,i #aacth ,,congress #ast ,session ,h4 ,r4 #bgfb ,,in ,,the ,,house ,,of ,,representatives ,july #ai1 #bjac ,mr4 ,sensenbrenner introduced the following bill2 which was referred to the ,committee on ,energy and ,commerce ,a ,,bill ,to amend the ,federal ,power ,act to establish a regional transmission planning process1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,powering ,america for ,tomorrow ,act4 #b4 ,amendment of the ,federal ,power ,act ,section #baf of the ,federal ,power ,act 7#af ,u4,s4,c4 #hbdp7 is amended as follows3 7#a7 ,by amending the section heading to read as follows3 ,regional transmission plans for the interstate transmission system4 7#b7 ,by striking subsection 7i7 and redesignating subsections 7j7 and 7k7 as subsections 7k7 and 7l71 respectively4 7#c7 ,by redesignating subsections 7d7 through 7h7 as subsections 7f7 through 7j71 respectively4 7#d7 ,by striking subsections 7a71 7b71 and 7c7 and inserting the following3 7a7 ,purposes ,the purposes of this section are as follows3 7#a7 ,to ensure electric reliability1 fuel diversity1 and wholesale power price stability across the electric transmission grid4 7#b7 ,to reinforce1 strengthen1 and enhance electric transmission infrastructure as an integrated network system4 7#c7 ,to facilitate the development of clean energy resources that cannot be located near an existing transmission facility or load center4 7#d7 ,to assist ,states and electric energy service providers in meeting the requirements of applicable renewable portfolio standards4 7#e7 ,to take maximum advantage of smart grid technologies to promote electric grid improvements1 energy efficiency1 and demand response4 7#f7 ,to coordinate regional planning and local siting of interstate high-voltage electric transmission systems4 7b7 ,definitions ,in this section3 7#a7 ,the term bulk-power system has the meaning given such term in section #bae7;a77#a74 7#b7 ,the term designated region means a region designated under subsection 7c77#a74 7#c7 ,the term ,electric ,reliability ,organization has the meaning given such term in section #bae7;a77#b74 7#d7 ,the term ,interconnection has the meaning given such term in section #bae7;a77#e74 7#e7 ,the term regional entity has the meaning given such term in section #bae7;a77#g74 7#f7 ,the term regional transmission plan means a comprehensive plan required under subsection 7c77#c7 for the development of the interstate electric transmission system in a designated region4 7#g7 ,the term regional transmission planner means a person or entity approved under subsection 7c77#b7 to develop and maintain a regional transmission plan required under this section4 7#h7 ,the term regional transmission project means an overhead or underground transmission facility1 consisting of conductors or cables1 towers1 manhole duct systems1 phase shifting transformers1 reactors1 capacitors1 substations1 and any ancillary facilities and equipment necessary for the proper operation of the facility-- 7,a7 that-- 7i7 operates at or above a voltage of-- 7,i7 #bcj kilovolts alternating current2 or 7,,ii7 #cjj kilovolts direct current2 7ii7 is a very high current conductor or superconducting cable that operates at or above a power equivalent to the power of a conventional transmission cable operating at or above #bcj kilovolts alternating current or #cjj kilovolts direct current2 or 7iii7 is a renewable feeder line2 and 7,b7 that is included in a regional transmission plan submitted to the ,commission under subsection 7c77#c74 7#i7 ,the term renewable feeder line means a transmission line that-- 7,a7 operates at or above a voltage of #ajj kilovolts2 and 7,b7 is identified in a regional transmission plan submitted to the ,commission under subsection 7c77#c7 as a facility that is to be developed to facilitate collection of electric energy produced by renewable energy4 7c7 ,regional transmission plans 7#a7 ,designation of regions ,not later than #ab months after the date of enactment of this subsection1 the ,commission1 in consultation with the ,electric ,reliability ,organization1 regional entities1 ,transmission ,organizations1 transmission owners1 ,state regulatory authorities of the ,states comprising the ,eastern ,interconnection1 and ,state regulatory authorities of the ,states comprising the ,western ,interconnection1 shall designate one or more regions within the ,eastern ,interconnection and one or more regions within the ,western ,interconnection1 to be represented by regional transmission planners approved under paragraph 7#b74 ,in determining the appropriate size and scope of a region1 the ,commission shall consider the optimal scope needed to ensure comprehensive regional transmission planning and operational efficiency1 the size and scope of existing ,regional ,transmission ,organizations and operating bulk-power systems1 and methods for interregional coordination agreements to ensure a sufficiently broad regional transmission planning process4 7#b7 ,regional transmission planners 7,a7 ,application and approval ,any person or entity1 including a ,regional ,transmission ,organization or other regionally based planning entity with an established regional transmission planning process1 as determined by the ,commission1 may submit an application to the ,commission for approval as the regional transmission planner for a designated region4 ,not later than #ah months after the designation of a region under paragraph 7#a71 the ,commission shall approve one such regional transmission planner for each such designated region to develop and maintain a regional transmission plan required under this section4 7,b7 ,consideration ,in approving a regional transmission planner under subparagraph 7,a71 the ,commission shall consider the existing or reasonably anticipated capabilities of any regionally based planning entity described in such subparagraph in regional transmission planning4 7,c7 ,contents of application ,an applicant entity shall include in an application for approval as the regional transmission planner for a designated region the operating procedures of such applicant entity and any method such applicant entity will use to adhere to the requirements for a regional transmission planning process described in paragraph 7#e74 7,d7 ,compliance ,the ,commission may review the compliance of a regional transmission planner approved under subparagraph 7,a7 with the requirements of this section and any regulations thereunder4 ,if the ,commission finds such a regional transmission planner has failed or is failing to comply with such requirements or regulations1 the ,commission may revoke the approval of such regional transmission planner for a designated region and accept applications for a new regional transmission planner for such region to be approved in accordance with this section4 7#c7 ,regional transmission plan required ,not later than #b years after the approval of a regional transmission planner under paragraph 7#b71 and every #b years thereafter1 such regional transmission planner shall submit to the ,commission an initial or updated regional transmission plan that meets the requirements of this section4 ,the ,commission shall ensure that each such plan is the result of a planning process that adhered to the requirements for a regional transmission planning process described in paragraph 7#e74 ,the ,commission shall make all regional transmission plans submitted available to the public4 7#d7 ,regional transmission plan design ,a regional transmission plan required under this section shall1 with respect to a designated region-- 7,a7 be designed to-- 7i7 maintain and enhance the economic1 reliability1 and energy security benefits of the regional electric transmission system1 including remediation of electric grid congestion2 and 7ii7 anticipate and facilitate development of electric energy generation from diverse energy resources2 and 7,b7 consider whether proposals to expand and upgrade high voltage electric transmission in the designated region and across the boundaries of the designated region will minimize congestion and promote service reliability1 market integration and efficiency1 economic development1 deployment of smart grid technologies1 lowest cost delivered electric energy at wholesale1 and the goals of applicable renewable portfolio standards4 7#e7 ,regional transmission planning process ,the ,commission shall ensure each regional transmission planning process conducted by a regional transmission planner is consistent with the purposes of this section4 ,the ,commission shall ensure any such planning process-- 7,a7 is non-discriminatory1 independent1 and conforms with the planning standards of ,commission ,order ,no4 #hij or any successor order2 7,b7 solicits and considers the input of local and ,state policymakers1 transmission facility owners and electric utilities1 and market participants2 7,c7 is sufficiently broad in geographic and market scope to produce economic and operational efficiencies2 7,d7 is designed to meet the need for the timely construction or modification of regional transmission projects2 and 7,e7 takes into account-- 7i7 all applicable laws and regulations governing the procurement of electric energy generation2 7ii7 the potential effect on the future operation of the electric transmission system or on the regional transmission plan of rejection or withdrawal of a proposed regional transmission project2 7iii7 the development of transmission facilities for which a completed application for authorization has been filed and accepted by a ,state regulatory authority or other applicable authority before the date of submission of a regional transmission plan under paragraph 7#c7 but not originating from the planning process2 7iv7 the availability of non-transmission resources such as opportunities for energy efficiency1 demand response1 enhancements to economic dispatch1 distributed generation1 and installation of new control1 metering1 or capacity enhancement technologies2 and 7v7 the development of the interstate electric transmission system in the designated region for the #aj years after submission of a regional transmission plan under paragraph 7#c74 7#f7 ,transmitting utilities and ,power marketing administrations ,federal power marketing administrations and transmitting utilities in a designated region shall integrate their transmission plans with the regional transmission plans required by this section and shall otherwise participate in a regional transmission planning process by a regional transmission planner in accordance with this section4 7#g7 ,commission activities ,if no regional transmission planner for a designated region is approved under paragraph 7#b71 or in the event that an approved regional transmission planner does not timely submit a regional transmission plan as required under paragraph 7#c71 the ,commission shall designate a planner or undertake the planning activities described in this subsection for the designated region concerned and develop such a plan for such designated region expeditiously1 in consultation with ,state regulatory authorities1 as applicable1 for all affected ,states or areas1 the ,electric ,reliability ,organization1 regional entities1 ,transmission ,organizations1 and transmission owners within the region1 as appropriate4 7#h7 ,cost ,allocation ,not later than #ah months after the date of enactment of this paragraph1 the ,commission shall1 by rule1 require that all regional high voltage electric transmission cost allocation processes and methodologies adhere to a clear and consistent set of regulatory principles1 including1 as appropriate1 that the costs of siting and the construction or modification of transmission facilities shall be allocated consistent with the range and distribution of benefits within the designated region that are provided by such facilities1 the use of the transmission system1 or with other equitable and economic considerations4 ,in issuing a rule under this paragraph1 the ,commission shall consider regional cost allocation processes and methodologies being developed or in existence as of the date of enactment of this paragraph4 7#i7 ,plan coordination ,the ,commission shall require regional transmission planners to coordinate planning across regional boundaries within an ,interconnection in order to achieve the purposes of this section4 7d7 ,certificate of public convenience and necessity 7#a7 ,proposed finding of public convenience and necessity by regional transmission planner 7,a7 ,inclusion of proposed finding in regional transmission plan ,as part of a regional transmission plan submitted to the ,commission under subsection 7c77#c71 a regional transmission planner may identify a regional transmission project or projects that such regional transmission planner finds1 based on the record of the regional transmission planning process1 is required by1 and consistent with1 the public convenience and necessity4 7,b7 ,public convenience and necessity certificate request ,a regional transmission planner may submit to the ,commission a request to issue a certificate of public convenience and necessity for a regional transmission project identified in a regional transmission plan submitted under subsection 7c77#c74 ,such request shall include a summary of the record developed for such project during the regional transmission planning process4 ,the request shall be based on whether such regional transmission project is or will be-- 7i7 necessary to ensure regional compliance with reliability standards or remedy violations of such reliability standards2 7ii7 necessary to provide significant relief from electric transmission congestion as measured by objective criteria1 including consideration of the total cost of congestion1 hours of congestion1 and the lack of feasible economic alternative means to relieve congestion2 7iii7 important to the diversification of energy supply throughout the designated region1 including by meeting the goals of applicable renewable portfolio standards2 or 7iv7 important to the development of smart grid technology that is consistent with the policy under title ,,xiii of the ,energy ,independence and ,security ,act of #bjjg 7#db ,u4,s4,c4 #agcha et seq474 7#b7 ,issuance of certificate of public convenience and necessity ,the ,commission may1 after notice and opportunity for hearing1 find that a regional transmission project is in the public convenience and necessity and issue a certificate of public convenience and necessity for the ownership and operation of such regional transmission project and the provision of any related services under the jurisdiction of the ,commission if the ,commission finds that-- 7,a7 a regional transmission planner included a proposed finding of public convenience and necessity for such proposed regional transmission project in one or more relevant regional transmission plans submitted to the ,commission under subsection 7c77#c72 7,b7 a regional transmission planner submitted a request for the issuance of such a certificate2 7,c7 the proposed regional transmission project will be used for the transmission of electric energy in interstate commerce2 7,d7 the proposed regional transmission project is consistent with the public interest in terms of its engineering1 reliability1 and other economic characteristics and the purposes of this section2 and 7,e7 the proposed regional transmission project will maximize1 to the extent reasonable and economical1 existing rights-of-way and the transmission capabilities of existing towers and structures4 7#c7 ,considerations ,in issuing a certificate of public convenience and necessity under this subsection1 the ,commission shall give substantial deference to any proposed finding of public convenience and necessity by a regional transmission planner in a regional transmission plan submitted under subsection 7c77#c74 7#d7 ,multiple projects ,the ,commission may treat multiple proposed regional transmission projects in any regional transmission plan as separate for purposes of determining whether a certificate of public convenience and necessity should be issued under this subsection4 7#e7 ,certificate applications ,the ,commission shall issue rules specifying-- 7,a7 the form of the application for a certificate of public convenience and necessity under this subsection2 and 7,b7 the information to be contained in such application4 7#f7 ,environmental review 7,a7 ,proposed finding by regional transmission planner ,a proposed finding by a regional transmission planner of public convenience and necessity regarding a regional transmission project is excluded from review under the ,national ,environmental ,policy ,act of #aifi 7#db ,u4,s4,c4 #dcba et seq471 provided an environmental assessment or environmental impact statement is required to be prepared by the ,commission under such ,act4 7,b7 ,consideration by ,commission ,in determining whether a certificate of public convenience and necessity should be issued under this subsection1 the ,commission may consider1 wholly or in part1 any draft environmental analysis conducted by a regional transmission planner or relevant transmission provider and issued by the regional transmission planner4 7e7 ,siting authority 7#a7 ,exclusive ,state siting authority ,a ,state shall retain exclusive authority over the siting of any transmission facility that is not a part of a regional transmission project for which a certificate of public convenience and necessity has been issued under subsection 7d77#b74 7#b7 ,federal siting authority ,the ,commission may1 after notice and an opportunity for hearing1 issue one or more permits for the construction or modification of a transmission facility if the ,commission finds that-- 7,a7 the transmission facility was identified as part or all of a regional transmission project for which a certificate of public convenience and necessity has been issued under subsection 7d77#b72 7,b7 at least one ,state in the designated region for which such regional transmission project is identified has approved the siting of such transmission facility2 and 7,c7 7i7 a ,state in which such transmission facility is to be sited does not have authority to-- 7,i7 approve the siting of the facility2 or 7,,ii7 consider the interstate benefits expected to be achieved by the proposed siting of the transmission facility in the ,state2 7ii7 the applicant for a permit is a transmitting utility but does not qualify to apply for a permit for such transmission facility in a ,state in which such transmission facility is to be sited because the applicant does not serve end-use customers in the ,state2 or 7iii7 a ,state commission or other entity that has authority to approve the siting of such transmission facility-- 7,i7 did not issue a decision on an application seeking approval for the siting of the facility within #a year after the date on which the applicant submitted a completed application to the ,state commission or other authority2 7,,ii7 denied a complete application seeking approval for the siting of the transmission facility without proposing an alternate site2 or 7,,iii7 authorized the siting of the facility subject to conditions that unreasonably interfere with the siting of the transmission facility4 4 7#e7 ,in subsection 7f71 as redesignated by paragraph 7#c71 by striking subsection 7b7 and inserting subsection 7e74 7#f7 ,in subsection 7g71 as redesignated by paragraph 7#c71 by striking subsection 7b7 and inserting subsection 7e74 7#g7 ,in subsection 7h71 as redesignated by paragraph 7#c71 by striking subsection 7e7 and inserting subsection 7g74 7#h7 ,in subsection 7k77#b71 as redesignated by paragraph 7#b71 by striking ,subsection 7h77#f7 and inserting ,subsection 7j77#f74 7#i7 ,by amending subsection 7l71 as redesignated by paragraph 7#b71 to read as follows3 7l7 ,applicability ,this section applies only to ,states located in the ,western ,interconnection and ,states located in the ,eastern ,interconnection and does not apply to the ,states of ,alaska or ,hawaii1 or to areas under the authority of the ,electric ,reliability ,council of ,texas4 4