House Bill 2316, also known as Senate Bill 2565, aims to enhance the security of electrical assets in Tennessee by requiring covered entities, which include electric utilities and project developers, to conduct a technical assessment of their equipment for vulnerabilities to geomagnetically induced currents (GICs) by January 1, 2027. The assessment must follow specific guidelines, including utilizing a defined waveform and accounting for transformer age and condition. The bill mandates that the assessment report be submitted to various state authorities by July 1, 2027, detailing the characteristics of susceptible transformers, recommended solutions for GIC protection, and funding recommendations.

Additionally, the bill emphasizes that covered entities cannot solely rely on operational procedures like load shedding to mitigate GIC risks, as these are deemed insufficient. It also establishes protocols for handling critical energy infrastructure information (CEII) to ensure that sensitive data regarding the location and purpose of equipment is redacted from public reports, thereby protecting the integrity of the infrastructure from potential threats. The act is set to take effect upon becoming law, prioritizing public welfare.