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National Grid and Economic Impacts of the Bipartisan American Affordability and Jobs Act
November 2026
The Bipartisan American Affordability and Jobs Act (BAAJA) was introduced September 30, 2026. This study estimates the energy system and economic impacts of specific BAAJA provisions. It focuses on the measures that streamline interconnection and transmission permitting, along with one possible application of the bill's project certainty provisions to wind development.
Compared with Business as Usual (BAU) , the Central Reform scenario reduces electricity system costs by $11.7 billion, lowers residential electricity bills by $2.5 billion, eliminates power shortfalls, and cuts emissions by 13%, or 173 million metric tons, in 2035. These benefits hold across most sensitivities. For example, faster natural gas pipeline expansion leaves the emissions reductions unchanged. With lower data center demand, reform still saves about $7.9 billion and reduces emissions by 177 million metric tons.
Delaying reform, even until 2030, would substantially reduce these benefits. Through 2040, that delay would forgo roughly $55 billion in electricity system savings and 800 million metric tons of emissions reductions.