H.R. 9340 · Passed House · Energy

Ratepayer Protection Act

What it does

Require state utility regulators and nonregulated utilities to consider implementing a federal standard for large-load customers (data centers with peak demand of 100 megawatts or more).
Mandate that rates charged to large-load customers recover the full, incremental cost of any generation, transmission, or distribution upgrade necessary to serve those customers.
Include in cost recovery charges the costs that would be incurred if a large-load customer terminates or ceases purchasing energy from the utility.
Require large-load customers to provide financial assurances to electric utilities.

Official summary

Ratepayer Protection Act The bill requires state utility regulators and nonregulated utilities to consider implementing a standard to hold certain large-load customers responsible for the costs associated with any generation, transmission, or distribution upgrade of electric service necessary to serve such customers. A large-load customer means a non-residential electric consumer that enters, or requests to enter, an agreement concerning the sale of electric energy primarily to operate information technology infrastructure and related systems pertaining to data storage and computational applications and services (e.g., data centers) that have a peak electric demand of 100 megawatts or more at a single site or campus. Specifically, the bill requires states to consider implementing a federal standard for large-load customers. The standard must require rates charged by electric utilities for providing electric service to a large-load customer to be designed to recover from the large-load customer the full, incremental cost of any generation, transmission, or distribution upgrade necessary to serve such customer. This rate must include the costs that would be incurred if the…

Latest action

Sep 30, 2026: Motion to proceed to consideration of measure withdrawn in Senate. (CR S5199)

Committee: House Energy and Commerce