Declaring a National Emergency To Secure the United States Bulk-Power System

What it does

• •Declares a national emergency regarding foreign supply of bulk-power system electric equipment due to alleged cybersecurity vulnerabilities and sabotage risks.
• •Prohibits acquisition, importation, transfer, or installation of foreign-produced bulk-power system electric equipment (initiated after the order date) if determined by the Secretary of Energy to pose undue risk of sabotage, subversion, unauthorized access, or supply disruption.
• •Authorizes the Secretary of Energy to impose conditions on previously acquired foreign bulk-power equipment, including requirements to identify, isolate, monitor, secure, disconnect, replace, or remove such equipment, with consideration for reliability and phased compliance.
• •Allows the Secretary to establish mitigation measures, pre-qualification criteria for equipment and vendors, and enforcement procedures to prevent evasion of the order's prohibitions.

Why it matters

• •The order cites growing dependence on electricity due to advanced manufacturing, data centers, artificial intelligence, and defense production, arguing that vulnerabilities in foreign-supplied bulk-power equipment could disrupt critical national security and economic functions.
• •The text identifies concerns about potential digital backdoors in foreign equipment and supply chain vulnerabilities that could result from international trade disruptions, framing these as national security threats.

Who is affected

• •Any person or entity acquiring, importing, transferring, or installing foreign-produced bulk-power system electric equipment in the United States.
• •Operators and owners of bulk-power system infrastructure who may be required to identify, replace, or remove existing foreign-manufactured equipment.
• •Foreign entities and countries that produce or have interests in bulk-power system electric equipment sold or operated in the United States.

What happens next

The Secretary of Energy, in coordination with other executive agencies, will implement this order through rules, regulations, and case-by-case determinations of whether specific transactions pose unacceptable national security risks.