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The Federal Energy Regulatory Commission (FERC) proposed amendments to its National Environmental Policy Act (NEPA) regulations on February 19, 2026, to streamline environmental reviews for hydropower projects. FERC issued a Notice of Proposed Rule Making to adopt Categorical Exclusions (CEs) related to license terminations and modifications without ground disturbance.

This initiative aims to reduce the need for Environmental Impact Statements (EIS) and Environmental Assessments (EA), expediting processing times. The new CEs will take effect on March 22, 2026, and are expected to ease regulatory burdens for hydropower operators.