POWER Act of 2025

The POWER Act of 2025 proposes to change how electric utilities use federal emergency assistance following a disaster. Currently, when a utility receives federal aid to restore power, the funds are primarily focused on returning the system to its previous state. This bill would authorize utilities to use that assistance to simultaneously perform cost-effective hazard mitigation. This means that while crews are repairing downed lines or damaged substations, they could also install upgrades designed to make the electrical grid more resilient against future storms, wildfires, or other emergencies.

Additionally, the legislation aims to clarify funding rules to ensure utilities can access multiple types of support. It specifies that an electric company receiving emergency restoration aid could also be eligible for hazard mitigation assistance through the Federal Emergency Management Agency's Public Assistance program for the same facility. By allowing these two types of funding to work together, the bill seeks to encourage long-term infrastructure improvements rather than just temporary fixes.