Bipartisan Senate agreement targets lengthy reviews for energy projects

Four Senate energy and environment leaders say they have reached a bipartisan agreement to accelerate federal permitting for energy and infrastructure projects. The proposal would limit some legal challenges, ease transmission-line siting and require data centers to cover related grid costs, but environmental groups warn it could weaken protections.
Senators from both parties said Wednesday they had reached an agreement on legislation to speed permitting reviews for energy and infrastructure projects facing lengthy delays. The proposal is intended to help meet rising electricity demand, including demand from data centers supporting artificial intelligence. Its supporters say the measure would shorten the time needed to build energy projects while retaining important environmental protections.
Republican Sen. Shelley Moore Capito of West Virginia and Republican Sen. Mike Lee of Utah joined Democratic Sens.
Martin Heinrich of New Mexico and Sheldon Whitehouse of Rhode Island in announcing the agreement. The senators lead the chamber’s energy and environment panels. The bill would limit legal challenges under the National Environmental Policy Act and restrict some challenges under the National Historic Preservation Act.
It would also ease the siting of interstate transmission lines and strengthen the Federal Energy Regulatory Commission’s authority to review major projects alongside state reviews. Data centers would be required to pay all associated transmission costs. Heinrich said that provision would prevent the expense of grid upgrades needed for new power demand from being shifted to families and businesses.
A Senate vote is not expected until after the midterm elections. Lee said he was confident the measure could pass during a lame-duck session in November, citing support from both parties as well as business and environmental groups. Democratic senators said questions remained about whether the bill would prevent President Donald Trump’s administration from blocking wind and solar projects.
Whitehouse and Heinrich have criticised administration actions affecting offshore wind developments. The White House said the legislation would lower energy and housing costs, encourage construction and create jobs. Brad Campbell of the Conservation Law Foundation opposed the agreement, saying it appeared to favour the fossil-fuel industry.
He argued that it could weaken clean-water and endangered-species safeguards, limit judicial review and reduce the authority of federal and state regulators.
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