The proposed bill, titled the "Protecting Idaho Pipeline Energy Security Act" or the "PIPES Act," aims to enhance Idaho's energy security by promoting the development of strategic pipeline infrastructure projects. It introduces a new chapter in Title 63 of the Idaho Code, which includes definitions for key terms such as "construction," "developer," and "energy security." The bill outlines various incentives for developers, including an income tax credit of 35% on new infrastructure-related revenue, exemptions from property taxes for pipeline construction, and sales tax exemptions for tangible property incorporated into the pipeline system. These incentives are designed to encourage investment in new pipeline projects that exceed $50 million and improve the state's fuel supply resilience.

Additionally, the bill provides regulatory relief for strategic pipeline infrastructure projects by exempting them from certain state permitting and environmental review processes, while still allowing local governments to enforce their regulations. It mandates that state agencies expedite federal regulatory reviews and establishes a timeline for permit approvals, ensuring that applications are deemed approved if not decided within 60 days. Furthermore, the bill authorizes state agencies to seek federal grants and financing options to support businesses investing in these projects. The act is set to take effect on January 1, 2027.