Bill Summary
The "Connect the Grid Act" aims to enhance the interconnection of the Electric Reliability Council of Texas (ERCOT) with neighboring power systems, thereby improving the overall reliability and capacity of the electric grid. Key provisions of the bill include:
1. **Amendments to Federal Power Act**: The legislation modifies the Federal Power Act to eliminate exemptions for ERCOT, allowing for greater federal oversight and integration with other power grids.
2. **Electric Reliability Standards**: It mandates the establishment of reliability standards for total transfer capability between ERCOT and neighboring regions, such as the Southwest Power Pool (SPP) and the Midcontinent Independent System Operator (MISO). These standards will require coordinated planning for new transmission facilities, with a completion target set for January 1, 2037.
3. **Prioritization of Sustainable Practices**: The bill emphasizes using grid-enhancing technologies, existing rights-of-way, and degraded lands for new transmission projects, as well as ensuring community involvement, particularly from environmental justice and Indigenous communities.
4. **Increased Borrowing Authority**: It raises the borrowing limit under the Transmission Facilitation Program to facilitate financing for necessary infrastructure projects.
5. **Study on Interconnection with Mexico**: A study will be conducted to assess the benefits of electric interconnection with Mexico, focusing on reliability, climate impacts, and costs.
The overarching goal of the legislation is to bolster electric reliability, promote renewable energy access, and modernize the grid to meet future energy demands.
Possible Impacts
The "Connect the Grid Act" introduces several changes that could affect people in various ways. Here are three examples:
1. **Increased Electricity Reliability**: The Act aims to enhance the electric reliability between ERCOT and neighboring regions, such as SPP and MISO. This increased interconnection can lead to fewer power outages and more stable electricity prices for consumers. Residents and businesses in Texas and surrounding areas may experience improved energy security and reliability, reducing the risk of disruptions in their daily lives and operations.
2. **Community Engagement and Environmental Justice**: The legislation emphasizes meaningful community involvement, particularly in environmental justice communities, during the planning and construction of new transmission facilities. This could empower local residents, including marginalized groups, to participate in the decision-making process. As a result, communities may have more influence over how energy projects are developed in their areas, potentially leading to better environmental outcomes and an increased focus on equitable access to energy resources.
3. **Job Creation through Infrastructure Investment**: The Act’s provisions for increasing borrowing authority under the Transmission Facilitation Program and encouraging the use of registered apprenticeship programs could lead to job creation in the energy sector. As new transmission facilities are constructed and existing ones are upgraded, there may be increased demand for skilled labor, providing employment opportunities for local residents. This could contribute to economic growth in the region and provide a pathway for individuals to enter the workforce through training programs.
[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 7728 Introduced in House (IH)]
<DOC>
119th CONGRESS
2d Session
H. R. 7728
To interconnect the Electric Reliability Council of Texas to its
neighbors, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
February 26, 2026
Mr. Casar (for himself, Ms. Ocasio-Cortez, Ms. Escobar, Ms. Garcia of
Texas, Mr. Green of Texas, Mr. Doggett, Ms. Crockett, Mr. Castro of
Texas, Mr. Espaillat, Mr. Garcia of California, Mr. Frost, Ms. Tlaib,
Ms. Jayapal, and Mrs. Ramirez) introduced the following bill; which was
referred to the Committee on Energy and Commerce
_______________________________________________________________________
A BILL
To interconnect the Electric Reliability Council of Texas to its
neighbors, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Connect the Grid Act''.
SEC. 2. JURISDICTION WITH RESPECT TO ERCOT.
(a) Application of Part.--Section 201(b)(2) of the Federal Power
Act (16 U.S.C. 824(b)(2)) is amended by--
(1) striking ``210, 211, 211A, 212'' the second place it
appears; and
(2) striking ``an electric utility or other entity'' and
inserting ``any entity that is otherwise exempt under section
201(f)''.
(b) Public Utility Definition.--Section 201(e) of the Federal Power
Act (16 U.S.C. 824(e)) is amended by striking ``210, 211, 211A, 212,''.
(c) Repeal of ERCOT Exemptions.--
(1) Section 212 of the Federal Power Act (16 U.S.C. 824k)
is amended by striking subsection (k).
(2) Section 216 of the Federal Power Act (16 U.S.C. 824p)
is amended by striking subsection (k).
(3) Section 217 of the Federal Power Act (16 U.S.C. 824q)
is amended by striking subsection (h).
(4) Section 220 of the Federal Power Act (16 U.S.C. 824t)
is amended by striking subsection (f).
(d) Technical Conference.--Not later than 6 months after the date
of enactment of this Act, the Commission shall convene a technical
conference to assist entities affected by the amendments made by this
section with compliance with any requirements pursuant to such
amendments, including by publishing the steps necessary for such
compliance.
SEC. 3. ELECTRIC RELIABILITY.
(a) Amendments.--Section 215 of the Federal Power Act (16 U.S.C.
824o) is amended--
(1) in subsection (a)(3), by striking ``enlarge such
facilities or to construct new transmission capacity or
generation capacity'' and inserting ``construct new generation
capacity''; and
(2) in subsection (i)(2), by striking ``or transmission''.
(b) Reliability Standard for Total Transfer Capability.--
(1) In general.--Not later than 30 days after the date of
enactment of this Act, the Commission shall order the Electric
Reliability Organization to submit to the Commission a proposed
reliability standard that requires minimum total transfer
capability of--
(A) between 4.3 and 12.6 gigawatts between the area
under functional control of ERCOT and the area under
functional control of SPP;
(B) between 2.5 and 16.2 gigawatts between the area
under functional control of ERCOT and the area under
functional control of MISO; and
(C) between 2.6 and 7.9 gigawatts between the area
under functional control of ERCOT and the Western
Interconnection.
(2) Contents.--The Commission may only approve a proposed
reliability standard described in paragraph (1) if such
reliability standard--
(A) requires minimum total transfer capability as
described in paragraph (1); and
(B) requires each of ERCOT and SPP, ERCOT and MISO,
and ERCOT and 1 or more neighboring balancing
authorities in the Western Interconnection (as
determined by the Electric Reliability Organization),
to jointly submit, not later than 1 year after the date
of enactment of this Act, a plan that--
(i) designates 1 or more entities to site
and construct new transmission facilities, or
modify existing transmission facilities, to
achieve the applicable minimum total transfer
capability; and
(ii) includes a timeline for such siting
and construction or modification, which
timeline shall include that such siting and
construction or modification be completed by
January 1, 2037.
(3) Priority.--Any plan for the siting and construction or
modification of transmission facilities described in paragraph
(2)(B) shall prioritize--
(A) use of grid-enhancing technologies;
(B) use of existing rights-of-ways, such as
highways and railroads, to site and construct new
transmission facilities;
(C) siting and construction of new transmission
facilities on degraded land, including sites on the
National Priorities List, brownfield sites, landfills,
abandoned mine land, and contaminated or abandoned
agricultural lands;
(D) siting and construction of new transmission
facilities that expands access to renewable energy
sources, including wind, solar, and geothermal sources;
(E) providing meaningful community involvement
opportunities, including conducting outreach to--
(i) environmental justice communities,
including conducting planning meetings, set at
times and places to maximize the number of
community members who can conveniently attend,
with appropriate services, including
translation and interpreting services and
virtual attendance, in such environmental
justice communities;
(ii) Tribal and Indigenous Communities;
(iii) Tribal Governments; and
(iv) relevant labor organizations; and
(F) the use of registered apprenticeship programs
and prevailing wages, as determined by the Secretary of
Labor in accordance with subchapter IV of chapter 31 of
title 40, United States Code.
(4) Environmental review.--Any project to site, construct,
or modify transmission facilities that is conducted to comply
with the reliability standard described in paragraph (1) shall
be subject to the requirements of the National Environmental
Policy Act of 1969 (42 U.S.C. 4321 et seq.) and the Endangered
Species Act of 1973 (16 U.S.C. 1531 et seq.).
(c) Consideration for National Interest Electric Transmission
Corridor.--In carrying out section 216 of the Federal Power Act (16
U.S.C. 824p), the Secretary of Energy shall consider designating as a
national interest electric transmission corridor any area in which
transmission facilities will be sited and constructed or modified
pursuant to this section.
SEC. 4. INCREASED BORROWING AUTHORITY UNDER THE TRANSMISSION
FACILITATION PROGRAM.
Section 40106(d)(2) of the Infrastructure Investment and Jobs Act
(42 U.S.C. 18713(d)(2)) is amended by striking ``$2,500,000,000'' and
inserting ``$13,500,000,000''.
SEC. 5. STUDY ON BENEFITS OF INTERCONNECTION WITH MEXICO.
Not later than one year after the date of enactment of this Act,
the Secretary of Energy shall conduct a study and submit to Congress a
report on the reliability, climate, and cost benefits of
interconnection of facilities for the generation, transmission, and
sale of electric energy with such facilities in Mexico and the siting
and construction, or modification, of such facilities that will bring
the most cumulative benefits.
SEC. 6. DEFINITIONS.
In this Act:
(1) Abandoned mine land.--The term ``abandoned mine land''
means land, water, or a watershed that is contaminated or
scarred by extraction, beneficiation, or processing of ores or
minerals (which may include phosphate, but does not include
coal).
(2) Brownfield site.--The term ``brownfield site'' has the
meaning given such term in section 101(39) of the Comprehensive
Environmental Response, Compensation, and Liability Act of 1980
(42 U.S.C. 9601(39)).
(3) Commission.--The term ``Commission'' means the Federal
Energy Regulatory Commission.
(4) Electric reliability organization.--The term ``Electric
Reliability Organization'' has the meaning given such term in
section 215(a)(2) of the Federal Power Act (16 U.S.C.
824o(a)(2)).
(5) Environmental justice community.--The term
``environmental justice community'' means a community with
significant representation of communities of color, low-income
communities, or Tribal and Indigenous communities that
experiences, or is at risk of experiencing higher or more
adverse human health or environmental effects.
(6) ERCOT.--The term ``ERCOT'' means the Electric
Reliability Council of Texas.
(7) Grid-enhancing technology.--The term ``grid-enhancing
technology'' means a solution that increases the transfer
capability of high-voltage transmission facilities.
(8) MISO.--The term ``MISO'' means the Midcontinent
Independent System Operator transmission organization.
(9) National priorities list.--The term ``National
Priorities List'' means the National Priorities List developed
by the President in accordance with section 105(a)(8)(B) of the
Comprehensive Environmental Response, Compensation, and
Liability Act of 1980 (42 U.S.C. 9605(a)(8)(B)).
(10) Registered apprenticeship program.--The term
``registered apprenticeship program'' means an apprenticeship
registered under the National Apprenticeship Act that meets the
standards of subpart A of part 29, and part 30, of title 29,
Code of Federal Regulations.
(11) Reliability standard.--The term ``reliability
standard'' has the meaning given such term in section 215(a)(3)
of the Federal Power Act (16 U.S.C. 824o(a)(3)).
(12) SPP.--The term ``SPP'' means the Southwest Power Pool
transmission organization.
(13) Total transfer capability.--The term ``total transfer
capability'' has the meaning given such term in section
37.6(b)(1)(vi) of title 18, Code of Federal Regulations (as in
effect on the date of enactment of this Act).
(14) Transmission facility.--The term ``transmission
facility'' means a facility that is used for the transmission
of electric energy in interstate commerce, including
transmission lines.
(15) Transmission organization.--The term ``transmission
organization'' has the meaning given such term in section
215(a)(6) of the Federal Power Act (16 U.S.C. 824o(a)(6)).
(16) Tribal and indigenous community.--The term ``Tribal
and Indigenous community'' means a population of people who are
members of--
(A) a federally recognized Indian Tribe;
(B) a State-recognized Indian Tribe;
(C) an Alaska Native or Native Hawaiian community
or organization; or
(D) any other community of Indigenous people
located in a State.
(17) Tribal government.--The term ``Tribal Government''
means the governing body of an Indian Tribe.
(18) Western interconnection.--The term ``Western
Interconnection'' means the synchronously operated electric
transmission grid located in the western part of North America,
including parts of Montana, Nebraska, New Mexico, South Dakota,
Texas, Wyoming and Mexico and all of Arizona, California,
Colorado, Idaho, Nevada, Oregon, Utah, Washington and the
Canadian Provinces of British Columbia and Alberta.
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