Expedited generator interconnection

(a) Definitions In this section: (1) Advanced transmission technology The term advanced transmission technology means any hardware or software that— (A) increases the capacity, efficiency, reliability, resilience, or safety of transmission facilities and transmission technologies; (B) is installed in addition to new or existing transmission facilities and transmission technologies— (i) to give operators of the transmission facilities and transmission technologies more situational awareness and control over the electric grid; (ii) to make the transmission facilities and transmission technologies more efficient; or (iii) to increase the transfer capacity of the transmission facilities and transmission technologies; and (C) includes, but is not limited to, dynamic line ratings, advanced conductors, topology optimization, advanced power-flow controls, and other digital or physical systems that increase the usable transfer capability of the grid. (2) Commission The term Commission means the Federal Energy Regulatory Commission. (3) Energy storage project The term energy storage project means— (A) any equipment that receives, stores, and delivers energy-using batteries, compressed air, pumped hydropower, hydrogen storage (including hydrolysis), thermal energy storage, regenerative fuel cells, flywheels, capacitors, superconducting magnets, or other technologies identified by the Commission; and (B) any project for the construction or modification of equipment described in subparagraph (A) as part of an effort to build-out transmission interconnection opportunities. (4) Generation project The term generation project means— (A) any facility— (i) that generates or injects electricity; and (ii) for which an interconnection request is subject to the jurisdiction of the Commission; and (B) any project for the construction or modification of a facility described in subparagraph (A). (5) Interconnection customer The term interconnection customer means a person or entity that has submitted an interconnection request. (6) Interconnection request The term interconnection request means a request submitted to a public utility to interconnect a new generation project or energy storage project to the electric system of a public utility for the purposes of transmission of electric energy in interstate commerce or the sale of electric energy at wholesale. (7) Public utility The term public utility has the meaning given the term in section 201(e) of the Federal Power Act (16 U.S.C. 824(e)). (8) Transmission facility The term transmission facility means a facility that is used for the transmission of electric energy in interstate commerce. (9) Transmission provider The term transmission provider means a public utility that owns, operates, or controls 1 or more transmission facilities. (10) Transmission system The term transmission system means a network of transmission facilities used for the transmission of electric energy in interstate commerce. (b) Rulemaking To expedite generator interconnection procedures (1) In general Not later than 180 days after the date of enactment of this Act, the Commission shall initiate a rulemaking— (A) to address the inefficiencies and ineffectiveness of existing procedures for processing interconnection requests to ensure that new generation projects and energy storage projects can interconnect quickly, cost-effectively, and reliably; (B) to invalidate expedited interconnection processes, using its section 206 authority, that have been adopted in 2025 or 2026 and which are not in the pro forma interconnection agreement and which use eligibility criteria that have disproportionately selected natural gas and coal projects in comparison to other projects such as, wind, solar and electric battery storage projects; and (C) to revise the pro forma Large Generator Interconnection Procedures and, as appropriate, the pro forma Large Generator Interconnection Agreement, promulgated pursuant to section 35.28(f) of title 18, Code of Federal Regulations (or successor regulations), to require transmission providers— (i) to develop and employ modeling assumptions for each resource type based on actual operating abilities and practices, for the purposes of studying an interconnection request, provided that the Commission shall not rely on such modeling assumptions to study projects out of queue priority; (ii) to study interconnection requests in a manner consistent with the risk tolerance of the interconnection customer; (iii) to establish simplified and standardized study pathways for small-scale or community-based generation projects, including distributed energy resources and projects serving low-income communities; (iv) to select, as appropriate, 1 or more cost-effective solutions to address network reliability needs that may be identified while studying an interconnection request; (v) to provide sufficient information to interconnection customers for the interconnection customers to understand how a transmission provider has implemented the assumptions and solutions described in clauses (i) and (iv); (vi) to share and employ, as appropriate, queue management best practices, including with respect to the use of computing technologies, such as artificial intelligence, machine learning, and automation, as well as standardized study criteria, in evaluating and processing interconnection requests, in order to expedite study results with respect to those requests; and (vii) to implement transparency and performance-enhancing measures and requirements that transmission providers consider advanced transmission technologies to ensure timely and cost-conscious construction of necessary network upgrades once an interconnection agreement has been executed. (2) Deadline for final rule Not later than 12 months after the date of enactment of this Act, the Commission shall promulgate a final rule to complete the rulemaking initiated under paragraph (1). (3) Deadline for compliance filings The Commission shall require each applicable Transmission Provider subject to the final rule issued pursuant to this rulemaking to submit their compliance filings within 60 days of the issuance of the final order, and the Commission shall have 60 days thereafter to approve or reject the compliance filing. Any subsequent compliance filing thereafter shall be subject to these same timing requirements. (4) Savings clause Nothing in this section alters, or may be construed to alter, the allocation of costs of the transmission system pursuant to the ratemaking authority of the Commission under section 205 of the Federal Power Act (16 U.S.C. 824d).