This Act may be cited as the Affordable Electricity Rates Act of 2026.

Section 201 of the Federal Power Act (16 U.S.C. 824U.S. Code — Title 16, Section 824View official source on GovInfo) is amended by adding at the end the following: (h) Affordability as a component of just and reasonable rates (1) In general In making any determination of whether a rate or charge is just and reasonable under this part, the Commission shall— (A) consider whether the rate or charge is likely to result in retail electricity prices that are unaffordable for electric consumers (as defined in section 3 of the Public Utility Regulatory Policies Act of 1978 (16 U.S.C. 2602U.S. Code — Title 16, Section 2602View official source on GovInfo)); and (B) presume that the rate or charge is likely to result in retail electricity prices that are unaffordable for electric consumers (as so defined) if the Commission determines that the rate or charge is likely to result in an increase in retail electricity prices of 5 percent or more. (2) Unaffordable rates and charges prohibited If the Commission determines under paragraph (1) that a rate or charge is likely to result in retail electricity prices that are unaffordable for electric consumers (as defined in section 3 of the Public Utility Regulatory Policies Act of 1978 (16 U.S.C. 2602U.S. Code — Title 16, Section 2602View official source on GovInfo)), such rate or charge shall not be considered to be just and reasonable for purposes of this part..