H.R. 8400

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 8400 Introduced in House (IH)]

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119th CONGRESS
2d Session
H. R. 8400

To amend the Federal Power Act to exempt consumer-regulated electric 
utilities from Federal regulation, and for other purposes.

_______________________________________________________________________

IN THE HOUSE OF REPRESENTATIVES

April 21, 2026

Mr. Begich (for himself, Mr. Crenshaw, and Mr. Owens) introduced the 
following bill; which was referred to the Committee on Energy and 
Commerce

_______________________________________________________________________

A BILL

To amend the Federal Power Act to exempt consumer-regulated electric 
utilities from Federal regulation, 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 ``Decentralized Access to Technology 
Alternatives Act of 2026'' or the ``DATA Act of 2026''.

SEC. 2. DEFINITIONS.

In this Act:
(1) Bulk-power system.--The term ``bulk-power system'' has 
the meaning given the term in section 215(a) of the Federal 
Power Act (16 U.S.C. 824o(a)).
(2) Consumer-regulated electric utility; CREU.--The term 
``consumer-regulated electric utility'' or ``CREU'' means an 
electric generation and supply system that--
(A) is established--
(i) after the date of enactment of this 
Act; and
(ii) exclusively for the purpose of serving 
new electric loads that were not previously 
served by any retail electricity supplier;
(B) may own, construct, and operate facilities 
necessary for generation, energy storage, transmission, 
distribution, and the retail supply of electricity;
(C) may sell electricity at retail to eligible CREU 
customers, subject to the condition that the system is 
physically islanded from--
(i) all regulated utilities;
(ii) the bulk-power system; and
(iii) the Bulk Electric System (as defined 
by the Electric Reliability Organization);
(D) engages in any combination of--
(i) generating electricity;
(ii) transmitting electricity;
(iii) distributing electricity; or
(iv) selling electricity at retail to 
consumers;
(E) is not connected to the bulk-power system or 
any other electric transmission or distribution system 
for primary or backup supply; and
(F) operates independently of any public utility.
(3) Electric reliability organization.--The term ``Electric 
Reliability Organization'' has the meaning given the term in 
section 215(a) of the Federal Power Act (16 U.S.C. 824o(a)).
(4) Eligible CREU customer.--The term ``eligible CREU 
customer'' means any entity that--
(A) purchases electricity at retail from a 
consumer-regulated electric utility;
(B) receives electric service exclusively through 
facilities owned, constructed, or operated by consumer-
regulated electric utilities; and
(C) is located within premises that are physically 
islanded from--
(i) all regulated utilities;
(ii) the bulk-power system; and
(iii) the Bulk Electric System (as defined 
by the Electric Reliability Organization).
(5) Reliability standard.--The term ``reliability 
standard'' has the meaning given the term in section 215(a) of 
the Federal Power Act (16 U.S.C. 824o(a)).

SEC. 3. FEDERAL POWER ACT EXEMPTION.

A consumer-regulated electric utility--
(1) shall be exempt from regulation under the Federal Power 
Act (16 U.S.C. 791a et seq.), including with respect to--
(A) rate regulation;
(B) corporate or financial oversight;
(C) transmission or distribution regulation;
(D) reliability standards under section 215 of that 
Act (16 U.S.C. 824o);
(E) interconnection requirements;
(F) participation in regional transmission planning 
or cost allocation; and
(G) merger, consolidation, acquisition, or 
disposition approval under section 203 of that Act (16 
U.S.C. 824b);
(2) shall not be considered to be a public utility for 
purposes of that Act;
(3) shall not be considered to be a part of--
(A) the bulk-power system; or
(B) the Bulk Electric System (as defined by the 
Electric Reliability Organization); and
(4) shall not be required to register with the Electric 
Reliability Organization or comply with reliability standards, 
unless the consumer-regulated electric utility voluntarily 
elects to connect to the bulk-power system.

SEC. 4. EXEMPTION OF NEW CREUS FROM FERC AND DOE REGULATION.

(a) In General.--Notwithstanding any other provision of law, a 
consumer-regulated electric utility that begins operations on or after 
the date of enactment of this Act shall be exempt from Federal 
regulation with respect to matters under the jurisdiction of the 
Federal Energy Regulatory Commission or the Secretary of Energy, 
including--
(1) all reliability standards; and
(2) all other standards, rules, regulations, or other 
requirements established, administered, or enforced under--
(A) section 215 of the Federal Power Act (16 U.S.C. 
824o);
(B) any other provision of that Act; or
(C) any other provision of Federal law (including 
regulations).
(b) Beginning of Operations.--For purposes of subsection (a), the 
date on which a consumer-regulated electric utility begins operations 
is the date on which the consumer-regulated electric utility first 
generates, transmits, distributes, or sells electricity.
(c) Termination of Exemption.--If a consumer-regulated electric 
utility elects to connect to any portion of the bulk-power system or 
any other electric transmission or distribution system for primary or 
backup supply, the consumer-regulated electric utility shall, 
immediately on making that connection--
(1) cease being a consumer-regulated electric utility; and
(2) become subject to all Federal regulation applicable to 
the consumer-regulated electric utility from which the 
consumer-regulated electric utility was exempt under subsection 
(a).

SEC. 5. PURPA EXEMPTION.

Section 210 of the Public Utility Regulatory Policies Act of 1978 
(16 U.S.C. 824a-3) is amended by adding at the end the following:
``(o) Consumer-Regulated Electric Utilities.--
``(1) In general.--Nothing in this section applies to a 
consumer-regulated electric utility (as defined in section 2 of 
the DATA Act of 2026).
``(2) Exemption.--A consumer-regulated electric utility (as 
defined in section 2 of the DATA Act of 2026) shall not be 
required to interconnect with, purchase from, or sell to an 
electric utility under this section.''.

SEC. 6. PUHCA EXEMPTION.

Section 1268 of the Public Utility Holding Company Act of 2005 (42 
U.S.C. 16456) is amended--
(1) in the matter preceding paragraph (1), by striking 
``Except'' and inserting the following:
``(a) In General.--Except''; and
(2) by adding at the end the following:
``(b) Consumer-Regulated Electric Utilities.--No provision of this 
subtitle shall apply to any holding company solely by reason of its 
ownership or control of a consumer-regulated electric utility (as 
defined in section 2 of the DATA Act of 2026).''.

SEC. 7. FACILITIES LOCATED WITHIN PUBLIC RIGHTS-OF-WAY.

(a) In General.--A consumer-regulated electric utility may 
construct and operate facilities within existing public rights-of-way, 
subject to the same permitting, restoration, and public-safety 
requirements applicable to a public utility (as defined in section 
201(e) of the Federal Power Act (16 U.S.C. 824(e))).
(b) Limitation.--Notwithstanding subsection (a), the review of an 
application for the construction or operation of a facility within an 
existing public right-of-way by a consumer-regulated electric utility 
shall be confined exclusively to the adequacy of--
(1) right-of-way restoration; and
(2) storm-response planning.
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