Texas House Bill HB1534

Texas 2021 - 87th Regular

Caption

Relating to the funding through greenhouse gas emissions fees of energy efficiency programs administered by certain utilities; authorizing a fee.

Impact

The enactment of HB 1534 will amend several sections of the Texas Health and Safety Code and the Utilities Code, particularly focusing on how utility companies can access grants for their energy efficiency programs. A significant aspect of the bill is ensuring that at least 50% of the funds collected from the emissions fees are allocated to low-income energy efficiency programs. This strategy is designed to not only mitigate environmental impacts but also to provide assistance to vulnerable populations that may struggle with energy costs. By necessitating utility programs to meet specific funding criteria, the bill enables a more structured approach to tackling energy inefficiencies within economically disadvantaged households.

Summary

House Bill 1534 introduces a framework for funding energy efficiency programs through greenhouse gas emissions fees in Texas. The bill requires the Texas Commission on Environmental Quality (TCEQ) to implement a fee of $5 per ton on carbon dioxide equivalent emissions for facilities required to report greenhouse gas emissions. The collected fees will be deposited into a dedicated account and are intended to finance energy efficiency initiatives conducted by electric utilities, particularly for low-income customers. This is aimed at enhancing the overall energy efficiency of the state's utilities while addressing environmental concerns related to greenhouse gas emissions.

Contention

Despite its intended positive outcomes, the bill has been met with some contention. Critics may argue that implementing additional fees on emissions could be burdensome for businesses already facing economic pressures, possibly leading to higher prices for consumers. Furthermore, there could be concerns regarding the effectiveness of the distribution of funds and whether they sufficiently reach the targeted low-income demographics. The framing of the greenhouse gas emissions fee as a necessary component of complying with environmental standards may also face scrutiny from those who favor less regulatory intervention in business operations.