Overview
- Federal regulators have told stakeholders they will issue final guidance on Docket RM26-4-000 by the end of June 2026 to change how facilities that draw more than 20 megawatts connect to the interstate grid.
- The proposed reforms borrow from a DOE October 2025 ANOPR that pushes co-location with generation, faster interconnection study timelines, and making requesting customers pay more of upgrade costs.
- FERC already directed PJM in December 2025 to create new transmission service options for data centers co‑located with power plants, and the Southwest Power Pool has won FERC approval for a High Impact Large Load framework.
- If the commission applies strict cost‑causation, developers of hyperscale AI sites and other large users could face higher upfront bills, which would change where projects are built and could raise local electricity costs.
- The order could shift federal and state roles over interconnection, invite legal challenges, and may still slip past the end of June deadline so the key items to watch are the cost‑allocation rules and the commission's assertion of jurisdiction.