Texas 2009 - 81st Regular

Texas Senate Bill SB1772 Compare Versions

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1	1	2009S0407-1 02/18/09
2	2	By: Fraser S.B. No. 1772
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the authority of the Public Utility Commission of Texas
8	8	to order restitution for violations.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Section 39.003, Utilities Code, is amended to
11	11	read as follows:
12	12	Sec. 39.003. CONTESTED CASES. Unless specifically provided
13	13	otherwise, each commission proceeding under this chapter, other
14	14	than a rulemaking proceeding, report, notification, or
15	15	registration, shall be conducted as a contested case and the burden
16	16	of proof is on the incumbent electric utility. Any affected party
17	17	may file a case for restitution under Section 39.157(a). In any
18	18	proceeding involving market power abuse, any affected party shall
19	19	be granted the right to intervene.
20	20	SECTION 2. Subsection (a), Section 39.157, Utilities Code,
21	21	is amended to read as follows:
22	22	(a) The commission shall monitor market power associated
23	23	with the generation, transmission, distribution, and sale of
24	24	electricity in this state. On a finding that market power abuses or
25	25	other violations of this section have occurred or are occurring,
26	26	the commission shall require reasonable mitigation of the market
27	27	power by any combination of the following actions: ordering the
28	28	construction of additional transmission or distribution
29	29	facilities, [by] seeking an injunction or civil penalties as
30	30	necessary to eliminate or to remedy the market power abuse or
31	31	violation as authorized by Chapter 15, [by] imposing an
32	32	administrative penalty as authorized by Chapter 15, ordering
33	33	restitution to those parties affected by the market power abuse, or
34	34	[by] suspending, revoking, or amending a certificate or
35	35	registration as authorized by Section 39.356. Section 15.024(c)
36	36	does not apply to an administrative penalty imposed under this
37	37	section. For purposes of this subchapter, market power abuses are
38	38	practices by persons possessing market power that are unreasonably
39	39	discriminatory or tend to unreasonably restrict, impair, or reduce
40	40	the level of competition, including practices that tie unregulated
41	41	products or services to regulated products or services or
42	42	unreasonably discriminate in the provision of regulated services.
43	43	For purposes of this section, "market power abuses" include
44	44	predatory pricing, withholding of production, precluding entry,
45	45	and collusion. A violation of the code of conduct provided by
46	46	Subsection (d) that materially impairs the ability of a person to
47	47	compete in a competitive market shall be deemed to be an abuse of
48	48	market power. The possession of a high market share in a market
49	49	open to competition may not, of itself, be deemed to be an abuse of
50	50	market power; however, this sentence shall not affect the
51	51	application of state and federal antitrust laws.
52	52	SECTION 3. The changes in law made by this Act apply only to
53	53	a violation that occurs or continues to occur on or after the
54	54	effective date of this Act. A violation that occurred before the
55	55	effective date of this Act is covered by the law in effect at the
56	56	time the violation occurred, and the former law is continued in
57	57	effect for that purpose.
58	58	SECTION 4. This Act takes effect immediately if it receives
59	59	a vote of two-thirds of all the members elected to each house, as
60	60	provided by Section 39, Article III, Texas Constitution. If this
61	61	Act does not receive the vote necessary for immediate effect, this
62	62	Act takes effect September 1, 2009.