Texas House Bill HB1643

Texas 2009 - 81st Regular

Caption

Relating to net metering for retail electric service customers and compensation for excess electricity generated by certain renewable energy technology generators.

Impact

The implications of HB1643 are significant for state laws surrounding energy production and consumption. By establishing a framework for net metering, the bill not only supports the growth of renewable energy technologies but also ensures that customers are fairly compensated for the power they generate. This potential shift may encourage more individuals and businesses in Texas to invest in renewable energy systems, contributing to a broader transition towards sustainable energy practices in the state. Additionally, the bill could lead to a decrease in reliance on traditional energy sources, promoting environmental benefits.

Summary

House Bill 1643 addresses the regulation of net metering for retail electric service customers in Texas. The bill mandates that electric utilities and providers offer net metering services to customers with eligible on-site renewable energy generation facilities. Through this arrangement, customers will be billed based on the net difference between the electricity supplied by the provider and the excess electricity produced by their renewable energy systems throughout a billing period. This approach aims to incentivize renewable energy production by allowing customers to receive credit for any surplus energy they contribute back to the grid.

Contention

Notable points of contention surrounding HB1643 may include debates on the adequacy of compensation rates established for excess energy produced and whether these rates will truly reflect fair market value. Opponents might argue that the compensation mechanisms could benefit larger corporations or wealthier individuals who can invest in on-site generation technologies, potentially leaving lower-income households unable to take advantage of these incentives. Additionally, there may be concerns regarding the administrative burden on utility providers in implementing these regulations and the potential impact on energy prices for non-generating customers.