Texas House Bill HB1604

Texas 2009 - 81st Regular

Caption

Relating to this state's goal for energy efficiency, including load management and demand response in the Electric Reliability Council of Texas.

Impact

The underlying intent of HB1604 is to increase participation in demand response programs which are critical in managing peak loads during high consumption periods. The bill establishes a framework for electric utilities to offer incentives aimed at both residential and commercial customers, ensuring a holistic approach to energy management. These changes are expected to not only help in reducing energy costs for consumers but also enhance the reliability of the power grid during peak demand periods.

Summary

House Bill 1604 focuses on enhancing the state's energy efficiency goals, particularly concerning load management and demand response in the Electric Reliability Council of Texas (ERCOT). The bill mandates that electric utilities administer energy efficiency programs that are market-neutral and provide customers with a variety of options to reduce energy consumption. By setting specific targets for energy efficiency improvements over the coming years, the bill aims to promote sustainable energy practices across the state.

Contention

Notably, a point of contention surrounding HB1604 lies in the balance between utility control and customer autonomy in energy management. Critics argue that imposing framework restrictions may limit the ability of consumers to engage in energy-saving measures independently, thereby diminishing the potential effectiveness of demand response strategies. Moreover, there are concerns about the implementation costs for utilities and whether the incentives will be sufficient to encourage widespread participation among customers, particularly those in lower income brackets.