H.B. No. 3648
AN ACT
relating to the provision of natural gas and electric services in
this state.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter C, Chapter 81, Natural Resources
Code, is amended by adding Section 81.073 to read as follows:
Sec. 81.073. CRITICAL NATURAL GAS FACILITIES AND ENTITIES.
(a) The commission shall collaborate with the Public Utility
Commission of Texas to adopt rules to establish a process to
designate certain natural gas facilities and entities associated
with providing natural gas in this state as critical customers or
critical gas suppliers during energy emergencies.
(b) The rules must:
(1) establish criteria for designating persons who own
or operate a facility under the jurisdiction of the commission
under Section 81.051(a) or engage in an activity under the
jurisdiction of the commission under Section 81.051(a) who must
provide critical customer and critical gas supply information, as
defined by the commission, to the entities described by Section
38.074(b)(1), Utilities Code; and
(2) consider essential operational elements when
defining critical customer designations and critical gas supply
information for the purposes of Subdivision (1), including natural
gas production, processing, and transportation, related produced
water handling and disposal facilities, and the delivery of natural
gas to generators of electric energy.
SECTION 2. Subchapter D, Chapter 38, Utilities Code, is
amended by adding Section 38.074 to read as follows:
Sec. 38.074. CRITICAL NATURAL GAS FACILITIES AND ENTITIES.
(a) The commission shall collaborate with the Railroad Commission
of Texas to adopt rules to establish a process to designate certain
natural gas facilities and entities associated with providing
natural gas in this state as critical during energy emergencies.
(b) The rules must:
(1) ensure that the independent organization
certified under Section 39.151 for the ERCOT power region and each
electric utility, municipally owned utility, and electric
cooperative providing service in the ERCOT power region is provided
with the information required by Section 81.073, Natural Resources
Code;
(2) provide for prioritizing for load-shed purposes
during an energy emergency the facilities and entities designated
under Subsection (a); and
(3) provide discretion to an electric utility,
municipally owned utility, or electric cooperative providing
service in the ERCOT power region to prioritize power delivery and
power restoration among the facilities and entities designated
under Subsection (a) on the utility's or cooperative's systems, as
circumstances require.
SECTION 3. (a) The Public Utility Commission of Texas and
Railroad Commission of Texas shall adopt rules required by Section
81.073, Natural Resources Code, and Section 38.074, Utilities Code,
as added by this Act, not later than December 1, 2021.
(b) The Public Utility Commission of Texas shall provide a
report to the legislature regarding the implementation by the
Public Utility Commission of Texas of the designation and
prioritization requirements in this Act not later than January 1,
2022.
SECTION 4. 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, 2021.
______________________________ ______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 3648 was passed by the House on April
20, 2021, by the following vote: Yeas 144, Nays 0, 1 present, not
voting; that the House refused to concur in Senate amendments to
H.B. No. 3648 on May 24, 2021, and requested the appointment of a
conference committee to consider the differences between the two
houses; and that the House adopted the conference committee report
on H.B. No. 3648 on May 29, 2021, by the following vote: Yeas 141,
Nays 0, 1 present, not voting.
______________________________
Chief Clerk of the House
I certify that H.B. No. 3648 was passed by the Senate, with
amendments, on May 19, 2021, by the following vote: Yeas 31, Nays
0; at the request of the House, the Senate appointed a conference
committee to consider the differences between the two houses; and
that the Senate adopted the conference committee report on H.B. No.
3648 on May 29, 2021, by the following vote: Yeas 31, Nays 0.
______________________________
Secretary of the Senate
APPROVED: __________________
Date
__________________
Governor