daily · Climate Policy
Senate permitting bill would make data centers pay their transmission costs and expand FERC siting
On September 30, 2026 four senators introduced the Bipartisan American Affordability and Jobs Act. Per the sponsors, it strengthens FERC backstop siting for interstate transmission and requires data centers to pay their associated transmission costs. It is a bill, not law.
By Greener Numbers Editorial Team · Published October 4, 2026 · Updated 10/4/2026
Four senators released a bipartisan permitting reform bill on September 30, 2026, according to the Senate Energy and Natural Resources Committee. Senators Mike Lee (R-UT), Shelley Moore Capito (R-WV), Martin Heinrich (D-NM) and Sheldon Whitehouse (D-RI) introduced the Bipartisan American Affordability and Jobs Act of 2026. It is a bill, not law. Utility Dive reports that Senate amendments are expected when the chamber returns in November and that an industry group sees a path to Senate passage after the November elections.
The sponsors' fact sheet says the bill would strengthen the Federal Energy Regulatory Commission's backstop siting authority over major interstate power lines and allow transmission applications to be processed at the same time as state reviews. It would require regional and interregional transmission planning and grid-enhancing technologies, and it requires data centers to pay all of their associated transmission costs, so those costs are not passed to families or small businesses. Utility Dive reports that for loads of 20 megawatts or more the bill mandates exit charges and bars recovery of the load's incremental costs from other customers.
On permitting, the fact sheet sets a two-year deadline for Environmental Impact Statement reviews and a one-year deadline for Environmental Assessments, and a 150-day deadline for legal challenges under several environmental laws. It also bars any administration from delaying or blocking permits for a whole class of energy projects, such as all solar or wind. Utility Dive adds that the bill would eliminate National Interest Electric Transmission Corridors and the federal right of first refusal for incumbent utilities, and would create a right to sue over disparate federal treatment of project types.
Whitehouse said the question of regular order for wind and solar permitting under the Trump administration is still unresolved. Details could change as the bill moves through the Senate. This brief summarizes the bill as described by its sponsors and Utility Dive, not the full bill text.
Official source: U.S. Senate Energy and Natural Resources Committee ↗