Stop Unfair Electricity Prices Act
- Sponsor
- Rep. Stevens, Haley M. [D-MI-11]
- Committees
- Energy and Commerce Committee (primary)
- Last action
- Mar 12, 2026
Bottom line
This bill aims to link federal financial assistance for investor-owned electric utilities to residential electricity rates and executive compensation levels, intending to curb price increases for consumers.
What it actually does
This bill establishes conditions under which the Secretary of Energy may provide financial assistance to regulated investor-owned electric utilities. For the first year after enactment, utilities charging residential consumers a rate higher than their January 1, 2026 rate are ineligible for federal assistance. For the subsequent two years, utilities can only receive assistance if they either maintain executive compensation at or below January 1, 2026 levels, or reduce the total compensation of their top five highest-paid employees by double the percentage point increase in residential electricity rates.
Proponents argue
Proponents would argue that this bill protects residential electric consumers from unfair rate hikes by tying federal financial assistance to utility pricing practices and executive compensation. It incentivizes utilities to keep electricity affordable and ensures that federal funds do not indirectly support excessive executive pay while consumer rates rise.
Opponents contend
Opponents might contend that these restrictions could hinder critical infrastructure investments or emergency response efforts by limiting the Secretary of Energy's flexibility to provide necessary financial assistance. They might also argue that linking executive compensation to residential rates is an overreach into private company management and could disincentivize top talent, potentially impacting utility efficiency and reliability.
The bill is very short and easy to read, allowing ample time for comprehensive evaluation.
Section 2(a)(1)
Initial Moratorium on Financial Assistance
For one year after the bill becomes law, the Secretary of Energy cannot give any financial help to investor-owned electric utilities if those utilities raise electricity rates for residential customers above what they charged on January 1, 2026.
Supporters argue
Supporters would argue this provision immediately protects consumers from rate hikes by creating a strong disincentive for utilities to raise prices if they rely on federal assistance.
Critics contend
Critics might argue this could prevent utilities from making necessary investments or recovering legitimate costs, potentially impacting grid reliability or modernization efforts, especially if federal assistance is crucial for these activities.
Tradeoffs
Balances consumer protection from rate increases against potential impacts on utility financial stability and investment capacity.
Section 2(a)(2)
Termination of Financial Assistance for Rate Increases During Moratorium
If a regulated investor-owned electric utility receives financial assistance during the first year and then raises residential electricity rates above the January 1, 2026 level, the Secretary of Energy must immediately stop providing that assistance.
Section 2(b)(1)
Conditions for Assistance in Subsequent Two Years (Rate & Executive Pay)
For the two years following the initial one-year moratorium, the Secretary of Energy cannot provide financial assistance to utilities that raise residential rates above January 1, 2026 levels, UNLESS the utility meets specific executive compensation requirements. These requirements are: either the top 5 highest-paid employees' total compensation does not exceed their January 1, 2026 levels, OR if rates increase, their compensation is reduced by double the percentage point increase in rates. The utility must also report these compensation details.
Section 2(b)(2)
Termination of Financial Assistance for Executive Compensation Non-Compliance
If a utility receives financial assistance during the two-year period (after the initial moratorium) and is found to have violated the executive compensation rules (either by exceeding the cap or not reducing pay as required when rates increase), the Secretary of Energy must terminate that financial assistance.
Section 2(c)
Key Definitions
This section defines critical terms used throughout the bill, such as "electric consumer," "rate," "State regulatory authority," "State regulated electric utility," "regulated investor owned electric utility," "Secretary" (meaning the Secretary of Energy), and "total compensation" (including salary, bonuses, stock awards, stock options, and other financial remuneration).