LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 83RD LEGISLATIVE REGULAR SESSION May 1, 2013 TO: Honorable John Carona, Chair, Senate Committee on Business & Commerce FROM: Ursula Parks, Director, Legislative Budget Board IN RE:SB1586 by Rodríguez (Relating to distributed renewable generation of electricity.), Committee Report 1st House, Substituted No significant fiscal implication to the State is anticipated. The bill would amend the Utilities Code to expand the definition of distributed renewable generation to include renewable energy technology installed in a building or on land owned by the state of Texas or a school district with a capacity of not more than five megawatts, and renewable energy technology installed on land or in a facility owned by the federal government with a capacity of not more than ten megawatts. The bill would authorize a transmission or distribution utility or electric utility to allow interconnection for certain distributed renewable generation if the Public Utility Commission (PUC) has not made a finding that the interconnection of the generation will impair reliability or increase customer costs and would require the PUC to adopt and implement rules to accommodate the interconnection of distributed renewable generation to an electricity distribution system. Based on information provided by the PUC and the General Land Office, duties and responsibilities associated with implementing the provisions of the bill could be accomplished utilizing existing resources. Local Government Impact No significant fiscal implication to units of local government is anticipated. The bill would provide school districts with renewable technologies installed on land or in a facility owned by the district with a capacity of not more than five megawatts the option to interconnect with a transmission and distribution utility or electric utility if they meet certain requirements. Source Agencies:305 General Land Office and Veterans' Land Board, 473 Public Utility Commission of Texas, 701 Central Education Agency LBB Staff: UP, RB, ED, KKR, TL LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 83RD LEGISLATIVE REGULAR SESSION May 1, 2013 TO: Honorable John Carona, Chair, Senate Committee on Business & Commerce FROM: Ursula Parks, Director, Legislative Budget Board IN RE:SB1586 by Rodríguez (Relating to distributed renewable generation of electricity.), Committee Report 1st House, Substituted TO: Honorable John Carona, Chair, Senate Committee on Business & Commerce FROM: Ursula Parks, Director, Legislative Budget Board IN RE: SB1586 by Rodríguez (Relating to distributed renewable generation of electricity.), Committee Report 1st House, Substituted Honorable John Carona, Chair, Senate Committee on Business & Commerce Honorable John Carona, Chair, Senate Committee on Business & Commerce Ursula Parks, Director, Legislative Budget Board Ursula Parks, Director, Legislative Budget Board SB1586 by Rodríguez (Relating to distributed renewable generation of electricity.), Committee Report 1st House, Substituted SB1586 by Rodríguez (Relating to distributed renewable generation of electricity.), Committee Report 1st House, Substituted No significant fiscal implication to the State is anticipated. No significant fiscal implication to the State is anticipated. The bill would amend the Utilities Code to expand the definition of distributed renewable generation to include renewable energy technology installed in a building or on land owned by the state of Texas or a school district with a capacity of not more than five megawatts, and renewable energy technology installed on land or in a facility owned by the federal government with a capacity of not more than ten megawatts. The bill would authorize a transmission or distribution utility or electric utility to allow interconnection for certain distributed renewable generation if the Public Utility Commission (PUC) has not made a finding that the interconnection of the generation will impair reliability or increase customer costs and would require the PUC to adopt and implement rules to accommodate the interconnection of distributed renewable generation to an electricity distribution system. Based on information provided by the PUC and the General Land Office, duties and responsibilities associated with implementing the provisions of the bill could be accomplished utilizing existing resources. The bill would amend the Utilities Code to expand the definition of distributed renewable generation to include renewable energy technology installed in a building or on land owned by the state of Texas or a school district with a capacity of not more than five megawatts, and renewable energy technology installed on land or in a facility owned by the federal government with a capacity of not more than ten megawatts. The bill would authorize a transmission or distribution utility or electric utility to allow interconnection for certain distributed renewable generation if the Public Utility Commission (PUC) has not made a finding that the interconnection of the generation will impair reliability or increase customer costs and would require the PUC to adopt and implement rules to accommodate the interconnection of distributed renewable generation to an electricity distribution system. Based on information provided by the PUC and the General Land Office, duties and responsibilities associated with implementing the provisions of the bill could be accomplished utilizing existing resources. Local Government Impact No significant fiscal implication to units of local government is anticipated. The bill would provide school districts with renewable technologies installed on land or in a facility owned by the district with a capacity of not more than five megawatts the option to interconnect with a transmission and distribution utility or electric utility if they meet certain requirements. Source Agencies: 305 General Land Office and Veterans' Land Board, 473 Public Utility Commission of Texas, 701 Central Education Agency 305 General Land Office and Veterans' Land Board, 473 Public Utility Commission of Texas, 701 Central Education Agency LBB Staff: UP, RB, ED, KKR, TL UP, RB, ED, KKR, TL