Texas 2009 - 81st Regular

Texas Senate Bill SB1913 Compare Versions

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1	1	By: Fraser S.B. No. 1913
2	2
3	3
4	4	A BILL TO BE ENTITLED
5	5	AN ACT
6	6	relating to certificates of convenience and necessity.
7	7	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
8	8	SECTION 1. Section 37.051, Utilities Code, is amended by
9	9	amending Subsection (a) and adding Subsections (d), (e), and (f) to
10	10	read as follows:
11	11	(a) An electric utility or other person may not directly or
12	12	indirectly provide service to the public under a franchise or
13	13	permit unless the utility or other person first obtains from the
14	14	commission a certificate that states that the public convenience
15	15	and necessity requires or will require the installation, operation,
16	16	or extension of the service.
17	17	(d) A certificate may be granted to an electric utility or
18	18	other person under this section for a facility used as part of the
19	19	transmission system serving the ERCOT power region solely for the
20	20	transmission of electricity.
21	21	(e) The commission may consider an application filed by a
22	22	person not currently certificated as an electric utility for a
23	23	certificate of convenience and necessity to construct transmission
24	24	capacity that serves the ERCOT power region. Before granting a
25	25	certificate under this section, the commission must find, after
26	26	notice and hearing, that:
27	27	(1) the applicant has the technical ability, financial
28	28	ability, and sufficient resources in this state to own, operate,
29	29	and maintain reliable transmission facilities;
30	30	(2) the applicant has the resources and ability to
31	31	comply with commission rules, requirements of the independent
32	32	organization certified under Section 39.151 for the ERCOT power
33	33	region, and requirements of the National Electric Reliability
34	34	Council applicable to the provisions of transmission service; and
35	35	(3) for an application filed by a person that is not an
36	36	electric utility, granting the application will not adversely
37	37	affect wholesale transmission rates, as compared to the rates
38	38	projected to be charged if an existing electric utility were to
39	39	build the transmission facility.
40	40	(f) The commission shall consider the requirements of
41	41	Subsection (e) to have been met by an electric utility or other
42	42	person that:
43	43	(1) is selected by the commission as a transmission
44	44	provider under a plan adopted by the commission under Section
45	45	39.904 not later than September 1, 2009; and
46	46	(2) before the certificate is issued, provides to the
47	47	commission a detailed plan regarding the offices, personnel, and
48	48	other resources the electric utility or other person will have in
49	49	this state to ensure provision of continuous and adequate
50	50	transmission service.
51	51	SECTION 2. Subsection (a), Section 37.053, Utilities Code,
52	52	is amended to read as follows:
53	53	(a) An electric utility or other person that wants to obtain
54	54	or amend a certificate must submit an application to the
55	55	commission.
56	56	SECTION 3. Sections 37.055, 37.057, and 37.151, Utilities
57	57	Code, are amended to read as follows:
58	58	Sec. 37.055. REQUEST FOR PRELIMINARY ORDER. (a) An
59	59	electric utility or other person that wants to exercise a right or
60	60	privilege under a franchise or permit that the utility or other
61	61	person anticipates obtaining but has not been granted may apply to
62	62	the commission for a preliminary order under this section.
63	63	(b) The commission may issue a preliminary order declaring
64	64	that the commission, on application and under commission rules,
65	65	will grant the requested certificate on terms the commission
66	66	designates, after the electric utility or other person obtains the
67	67	franchise or permit.
68	68	(c) The commission shall grant the certificate on
69	69	presentation of evidence satisfactory to the commission that the
70	70	electric utility or other person has obtained the franchise or
71	71	permit.
72	72	Sec. 37.057. DEADLINE FOR APPLICATION FOR NEW TRANSMISSION
73	73	FACILITY. The commission may grant a certificate for a new
74	74	transmission facility to a qualified applicant that meets the
75	75	requirements of this subchapter. The commission must approve or
76	76	deny an application for a certificate for a new transmission
77	77	facility not later than the first anniversary of the date the
78	78	application is filed. If the commission does not approve or deny
79	79	the application on or before that date, a party may seek a writ of
80	80	mandamus in a district court of Travis County to compel the
81	81	commission to decide on the application.
82	82	Sec. 37.151. PROVISION OF SERVICE. Except as provided by
83	83	this section, Section 37.152, and Section 37.153, a certificate
84	84	holder, other than those granted a certificate under Section
85	85	37.051(d), shall:
86	86	(1) serve every consumer in the utility's certificated
87	87	area; and
88	88	(2) provide continuous and adequate service in that
89	89	area.
90	90	SECTION 4. This Act takes effect September 1, 2009.