The US House of Representatives passed the Ratepayer Protection Act on September 16, 2026, in a 417 to 3 vote, advancing a bipartisan effort to prevent data centers and other large power users from shifting grid and generation costs onto residential customers. Representative Gabe Evans of Colorado and Representative Kathy Castor of Florida led the bill as primary co-sponsors.

The legislation directs state utility regulators and unregulated utilities to consider adopting standards for electricity loads larger than 100 megawatts, a threshold that covers most large data center campuses. States would have one year after passage to begin considering whether to adopt large load tariffs or service requirements, with a two year deadline for a final decision.

The bill requires large loads to provide financial assurances before utilities make grid upgrades on their behalf, and it guarantees cost recovery if a large customer exits its power contract early. It also extends cost recovery principles to cover the full incremental cost of any generation, transmission, or distribution upgrade needed to serve a large load customer, a provision analysts say could add years to some data center construction timelines.

Research firm ClearView Energy Partners said the bill is unlikely to pass the Senate before the November midterm elections and would mainly reinforce a shift already underway, since most states have adopted or are considering their own large load tariff rules. Only 13 states currently lack such tariffs, according to a database maintained by the Smart Electric Power Alliance.

Source: Utility Dive - https://www.utilitydive.com/news/house-passes-ratepayer-protection-bill-data-centers/830658/