HB1381: HB1381 Public utilities; require grid modernization assessments to be filed with integrated resources plans

Georgia utilities currently file integrated resource plans (long-term projections of electricity demand and supply) with the Public Service Commission, but those plans do not have to specifically evaluate newer technologies that squeeze more capacity out of existing power lines. This bill changes Chapter 3A of Title 46 of the Official Code of Georgia to require that, starting with plans filed after July 1, 2026, utilities include a 'grid modernization assessment' identifying congested transmission corridors. For any new or expanded transmission line in that assessment, the utility must show it considered grid-enhancing technologies (software and hardware that boost the capacity of existing lines) or advanced reconductoring (replacing old wires with higher-capacity ones) before proposing new construction. The Public Service Commission could not approve a new high-voltage line unless the utility proves those alternatives cannot meet the need. Utilities could recover the full cost of installing these technologies through customer rates, and could keep 25 percent of verified savings from reduced congestion, with the rest credited back to ratepayers.

• Adds definitions for 'advanced reconductoring' and 'grid-enhancing technologies' (GETs) to Georgia's integrated resource planning law (O.C.G.A. Chapter 3A of Title 46).
• Requires utilities filing integrated resource plans after July 1, 2026 to include a grid modernization assessment identifying congested or soon-to-be-congested transmission corridors.
• Requires utilities proposing new or expanded transmission lines to show they evaluated grid-enhancing technologies or advanced reconductoring first and to justify why new construction is still needed.
• Bars the Public Service Commission from approving a new high-voltage transmission line unless the utility proves the capacity need cannot be met by these alternative technologies on existing rights of way.
• Allows utilities to fully recover the cost of installing grid-enhancing technologies and advanced reconductoring through base electric rates.
• Lets utilities keep 25 percent of verified annual savings from reduced line congestion achieved through these technologies, with the remaining 75 percent credited to customers.

The bill affects Georgia's electric utilities regulated by the Public Service Commission, most notably Georgia Power, along with the commission itself, which reviews resource plans and construction certificates, and ultimately electric ratepayers whose bills reflect the cost recovery and savings-sharing provisions.

If enacted, utilities would face new hurdles before building costly new transmission lines, potentially slowing or reshaping grid expansion plans while pushing wider use of technology that boosts existing line capacity. Ratepayers could see costs from these upgrades on their bills, but also a share of any congestion savings.

• Section 1 adds new defined terms, 'advanced reconductoring' and 'grid-enhancing technologies,' to the definitions section (O.C.G.A. § 46-3A-1).
• Section 2 amends O.C.G.A. § 46-3A-2 to require a grid modernization assessment in integrated resource plans filed after July 1, 2026, identifying congested transmission corridors.
• Section 2 also requires a technical and economic comparison justifying new transmission construction over grid-enhancing technologies or advanced reconductoring.
• Section 3 amends O.C.G.A. § 46-3A-4 to block certificate approval for new high-voltage lines unless the utility proves alternatives cannot meet the capacity need.
• Section 4 amends O.C.G.A. § 46-3A-7 to allow full base-rate cost recovery for grid-enhancing technology and reconductoring investments.
• Section 4 also lets utilities retain 25 percent of verified congestion cost savings from these technologies, crediting the remaining 75 percent to ratepayers.

1. 2026-02-20House Second Readers (House)
2. 2026-02-19House First Readers (House)
3. 2026-02-18House Hopper (House)

• Samuel Park (D, HD-107)Primary sponsor
• Todd Jones (R, HD-025)
• Eric Gisler (D, HD-121)
• Tangie Herring (D, HD-145)
• Beth Camp (R, HD-135)
• Brad Thomas (R, HD-021)

• electric utilities
• power grid
• Georgia Power
• utility regulation
• energy policy