Sponsors (8)
Official title: To prohibit the allocation of costs for a certain transmission facility to consumers of a State the public officials of which did not expressly consent to such transmission facility, and for other purposes.
The bill protects state autonomy and local ratepayers from subsidizing other states' policy-driven transmission projects, but at the risk of higher project costs, delays, greater legal/regulatory conflict, and weaker regional grid planning and reliability.
Residents and local ratepayers in states that opt out will not be forced to pay for interstate transmission projects built to implement other states' policies, protecting local electricity bills and state budgets.
State governments and designated public officials gain explicit authority to decide whether their jurisdictions' consumers fund interstate transmission tied to state policy choices, increasing state control and policy autonomy.
Utilities, developers, and consumers could face higher per-project costs and delays because narrowing the pool of cost‑sharing participants makes interstate transmission projects more expensive or harder to finance, which can raise in‑state electricity rates (especially in rural areas).
The provision could undermine regional planning and integration of the interstate grid, complicating reliability and the economic integration of renewables across states.
Implementing and enforcing these rules may increase regulatory burden and trigger litigation over cost‑causation determinations at FERC and in courts, raising compliance costs and legal uncertainty for utilities and states.
Based on analysis of 2 sections of legislative text.
Stops multi‑state transmission providers from allocating costs to out‑of‑state consumers for projects driven by another State's policy unless that consumer's State consents.
Introduced December 1, 2025 by Julie Fedorchak · Last progress December 1, 2025
Prohibits multi‑state electric transmission providers from charging consumers in one State to pay for a transmission project when the project was built to implement or advance another State’s policy unless the consumer’s State or an authorized State official gives explicit consent. Creates a legal presumption that benefits and cost‑causation of such projects fall to in‑State cost causers, directs FERC to issue implementing rules within six months, and defines covered policies and covered transmission facilities.