1 | 1 | | 81R11687 JJT-D |
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2 | 2 | | By: Elkins H.B. No. 3546 |
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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 a study of the provision of retail electric service and |
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8 | 8 | | the regulation of components of the electric utilities industry. |
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9 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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10 | 10 | | SECTION 1. (a) The Public Utility Commission of Texas shall |
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11 | 11 | | conduct a study of the conditions under which electric service is |
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12 | 12 | | provided to retail customers in this state. |
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13 | 13 | | (b) The state energy conservation office shall assist the |
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14 | 14 | | commission as requested. |
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15 | 15 | | (c) The study must examine: |
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16 | 16 | | (1) prices and reliability of retail electric service |
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17 | 17 | | in this state, including a comparison of prices and degrees of |
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18 | 18 | | reliability of service in: |
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19 | 19 | | (A) urban and rural areas of this state; |
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20 | 20 | | (B) different geographic regions of this state; |
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21 | 21 | | and |
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22 | 22 | | (C) regulated and deregulated retail electric |
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23 | 23 | | service areas of this state; |
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24 | 24 | | (2) prices and degrees of reliability of retail |
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25 | 25 | | electric service in this state as compared to the prices and degrees |
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26 | 26 | | of reliability of service in other states with regulated, |
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27 | 27 | | deregulated, or mixed regulated and deregulated retail electric |
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28 | 28 | | service; and |
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29 | 29 | | (3) factors related to differences in prices and |
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30 | 30 | | degrees of reliability of retail electric service shown by |
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31 | 31 | | comparisons made under Subdivisions (1) and (2) of this subsection, |
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32 | 32 | | including: |
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33 | 33 | | (A) differences in the generation and |
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34 | 34 | | transmission of electric power among various urban, rural, |
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35 | 35 | | regulated, and deregulated areas, including: |
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36 | 36 | | (i) differences in the ages of generating |
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37 | 37 | | and transmission facilities prevalent in the areas considered; |
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38 | 38 | | (ii) differences in the types of generation |
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39 | 39 | | and transmission technologies prevalent in the areas considered; |
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40 | 40 | | (iii) differences in fuel types used for |
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41 | 41 | | generation of electric power in the areas considered; and |
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42 | 42 | | (iv) other factors the commission considers |
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43 | 43 | | relevant, including economies of scale, power transmission |
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44 | 44 | | distances, rates of adoption of distributed generation |
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45 | 45 | | technologies and renewable energy technologies for electric power |
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46 | 46 | | generation, rates of adoption of demand response, load management, |
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47 | 47 | | and energy efficiency measures; and |
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48 | 48 | | (B) differences in the structure of retail |
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49 | 49 | | electric service markets among various urban, rural, regulated, and |
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50 | 50 | | deregulated areas. |
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51 | 51 | | SECTION 2. The Public Utility Commission of Texas, as part |
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52 | 52 | | of the study conducted under this Act, shall examine and compare the |
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53 | 53 | | history of retail electric service prices and degrees of |
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54 | 54 | | reliability in the following states: |
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55 | 55 | | (1) Arizona; |
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56 | 56 | | (2) Arkansas; |
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57 | 57 | | (3) California; |
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58 | 58 | | (4) Illinois; |
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59 | 59 | | (5) Montana; |
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60 | 60 | | (6) Nevada; |
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61 | 61 | | (7) New Mexico; |
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62 | 62 | | (8) Ohio; |
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63 | 63 | | (9) Oregon; |
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64 | 64 | | (10) Pennsylvania; |
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65 | 65 | | (11) Virginia; and |
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66 | 66 | | (12) any other state that has pursued retail electric |
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67 | 67 | | service restructuring to provide for customer choice but that |
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68 | 68 | | subsequently has significantly amended its laws on the subject. |
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69 | 69 | | SECTION 3. (a) The Public Utility Commission of Texas, |
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70 | 70 | | based on information collected and conclusions drawn from the study |
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71 | 71 | | conducted under Sections 1 and 2 of this Act, shall develop |
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72 | 72 | | alternative retail electric service market restructuring plans |
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73 | 73 | | under which retail electric service in this state or in certain |
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74 | 74 | | areas of this state may be made the most affordable and reliable. A |
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75 | 75 | | plan developed under this section must include specific legislative |
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76 | 76 | | or rulemaking proposals necessary or convenient to implement the |
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77 | 77 | | plan. |
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78 | 78 | | (b) A plan developed under Subsection (a) of this section |
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79 | 79 | | may provide for re-regulation of one or more components of the |
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80 | 80 | | retail electric service market in one or more areas of this state in |
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81 | 81 | | which customer choice has been implemented. |
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82 | 82 | | (c) The Public Utility Commission of Texas, based on |
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83 | 83 | | information collected and conclusions drawn from the study |
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84 | 84 | | conducted under Sections 1 and 2 of this Act, shall determine |
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85 | 85 | | whether retail electric service in those areas of this state in |
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86 | 86 | | which customer choice has not been implemented will likely be more |
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87 | 87 | | affordable and reliable if customer choice is delayed or not |
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88 | 88 | | implemented. The commission shall make recommendations for any |
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89 | 89 | | necessary legislative or rulemaking action the commission |
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90 | 90 | | determines would make retail electric service the most affordable |
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91 | 91 | | and reliable in those areas. |
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92 | 92 | | SECTION 4. (a) The Public Utility Commission of Texas shall |
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93 | 93 | | prepare a report on the information collected and conclusions drawn |
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94 | 94 | | as a result of the study conducted under Sections 1 and 2 of this Act |
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95 | 95 | | and the recommendations made under Section 3 of this Act as a result |
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96 | 96 | | of the study. |
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97 | 97 | | (b) The Public Utility Commission of Texas shall: |
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98 | 98 | | (1) present the report prepared under this section to: |
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99 | 99 | | (A) the governor; |
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100 | 100 | | (B) the lieutenant governor; |
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101 | 101 | | (C) the speaker of the house of representatives; |
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102 | 102 | | and |
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103 | 103 | | (D) each standing or interim committee of the |
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104 | 104 | | legislature that has jurisdiction over the commission or a |
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105 | 105 | | component of retail electric service provision in this state; and |
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106 | 106 | | (2) publish the report on the commission's Internet |
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107 | 107 | | website for public access. |
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108 | 108 | | SECTION 5. This Act takes effect immediately if it receives |
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109 | 109 | | a vote of two-thirds of all the members elected to each house, as |
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110 | 110 | | provided by Section 39, Article III, Texas Constitution. If this |
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111 | 111 | | Act does not receive the vote necessary for immediate effect, this |
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112 | 112 | | Act takes effect September 1, 2009. |
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