H.R. 4025: Energy Transitions Initiative Authorization Act of 2025

This bill, known as the Energy Transitions Initiative Authorization Act of 2025, aims to create an initiative to support the development of resilient energy systems in specific communities that face unique challenges. These communities include remote areas, islands, and Tribal communities, which often have difficulties accessing reliable energy sources and face high energy costs, inadequate infrastructure, and vulnerability to natural disasters.

Key Components of the Bill

Grants for Energy Projects

The Secretary of Energy would be tasked with establishing an initiative to provide grants for eligible projects aimed at improving energy reliability in these communities. Key aspects include:

• Grants of up to $5 million per eligible project.
• The federal government would cover no more than 90% of the total project cost, meaning local entities would need to contribute at least 10% of the funding.

Technical Assistance

For recipients of the grants, the Secretary of Energy is also required to offer technical assistance for one to two years to help with project implementation.

Audit and Oversight

To ensure efficient use of funds and compliance with regulations, the Government Accountability Office (GAO) would conduct audits of the initiative:

• The first audit would occur within one year of the initiative's establishment and then annually thereafter.
• Reports with audit results and recommendations for improvement would be submitted to key congressional committees.

Funding Allocation

The bill authorizes $31 million in appropriations for each fiscal year from 2026 to 2030 to support the initiative and its activities.

Project Eligibility Criteria

The bill defines eligible projects that can receive funding, including:

• Energy efficiency improvements in buildings.
• Development of renewable energy systems, such as hydropower, solar, wind, geothermal, and wave energy.
• Infrastructure for electricity transmission and distribution.

Definitions

The bill provides definitions for various terms to clarify who qualifies as an "eligible entity" and what constitutes a "resilient energy system." Eligible entities may include:

• State governments with remote or island communities.
• Local government units serving these areas.
• Tribal communities or organizations dedicated to Tribal affairs.

Relevant Companies

• None found