# NRDC Evaluates Bipartisan American Affordability and Jobs Act of 2026 The proposed legislation balances critical grid modernization with controversial rollbacks of core environmental protections. - **Source:** [CleanTechnica](https://cleantechnica.com) - **Published:** 2026-11-07 - **Topic:** [Business](https://brifing.si/c/business) - **Original article:** - **On Brifing:** https://brifing.si/s/6691d682-9a65-4d80-b560-232c9c3f33fb ## Legislative Reform Overview The Bipartisan American Affordability and Jobs Act of 2026, or BAAJA, represents a complex legislative effort to reform energy permitting. It combines essential grid modernization measures with significant changes to federal environmental laws. The NRDC is currently evaluating these provisions, weighing the benefits of transmission upgrades against potential risks to environmental oversight. ## Grid Modernization Benefits The bill aims to update the aging power grid by accelerating the deployment of new transmission lines. By streamlining procedures, the legislation could reduce construction timelines from ten years to five or six. These reforms are crucial for integrating clean energy sources and meeting rising electricity demand from data centers nationwide. ## Advanced Transmission Technologies Utilities will be required to upgrade existing lines using advanced technologies when benefits exceed costs. This approach can increase capacity and efficiency significantly, often at a fraction of the cost of building new infrastructure. Such measures could potentially free up over 100 gigawatts of capacity, enough to power 75 million American homes. ## Interregional Planning Framework The legislation mandates that neighboring grid regions plan interregional transmission jointly and establish cost-allocation methods. This addresses a long-standing failure to build major cross-regional lines since the 2011 FERC order. By codifying elements of the 2024 Order 1920, the bill creates a more durable framework for national energy connectivity. ## Data Center Pricing Rules To protect utility customers, the bill directs FERC to establish new pricing rules for data centers consuming 20 megawatts or more. These rules prevent the shifting of transmission costs to other ratepayers. Data centers must also provide financial assurance, ensuring they cover the grid impacts caused by their rapid energy growth. ## Geothermal Energy Provisions The bill includes reforms to increase permitting efficiency for geothermal energy development. However, these provisions also expand Section 390 categorical exclusions, allowing significant drilling on public lands without environmental review. This creates a trade-off between accelerating clean energy deployment and maintaining necessary oversight of industrial activities on federal protected lands. ## Project Certainty Concerns The bill introduces 'project certainty' language intended to prevent arbitrary project cancellations. Critics argue this could inadvertently lock in preferential treatment for fossil fuel, mining, and data center projects. Furthermore, these provisions might limit agencies' ability to address newly discovered environmental harms or enforce future pollution regulations under the Clean Air Act. ## Financial Liability Risks Companies could sue the government for permit modifications, potentially forcing taxpayers to cover litigation costs and project delays. The bill allows for additional payments of 25 to 50 percent of project costs to developers. Such payouts could reach billions of dollars, creating significant financial risks for the federal government and taxpayers. ## Environmental Law Weakening The legislation narrows environmental review across core statutes, including the Clean Water Act and the Endangered Species Act. By restricting courts' ability to stop projects proceeding under unlawful permits, the bill erodes fundamental protections. These changes diminish state and Tribal authority, potentially allowing construction to continue despite ongoing legal or environmental violations. ## Tribal Authority Limitations The bill curtails the rights of Tribes enshrined in Section 106 of the National Historic Preservation Act. It limits Tribal participation in decisions regarding federally connected projects, hindering their ability to protect culturally significant lands. This reduction in oversight raises concerns about the impact on local communities and their ancestral heritage sites. ## Political Context and Impact The backdrop includes the Trump administration's ongoing opposition to clean energy tax incentives and climate standards. NRDC analysis suggests these actions could double power sector carbon emissions over the next decade. Lawmakers are urged to seek tangible evidence of policy shifts before voting on this legislation, given the potential for long-term damage. ## Future Legislative Outlook While the NRDC supports the transmission and interconnection reforms, the bill remains deeply flawed due to its environmental rollbacks. The organization intends to seek improvements in the coming weeks. A final position on the legislation will be determined before the floor vote, reflecting the balance between grid necessity and environmental integrity. ## Sources covering this story - https://cleantechnica.com/2026/11/06/nrdc-assessment-of-baaja-the-2026-permitting-transmission-bill/ — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._