S. 5074 – Enhancing Electric Grid Resilience Act

AI-Generated Summary

Updated July 29, 2026 at 3:52 AM UTC

The Enhancing Electric Grid Resilience Act amends the Federal Power Act to let the Federal Energy Regulatory Commission (FERC) allocate the costs of very large interstate or offshore electric transmission projects to the customers who benefit. It applies to new lines of at least 1,000 megawatts or upgrades that add at least 500 megawatts, and it aims to spread costs fairly based on the expected reliability, economic, environmental and resilience benefits.

Key Provisions

Allows owners, controllers, or operators of qualifying transmission facilities to file a tariff with FERC to allocate project costs.
Requires cost allocation to be roughly proportional to the anticipated benefits (reliability, economic, public policy, resilience, environmental, etc.) for customers in the relevant planning region(s).
Defines a "transmission facility of national significance" as either a new interstate or offshore line with at least 1,000 MW capacity, or an expansion/upgrade that adds at least 500 MW, provided construction is completed after the law takes effect.
Clarifies that the new cost‑allocation rules do not change FERC’s authority over other transmission projects not meeting these thresholds.

Legislative Activity

Stay on top of the latest movement without scrolling through every action

1 earlier action

SenateIntro Referral Latest Action

Read twice and referred to the Committee on Energy and Natural Resources.

Energy and Natural Resources Committee

July 22, 2026

View full timeline

SenateIntro Referral

Introduced in Senate

July 22, 2026

SenateIntro Referral

Read twice and referred to the Committee on Energy and Natural Resources.

Energy and Natural Resources Committee

July 22, 2026

Bill Text

Latest available legislative text

Reading Mode

Raw Text PDF XML

Introduced in SenateIssued July 22, 2026

II

119th CONGRESS

2d Session

S. 5074

IN THE SENATE OF THE UNITED STATES

July 22, 2026

Mr. Welch introduced the following bill; which was read twice and referred to the Committee on Energy and Natural Resources

A BILL

To amend the Federal Power Act to authorize the allocation of the costs of certain interstate electric power transmission lines and electric power transmission lines that are located offshore, and for other purposes.

1.

Short title

This Act may be cited as the Enhancing Electric Grid Resilience Act.

2.

Allocation of costs of certain transmission facilities

Part II of the Federal Power Act (16 U.S.C. 824 et seq.) is amended by adding at the end the following:

224.

Allocation of costs of certain transmission facilities

(a)

Allocation of costs

(1)

In general

Any entity that proposes to own, control, or operate a transmission facility of national significance may file a tariff with the Commission in accordance with section 205 and the regulations of the Commission allocating the costs of such transmission facility of national significance.

(2)

Cost causation principle

The Commission shall require that any tariff filed under paragraph (1) allocate the costs of a transmission facility of national significance to customers within the applicable transmission planning region or regions in a manner that is at least roughly commensurate with the estimated anticipated benefits described in paragraph (3).

(3)

Cost allocation principle

The Commission shall require that any tariff filed under paragraph (1) allocate costs based on the broad range of reliability, economic, public policy, resilience, environmental, and other reasonably anticipated benefits of the applicable transmission facility of national significance.

(b)

Transmission facility of national significance

In this section, the term transmission facility of national significance means—

(1)

an interstate electric power transmission line (and any facilities necessary for the operation of such electric power transmission line) or an electric power transmission line that is located offshore (and any facilities necessary for the operation of such electric power transmission line)—

(A)

that has a transmission capacity of not less than 1,000 megawatts; and

(B)

the construction of which is completed on or after the date of enactment of this section; or

(2)

an expansion of, or upgrade to, an interstate electric power transmission line (and any facilities necessary for the operation of such electric power transmission line) or an electric power transmission line that is located offshore (and any facilities necessary for the operation of such electric power transmission line) that—

(A)

increases the transmission capacity of such electric power transmission line by at least 500 megawatts; and

(B)

is completed on or after the date of enactment of this section.

(c)

Savings provision

This section does not affect the authority of the Commission to approve the allocation of costs of transmission facilities other than transmission facilities of national significance.

.