81R9097 TRH-F
By: Keffer H.B. No. 2781
A BILL TO BE ENTITLED
AN ACT
relating to the development and implementation of a wholesale
market structure for ERCOT.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 39.151, Utilities Code, is amended by
adding Subsections (n), (o), and (p) to read as follows:
(n) In developing or implementing a wholesale market
structure, an independent organization that is certified under this
section may not:
(1) directly assign a congestion rent to a buyer or
seller of generation output; or
(2) base a generation payment on locational marginal
pricing.
(o) An independent organization that is certified under
this section shall establish zonal markets used to determine the
market price of a generation product that are sufficient in size to
produce effective competition among generation resources.
(p) In this section:
(1) "Congestion rent" means a pricing element that is:
(A) added to the average market price of a
generation product; and
(B) based on the flow of power between two
discrete locations.
(2) "Locational marginal pricing" means the
calculation of marginal power prices that correspond to individual
nodes or locations on the power grids.
SECTION 2. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2009.