| 1 | 1 | | II |
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| 2 | 2 | | 119THCONGRESS |
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| 3 | 3 | | 1 |
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| 4 | 4 | | STSESSION S. 1327 |
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| 5 | 5 | | To require the Federal Energy Regulatory Commission to establish a shared |
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| 6 | 6 | | savings incentive to return a portion of the savings attributable to an |
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| 7 | 7 | | investment in grid-enhancing technology to the developer of that grid- |
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| 8 | 8 | | enhancing technology, and for other purposes. |
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| 9 | 9 | | IN THE SENATE OF THE UNITED STATES |
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| 10 | 10 | | APRIL8, 2025 |
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| 11 | 11 | | Mr. W |
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| 12 | 12 | | ELCH(for himself and Mr. KING) introduced the following bill; which |
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| 13 | 13 | | was read twice and referred to the Committee on Energy and Natural |
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| 14 | 14 | | Resources |
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| 15 | 15 | | A BILL |
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| 16 | 16 | | To require the Federal Energy Regulatory Commission to |
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| 17 | 17 | | establish a shared savings incentive to return a portion |
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| 18 | 18 | | of the savings attributable to an investment in grid- |
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| 19 | 19 | | enhancing technology to the developer of that grid-en- |
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| 20 | 20 | | hancing technology, and for other purposes. |
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| 21 | 21 | | Be it enacted by the Senate and House of Representa-1 |
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| 22 | 22 | | tives of the United States of America in Congress assembled, 2 |
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| 23 | 23 | | SECTION 1. SHORT TITLE. 3 |
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| 24 | 24 | | This Act may be cited as the ‘‘Advancing Grid-En-4 |
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| 25 | 25 | | hancing Technologies Act of 2025’’ or the ‘‘Advancing 5 |
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| 26 | 26 | | GETs Act of 2025’’. 6 |
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| 29 | 29 | | •S 1327 IS |
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| 30 | 30 | | SEC. 2. DEFINITIONS. 1 |
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| 31 | 31 | | In this Act: 2 |
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| 32 | 32 | | (1) C |
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| 33 | 33 | | OMMISSION.—The term ‘‘Commission’’ 3 |
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| 34 | 34 | | means the Federal Energy Regulatory Commission. 4 |
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| 35 | 35 | | (2) G |
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| 36 | 36 | | RID-ENHANCING TECHNOLOGY .—The term 5 |
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| 37 | 37 | | ‘‘grid-enhancing technology’’ means any hardware or 6 |
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| 38 | 38 | | software that— 7 |
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| 39 | 39 | | (A) increases the capacity, efficiency, reli-8 |
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| 40 | 40 | | ability, resilience, or safety of transmission fa-9 |
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| 41 | 41 | | cilities and transmission technologies; and 10 |
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| 42 | 42 | | (B) is installed in addition to transmission 11 |
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| 43 | 43 | | facilities and transmission technologies— 12 |
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| 44 | 44 | | (i) to give operators of the trans-13 |
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| 45 | 45 | | mission facilities and transmission tech-14 |
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| 46 | 46 | | nologies more situational awareness and 15 |
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| 47 | 47 | | control over the electric grid; 16 |
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| 48 | 48 | | (ii) to make the transmission facilities 17 |
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| 49 | 49 | | and transmission technologies more effi-18 |
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| 50 | 50 | | cient; or 19 |
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| 51 | 51 | | (iii) to increase the transfer capacity 20 |
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| 52 | 52 | | of the transmission facilities and trans-21 |
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| 53 | 53 | | mission technologies. 22 |
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| 54 | 54 | | (3) S |
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| 55 | 55 | | ECRETARY.—The term ‘‘Secretary’’ means 23 |
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| 56 | 56 | | the Secretary of Energy. 24 |
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| 59 | 59 | | •S 1327 IS |
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| 60 | 60 | | SEC. 3. SHARED SAVINGS INCENTIVE FOR GRID-ENHANC-1 |
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| 61 | 61 | | ING TECHNOLOGIES. 2 |
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| 62 | 62 | | (a) D |
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| 63 | 63 | | EFINITION OFDEVELOPER.—In this section, 3 |
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| 64 | 64 | | the term ‘‘developer’’, with respect to grid-enhancing tech-4 |
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| 65 | 65 | | nology, means the entity that pays to install the grid-en-5 |
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| 66 | 66 | | hancing technology. 6 |
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| 67 | 67 | | (b) E |
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| 68 | 68 | | STABLISHMENT OF SHAREDSAVINGSINCEN-7 |
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| 69 | 69 | | TIVE.—Not later than 18 months after the date of enact-8 |
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| 70 | 70 | | ment of this Act, the Commission shall promulgate a final 9 |
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| 71 | 71 | | rule to implement section 219(b)(3) of the Federal Power 10 |
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| 72 | 72 | | Act (16 U.S.C. 824s(b)(3)) by providing a shared savings 11 |
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| 73 | 73 | | incentive that returns a portion of the savings attributable 12 |
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| 74 | 74 | | to an investment in grid-enhancing technology to the de-13 |
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| 75 | 75 | | veloper of that grid-enhancing technology, in accordance 14 |
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| 76 | 76 | | with this section. 15 |
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| 77 | 77 | | (c) R |
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| 78 | 78 | | EQUIREMENTS.— 16 |
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| 79 | 79 | | (1) I |
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| 80 | 80 | | N GENERAL.—The Commission shall deter-17 |
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| 81 | 81 | | mine the percentage of savings attributable to an in-18 |
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| 82 | 82 | | vestment in grid-enhancing technology that can be 19 |
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| 83 | 83 | | returned to the developer of that grid-enhancing 20 |
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| 84 | 84 | | technology pursuant to the shared savings incentive 21 |
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| 85 | 85 | | established under subsection (b), subject to the con-22 |
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| 86 | 86 | | ditions that the percentage— 23 |
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| 87 | 87 | | (A) is not less than 10 percent and not 24 |
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| 88 | 88 | | more than 25 percent; 25 |
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| 91 | 91 | | •S 1327 IS |
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| 92 | 92 | | (B) is not determined on a per-project, 1 |
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| 93 | 93 | | per-investment, or case-by-case basis; and 2 |
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| 94 | 94 | | (C) is applied consistently to all invest-3 |
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| 95 | 95 | | ments in grid-enhancing technology eligible for 4 |
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| 96 | 96 | | the shared savings incentive, regardless of the 5 |
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| 97 | 97 | | type of grid-enhancing technology installed. 6 |
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| 98 | 98 | | (2) T |
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| 99 | 99 | | IME PERIOD FOR RECOVERY .—The shared 7 |
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| 100 | 100 | | savings incentive established under subsection (b) 8 |
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| 101 | 101 | | shall return a percentage, determined in accordance 9 |
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| 102 | 102 | | with paragraph (1), of the applicable savings to the 10 |
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| 103 | 103 | | developer of the applicable grid-enhancing tech-11 |
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| 104 | 104 | | nology over a period of 3 years. 12 |
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| 105 | 105 | | (d) E |
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| 106 | 106 | | LIGIBILITY.—Subject to subsection (e), the 13 |
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| 107 | 107 | | shared savings incentive established under subsection (b) 14 |
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| 108 | 108 | | shall apply with respect to— 15 |
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| 109 | 109 | | (1) any developer, with respect to the invest-16 |
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| 110 | 110 | | ment of that developer in grid-enhancing technology 17 |
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| 111 | 111 | | that is installed as described in section 2(2)(B); and 18 |
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| 112 | 112 | | (2) any grid-enhancing technology, including— 19 |
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| 113 | 113 | | (A) grid-enhancing technology that relates 20 |
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| 114 | 114 | | to new transmission facilities or transmission 21 |
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| 115 | 115 | | technologies; and 22 |
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| 116 | 116 | | (B) grid-enhancing technology that relates 23 |
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| 117 | 117 | | to existing transmission facilities or trans-24 |
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| 118 | 118 | | mission technologies. 25 |
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| 121 | 121 | | •S 1327 IS |
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| 122 | 122 | | (e) LIMITATIONS.— 1 |
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| 123 | 123 | | (1) M |
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| 124 | 124 | | INIMUM SAVINGS.— 2 |
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| 125 | 125 | | (A) I |
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| 126 | 126 | | N GENERAL.—The shared savings in-3 |
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| 127 | 127 | | centive established under subsection (b) shall 4 |
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| 128 | 128 | | apply with respect to an investment in grid-en-5 |
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| 129 | 129 | | hancing technology only if the expected savings 6 |
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| 130 | 130 | | attributable to the investment over the 3-year 7 |
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| 131 | 131 | | period described in subsection (c)(2), as deter-8 |
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| 132 | 132 | | mined by the Commission, are at least 4 times 9 |
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| 133 | 133 | | the cost of the investment. 10 |
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| 134 | 134 | | (B) D |
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| 135 | 135 | | ETERMINATION.— 11 |
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| 136 | 136 | | (i) I |
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| 137 | 137 | | N GENERAL.—The Commission 12 |
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| 138 | 138 | | shall determine how to quantify the cost of 13 |
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| 139 | 139 | | an investment and the expected savings at-14 |
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| 140 | 140 | | tributable to an investment for purposes of 15 |
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| 141 | 141 | | subparagraph (A). 16 |
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| 142 | 142 | | (ii) C |
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| 143 | 143 | | OSTS.—For purposes of subpara-17 |
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| 144 | 144 | | graph (A), the cost of an investment may 18 |
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| 145 | 145 | | include any costs associated with the per-19 |
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| 146 | 146 | | mitting, installation, or purchase of the ap-20 |
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| 147 | 147 | | plicable grid-enhancing technology. 21 |
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| 148 | 148 | | (2) A |
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| 149 | 149 | | LREADY INSTALLED GETS .—The shared 22 |
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| 150 | 150 | | savings incentive established under subsection (b) 23 |
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| 151 | 151 | | may not be applied with respect to grid-enhancing 24 |
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| 154 | 154 | | •S 1327 IS |
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| 155 | 155 | | technology that is already installed as of the date of 1 |
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| 156 | 156 | | enactment of this Act. 2 |
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| 157 | 157 | | (3) C |
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| 158 | 158 | | ONSUMER PROTECTION .—The Commission 3 |
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| 159 | 159 | | shall determine appropriate consumer protections for 4 |
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| 160 | 160 | | the shared savings incentive established under sub-5 |
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| 161 | 161 | | section (b). 6 |
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| 162 | 162 | | (f) E |
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| 163 | 163 | | VALUATION AND SUNSET OFSHAREDSAVINGS 7 |
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| 164 | 164 | | I |
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| 165 | 165 | | NCENTIVE.— 8 |
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| 166 | 166 | | (1) E |
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| 167 | 167 | | VALUATION.—Not earlier than 7 years, 9 |
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| 168 | 168 | | and not later than 10 years, after the shared savings 10 |
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| 169 | 169 | | incentive is established under subsection (b), the 11 |
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| 170 | 170 | | Commission shall— 12 |
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| 171 | 171 | | (A) evaluate the necessity and efficacy of 13 |
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| 172 | 172 | | the shared savings incentive; and 14 |
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| 173 | 173 | | (B) determine whether to maintain, revise, 15 |
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| 174 | 174 | | or suspend the shared savings incentive. 16 |
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| 175 | 175 | | (2) C |
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| 176 | 176 | | ONSIDERATION OF ORDER NO . 1920.—In 17 |
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| 177 | 177 | | conducting the evaluation under paragraph (1)(A), 18 |
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| 178 | 178 | | the Commission shall consider— 19 |
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| 179 | 179 | | (A) how the shared savings incentive aligns 20 |
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| 180 | 180 | | with the requirement that grid-enhancing tech-21 |
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| 181 | 181 | | nologies be considered in long-term regional 22 |
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| 182 | 182 | | transmission planning under Order No. 1920 of 23 |
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| 183 | 183 | | the Commission, entitled ‘‘Building for the Fu-24 |
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| 184 | 184 | | ture Through Electric Regional Transmission 25 |
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| 187 | 187 | | •S 1327 IS |
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| 188 | 188 | | Planning and Cost Allocation’’ (89 Fed. Reg. 1 |
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| 189 | 189 | | 49280 (June 11, 2024)) (or a successor order); 2 |
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| 190 | 190 | | (B) whether and how the shared savings 3 |
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| 191 | 191 | | incentive should be revised to further align with 4 |
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| 192 | 192 | | that requirement; and 5 |
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| 193 | 193 | | (C) whether, in light of that requirement, 6 |
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| 194 | 194 | | the shared savings incentive should be main-7 |
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| 195 | 195 | | tained or suspended. 8 |
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| 196 | 196 | | (3) P |
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| 197 | 197 | | UBLIC COMMENT.—In conducting the eval-9 |
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| 198 | 198 | | uation under paragraph (1)(A), the Commission 10 |
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| 199 | 199 | | shall provide an opportunity for public comment, in-11 |
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| 200 | 200 | | cluding by stakeholders. 12 |
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| 201 | 201 | | SEC. 4. CONGESTION REPORTING. 13 |
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| 202 | 202 | | (a) A |
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| 203 | 203 | | NNUALREPORTS.— 14 |
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| 204 | 204 | | (1) I |
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| 205 | 205 | | N GENERAL.—Beginning on the date that 15 |
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| 206 | 206 | | is 1 year after the effective date of the rule promul-16 |
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| 207 | 207 | | gated under subsection (b), all operators of trans-17 |
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| 208 | 208 | | mission facilities or transmission technologies shall 18 |
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| 209 | 209 | | submit to the Commission annual reports containing 19 |
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| 210 | 210 | | data on the costs associated with congestion man-20 |
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| 211 | 211 | | agement with respect to the transmission facilities or 21 |
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| 212 | 212 | | transmission technologies, including all relevant con-22 |
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| 213 | 213 | | straints. 23 |
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| 214 | 214 | | (2) R |
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| 215 | 215 | | EQUIREMENT.—Each annual report sub-24 |
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| 216 | 216 | | mitted under paragraph (1) shall identify— 25 |
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| 219 | 219 | | •S 1327 IS |
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| 220 | 220 | | (A) with respect to each reported con-1 |
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| 221 | 221 | | straint that caused more than $500,000 in as-2 |
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| 222 | 222 | | sociated costs— 3 |
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| 223 | 223 | | (i) the cause of the constraint, includ-4 |
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| 224 | 224 | | ing physical infrastructure and transient 5 |
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| 225 | 225 | | disruptions; and 6 |
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| 226 | 226 | | (ii) the next limiting element type and 7 |
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| 227 | 227 | | its identified rating limit; and 8 |
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| 228 | 228 | | (B) each constraint that will be addressed 9 |
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| 229 | 229 | | by planned future upgrades to infrastructure 10 |
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| 230 | 230 | | and facilities. 11 |
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| 231 | 231 | | (b) R |
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| 232 | 232 | | ULEMAKING.—Not later than 18 months after 12 |
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| 233 | 233 | | the date of enactment of this Act, the Commission shall 13 |
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| 234 | 234 | | promulgate a final rule establishing a universal metric and 14 |
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| 235 | 235 | | protocol for the measuring and reporting of data under 15 |
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| 236 | 236 | | subsection (a). 16 |
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| 237 | 237 | | (c) U |
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| 238 | 238 | | SES OFDATA.— 17 |
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| 239 | 239 | | (1) A |
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| 240 | 240 | | NALYSES.— 18 |
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| 241 | 241 | | (A) I |
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| 242 | 242 | | N GENERAL.—The Commission and 19 |
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| 243 | 243 | | the Secretary shall each use the data submitted 20 |
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| 244 | 244 | | under subsection (a) to conduct analyses, as the 21 |
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| 245 | 245 | | Commission or the Secretary, as applicable, de-22 |
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| 246 | 246 | | termines to be appropriate. 23 |
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| 247 | 247 | | (B) C |
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| 248 | 248 | | OORDINATION.—The Commission 24 |
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| 249 | 249 | | and the Secretary may coordinate with respect 25 |
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| 252 | 252 | | •S 1327 IS |
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| 253 | 253 | | to any analyses conducted using the data sub-1 |
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| 254 | 254 | | mitted under subsection (a). 2 |
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| 255 | 255 | | (2) M |
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| 256 | 256 | | AP.—The Commission and the Secretary, 3 |
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| 257 | 257 | | acting jointly, shall— 4 |
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| 258 | 258 | | (A) use the data submitted under sub-5 |
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| 259 | 259 | | section (a) to create a map of costs associated 6 |
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| 260 | 260 | | with congestion management in the trans-7 |
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| 261 | 261 | | mission system; and 8 |
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| 262 | 262 | | (B) update that map not less frequently 9 |
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| 263 | 263 | | than once each year. 10 |
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| 264 | 264 | | (d) P |
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| 265 | 265 | | UBLICATION OFDATA ANDMAP.—The Com-11 |
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| 266 | 266 | | mission and the Secretary shall make the data submitted 12 |
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| 267 | 267 | | under subsection (a) and the map described in subsection 13 |
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| 268 | 268 | | (c)(2) publicly available on the websites of— 14 |
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| 269 | 269 | | (1) the Commission; and 15 |
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| 270 | 270 | | (2) the Department of Energy. 16 |
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| 271 | 271 | | SEC. 5. GRID-ENHANCING TECHNOLOGY APPLICATION 17 |
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| 272 | 272 | | GUIDE. 18 |
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| 273 | 273 | | (a) D |
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| 274 | 274 | | EFINITION OFDEVELOPER.—In this section, 19 |
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| 275 | 275 | | the term ‘‘developer’’ means a developer of transmission 20 |
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| 276 | 276 | | facilities or transmission technologies, including a devel-21 |
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| 277 | 277 | | oper of transmission facilities or transmission technologies 22 |
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| 278 | 278 | | that pays to install grid-enhancing technology with respect 23 |
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| 279 | 279 | | to those transmission facilities or transmission tech-24 |
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| 280 | 280 | | nologies. 25 |
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| 283 | 283 | | •S 1327 IS |
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| 284 | 284 | | (b) ESTABLISHMENT OF APPLICATIONGUIDE.—Not 1 |
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| 285 | 285 | | later than 18 months after the date of enactment of this 2 |
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| 286 | 286 | | Act, the Secretary shall establish an application guide for 3 |
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| 287 | 287 | | utilities and developers seeking to implement grid-enhanc-4 |
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| 288 | 288 | | ing technologies. 5 |
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| 289 | 289 | | (c) U |
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| 290 | 290 | | PDATES.—The guide established under sub-6 |
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| 291 | 291 | | section (b) shall be reviewed and updated annually. 7 |
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| 292 | 292 | | (d) T |
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| 293 | 293 | | ECHNICALASSISTANCE.— 8 |
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| 294 | 294 | | (1) I |
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| 295 | 295 | | N GENERAL.—On request of a utility or de-9 |
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| 296 | 296 | | veloper using the guide established under subsection 10 |
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| 297 | 297 | | (b), the Secretary shall provide technical assistance 11 |
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| 298 | 298 | | to that utility or developer with respect to the use 12 |
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| 299 | 299 | | of grid-enhancing technologies for particular applica-13 |
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| 300 | 300 | | tions. 14 |
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| 301 | 301 | | (2) C |
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| 302 | 302 | | LEARINGHOUSE.—In carrying out para-15 |
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| 303 | 303 | | graph (1), the Secretary shall establish a clearing-16 |
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| 304 | 304 | | house of previously completed grid-enhancing tech-17 |
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| 305 | 305 | | nology projects that the Secretary, utilities, and de-18 |
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| 306 | 306 | | velopers may use to identify issues and solutions re-19 |
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| 307 | 307 | | lating to the use of grid-enhancing technologies for 20 |
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| 308 | 308 | | particular applications. 21 |
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| 309 | 309 | | (e) A |
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| 310 | 310 | | UTHORIZATION OF APPROPRIATIONS.—There 22 |
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| 311 | 311 | | are authorized to be appropriated to carry out this section, 23 |
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| 312 | 312 | | to remain available until expended— 24 |
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| 313 | 313 | | (1) $5,000,000 for fiscal year 2025; and 25 |
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| 316 | 316 | | •S 1327 IS |
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| 317 | 317 | | (2) $1,000,000 for each of fiscal years 2026 1 |
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| 318 | 318 | | through 2036. 2 |
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| 319 | 319 | | Æ |
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