REDUCE Act

The REDUCE Act requires Transmission Organizations to allow aggregators (groups that combine customer demand flexibility) to submit bids into organized wholesale electricity markets, specifically for utilities distributing over 4 million megawatt-hours annually. This directly affects large utilities and their customers by enabling new market participation through aggregators. The key mechanism removes state law barriers preventing such aggregators from bidding, mandating FERC to issue rules within 12 months to implement this change. The bill focuses on restructuring market access, not on environmental outcomes or specific energy sources.