Sponsors (8)
The bill gives states greater control to block cross‑state cost‑sharing for policy-driven transmission—protecting in‑state taxpayers and state autonomy—but at the cost of higher in‑state rates for some, increased legal complexity, and risks to interstate grid planning and clean‑energy deployment.
State residents (taxpayers) are protected from having electricity costs shifted to out-of-state consumers without their consent, reducing unwanted cross-state cost allocation.
State governments retain control over whether their policy-driven transmission projects are funded by other states, preserving state policy autonomy and local decision-making.
Federal Energy Regulatory Commission (FERC) is directed to issue implementing rules within six months, creating regulatory clarity and speeding resolution of cross‑border cost disputes for utilities and developers.
Interstate transmission projects and regional grid planning may be discouraged, harming system-wide efficiency and reliability and raising longer-term system costs for utilities and customers (especially in rural areas).
Renewable-energy developers and communities could face slower deployment of clean energy and transmission that depend on multi-state cost allocation, delaying decarbonization benefits.
Residents and state budgets that adopt covered policies could face higher in-state electricity rates because costs cannot be shared with out-of-state consumers without consent.
Based on analysis of 2 sections of legislative text.
Prevents multi-state transmission providers from billing out-of-state consumers for transmission built to implement a state/local policy unless the consumer's state consents.
Introduced December 1, 2025 by Julie Fedorchak · Last progress December 1, 2025
Prohibits multi-state transmission providers from allocating the costs of an interstate transmission project to customers in other states when the project was built to implement a particular state or local policy, unless the out-of-state customer’s state (or a designated public official) expressly consents. Creates legal presumptions that only in-state consumers who supported the policy are cost-causers and shifts cost-allocation control to the implementing state; directs the Federal Energy Regulatory Commission (FERC) to issue implementing rules within six months of enactment.