1 | 1 | | H.B. No. 3309 |
---|
2 | 2 | | |
---|
3 | 3 | | |
---|
4 | 4 | | AN ACT |
---|
5 | 5 | | relating to certificates of convenience and necessity for the |
---|
6 | 6 | | construction of transmission facilities. |
---|
7 | 7 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
---|
8 | 8 | | SECTION 1. Subchapter B, Chapter 37, Utilities Code, is |
---|
9 | 9 | | amended by adding Section 37.0541 to read as follows: |
---|
10 | 10 | | Sec. 37.0541. CONSOLIDATION OF CERTAIN PROCEEDINGS. The |
---|
11 | 11 | | commission shall consolidate the proceeding on an application to |
---|
12 | 12 | | obtain or amend a certificate of convenience and necessity for the |
---|
13 | 13 | | construction of a transmission line with the proceeding on another |
---|
14 | 14 | | application to obtain or amend a certificate of convenience and |
---|
15 | 15 | | necessity for the construction of a transmission line if it is |
---|
16 | 16 | | apparent from the applications or a motion to intervene in either |
---|
17 | 17 | | proceeding that the transmission lines that are the subject of the |
---|
18 | 18 | | separate proceedings share a common point of interconnection. This |
---|
19 | 19 | | section does not apply to a proceeding on an application for a |
---|
20 | 20 | | certificate of convenience and necessity for a transmission line to |
---|
21 | 21 | | serve a competitive renewable energy zone as part of a plan |
---|
22 | 22 | | developed by the commission under Section 39.904(g)(2). |
---|
23 | 23 | | SECTION 2. Section 37.051, Utilities Code, is amended by |
---|
24 | 24 | | amending Subsection (a) and adding Subsections (d), (e), and (f) to |
---|
25 | 25 | | read as follows: |
---|
26 | 26 | | (a) An electric utility or other person may not directly or |
---|
27 | 27 | | indirectly provide service to the public under a franchise or |
---|
28 | 28 | | permit unless the utility or other person first obtains from the |
---|
29 | 29 | | commission a certificate that states that the public convenience |
---|
30 | 30 | | and necessity requires or will require the installation, operation, |
---|
31 | 31 | | or extension of the service. |
---|
32 | 32 | | (d) A certificate may be granted to an electric utility or |
---|
33 | 33 | | other person under this section for a facility used as part of the |
---|
34 | 34 | | transmission system serving the ERCOT power region solely for the |
---|
35 | 35 | | transmission of electricity. |
---|
36 | 36 | | (e) The commission may consider an application filed by a |
---|
37 | 37 | | person not currently certificated as an electric utility for a |
---|
38 | 38 | | certificate of convenience and necessity to construct transmission |
---|
39 | 39 | | capacity that serves the ERCOT power region. Before granting a |
---|
40 | 40 | | certificate under this section, the commission must find, after |
---|
41 | 41 | | notice and hearing, that: |
---|
42 | 42 | | (1) the applicant has the technical ability, financial |
---|
43 | 43 | | ability, and sufficient resources in this state to own, operate, |
---|
44 | 44 | | and maintain reliable transmission facilities; |
---|
45 | 45 | | (2) the applicant has the resources and ability to |
---|
46 | 46 | | comply with commission rules, requirements of the independent |
---|
47 | 47 | | organization certified under Section 39.151 for the ERCOT power |
---|
48 | 48 | | region, and requirements of the National Electric Reliability |
---|
49 | 49 | | Council applicable to the provisions of transmission service; and |
---|
50 | 50 | | (3) for an application filed by a person that is not an |
---|
51 | 51 | | electric utility, granting the application will not adversely |
---|
52 | 52 | | affect wholesale transmission rates, as compared to the rates |
---|
53 | 53 | | projected to be charged if an existing electric utility were to |
---|
54 | 54 | | build the transmission facility. |
---|
55 | 55 | | (f) The commission shall consider the requirements of |
---|
56 | 56 | | Subsection (e) to have been met by an electric utility or other |
---|
57 | 57 | | person that: |
---|
58 | 58 | | (1) is selected by the commission as a transmission |
---|
59 | 59 | | provider under a plan adopted by the commission under Section |
---|
60 | 60 | | 39.904 not later than September 1, 2009; and |
---|
61 | 61 | | (2) before the certificate is issued, provides to the |
---|
62 | 62 | | commission a detailed plan regarding the offices, personnel, and |
---|
63 | 63 | | other resources the electric utility or other person will have in |
---|
64 | 64 | | this state to ensure provision of continuous and adequate |
---|
65 | 65 | | transmission service. |
---|
66 | 66 | | SECTION 3. Section 37.053(a), Utilities Code, is amended to |
---|
67 | 67 | | read as follows: |
---|
68 | 68 | | (a) An electric utility or other person that wants to obtain |
---|
69 | 69 | | or amend a certificate must submit an application to the |
---|
70 | 70 | | commission. |
---|
71 | 71 | | SECTION 4. Sections 37.055, 37.057, and 37.151, Utilities |
---|
72 | 72 | | Code, are amended to read as follows: |
---|
73 | 73 | | Sec. 37.055. REQUEST FOR PRELIMINARY ORDER. (a) An |
---|
74 | 74 | | electric utility or other person that wants to exercise a right or |
---|
75 | 75 | | privilege under a franchise or permit that the utility or other |
---|
76 | 76 | | person anticipates obtaining but has not been granted may apply to |
---|
77 | 77 | | the commission for a preliminary order under this section. |
---|
78 | 78 | | (b) The commission may issue a preliminary order declaring |
---|
79 | 79 | | that the commission, on application and under commission rules, |
---|
80 | 80 | | will grant the requested certificate on terms the commission |
---|
81 | 81 | | designates, after the electric utility or other person obtains the |
---|
82 | 82 | | franchise or permit. |
---|
83 | 83 | | (c) The commission shall grant the certificate on |
---|
84 | 84 | | presentation of evidence satisfactory to the commission that the |
---|
85 | 85 | | electric utility or other person has obtained the franchise or |
---|
86 | 86 | | permit. |
---|
87 | 87 | | Sec. 37.057. DEADLINE FOR APPLICATION FOR NEW TRANSMISSION |
---|
88 | 88 | | FACILITY. The commission may grant a certificate for a new |
---|
89 | 89 | | transmission facility to a qualified applicant that meets the |
---|
90 | 90 | | requirements of this subchapter. The commission must approve or |
---|
91 | 91 | | deny an application for a certificate for a new transmission |
---|
92 | 92 | | facility not later than the first anniversary of the date the |
---|
93 | 93 | | application is filed. If the commission does not approve or deny |
---|
94 | 94 | | the application on or before that date, a party may seek a writ of |
---|
95 | 95 | | mandamus in a district court of Travis County to compel the |
---|
96 | 96 | | commission to decide on the application. |
---|
97 | 97 | | Sec. 37.151. PROVISION OF SERVICE. Except as provided by |
---|
98 | 98 | | this section, Section 37.152, and Section 37.153, a certificate |
---|
99 | 99 | | holder, other than one granted a certificate under Section |
---|
100 | 100 | | 37.051(d), shall: |
---|
101 | 101 | | (1) serve every consumer in the utility's certificated |
---|
102 | 102 | | area; and |
---|
103 | 103 | | (2) provide continuous and adequate service in that |
---|
104 | 104 | | area. |
---|
105 | 105 | | SECTION 5. This Act takes effect immediately if it receives |
---|
106 | 106 | | a vote of two-thirds of all the members elected to each house, as |
---|
107 | 107 | | provided by Section 39, Article III, Texas Constitution. If this |
---|
108 | 108 | | Act does not receive the vote necessary for immediate effect, this |
---|
109 | 109 | | Act takes effect September 1, 2009. |
---|
110 | 110 | | ______________________________ ______________________________ |
---|
111 | 111 | | President of the Senate Speaker of the House |
---|
112 | 112 | | I certify that H.B. No. 3309 was passed by the House on April |
---|
113 | 113 | | 24, 2009, by the following vote: Yeas 138, Nays 0, 1 present, not |
---|
114 | 114 | | voting; that the House refused to concur in Senate amendments to |
---|
115 | 115 | | H.B. No. 3309 on May 29, 2009, and requested the appointment of a |
---|
116 | 116 | | conference committee to consider the differences between the two |
---|
117 | 117 | | houses; and that the House adopted the conference committee report |
---|
118 | 118 | | on H.B. No. 3309 on May 31, 2009, by the following vote: Yeas 143, |
---|
119 | 119 | | Nays 0, 2 present, not voting. |
---|
120 | 120 | | ______________________________ |
---|
121 | 121 | | Chief Clerk of the House |
---|
122 | 122 | | I certify that H.B. No. 3309 was passed by the Senate, with |
---|
123 | 123 | | amendments, on May 27, 2009, by the following vote: Yeas 31, Nays |
---|
124 | 124 | | 0; at the request of the House, the Senate appointed a conference |
---|
125 | 125 | | committee to consider the differences between the two houses; and |
---|
126 | 126 | | that the Senate adopted the conference committee report on H.B. No. |
---|
127 | 127 | | 3309 on May 31, 2009, by the following vote: Yeas 31, Nays 0. |
---|
128 | 128 | | ______________________________ |
---|
129 | 129 | | Secretary of the Senate |
---|
130 | 130 | | APPROVED: __________________ |
---|
131 | 131 | | Date |
---|
132 | 132 | | __________________ |
---|
133 | 133 | | Governor |
---|