Power Plant Reliability Act of 2025
- Bill Number
- H.R. 3632
- Origin Chamber
- House
- Congress
- 119th Congress, Session 1
- Policy Area
- Energy
- Status
- Passed House
- Latest Action
- 2025-12-17: Received in the Senate and Read twice and referred to the Committee on Energy and Natural Resources.
- Last Updated
- 2026-03-24T12:48:03Z
AI-Generated Summary
Purpose of the Legislation
The Power Plant Reliability Act of 2025 aims to enhance the reliability of the U.S. electric grid by empowering the Federal Energy Regulatory Commission (FERC, the agency overseeing interstate electricity transmission and sales) to address inadequate electric service and requiring advance notice for planned retirements of power plants. This helps prevent shortages by ensuring utilities maintain sufficient power generation and transmission capacity.
Key Provisions
- Addressing Inadequate Service (Subsection a):
- FERC must investigate complaints from state regulatory commissions or transmission organizations (groups that manage regional power grids) if a utility's interstate electric service is inadequate or likely to become so within 5 years.
- Investigations require notice to affected parties and a hearing within 90 days of the complaint.
- FERC can issue orders, rules, or regulations to fix the issue, but these cannot force utilities to build new power plants or sell power if it harms service to their customers.
- Allowed actions include requiring continued operation of existing power units and mandating long-term plans for transmission lines (high-voltage lines carrying electricity across states).
- FERC must set fair rates or fees to cover extra costs, including compensation for owners forced to keep units running, and decide how these costs are shared among users.
- Orders last up to 5 years and can be extended for another 5 years upon request, with a streamlined review process (hearing and decision within 60 days).
- Compliance with these orders provides legal protection: actions or inactions needed to follow them won't violate federal, state, or local environmental laws, and parties won't face penalties or lawsuits under those laws.
- Advance Notice of Planned Retirements (Subsection b):
- Owners or operators of power plants must notify FERC and relevant state commissions or transmission organizations at least 5 years in advance if they plan to retire (shut down indefinitely) an electric generating unit with a capacity of 5 megawatts or more connected to the national grid (bulk-power system).
- Exceptions apply for unplanned retirements due to emergencies, disasters, or catastrophes that make the unit unusable.
- All notices must be made publicly available by FERC.
- Definitions (Subsection c):
- Bulk-power system: The interconnected network of high-voltage transmission lines and generators that supplies electricity across regions.
- Electric generating unit: A power-producing component of a plant with at least 5 megawatts capacity, linked to the grid.
- Retire: To idle, disconnect, or stop selling power from a unit for an indefinite period.
Significant Changes to Existing Law
This bill fully replaces Section 207 of the Federal Power Act (a 1935 law regulating interstate electricity). Previously, this section allowed FERC to address inadequate service but lacked specifics on timelines, limitations, compensation, extensions, environmental protections, or retirement notices. The new version introduces:
- A 5-year forward-looking assessment for potential shortages.
- Explicit bans on forcing new construction or harmful power sales.
- Requirements for operational continuity and transmission planning.
- Compensation mechanisms and cost-sharing rules.
- A mandatory 5-year notice for retirements, with public disclosure—entirely new to the law.
- Immunity from environmental enforcement for compliance actions.
Potential Impacts
- Government Agencies: FERC gains clearer authority and deadlines for action, potentially increasing its workload in hearings and rate-setting. State commissions and transmission organizations may need to collaborate more on complaints, plans, and extensions.
- Citizens: Could improve grid reliability, reducing blackouts or price spikes from shortages, but might raise electricity costs if compensation or transmission upgrades are passed on via rates. Environmental protections are limited during compliance, potentially affecting air or water quality near plants.
- International Relations: No direct impacts, as the bill focuses on domestic interstate electricity regulation.
Main Stakeholders Affected
- Public Utilities and Power Plant Owners/Operators: Must provide notices, potentially continue operations, and receive compensation but face restrictions on retirements.
- Transmission Organizations: Involved in complaints, planning, and grid management; benefit from better reliability forecasts.
- State Commissions: Can file complaints and influence extensions; must coordinate on transmission plans.
- Consumers and Businesses: Gain more stable power supply but may pay higher rates for reliability measures.
- Environmental Groups and Regulators: Affected by temporary exemptions from environmental laws, which could delay pollution controls.
Notable Legal, Constitutional, or Political Implications
- Legal: The environmental immunity clause could shield utilities from lawsuits under laws like the Clean Air Act, raising questions about enforcement gaps but providing certainty for grid stability. Compensation requirements align with "takings" protections under the Fifth Amendment (preventing uncompensated government interference with property), as owners get paid for continued operations.
- Constitutional: Balances federal oversight of interstate commerce (Congress's power under Article I) with state roles in energy regulation, without compelling new infrastructure (respecting property rights).
- Political: Promotes energy reliability amid debates over retiring fossil fuel plants for climate goals, potentially favoring traditional utilities over rapid clean energy transitions. The 5-year notice may slow decarbonization but prevent reliability crises; public notice provisions enhance transparency for stakeholders.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Rep. Griffith, H. Morgan [R-VA-9]
Cosponsors (4)
Rep. Carter, Earl L. "Buddy" [R-GA-1], Rep. Obernolte, Jay [R-CA-23], Rep. Onder, Robert F. [R-MO-3], Rep. Miller, Carol D. [R-WV-1]
Recent Actions
- 2025-12-17: Received in the Senate and Read twice and referred to the Committee on Energy and Natural Resources.
- 2025-12-16: Motion to reconsider laid on the table Agreed to without objection.
- 2025-12-16: On passage Passed by the Yeas and Nays: 222 - 202 (Roll no. 342). (text: CR H5927-5928) (Roll call 342)
- 2025-12-16: Passed/agreed to in House: On passage Passed by the Yeas and Nays: 222 - 202 (Roll no. 342). (text: CR H5927-5928) (Roll call 342)
- 2025-12-16: On motion to recommit Failed by the Yeas and Nays: 207 - 218 (Roll no. 341). (Roll call 341)
- 2025-12-16: Considered as unfinished business. (consideration: CR H5934-5935)
- 2025-12-16: POSTPONED PROCEEDINGS - At the conclusion of debate H.R. 3632, the Chair put the question on motion to recommit and announced the noes had prevailed. Ms. Scholten demanded the yeas and nays and the Chair postponed further proceedings until a time to be announced.
- 2025-12-16: The previous question on the motion to recommit was ordered pursuant to clause 2(b) of rule XIX.
- 2025-12-16: Ms. Scholten moved to recommit to the Committee on Energy and Commerce. (text: CR H5933)
- 2025-12-16: The previous question was ordered pursuant to the rule.
- 2025-12-16: DEBATE - The House proceeded with one hour of debate on H.R. 3632.
- 2025-12-16: Rule provides for consideration of H.R. 4776, H.R. 1366, H.R. 845, H.R. 3616, H.R. 3632 and H.R. 4371. The resolution provides for consideration of H.R. 4776, under a structured rule and H.R. 1366, H.R. 845, H.R. 3616, H.R. 3632, and H.R. 4371 under a closed rule. The resolution provides one motion to recommit on each bill.
- 2025-12-16: Considered under the provisions of rule H. Res. 951. (consideration: CR H5927-5933)
- 2025-12-16: Rules Committee Resolution H. Res. 951 Reported to House. Rule provides for consideration of H.R. 4776, H.R. 1366, H.R. 845, H.R. 3616, H.R. 3632 and H.R. 4371. The resolution provides for consideration of H.R. 4776, under a structured rule and H.R. 1366, H.R. 845, H.R. 3616, H.R. 3632, and H.R. 4371 under a closed rule. The resolution provides one motion to recommit on each bill.
- 2025-11-25: Supplemental report filed by the Committee on Energy and Commerce, H. Rept. 119-307, Part II.
Bill Versions
- Power Plant Reliability Act of 2025 — issued 2025-12-16 — PDF (10 pages)
- Power Plant Reliability Act of 2025 — issued 2025-05-29 — PDF (8 pages)
- Power Plant Reliability Act of 2025 — issued 2025-12-17 — PDF (8 pages)
- Power Plant Reliability Act of 2025 — issued 2025-09-23 — PDF (10 pages)