Skip to main content
SENATE · 119TH CONGRESS
PendingNEVER CALLED UPADDS A SECTION

Set new grid connection and cost rules for data centers

S.Amdt. 6840 to H.R. 9340, Ratepayer Protection Act. Offered by Sen. Chris Van Hollen (D-MD).

—NO VOTE YETNot called upNOT OFFERED ON THE FLOOR
  1. FILEDSEP 29, 2026
  2. CALLED UPNOT YET
  3. DECIDEDNOT YET
YOUR TAKEShould it be adopted?
WHAT IT WOULD CHANGE

In plain English

WHAT IT DOES

Requires FERC to create data-center grid-connection queues favoring centers that provide low-carbon power, storage or flexible use and meet labor standards, and to assign centers their local transmission upgrade costs. Adds state rate-class aid and demand-forecasting rules.

IF ADOPTED

Data centers would face new conditions and possible delays before connecting, pay for local grid upgrades, and provide information for forecasts; states could get help setting rates that keep their costs off other customers.

WORTH KNOWING
  • Effect depends on parent bill. Even if this amendment is adopted, it only takes real-world effect if the parent bill ultimately becomes law. Most bills don't.

SUMMARY WRITTEN FROM THE AMENDMENT TEXT AND ITS STATED PURPOSE · REPORT AN ERROR

THE TEXT, AS A REDLINESTRUCKINSERTED
STRUCKINSERTED
Redesignate section 2 as section 4. Insert after section 1 the following:SEC. 2. SENSE OF CONGRESS. It is the sense of Congress that-- (1) because of current energy policies and electricity market structures, households and businesses are subsidizing data center development, paying the way for data centers through rising energy bills; (2) recent analysis indicates that data centers are set to more than double their electricity consumption, accounting for 6.7 percent to 12 percent of all energy demand by 2028, which is causing electricity prices to increase for ratepayers; (3) ratepayers should not be forced to take on the financial risks and costs of new infrastructure investments needed to support projected data center energy demands; (4) data center owners and operators should be held accountable for the increased energy costs that data centers are causing; (5)(A) the uniquely large size, rapidly increasing pace, and uncertain nature of projected energy demand from data centers are impacting both grid reliability and the affordability of electricity; (B) energy demand from data centers is also significantly impacting interstate commerce by putting a strain on the electric grid and causing reliability issues and energy costs to rise across State lines; and (C) therefore, increased Federal oversight is necessary to ensure that the interconnection of data centers to the electric grid does not create reliability or affordability risks; (6) data centers directly affect the transmission system and can increase transmission costs, regardless of whether they are connected directly to transmission facilities; (7) any policy solutions seeking to hold data center owners and operators accountable as described in paragraph (4) should also seek to minimize the climate and environmental impacts of data center development while creating good-paying jobs; (8) the Commission has authority, pursuant to the mandates to ensure just and reasonable and not unduly discriminatory rates (as established under sections 205 and 206 of the Federal Power Act (16 U.S.C. 824d, 824e) (including the standards developed under those sections)) and grid reliability (as established under section 215 of that Act (16 U.S.C. 824o) (including the standards developed under that section)), to require grid operators to create “load queues” for data centers that incentivize certain practices, including payment for required system upgrades and voluntary load flexibility; (9) grid operators, as part of their mandate to provide reliable transmission service, have the authority to create load queues specific to data centers that delay or deny interconnection in order to ensure reliability, and it is not “unduly discriminatory” to do so under the Federal Power Act (16 U.S.C. 791a et seq.) because data centers, as a single customer class, constitute enough new load to overwhelm the electric grid if their interconnection to the electric grid is left unchecked; and (10)(A) some States are implementing processes to create rate classes specific to data centers, which are necessary to protect ratepayers from unfair costs and unnecessary risk, given the uncertain nature of data center energy demand projections and the high costs associated with the energy demands of data centers; and (B) rate classes specific to data centers should be adopted more broadly across all States to help ensure that, across the United States, energy system cost increases caused by data centers are paid for by data center owners and operators. SEC. 3. DEFINITIONS. In this Act: (1) Commission.--The term “Commission” means the Federal Energy Regulatory Commission. (2) Covered interconnection entity.--The term “covered interconnection entity” means-- (A) an Independent System Operator (as defined in section 3 of the Federal Power Act (16 U.S.C. 796)); (B) a Regional Transmission Organization (as defined in that section); and (C) a transmitting utility (as defined in that section) that is responsible for managing data center load interconnection requests (or the appropriate regional grid planning entity for the transmitting utility (as determined by the Commission)). (3) Data center.--The term “data center” means any facility, or group of facilities with the same owner located in the same utility area, that-- (A) primarily contains electronic equipment used to host information and information systems accessed by other systems or by users on other devices both in and outside of the State in which the facility or group of facilities is located; (B) may be-- (i) a free-standing structure; or (ii) a facility that-- (I) is within a larger structure; and (II) uses environmental control equipment to maintain the proper conditions for the operation of electronic equipment; (C) has an energy demand greater than 50 megawatts; (D) meets such other criteria as the Commission determines to be appropriate for purposes of this Act, including anticircumvention provisions; and (E) is not owned by the Federal Government. (4) Data center load queue.--The term “data center load queue” means a load queue that-- (A) relates specifically to data center load interconnection requests; or (B) relates to requests made by distribution utilities or load-serving entities (as those terms are defined in section 217(a) of the Federal Power Act (16 U.S.C. 824q(a))) to study impacts on the transmission system caused by the interconnection of data centers. (5) Data center owner or operator.--The term “data center owner or operator” means any person, including a corporation, that owns, builds, or operates a data center. (6) Facility used to mine cryptocurrency.--The term “facility used to mine cryptocurrency” means any facility, or group of facilities with the same owner located in the same utility area, that-- (A) is used to mine or create cryptocurrencies or other blockchain-based digital assets; (B) may be-- (i) a free-standing structure; or (ii) a facility that-- (I) is within a larger structure; and (II) uses environmental control equipment to maintain the proper conditions for the operation of electronic equipment; and (C) meets such other criteria, such as a minimum peak electricity demand, as the Commission determines to be appropriate for purposes of this Act. (7) Labor organization.--The term “labor organization” has the meaning given the term in section 2 of the National Labor Relations Act (29 U.S.C. 152). (8) Labor peace agreement.--The term “labor peace agreement” means a written agreement between an employer and a labor organization through which the employer guarantees that-- (A) the employer will be neutral regarding any of the employees of the employer seeking to be represented by the labor organization; and (B) if employees seek to be represented by a labor organization, the employer shall recognize the labor organization as the exclusive bargaining representative on a showing that a majority of the employees choose to be represented by the labor organization. (9) Load growth.--The term “load growth” means increasing demand for electricity. (10) Load interconnection request.--The term “load interconnection request” means the request of a data center owner or operator to connect, or study the feasibility of connecting, a data center to the electric grid, whether at the transmission or distribution level. (11) Organic load growth.-- (A) In general.--The term “organic load growth” means load growth that is attributable to increases in demand associated with economic or population growth, including with respect to hospitals, educational institutions, advanced manufacturing facilities, residential homes, electric vehicles, and other facilities, as determined by the Commission. (B) Exclusion.--The term “organic load growth” does not include load growth that is attributable to-- (i) data centers; or (ii) facilities used to mine cryptocurrency. (12) Project labor agreement.--The term “project labor agreement” means a pre-hire collective bargaining agreement with 2 or more labor organizations of which building and construction employees are members that-- (A) establishes the terms and conditions of employment for a specific construction project; and (B) is an agreement described in subsections (e) and (f) of section 8 of the National Labor Relations Act (29 U.S.C. 158). (13) Qualifying battery energy storage system.--The term “qualifying battery energy storage system” means a utility-scale battery energy storage system that is connected to the electric grid and paid for by a data center owner or operator, including through a power purchase agreement or other bilateral contract, regardless of whether the battery energy storage system is onsite or offsite with respect to the data center. (14) Qualifying load flexibility agreement.--The term “qualifying load flexibility agreement” means an agreement between a covered interconnection entity and 1 or more data center owners or operators-- (A) that-- (i) is implemented by the covered interconnection entity; and (ii) complies with the minimum standards and guidelines established by the Commission under section 5(c); and (B) pursuant to which-- (i) data centers may be interrupted by the covered interconnection entity; and (ii) to the extent that the covered interconnection entity determines that load shedding, curtailments, or other grid protection is needed, data center service interruptions shall occur-- (I) before service interruptions for other grid users; and (II) before emergency conditions occur, as defined in the emergency procedures established by the interconnection entity. (15) Registered apprenticeship program.--The term “registered apprenticeship program” means an apprenticeship program registered under the Act of August 16, 1937 (commonly known as the “National Apprenticeship Act”) (50 Stat. 664, chapter 663; 29 U.S.C. 50 et seq.), that meets the standards of parts 29 and 30 of title 29, Code of Federal Regulations (as in effect on the date of enactment of this Act). (16) Secretary.--The term “Secretary” means the Secretary of Energy.Insert after section 4 (as so redesignated) the following:SEC. 5. DATA CENTER LOAD QUEUES. (a) In General.--Not later than 180 days after the date of enactment of this Act, the Commission shall issue a rule requiring all covered interconnection entities to create, for the purpose of addressing reliability and affordability concerns from new data center loads, regardless of whether those loads are connecting directly to the transmission system or through a distribution utility, a data center load queue system-- (1) that gives priority for interconnection to data centers (including data center owners and operators) that, by implementing each of the strategies described in subsection (b), offset their electricity demand on the electric grid, reducing costs for all ratepayers, while also mitigating local air and noise pollution and providing good-paying job opportunities; and (2) pursuant to which data centers are connected to the electric grid in a manner that does not interfere with serving organic load growth, which may include delaying or denying interconnection for a data center if the applicable covered interconnection entity determines that such interconnection is likely to adversely affect-- (A) the reliability or resource adequacy of the electric grid; or (B) the affordability of electricity or electric capacity for users of the electric grid that are not data centers. (b) Strategies Described.--The strategies referred to in subsection (a)(1) are the following: (1) Bringing new, additional supply resources to the electric grid that-- (A) are designated for the service of, and paid for by, the data center owner or operator, including through a power purchase agreement or another bilateral contract; (B) are deliverable to the location where the new data center is interconnecting; (C) are maintained for the lifetime of the data center; (D) have at least enough capacity--… (text continues; see the full text)
Full text on Congress.gov ↗
WHERE IT SITS IN THE BILL

One of 4 Senate amendments filed to H.R. 9340

AMENDMENT TREE
  1. H.R. 9340 · BILLRatepayer Protection Act
  2. S.Amdt. 6840 · FIRST DEGREESet new grid connection and cost rules for data centers

An amendment can amend the bill or another amendment. A substitute replaces the whole bill text; amendments to it are “first degree”, and amendments to those are “second degree”.

AMENDMENTS TO H.R. 9340FILED4ROLL CALL0ADOPTED0All amendments to H.R. 9340 →
THE BILL · H.R. 9340

Passed the House; the Senate has not passed it yet. Latest action Sep 30, 2026.

THE VOTE

Why there’s no roll call

Not called up yet

Senators can file amendments at the desk at any time, but one is debated and voted on only if it is formally called up on the floor, which usually takes an agreement with the leaders. Most filed amendments end this way.

YOUR TAKEShould it be adopted?
WHO’S BEHIND IT

Sponsor and cosponsors

SPONSORSen. Chris Van HollenDEMOCRAT · MD
120
FILED THIS CONGRESSFILED
6
GOT A ROLL CALLGOT A VOTE
0
ADOPTEDADOPTED

Senate median this Congress: 39 filed, 1 adopted.

COSPONSORS5All Democrats
WHERE IT SITS IN THE BILL

One of 4 Senate amendments filed to H.R. 9340

AMENDMENT TREE
  1. H.R. 9340 · BILLRatepayer Protection Act
  2. S.Amdt. 6840 · FIRST DEGREESet new grid connection and cost rules for data centers
How to read the tree

An amendment can amend the bill or another amendment. A substitute replaces the whole bill text; amendments to it are “first degree”, and amendments to those are “second degree”.

AMENDMENTS TO H.R. 9340FILED4ROLL CALL0ADOPTED0
THE BILL · H.R. 9340STAGE 2 OF 5 · PASSED HOUSE

Passed the House; the Senate has not passed it yet. Latest action Sep 30, 2026.

OTHER AMENDMENTS TO H.R. 9340

All 4 amendments to H.R. 9340← All amendments

SOURCE: CONGRESS.GOV AMENDMENT ACTIONS AND TEXT; SENATE.GOV ROLL CALLS · S.Amdt. 6840 on Congress.gov ↗

READERS · 0 COMMENTS

What readers think

Discussion

Loading comments...