1 | 1 | | 81R9099 TJS-F |
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2 | 2 | | By: Gallego H.B. No. 3478 |
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3 | 3 | | |
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4 | 4 | | |
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5 | 5 | | A BILL TO BE ENTITLED |
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6 | 6 | | AN ACT |
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7 | 7 | | relating to this state's goal for renewable energy. |
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8 | 8 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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9 | 9 | | SECTION 1. Section 39.904, Utilities Code, is amended by |
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10 | 10 | | amending Subsections (a), (d), and (o) and adding Subsections (d-1) |
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11 | 11 | | and (d-2) to read as follows: |
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12 | 12 | | (a) It is the intent of the legislature that by January 1, |
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13 | 13 | | 2015, an additional 5,000 megawatts of generating capacity from |
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14 | 14 | | renewable energy technologies will have been installed in this |
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15 | 15 | | state. The cumulative installed renewable capacity in this state |
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16 | 16 | | shall total 5,880 megawatts by January 1, 2015, and the commission |
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17 | 17 | | shall establish a goal [target] of 10,000 megawatts of installed |
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18 | 18 | | renewable capacity by January 1, 2020 [2025]. The cumulative |
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19 | 19 | | installed renewable capacity in this state shall total [2,280 |
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20 | 20 | | megawatts by January 1, 2007, 3,272 megawatts by January 1, 2009,] |
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21 | 21 | | 4,264 megawatts by January 1, 2011, 5,256 megawatts by January 1, |
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22 | 22 | | 2013, and 5,880 megawatts by January 1, 2015. Of the renewable |
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23 | 23 | | energy technology generating capacity installed to meet the goal of |
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24 | 24 | | this subsection by January 1, 2020 [after September 1, 2005], the |
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25 | 25 | | commission shall establish a goal [target] of having at least 4,000 |
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26 | 26 | | [500] megawatts of capacity from a renewable energy technology |
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27 | 27 | | other than a source that uses high-capacity [using] wind energy. |
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28 | 28 | | The cumulative installed renewable capacity from a source other |
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29 | 29 | | than high-capacity wind energy shall total 500 megawatts by January |
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30 | 30 | | 1, 2012, 2,000 megawatts by January 1, 2015, and 4,000 megawatts by |
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31 | 31 | | January 1, 2020. |
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32 | 32 | | (d) In this section, "renewable energy technology" means |
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33 | 33 | | any technology that exclusively relies on an energy source that is |
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34 | 34 | | naturally regenerated over a short time and derived directly from |
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35 | 35 | | the sun, indirectly from the sun, or from moving water or other |
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36 | 36 | | natural movements and mechanisms of the environment. Renewable |
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37 | 37 | | energy technologies include those that rely on energy derived |
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38 | 38 | | directly from the sun, on wind, geothermal, hydroelectric, wave, or |
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39 | 39 | | tidal energy, or on renewable biomass or renewable biomass-based |
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40 | 40 | | waste products, including landfill gas. A renewable energy |
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41 | 41 | | technology does not rely on energy resources derived from fossil |
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42 | 42 | | fuels, waste products from fossil fuels, or waste products from |
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43 | 43 | | inorganic sources. |
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44 | 44 | | (d-1) In this section, "renewable biomass" means: |
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45 | 45 | | (1) planted crops and crop residue harvested from |
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46 | 46 | | agricultural land cleared before September 1, 2009, whether |
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47 | 47 | | actively managed or fallow, excluding forest land; |
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48 | 48 | | (2) wood waste from actively managed tree plantations |
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49 | 49 | | on nonfederal land cleared before September 1, 2009, including land |
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50 | 50 | | that belongs to an Indian tribe and is held in trust by the United |
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51 | 51 | | States or is otherwise subject to a restriction on alienation |
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52 | 52 | | imposed by the United States; |
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53 | 53 | | (3) forest wood waste, including residual tops and |
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54 | 54 | | limbs of trees, unused cull trees, pre-commercial thinnings, and |
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55 | 55 | | wood or debris from noncommercial tree species, slash, or brush |
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56 | 56 | | obtained from nonfederal forest land, including land that belongs |
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57 | 57 | | to an Indian tribe and is held in trust by the United States or is |
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58 | 58 | | otherwise subject to a restriction on alienation imposed by the |
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59 | 59 | | United States, excluding old growth forests or ecologically |
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60 | 60 | | sensitive areas; |
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61 | 61 | | (4) residential or commercial yard waste or food |
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62 | 62 | | waste, including recycled cooking grease; |
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63 | 63 | | (5) organic matter from the vicinity of buildings, |
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64 | 64 | | public infrastructure, or other areas regularly occupied by people; |
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65 | 65 | | (6) animal waste and animal by-products; and |
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66 | 66 | | (7) algae. |
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67 | 67 | | (d-2) In this section, "high-capacity wind energy" means |
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68 | 68 | | energy from a source using wind that has a capacity of more than 150 |
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69 | 69 | | kilowatts. |
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70 | 70 | | (o) The commission shall [may] establish an alternative |
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71 | 71 | | compliance payment. An entity that has a renewable energy purchase |
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72 | 72 | | requirement under this section may elect to pay the alternative |
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73 | 73 | | compliance payment instead of applying renewable energy credits |
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74 | 74 | | toward the satisfaction of the entity's obligation under this |
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75 | 75 | | section. The commission shall [may] establish a separate |
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76 | 76 | | alternative compliance payment for the goal of 4,000 [500] |
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77 | 77 | | megawatts of capacity from renewable energy technologies other than |
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78 | 78 | | high-capacity wind energy. [The alternative compliance payment for |
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79 | 79 | | a renewable energy purchase requirement that could be satisfied |
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80 | 80 | | with a renewable energy credit from wind energy may not be less than |
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81 | 81 | | $2.50 per credit or greater than $20 per credit. Prior to September |
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82 | 82 | | 1, 2009, an alternative compliance payment under this subsection |
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83 | 83 | | may not be set above $5 per credit. In implementing this |
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84 | 84 | | subsection, the commission shall consider: |
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85 | 85 | | [(1) the effect of renewable energy credit prices on |
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86 | 86 | | retail competition; |
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87 | 87 | | [(2) the effect of renewable energy credit prices on |
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88 | 88 | | electric rates; |
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89 | 89 | | [(3) the effect of the alternative compliance payment |
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90 | 90 | | level on the renewable energy credit market; and |
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91 | 91 | | [(4) any other factors necessary to ensure the |
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92 | 92 | | continued development of the renewable energy industry in this |
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93 | 93 | | state while protecting ratepayers from unnecessary rate |
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94 | 94 | | increases.] |
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95 | 95 | | SECTION 2. This Act takes effect September 1, 2009. |
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