88R4127 DIO-D
By: Gervin-Hawkins H.B. No. 1013
A BILL TO BE ENTITLED
AN ACT
relating to statewide requirements for renewable electric
generating capacity.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Sections 39.904(a), (c), and (o), Utilities
Code, are amended to read as follows:
(a) Of the total amount of generating capacity installed in
this state:
(1) 50 percent must come from renewable energy
technologies by January 1, 2030; and
(2) 100 percent must come from renewable energy
technologies by January 1, 2050. [It is the intent of the
legislature that by January 1, 2015, an additional 5,000 megawatts
of generating capacity from renewable energy technologies will have
been installed in this state. The cumulative installed renewable
capacity in this state shall total 5,880 megawatts by January 1,
2015, and the commission shall establish a target of 10,000
megawatts of installed renewable capacity by January 1, 2025. The
cumulative installed renewable capacity in this state shall total
2,280 megawatts by January 1, 2007, 3,272 megawatts by January 1,
2009, 4,264 megawatts by January 1, 2011, 5,256 megawatts by
January 1, 2013, and 5,880 megawatts by January 1, 2015. Of the
renewable energy technology generating capacity installed to meet
the goal of this subsection after September 1, 2005, the commission
shall establish a target of having at least 500 megawatts of
capacity from a renewable energy technology other than a source
using wind energy.]
(c) The [Not later than January 1, 2000, the] commission
shall adopt rules necessary to administer and enforce this section.
At a minimum, the rules shall:
(1) establish the minimum annual renewable energy
requirement for each retail electric provider, municipally owned
utility, and electric cooperative operating in this state in a
manner reasonably calculated by the commission to produce, on a
statewide basis, compliance with the requirement prescribed by
Subsection (a); and
(2) specify reasonable performance standards that all
renewable energy technologies [capacity additions] must meet to
count against the requirement prescribed by Subsection (a) and
that:
(A) are designed and operated so as to maximize
the energy output from the technologies [capacity additions] in
accordance with then-current industry standards; and
(B) encourage the development, construction, and
operation of new renewable energy projects at those sites in this
state that have the greatest economic potential for capture and
development of this state's environmentally beneficial renewable
resources.
(o) The commission may establish an alternative compliance
payment. An entity that has a renewable energy purchase requirement
under this section may elect to pay the alternative compliance
payment instead of applying renewable energy credits toward the
satisfaction of the entity's obligation under this section. [The
commission may establish a separate alternative compliance payment
for the goal of 500 megawatts of capacity from renewable energy
technologies other than wind energy. The alternative compliance
payment for a renewable energy purchase requirement that could be
satisfied with a renewable energy credit from wind energy may not be
less than $2.50 per credit or greater than $20 per credit. Prior to
September 1, 2009, an alternative compliance payment under this
subsection may not be set above $5 per credit.] In implementing this
subsection, the commission shall consider:
(1) the effect of renewable energy credit prices on
retail competition;
(2) the effect of renewable energy credit prices on
electric rates;
(3) the effect of the alternative compliance payment
level on the renewable energy credit market; and
(4) any other factors necessary to ensure the
continued development of the renewable energy industry in this
state while protecting ratepayers from unnecessary rate increases.
SECTION 2. Not later than January 1, 2024, the Public
Utility Commission of Texas shall adopt rules required to
administer and enforce Section 39.904, Utilities Code, as amended
by this Act.
SECTION 3. This Act takes effect September 1, 2023.