High-Capacity Grid Act

Key Points

• The bill requires power companies to use the most advanced and efficient transmission wires ("best-available transmission conductors") when building new power lines or upgrading existing ones. These conductors must provide the greatest energy-carrying capacity, highest electrical efficiency, and reduce thermal sag.
• If a utility uses best-available conductors, the government will automatically assume the cost is fair and reasonable, making it easier for utilities to recover those costs through customer rates. This removes a major financial barrier to adopting newer technology.
• If a utility chooses older, less efficient wires instead, the government will assume the cost is NOT justified and may block the company from charging customers for it. This creates a strong financial incentive to upgrade.
• FERC must write the specific rules for determining which conductors qualify within 180 days of the bill becoming law. The rules must be updated periodically to keep pace with improvements in technology and materials.
• The bill applies to all new transmission construction and any modification, upgrade, replacement, or reconductoring of existing lines under FERC's jurisdiction. It does not apply to distribution lines or facilities outside federal authority.