Bill > S4559

This bill, the Energy Cost Fairness and Reliability Act of 2026, aims to address the growing strain on the electricity grid caused by increased demand from large facilities like data centers, as well as other factors like electrification and manufacturing growth. It mandates that the Federal Energy Regulatory Commission (FERC), or the "Commission," establish standardized procedures for how these "large load facilities" (defined as those with a peak demand exceeding 50 megawatts) connect to the interstate transmission system. Key provisions include requiring these large load customers to pay for all interconnection studies and network upgrades needed to accommodate their connection, ensuring they have the capability for "demand flexibility" (the ability to reduce or shift their electricity use) and are "curtailable" (can reduce demand when requested by the utility), and requiring them to secure new generation resources to meet their power needs. The bill also introduces prioritization for interconnection requests that include battery backup, use of registered apprenticeships and labor peace agreements during construction, and encourages the use of advanced computing like artificial intelligence to improve the efficiency of managing interconnection requests. Furthermore, it directs the Department of Energy to collect data on data center energy use and establish an AI testbed to research energy efficiency and grid integration, with a report to Congress and FERC on findings and recommendations. Importantly, the bill clarifies that it does not grant FERC authority to regulate retail electricity rates, which remain under state jurisdiction.