By: Carona S.B. No. 241 (In the Senate - Filed January 23, 2013; January 29, 2013, read first time and referred to Committee on Business and Commerce; May 6, 2013, reported adversely, with favorable Committee Substitute by the following vote: Yeas 5, Nays 2; May 6, 2013, sent to printer.) COMMITTEE SUBSTITUTE FOR S.B. No. 241 By: Carona A BILL TO BE ENTITLED AN ACT relating to the regulation of advanced meters and the interconnection of ERCOT with another grid; requiring a study on the health effects of advanced meters; authorizing an administrative penalty. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 39.107, Utilities Code, is amended by adding Subsections (k) through (r) to read as follows: (k) Except as provided by Subsection (l) or (m) or expressly provided by other law, a person may not: (1) access or disclose a residential customer's information that is related to electric consumption for specific equipment and that is measured by, provided by, or otherwise collected from a home area network on the customer's side of an advanced meter, including information used to calculate charges for service, historical load data, and any other residential customer information; or (2) control equipment connected to a home area network on the customer's side of an advanced meter. (l) Subsection (k) does not affect the authority of an electric utility or transmission and distribution utility to provide customer metering or related data to the customer's retail electric provider, an independent organization certified under Section 39.151, a provider of corporate support services for the purposes of providing those services, or any other third-party entity the customer authorizes. A third-party entity to which this data is provided may use the data only to provide or offer to provide electric-related products or services to the customer. (m) A customer may authorize a person or other entity to access or disclose that customer's information as described by Subsection (k) or to control equipment connected to a home area network on that customer's side of an advanced meter. (n) The commission may impose an administrative penalty as provided by Section 15.023 for a wilful violation of Subsection (k). (o) An electric utility or transmission and distribution utility that receives from the commission approval of the utility's plan for deploying advanced meters shall send by mail to each customer scheduled to receive an advanced meter under the plan a notice to inform the customer that the customer may decline to have the advanced meter installed and of the manner in which and date by which the customer must decline installation. If a customer timely declines to have the advanced meter installed, the utility may not install the meter or charge the customer any fees or surcharges related to declining the advanced meter, including the nonbypassable surcharge otherwise authorized by Subsection (h). (p) An electric utility or transmission and distribution utility that has deployed advanced meters under a plan approved by the commission shall send by mail to each customer that is using an installed advanced meter a notice to inform the customer that the customer may choose to have the meter removed and of the manner in which the customer must choose removal. If the customer chooses to remove the advanced meter, the utility shall: (1) remove the advanced meter; (2) install a conventional meter at no cost to the customer; and (3) provide the customer with conventional metering services. (q) An electric utility or transmission and distribution utility that provides conventional metering services to a customer who has declined installation of an advanced meter or had an advanced meter removed under this section may not read that customer's conventional meter more than once each month. (r) The commission by rule shall provide for a minimum period between the time a notice under Subsection (o) is mailed and the date by which a customer must decline installation. SECTION 2. Subchapter D, Chapter 39, Utilities Code, is amended by adding Section 39.159 to read as follows: Sec. 39.159. LIMITATION ON INTERCONNECTION. The commission or an independent organization certified under Section 39.151 may not authorize the interconnection of ERCOT, as defined by Section 31.002, with any other electric transmission grid. SECTION 3. (a) A joint committee shall conduct a study on the effects of advanced meters on public health. (b) The committee is composed of eight members appointed as follows: (1) four members of the senate appointed by the lieutenant governor; and (2) four members of the house of representatives appointed by the speaker of the house of representatives. (c) The speaker of the house of representatives and the lieutenant governor shall jointly designate a chair or, alternatively, designate two co-chairs from among the committee membership. (d) The committee shall examine the effects of advanced meters on public health. (e) The committee may adopt rules necessary to carry out the committee's duties under this section. (f) Except as otherwise specifically provided by this section, the committee may operate in the same manner as a joint committee of the 83rd Legislature. (g) Not later than December 1, 2014, the committee shall report to the governor and the legislature the findings of the study and any recommendations developed by the committee under this section. SECTION 4. Subsection (k), Section 39.107, Utilities Code, as added by this Act, applies only to accessing or disclosing information on or after the effective date of this Act. Accessing or disclosing information before the effective date of this Act is covered by the law in effect at the time the action occurred, and the former law is continued in effect for that purpose. SECTION 5. The Public Utility Commission of Texas shall adopt rules under Subsection (r), Section 39.107, Utilities Code, as added by this Act, as soon as practicable following the effective date of this Act, but not later than January 1, 2014. SECTION 6. This Act takes effect September 1, 2013. * * * * *