Earlier this year I introduced legislation (S.2016) to assist the NRC in its efforts to achieve greater efficiencies and eliminate outdated restrictions within our nuclear energy sector. Several provisions from S.2016 have been included in S.1627, but several very important ones were not.
More specifically, my legislation, eliminated anachronistic provisions that preclude any foreign ownership of power and research reactors located in the United States. These provisions are a significant obstacle to foreign investment or participation in the U. S. nuclear power industry and its restructuring. No valid reasons exist to prohibit investors from countries such as the United Kingdom from participating in the ownership of nuclear plants in this country. The provisions in current law that protect U. S. security interests are unchanged by my legislation. The NRC strongly endorses removing these restrictions.
Furthermore, a clarification of the NRC's authority to conduct informal hearings in specific licensing actions is critical. My legislation provides that the Commission should not use formal adjudicatory procedures in cases of amendments or transfers of existing operating licenses. As Chairman Meserve points out in his testimony today, informal proceedings are often an appropriate way to involve the public -- not cut them out of the process.
Last, I believe it is imperative to give the NRC the authority to establish such requirements it deems necessary to ensure that non-licensees fully comply with their obligations to provide funding for nuclear plant decommissioning. This includes jurisdiction over non-licensees, i.e., those who have transferred their license but retain responsibility for decommissioning. Although the NRC believes it has this authority, I strongly believe we should clarify this issue.
Mr. Chairman, I am sure everyone is aware of my strong commitment to nuclear energy. This conviction is well-founded; the recent spike in oil prices shows that we must get our nuclear energy sector back on track.
Ensuring diversity and reliability in our nation's future energy portfolio is a critical national security concern. I want to ensure nuclear is part of that portfolio. In order to ensure nuclear's presence in the future, we must pay careful attention to changes in the regulatory environment now. The NRC is a major component of that regulatory framework.
I congratulate the NRC on all of their recent progress in implementing a risk- informed approach to their oversight responsibilities. I applaud their progress in expediting the relicensing process, and their work to create a more objective, risk- relevant inspections regime. All of these represent needed and valuable improvements.
I believe it is now Congress' task to assist the NRC in its efforts by eliminating outdated restrictions and ensuring the statute is appropriate based on current conditions within the energy industry.
Mr. Chairman, I thank you again for the work this Committee is doing on this important issue.