Sponsors (3)
The bill prevents states' residents from being forced to subsidize out‑of‑state transmission benefits by giving states control and creating presumptions favoring in‑state cost allocation, but that protection risks higher local bills, slower interstate transmission build‑outs needed for reliability and clean energy, and added regulatory burden.
Residents of the state where a transmission policy originates (homeowners and renters) will not be required to pay to subsidize transmission costs that primarily benefit other states unless their state expressly consents, reducing the risk of higher out-of-state subsidies on local electricity bills.
State governments gain clear control over whether their consumers pay for out-of-state benefits by requiring explicit state consent before cross-state cost allocation, increasing state authority over electricity cost decisions.
Regulators and transmission planners get a predictable initial framework—presumptions that in‑state consumers are cost causers and out‑of‑state consumers are not—which can simplify early cost‑allocation disputes and provide some administrative clarity for utilities and regulators.
Residents of a policy-origin state (homeowners and renters) could face higher electricity rates if states block out-of-state cost sharing and project costs are concentrated on in‑state consumers.
Interstate transmission projects needed for regional reliability and to integrate clean energy could be delayed or made harder to build if multi‑state cost sharing is more difficult to obtain, potentially slowing clean‑energy goals and affecting grid reliability.
The bill creates administrative burden and increases litigation risk for FERC and transmission providers because of rebuttable presumptions and a tight 180‑day rulemaking deadline, raising regulatory complexity and costs.
Based on analysis of 2 sections of legislative text.
Introduced December 1, 2025 by Kevin Cramer · Last progress December 1, 2025
Prohibits multi‑state transmission providers from charging electricity consumers in a state that did not adopt the state policy driving an interstate transmission project, unless that consumer’s state or its designated public official expressly consents. Creates definitions for covered policies and covered transmission facilities, sets presumptions about who benefits and causes costs, and directs the Federal Energy Regulatory Commission (FERC) to issue implementing rules within 180 days of enactment. The law shifts the default on cost allocation toward keeping costs inside the states that adopt the policy prompting a transmission project, requires explicit out‑of‑state consent before charging those consumers, and sets rebuttable presumptions to guide disputes about who should pay for covered transmission facilities.