Texas 2015 - 84th Regular

Texas Senate Bill SB1284 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	84R8424 GRM-F
2	2	By: Watson S.B. No. 1284
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the development of electricity demand response
8	8	programs.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Section 39.101(b), Utilities Code, is amended to
11	11	read as follows:
12	12	(b) A customer is entitled:
13	13	(1) to be informed about rights and opportunities in
14	14	the transition to a competitive electric industry;
15	15	(2) to choose the customer's retail electric provider
16	16	consistent with this chapter, to have that choice honored, and to
17	17	assume that the customer's chosen provider will not be changed
18	18	without the customer's informed consent;
19	19	(3) to have access to providers of energy efficiency
20	20	services, to on-site distributed generation, [and] to providers of
21	21	energy generated by renewable energy resources, and to
22	22	participation in demand response through demand response
23	23	providers;
24	24	(4) to be served by a provider of last resort that
25	25	offers a commission-approved standard service package;
26	26	(5) to receive sufficient information to make an
27	27	informed choice of service provider;
28	28	(6) to be protected from unfair, misleading, or
29	29	deceptive practices, including protection from being billed for
30	30	services that were not authorized or provided; and
31	31	(7) to have an impartial and prompt resolution of
32	32	disputes with its chosen retail electric provider and transmission
33	33	and distribution utility.
34	34	SECTION 2. Subchapter Z, Chapter 39, Utilities Code, is
35	35	amended by adding Section 39.9053 to read as follows:
36	36	Sec. 39.9053. DEMAND RESPONSE IN ERCOT. (a) The
37	37	legislature finds that electricity markets function most
38	38	efficiently when supply side and demand side resources both
39	39	contribute to the adequacy of the electric system. The legislature
40	40	also finds that ERCOT has not yet achieved its potential for demand
41	41	response, and, therefore, it is the policy of this state to promote
42	42	the development of demand response to its maximum potential and to
43	43	eliminate unnecessary barriers to demand response participation in
44	44	ERCOT.
45	45	(b) In this section:
46	46	(1) "Demand response" means changes in electric usage
47	47	by customers from their normal consumption patterns in response to:
48	48	(A) changes in the price of electricity use over
49	49	time; or
50	50	(B) incentive payments designed to induce lower
51	51	electricity use at times of high wholesale market prices or when the
52	52	system reliability is jeopardized.
53	53	(2) "Demand response provider" means a competitive
54	54	energy services provider that aggregates customer load reduction
55	55	capabilities, including reliability demand response capability,
56	56	and offers those capabilities into an electricity market or
57	57	program.
58	58	(3) "Reliability demand response" means demand
59	59	response to be dispatched by an independent system operator or a
60	60	distribution utility in response to an electric grid reliability
61	61	issue.
62	62	(c) The commission by rule shall:
63	63	(1) require the independent organization certified
64	64	under Section 39.151 for the ERCOT region to provide the commission
65	65	not less frequently than December 1 of each odd-numbered year with
66	66	an analysis of the potential demand response opportunity and
67	67	penetration in the ERCOT region;
68	68	(2) promote development of demand response
69	69	participation by customers in all customer classes;
70	70	(3) remove barriers to demand response participation
71	71	for demand response providers and for customers in all customer
72	72	classes;
73	73	(4) ensure that customers in all customer classes have
74	74	the option to contract for participation in demand response either
75	75	directly with one or more demand response providers, including
76	76	retail electric providers, with scheduling entities qualified by
77	77	the independent system operator, or with a combination of entities
78	78	consisting of the independent system operator and one or more
79	79	demand response providers;
80	80	(5) establish and encourage markets, products,
81	81	programs, or services for reliability demand response and other
82	82	forms of demand response in wholesale and retail markets; and
83	83	(6) provide opportunities for demand response
84	84	providers and customers to participate in wholesale energy markets
85	85	and ancillary services markets on a comparable basis with other
86	86	resources, while accommodating differences in operational
87	87	capabilities of various customer loads among customer classes,
88	88	including but not limited to differences related to availability,
89	89	dispatch notification timelines, curtailment response times, ramp
90	90	rates, curtailment duration, and times required to return to
91	91	service following an outage.
92	92	SECTION 3. The Public Utility Commission of Texas shall
93	93	adopt rules as necessary to implement Section 39.9053, Utilities
94	94	Code, as added by this Act, not later than May 1, 2016.
95	95	SECTION 4. This Act takes effect immediately if it receives
96	96	a vote of two-thirds of all the members elected to each house, as
97	97	provided by Section 39, Article III, Texas Constitution. If this
98	98	Act does not receive the vote necessary for immediate effect, this
99	99	Act takes effect September 1, 2015.