Overview
- Sen. Tom Cotton introduced the DATA Act of 2026 to exempt “consumer‑regulated electric utilities” from Federal Power Act and DOE oversight if they operate entirely off the bulk power system.
- The exemption would also bypass PURPA and PUHCA requirements, but it ends if a facility connects to the grid, and projects would still need to meet environmental, zoning, and permitting laws.
- The bill is pitched as a workaround to multi‑year interconnection studies and decade‑long transmission build timelines, with more than 2,600 gigawatts now waiting in queues.
- The American Legislative Exchange Council released model state legislation to similarly exempt off‑grid arrangements, signaling parallel state‑level efforts.
- Supporters say isolating large loads keeps their costs and reliability risks off the public system, while utility experts warn the shift could threaten utility revenues and raise cost‑allocation concerns.