By: Strama H.B. No. 4458
A BILL TO BE ENTITLED
AN ACT
relating to research development and deployment of emerging
technology in the area of electricity storage.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 39.905, Utilities Code, is amended by
adding Subsection (a-1) to read as follows:
(a-1) As a component of an electric utility's
market-transformation programs, including programs targeted to the
construction of new buildings, each utility shall provide
incentives for the development and use of the following distributed
energy storage technologies:
(1) capacitors;
(2) batteries;
(3) ice-based thermal storage; and
(4) molten salt-based storage.
SECTION 2. Subchapter Z, Chapter 39, Utilities Code, is
amended by adding Sections 39.923 and 39.924 to read as follows:
Sec. 39.923. NET METERING AND FAIR MARKET COMPENSATION OF
ON-SITE ENERGY PRODUCTION. (a) In this section:
(1) "Net metering service" has the meaning assigned by
Section 111(d)(11) of the federal Public Utility Regulatory
Policies Act of 1978 (16 U.S.C. Section 2621(d)(11)).
(2) "Renewable energy technology" has the meaning
assigned by Section 39.904(d).
(b) Notwithstanding any other law, the commission by rule
shall require an electric utility to:
(1) offer net metering service to all retail customers
of the utility who have an eligible on-site:
(A) distributed energy generating facility that
generates electricity using renewable energy technology; or
(B) distributed energy storage facility; and
(2) compensate a retail customer at fair market value
for metered electricity:
(A) produced by the customer's eligible on-site
renewable energy technology generating facility and delivered to
the electric transmission grid; or
(B) delivered to the electric transmission grid
from an eligible on-site distributed energy storage facility.
(c) The commission by rule may establish standards an
on-site renewable energy technology generating facility or on-site
distributed energy storage facility must meet to be eligible for
compensation under Subsection (b), including standards for
equipment and for interconnection.
Sec. 39.924. VEHICLE-BASED BATTERY STORAGE. The commission
by rule shall require each electric utility to integrate into at
least 20 percent of the utility's net metering infrastructure by
not later than January 1, 2020, the ability to measure and deliver
to the electric transmission grid electricity from vehicle-based
battery storage.
SECTION 3. Chapter 388, Health and Safety Code, is amended
by adding Section 388.0035 to read as follows:
Sec. 388.0035. REQUIREMENTS RELATING TO COMPATIBILITY WITH
PLUG-IN MOTOR VEHICLES. The State Energy Conservation Office by
rule shall amend the energy code for single-family residential
construction to require that new homes built after 2012 have an
electrical system, including outlets, that is capable of recharging
plug-in electric or plug-in hybrid electric motor vehicles.
SECTION 4. Subchapter B, Chapter 37, Utilities Code, is
amended by adding Section 37.0525 to read as follows:
Sec. 37.0525. EXCEPTION TO CERTIFICATE FOR DEPLOYMENT OF
STORAGE CAPACITY. A transmission and distribution utility is not
required to obtain a certificate for deploying not more than five
megawatts of stored renewable energy for grid stability and
transmission congestion management.
SECTION 5. Subchapter C, Chapter 39, Utilities Code, is
amended by adding Section 39.1055 to read as follows:
Sec. 39.1055. OWNERSHIP AND SALE OF STORED RENEWABLE
ENERGY. (a) Notwithstanding any other law, the commission by rule
shall allow a transmission and distribution utility to own and sell
stored renewable energy.
(b) In adopting rules under this section, the commission
shall limit the amount of stored renewable energy a transmission
and distribution utility may own and sell to an amount that will not
affect market prices.
SECTION 6. (a) The Electric Reliability Council of Texas
shall conduct a study of the best methods to deploy utility-scale
distributed renewable stored energy on the transmission and
distribution grid in a manner that minimizes costs to consumers.
(b) Not later than January 1, 2011, the Electric Reliability
Council of Texas shall prepare a report on the study and submit the
report to the governor, the lieutenant governor, the speaker of the
house of representatives, and each house and senate standing
committee that has jurisdiction over electric issues. The report
must include recommendations for policy or statutory changes
necessary to implement the results of the study.
SECTION 7. ENERGY STORAGE RESEARCH, DEVELOPMENT,
DEMONSTRATION, AND COMMERCIALIZATION. Section 447.006(e) of the
Government Code is amended by adding Subsection (j) as follows:
(j) The state energy conservation office shall develop a
program to encourage the development of advanced energy storage
technologies in this state:
(1) The office shall seek federal funds available
under the American Recovery and Reinvestment Act of 2009 including
grants for the manufacturing of advanced batteries and components,
funding awards to manufacturers of advanced battery systems and
vehicle batteries, and funds available to support smart grid
demonstration projects in urban, suburban, tribal, and rural areas,
including areas where electric system assets are controlled by
nonprofit entities and areas where electric system assets are
controlled by investor-owned utilities
(2) The office shall contract with an institution of
higher education, a consortium of institutions of higher education,
or another governmental entity to develop, test and commercialize
new storage and reliability technologies for renewable energy to
minimize costs of generation and transmission using federal or
state funds or fee revenue.
(3) The office shall by 2011 perform a study in
conjunction with ERCOT to determine:
a. how to deploy storage to minimize consumer costs
b. how to use storage to meet to maximize opportunities to
sell Texas renewable energy out of state to meet any new federal
renewable portfolio standard requirements
c. the impact of plug in hybrid and electric vehicle demand
on the transmission systems and develop integration and utilization
systems.
d. how to encourage the development, construction, and
operation of new renewable energy storage projects at those sites
in this state that have the greatest economic potential for capture
and release of energy from development of this state's
environmentally beneficial renewable resources.
(4) The office shall contract with a consortium of
community colleges to create training and certification programs to
support energy storage technologies.
SECTION 8. The Public Utility Commission of Texas shall
adopt rules as required by this Act as soon as possible, but not
later than January 1, 2010.
SECTION 9. This Act takes effect September 1, 2009.