[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3843 Introduced in House (IH)]
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119th CONGRESS
1st Session
H. R. 3843
To amend the Federal Power Act to prohibit retirements of baseload
electric generating units in any area that is served by a Regional
Transmission Organization or an Independent System Operator and that
the North American Electric Reliability Corporation categorizes as at
elevated risk or high risk of electricity supply shortfalls, and for
other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
June 9, 2025
Ms. Fedorchak (for herself, Mr. Weber of Texas, Mr. Goldman of Texas,
Mr. Pfluger, Mr. Rulli, Mrs. Miller of West Virginia, and Mr.
Balderson) introduced the following bill; which was referred to the
Committee on Energy and Commerce
_______________________________________________________________________
A BILL
To amend the Federal Power Act to prohibit retirements of baseload
electric generating units in any area that is served by a Regional
Transmission Organization or an Independent System Operator and that
the North American Electric Reliability Corporation categorizes as at
elevated risk or high risk of electricity supply shortfalls, 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 ``Baseload Reliability Protection
Act''.
SEC. 2. PROHIBITION ON RETIREMENTS AND CONVERSION OF FUEL SOURCE FOR
ELECTRIC GENERATING UNITS IN AREAS AT HIGH RISK OR
ELEVATED RISK OF ELECTRICITY SUPPLY SHORTFALLS.
(a) In General.--Part II of the Federal Power Act (16 U.S.C. 824 et
seq.) is amended by adding after section 215A the following:
``SEC. 215B. PROHIBITION ON RETIREMENTS AND CONVERSION OF FUEL SOURCE
FOR ELECTRIC GENERATING UNITS IN AREAS AT HIGH RISK OR
ELEVATED RISK OF ELECTRICITY SUPPLY SHORTFALLS.
``(a) Prohibition.--No operator or partial or sole owner of a
covered electric generating unit that is located in a covered area
may--
``(1) retire such covered electric generating unit; or
``(2) convert the fuel source for such covered electric
generating unit.
``(b) Exemptions.--
``(1) Operator or owner petition.--Not later than 90 days
after the publication of the most recent long-term reliability
assessment categorizing the relevant covered area as at high
risk or elevated risk of electricity supply shortfalls, an
operator or owner of a covered electric generating unit located
in such covered area may submit to the Commission a petition
for an exemption from a prohibition under subsection (a) with
respect to such covered electric generating unit.
``(2) Final determination.--
``(A) Deadline.--
``(i) In general.--Except as otherwise
provided in this paragraph, not later than 90
days after a petition for an exemption is
submitted to the Commission under paragraph
(1), the Commission shall issue a final
determination granting such exemption or
denying the petition for such exemption.
``(ii) Petitions based on unprofitability
or financial losses.--Subject to subparagraph
(C), with respect to a petition for an
exemption under this subsection for a covered
electric generating unit that is based on
unprofitability or sustained financial losses,
if the Commission determines that retirement
of, or converting the fuel source for, such
covered electric generating unit would hinder
the reliable operation of the bulk-power
system, the Commission shall, not later than
180 days after such petition is submitted to
the Commission under paragraph (1), issue a
final determination granting such exemption or
denying the petition for such exemption.
``(B) Criteria.--Subject to subparagraph (C), the
Commission shall issue a final determination granting
an exemption under this subsection if the Commission
determines--
``(i) that the applicable operator or owner
of a covered electric generating unit has
demonstrated in a petition submitted under
paragraph (1) of this subsection that
compliance with the relevant prohibition under
subsection (a) will result in--
``(I) unprofitability of such
covered electric generating unit;
``(II) sustained financial losses
for such operator or owner; or
``(III) elevated risk to the safety
of workers or public safety; or
``(ii) in consultation with the relevant
Regional Transmission Organization or
Independent System Operator--
``(I) that the applicable operator
or owner of a covered electric
generating unit has demonstrated in a
petition submitted under paragraph (1)
of this subsection for an exemption
from the prohibition under subsection
(a)(1) that retirement of the covered
electric generating unit will not
hinder the reliable operation of the
bulk-power system;
``(II) that the applicable operator
or owner of a covered electric
generating unit has demonstrated in a
petition submitted under paragraph (1)
of this subsection for an exemption
from the prohibition under subsection
(a)(1), and subject to paragraph (3),
that such operator or owner will
replace such covered electric
generating unit through the
construction or acquisition of one or
more covered electric generating units
with comparable or greater reliability
attributes, considering, at a minimum,
the dispatchability and availability
during peak system demand of the
covered electric generating unit that
will be retired; or
``(III) that the applicable
operator or owner of a covered electric
generating unit has demonstrated in a
petition submitted under paragraph (1)
of this subsection for an exemption
from the prohibition under subsection
(a)(2) that converting the fuel source
for such covered electric generating
unit will not diminish the covered
electric generating unit's
dispatchability or availability during
peak system demand, or otherwise hinder
the reliable operation of the bulk-
power system.
``(C) DOE grant or loan for continued operation.--
``(i) Referral.--With respect to a petition
for an exemption under this subsection from the
prohibition under subsection (a)(1) for a
covered electric generating unit that is based
on unprofitability or sustained financial
losses, if the Commission determines that
retirement of such covered electric generating
unit would hinder the reliable operation of the
bulk-power system, the Commission shall refer
the petition to the Secretary of Energy.
``(ii) Loan or grant.--With respect to any
petition referred to the Secretary of Energy
under clause (i), the Secretary shall use funds
made available to carry out this clause to make
a grant or loan to the applicable operator or
owner of the covered electric generating unit
in accordance with paragraph (4).
``(iii) Treatment of petition.--If an
operator or owner of a covered electric
generating unit receives, not later than 180
days after the relevant petition for an
exemption is submitted to the Commission under
paragraph (1), a grant or loan pursuant to
clause (ii) of this subparagraph, such petition
shall be deemed denied for purposes of this
subsection.
``(3) Replacement.--An operator or owner of a covered
electric generating unit for which an exemption is granted
under this subsection based on a demonstration that such
operator or owner will replace the covered electric generating
unit through the construction or acquisition of one or more
other covered electric generating units with comparable or
greater reliability attributes may not retire such covered
electric generating unit until such covered electric generating
unit has been so replaced and such one or more other covered
electric generating units have been placed in service.
``(4) DOE grant or loan terms and funding.--
``(A) Funds.--The Secretary of Energy may use
unobligated amounts made available to the Secretary
under the Infrastructure Investment and Jobs Act
(Public Law 117-58) or Public Law 117-169 to make
grants and loans under paragraph (2)(C)(ii) and
subparagraph (D) of this paragraph.
``(B) Grants.--The Secretary of Energy, in
consultation with other agencies as the Secretary
determines appropriate, may, if the Secretary
determines it to be necessary and appropriate, make a
grant to an operator or owner of a covered electric
generating unit under paragraph (2)(C)(ii) of this
subsection in order to provide for the prudent costs
for the operation of such covered electric generating
unit during any time the prohibition under subsection
(a)(1) is in effect with respect to such covered
electric generating unit.
``(C) Loans.--
``(i) Use of loan funds.--A loan made under
paragraph (2)(C)(ii)--
``(I) shall be made for purposes
of--
``(aa) keeping the relevant
covered electric generating
unit operating; and
``(bb) providing for the
minimum costs for the operation
of such covered electric
generating unit during any time
the prohibition under
subsection (a)(1) is in effect
with respect to such covered
electric generating unit; and
``(II) may be made for the
additional purposes of--
``(aa) providing for the
costs of upgrading the capacity
of the relevant covered
electric generating unit;
``(bb) if the relevant
covered electric generating
unit is a nuclear power plant,
uprating such covered electric
generating unit; or
``(cc) modernizing the
relevant covered electric
generating unit for purposes of
extending its lifespan.
``(ii) Terms and conditions.--Any loan
under paragraph (2)(C)(ii) or subparagraph (D)
of this paragraph shall be made on such terms
and conditions as the Secretary of Energy
determines appropriate.
``(iii) Revenue.--Any payments of interest
on loans made under paragraph (2)(C)(ii) or
subparagraph (D) of this paragraph shall be
deposited in the general fund of the Treasury
for the sole purpose of deficit reduction.
``(D) Other loans and grants.--The Secretary of
Energy may make a loan or grant to an operator or owner
of a covered electric generating unit that is subject
to an order under section 202(c) in order to provide
for the prudent costs for the operation of such covered
electric generating unit during any time such order in
effect with respect to such covered electric generating
unit.
``(5) Other considerations.--In making a final
determination under paragraph (2)--
``(A) the Commission may not consider the
greenhouse gas emissions of a covered electric
generating unit, including any impacts of such
emissions on atmospheric temperatures or weather
systems; and
``(B) with respect to a petition for an exemption
under this subsection for a covered electric generating
unit that is based on unprofitability or sustained
financial losses, the Commission shall take into
consideration any costs alleviated by the protection
from penalties under subsection (c).
``(6) Judicial review.--Notwithstanding section 313, an
operator or owner of an electric generating unit who is
adversely affected or aggrieved by a final determination issued
by the Commission under paragraph (2) may, not later than 60
days after the final determination is issued, file a petition
for review of the final determination in the United States
Court of Appeals for the District of Columbia Circuit or in the
court of appeals for the United States for the circuit in which
the party resides or has its principal place of business. Upon
the filing of such petition such court shall have jurisdiction
to affirm, set aside, or overturn such final determination.
``(c) Protection From Penalties.--An action or omission taken by an
operator or owner of a covered electric generating unit to comply with
a prohibition under subsection (a) shall be treated as an action or
omission taken to comply with an order issued under section 202(c) for
purposes of such section. No operator or owner or a covered electric
generating unit shall be required to undertake an expenditure in
furtherance of a Federal, State, or local environmental law or
regulation, performance for which is excused due to the existence of a
prohibition under subsection (a).
``(d) Standardized Criteria for Categorization of Risk.--Not later
than 60 days after the date of enactment of this section, the Electric
Reliability Organization shall determine and publish a standardized
probabilistic assessment methodology and standardized criteria for
categorizing areas as being at high risk, elevated risk, or normal risk
of electricity supply shortfalls to be used in each long-term
reliability assessment. Such standardized methodology and criteria
shall be at least as rigorous as the methodology and criteria used in
the 2024 long-term reliability assessment.
``(e) Definitions.--In this section:
``(1) Bulk-power system.--The term `bulk-power system' has
the meaning given such term in section 215(a).
``(2) Covered area.--The term `covered area' means an area
that--
``(A) is served by a Regional Transmission
Organization or an Independent System Operator; and
``(B) the Electric Reliability Organization
categorizes, in the most recent long-term reliability
assessment, as at elevated risk or high risk of
electricity supply shortfalls.
``(3) Covered electric generating unit.--The term `covered
electric generating unit' means a dispatchable electric
generating unit that--
``(A) has greater than or equal to 25 megawatts of
nameplate capacity;
``(B) is interconnected to the bulk-power system;
and
``(C) does not derive its primary energy input from
intermittent renewable sources, with or without energy
storage.
``(4) Electric reliability organization.--The term
`Electric Reliability Organization' has the meaning given such
term in section 215(a).
``(5) Long-term reliability assessment.--The term `long-
term reliability assessment' means an annual assessment,
conducted by the Electric Reliability Organization pursuant to
section 215(g), of the reliability and adequacy of the bulk-
power system in North America over a 10-year period.
``(6) Reliable operation.--The term `reliable operation'
has the meaning given such term in section 215(a).''.
(b) Enforcement.--Not later than 1 year after the date of enactment
of this Act, the Federal Energy Regulatory Commission shall submit to
Congress a report on whether existing oversight and enforcement
mechanisms for section 215B of the Federal Power Act, as added by
subsection (a) of this section, are sufficient, including any
recommendations to improve such mechanisms.
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