Texas Senate Bill SB1242

Texas 2021 - 87th Regular

Caption

Relating to the issuance of a certificate of convenience and necessity for providing electric service in the extraterritorial jurisdiction of a municipality.

Impact

The bill's implementation is expected to affect the way municipalities oversee utilities operating in their extraterritorial jurisdictions. By allowing electric utilities to file motions requesting certificates for new facilities, the overall regulatory framework governing utility services may become more favorable for utility companies. This could lead to the expansion of electric service availability in previously underserved areas, thereby improving the overall infrastructure related to energy provision.

Summary

Senate Bill 1242 amends the Texas Utilities Code to provide new provisions regarding the issuance of a certificate of convenience and necessity for electric service in the extraterritorial jurisdiction of municipalities. This legislative measure is aimed at streamlining the process for electric utilities to apply for certificates when constructing new transmission lines or facilities beyond their municipal boundaries. By enabling electric utilities to gain necessary approvals more efficiently, the bill seeks to enhance service reliability and operational flexibility.

Contention

There may be notable points of contention regarding this bill, particularly surrounding the potential impact on municipal governance and local authority. Critics might argue that the changes dilute the power of local municipalities to control electric service expansion within their jurisdiction, raising concerns about accountability and oversight. Supporters, on the other hand, will likely assert that reducing bureaucratic hurdles benefits both utility providers and residents by facilitating faster infrastructure development.