjay Mullick
Jeremy Iloulian
Jeremy Iloulian

On May 1, 2020, the White House issued an executive order that could result in restrictions on transactions involving non-U.S. bulk-power system electric equipment. The order raises more questions than it answers, but could potentially have significant impacts on utilities and the power and renewables industries. Ultimately, the impact of the order will depend on rules to be promulgated by the U.S. Department of Energy ("DOE") - which could look to last year's executive order on information and communications technology and services, and related rules promulgated by the Department of Commerce ("DOC"), as a guide.

Background


The Executive Order on Securing the United States Bulk-Power System ("Executive Order") requires that by September 28, 2020 (150 days) DOE publish rules to prohibit any "acquisition, importation, transfer, or installation," by a U.S. person or within the United States, of any "bulk-power system electric equipment" with a certain nexus to

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