Texas House Bill HB59

Texas 2021 - 87th 3rd C.S.

Caption

Relating to energy efficiency goals for electric utilities.

Impact

The implementation of HB59 is expected to enhance state laws regarding energy efficiency, driving electric utilities toward more sustainable practices. By setting specific savings targets, the bill aims to reduce overall electricity consumption and promote conscious energy usage among consumers. This legislative change aligns with broader state and national efforts to increase energy efficiency and could potentially lead to lower electricity bills for consumers as utilities optimize their operations to meet these new goals.

Summary

House Bill 59 establishes new energy efficiency goals for electric utilities in Texas. The bill mandates that electric utilities meet annual energy savings targets beginning with the 2022 calendar year. Specifically, utilities are required to achieve one-fourth of one percent annual energy savings in 2022, increasing to one percent starting in 2025. The Public Utility Commission of Texas is tasked with developing rules to set these savings goals based on electricity usage within the utilities' service areas.

Contention

Some notable points of contention may arise regarding the practicality of these savings goals, particularly the concern that certain utilities may struggle to achieve the mandated targets efficiently. The bill allows for cost caps and good cause exceptions, indicating a recognition of potential challenges faced by utilities. Debate may ensue regarding the balance between regulatory requirements and the economic feasibility for utility companies, especially smaller providers that may find it more difficult to invest in energy efficiency measures.