This bill modifies Department of Energy (DOE) Tribal energy programs to allow appropriated funds for Tribal loan and grant applications, removes double benefit restrictions, and introduces new requirements for Indian Tribes applying for grants to prevent outages and enhance electric grid resilience.
Brian Schatz
Senator
HI
The "Tribal Energy Fairness Act of 2025" amends Department of Energy (DOE) Tribal energy programs, allowing the Secretary of Energy to use appropriated funds for financial and technical assessments, and related activities, for Tribal loan and loan guarantee applications. The Act removes double benefit restrictions related to loan guarantees and modifies requirements for states and introduces new requirements for Indian Tribes applying for grants to prevent outages and enhance electric grid resilience. Additionally, the Act exempts Indian Tribes and Tribal-owned entities from matching requirements for grants related to grid resilience and includes additional exemptions to cost-sharing.
Tribal Energy Fairness Act Aims to Streamline DOE Funding, Offering Up to $500k for Project Assessments
The Tribal Energy Fairness Act of 2025 sets out to modify Department of Energy (DOE) programs, making it easier for Indian Tribes to access financial and technical help for energy projects. Key changes include allowing the DOE Secretary to use appropriated funds, up to $500,000 per application, specifically for assessments needed when Tribes apply for loans or loan guarantees. This covers projects like renewable energy generation and transmission upgrades, both on and near Indian land, and even some projects located elsewhere.
Clearing the Path for Tribal Energy Projects
This legislation removes some existing roadblocks. For instance, it eliminates certain "double benefit" restrictions tied to loan guarantees, potentially simplifying the funding puzzle for Tribes stacking different financial resources for a single project. The Act also allows the DOE to directly fund the upfront financial and technical homework needed for loan applications – think feasibility studies or engineering assessments for a potential solar farm or transmission line – capping this assistance at $500,000 per application. This could significantly lower the initial financial hurdle for Tribes exploring complex energy ventures.
Rewiring Grid Resilience Support
The Act also adjusts the rules for federal grants aimed at preventing power outages and strengthening the electric grid (under Section 40101 of the Infrastructure Investment and Jobs Act). Indian Tribes gain more flexibility, allowing them to submit their own plans for using grant funds directly or for awarding funds to others, rather than being bound by state plans or requirements. Critically, the bill explicitly states Tribes aren't required to award sub-grants. Furthermore, Tribes and Tribally-owned entities are exempted from the matching fund requirements often associated with these types of federal grants, making participation more accessible. The list of eligible entities for these grid grants is also updated to specifically include Indian Tribes and distributed generation projects.