85R11233 GRM-F
By: Phillips H.B. No. 2346
A BILL TO BE ENTITLED
AN ACT
relating to exempting certain customers from certain demand charges
by transmission and distribution utilities.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 36.009, Utilities Code, is amended to
read as follows:
Sec. 36.009. BILLING DEMAND FOR CERTAIN UTILITY CUSTOMERS.
(a) Notwithstanding any other provision of this code, the
commission by rule shall require a transmission and distribution
utility to:
(1) waive the application of demand ratchet provisions
for each nonresidential secondary service customer that has a
maximum load factor equal to or below a factor set by commission
rule;
(2) implement procedures to verify annually whether
each nonresidential secondary service customer has a maximum load
factor that qualifies the customer for the waiver described by
Subdivision (1);
(3) specify in the utility's tariff whether the
utility's nonresidential secondary service customers that qualify
for the waiver described by Subdivision (1) are to be billed for
distribution service charges on the basis of:
(A) kilowatts;
(B) kilowatt-hours; or
(C) kilovolt-amperes; and
(4) modify the utility's tariff in the utility's next
base rate case to implement the waiver described by Subdivision (1)
and make the specification required by Subdivision (3).
(b) For each utility that has not initiated a base rate case
between May 28, 2011, and September 1, 2017, the commission shall
initiate before January 1, 2018, a proceeding to modify the
utility's tariff to implement the waiver described by Subsection
(a)(1) and make the specification required by Subsection (a)(3).
SECTION 2. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2017.