The Senate on Monday advanced a bipartisan bill aimed at speeding up the permitting process for energy infrastructure and other major projects.
Senators voted 73-25 to invoke cloture on a motion to proceed to the Bipartisan American Affordability and Jobs Act. The measure would shorten federal environmental reviews under laws including the National Environmental Policy Act, the Clean Water Act, and the Endangered Species Act.
The legislation sets a one-year deadline for environmental assessments and a two-year limit for full environmental impact statements. It also limits the window for lawsuits challenging federal permits to 150 days.
Key provisions require large data centers to cover the full costs of grid upgrades triggered by their operations. Sponsors say the changes will help meet surging electricity demand while holding hyperscale operators accountable.
The bill emerged from negotiations among Sens. Shelley Moore Capito of West Virginia, Mike Lee of Utah, Martin Heinrich of New Mexico, and Sheldon Whitehouse of Rhode Island. President Donald Trump has endorsed the package.
Proponents argue the reforms will lower energy costs for families and businesses by reducing years-long delays in project approvals. They point to estimates that the bill could generate substantial economic output and support wage growth.
The vote marks the first major legislative action in the lame-duck session following last week's midterm elections. Debate on amendments and final passage is expected later this week.
Some Democrats and environmental groups have raised concerns about reduced protections, while labor unions and industry associations from both clean energy and traditional sectors have voiced support.
The package expands state roles in transmission planning and adds requirements for tribal consultation in an effort to address earlier objections.
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