Section 2404 · Renumbered 2922e]

(a) Waiver Authority.—The Secretary of Defense may, for any purchase of petroleum or natural gas, waive the application of any provision of law prescribing procedures to be followed in the formation of contracts, prescribing terms and conditions to be included in contracts, or regulating the performance of contracts if the Secretary determines—

(1) that petroleum market conditions or natural gas market conditions, as the case may be, have adversely affected (or will in the near future adversely affect) the acquisition of petroleum or acquisition of natural gas, respectively, by the Department of Defense; and

(2) the waiver will expedite or facilitate the acquisition of petroleum or natural gas, as the case may be, for Government needs.

(b) Scope of Waiver.—A waiver under subsection (a) may be made with respect to a particular contract or with respect to classes of contracts. Such a waiver that is applicable to a contract for the purchase of petroleum or natural gas may also be made applicable to a subcontract under that contract.

(c) Exchange Authority.—The Secretary of Defense may acquire petroleum, petroleum-related services, natural gas, or natural gas-related services by exchange of petroleum, petroleum-related services, natural gas, or natural gas-related services.

(d) Authority To Sell.—The Secretary of Defense may sell petroleum or natural gas of the Department of Defense if the Secretary determines that the sale would be in the public interest. The proceeds of such a sale shall be credited to appropriations of the Department of Defense for the acquisition of petroleum, petroleum-related services, natural gas, or natural gas-related services. Amounts so credited shall be available for obligation for the same period as the appropriations to which the amounts are credited.