A bill to require the Federal Energy Regulatory Commission to extend the time period during which licensees are required to commence construction of certain hydropower projects.
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This law lets the Federal Energy Regulatory Commission grant hydropower licensees with pre-2020 licenses up to six additional years, beyond the eight years already allowed, to begin construction on their projects.
It also allows FERC to reinstate certain hydropower licenses that had already expired between January 2024 and the law's enactment, effective retroactively to their expiration date.
What this law does
What it does
The law authorizes the Federal Energy Regulatory Commission (FERC) to extend, upon a licensee's request and for good cause, the deadline to begin construction on hydropower projects licensed before March 13, 2020. The extension can add up to six years beyond the eight years FERC could already grant under the Federal Power Act, structured as no more than three consecutive two-year periods, starting when the licensee's final extension under existing law would otherwise expire. The law also lets FERC reinstate a covered project's license if its construction deadline expired after December 31, 2023, and before this law's enactment, with the reinstatement and new extension taking effect retroactively as of the license's expiration date. The law applies only to projects licensed before March 13, 2020, and does not change deadlines for newer licenses.
Key provisions
- 1Authorizes FERC to extend the construction commencement deadline for pre-March 13, 2020 licensees by up to six years beyond the existing eight-year limit.
- 2Requires any extension to consist of no more than three consecutive two-year periods, beginning when the licensee's final extension under current law expires.
- 3Allows FERC to reinstate a covered project's license, effective as of its expiration date, if the construction deadline expired between December 31, 2023 and the law's enactment.
Who is affected
Hydropower project licensees who received their FERC license before March 13, 2020, and are at risk of missing or already missed their construction start deadline, along with the Federal Energy Regulatory Commission, which administers the extension and reinstatement process.
Why it matters
Licensees facing construction delays gain extra time to secure financing, permits, or resolve other obstacles without losing their federal hydropower license, and those whose licenses already lapsed can potentially have them restored. This avoids forcing affected projects to restart the multi-year federal licensing process from scratch.
What changed
Changes to existing law
Amends Federal Power Act, 16 U.S.C. § 806 (Section 13) (Sec. 1(b)-(c))
Notwithstanding the existing 8-year construction commencement limit, allows FERC to grant an additional up to 6 years in three 2-year increments for pre-2020 licenses.
Agencies directed to act
Effective dates
- The whole Act
- Reinstatement of an expired covered license and its extension
How it works
FERC would act on individual requests from licensees of hydropower projects licensed before March 13, 2020, after providing reasonable notice and finding good cause. Approved extensions run in up to three consecutive two-year increments, capped at six years total, starting when the licensee's existing final extension expires. For projects whose licenses already lapsed between January 1, 2024 and enactment, FERC may separately reinstate the license retroactive to its expiration date and apply the new extension from that same date.
Legislative status & sources
Latest action
Became Public Law No: 119-90.
Official CRS summary
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This act authorizes the Federal Energy Regulatory Commission (FERC) to extend construction deadlines for hydropower projects that were issued a license before March 13, 2020. FERC is authorized, upon the request of the licensees, to extend the deadline for beginning construction on such projects an additional six years beyond the eight-year extension FERC is authorized to provide under current law. The extension must consist of no more than three consecutive two-year periods.
The act also provides that FERC may reinstate certain expired licenses for projects with construction deadlines extended under this act, effective as of the date they expire.
Legislative subjects
Alternative and renewable resources; Dams and canals; Electric power generation and transmission; Energy; Infrastructure development; Licensing and registrations