Texas 2023 - 88th Regular

Texas House Bill HB1146 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New	Differences
1	1	88R3710 JXC-D
2	2	By: Reynolds H.B. No. 1146
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the interconnection of the ERCOT power grid to grids
8	8	outside the ERCOT power region.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Subtitle B, Title 2, Utilities Code, is amended
11	11	by adding Chapter 39A to read as follows:
12	12	CHAPTER 39A. INTERCONNECTION OF FACILITIES IN ERCOT TO GRIDS
13	13	OUTSIDE ERCOT POWER REGION
14	14	Sec. 39A.0101. UTILITY AND COOPERATIVE AUTHORITY.
15	15	Notwithstanding any other law, a transmission and distribution
16	16	utility, municipally owned utility, or electric cooperative that
17	17	transmits or distributes power purchased at wholesale in the ERCOT
18	18	power region may construct, own, and operate facilities as
19	19	necessary to:
20	20	(1) access transmission service from outside of the
21	21	ERCOT power region; and
22	22	(2) purchase power at wholesale from outside of the
23	23	ERCOT power region.
24	24	Sec. 39A.0102. COMMISSION AUTHORITY. (a) The commission
25	25	may request any federal approval necessary for the interconnection
26	26	of a facility described by Section 39A.0101.
27	27	(b) Unless otherwise provided by federal law, the
28	28	commission shall require the independent organization certified
29	29	for the ERCOT power region under Section 39.151 to approve the
30	30	interconnection of a facility described by Section 39A.0101 unless
31	31	the commission or the independent organization determines that the
32	32	interconnection poses a significant and imminent risk to public
33	33	health and safety.
34	34	(c) The commission may provide technical and administrative
35	35	assistance to a transmission and distribution utility, municipally
36	36	owned utility, or electric cooperative seeking to construct, own,
37	37	or operate a facility described by Section 39A.0101.
38	38	Sec. 39A.0103. SYNCHRONOUS AND NON-SYNCHRONOUS
39	39	INTERCONNECTIONS. (a) This chapter applies to synchronous and
40	40	non-synchronous interconnections.
41	41	(b) Unless otherwise provided by federal law, the
42	42	commission shall approve an application for a certificate of
43	43	convenience and necessity submitted under Section 39A.0104 by a
44	44	transmission and distribution utility, municipally owned utility,
45	45	or electric cooperative for a facility that would synchronously
46	46	interconnect to a facility outside the ERCOT power region if the
47	47	application complies with all applicable provisions of Chapter 37
48	48	and this chapter.
49	49	(c) Not later than September 1, 2025, the commission shall
50	50	identify transmission facilities in ERCOT that may be synchronously
51	51	interconnected with transmission facilities outside of ERCOT for
52	52	the purpose of allowing federal regulation of transmission service
53	53	and wholesale power sales in ERCOT. Notwithstanding any other law,
54	54	the commission shall require a transmission and distribution
55	55	utility, municipally owned utility, or electric cooperative that
56	56	owns a transmission facility identified by the commission to make
57	57	requests, obtain approvals, enter into contracts, and construct
58	58	facilities as necessary to synchronously interconnect the facility
59	59	with a transmission facility outside of ERCOT. This subsection
60	60	expires August 31, 2029.
61	61	SECTION 2. Sections 37.051(c-1), (c-2), and (c-3),
62	62	Utilities Code, are redesignated as Section 39A.0104, Utilities
63	63	Code, and amended to read as follows:
64	64	Sec. 39A.0104. CERTIFICATES OF CONVENIENCE AND NECESSITY.
65	65	(a) A transmission and distribution utility, [(c-1)
66	66	Notwithstanding any other provision of this title except Section
67	67	11.009, and except as provided by Subsection (c-2), a person,
68	68	including an electric utility or] municipally owned utility, or
69	69	electric cooperative may not interconnect a facility described by
70	70	Section 39A.0101 [to the ERCOT transmission grid that enables
71	71	additional power to be imported into or exported out of the ERCOT
72	72	power grid] unless the utility or cooperative [person] obtains a
73	73	certificate from the commission in the manner provided by Chapter
74	74	37 and this chapter stating that the interconnection does not pose a
75	75	significant and imminent risk to public health and safety [public
76	76	convenience and necessity requires or will require the
77	77	interconnection].
78	78	(b) In the case of a conflict between Chapter 37 and this
79	79	chapter, this chapter prevails.
80	80	(c) Sections 37.056(c)(1) and (2) and (d) do not apply to an
81	81	application for a certificate described by Subsection (a).
82	82	(d) Unless otherwise provided by federal law, the
83	83	commission shall approve an application for a certificate described
84	84	by Subsection (a) unless the commission determines that granting
85	85	the application poses a significant and imminent risk to public
86	86	health and safety.
87	87	(e) The transmission and distribution utility, municipally
88	88	owned utility, or electric cooperative [person] must apply to the
89	89	commission for a [the] certificate described by Subsection (a) not
90	90	later than the 180th day before the date the utility or cooperative
91	91	[person] seeks any order from the Federal Energy Regulatory
92	92	Commission related to the interconnection.
93	93	(f) [The commission shall apply Section 37.056 in
94	94	considering an application under this subsection. In addition, the
95	95	commission must determine that the application is consistent with
96	96	the public interest before granting the certificate. The commission
97	97	may adopt rules necessary to implement this subsection. This
98	98	subsection does not apply to a facility that is in service on
99	99	December 31, 2014.
100	100	[(c-2)] The commission, not later than the 185th day after
101	101	the date the application is filed, shall approve an application
102	102	[filed under Subsection (c-1)] for a facility that is to be
103	103	constructed under an interconnection agreement appended to an offer
104	104	of settlement approved in a final order of the Federal Energy
105	105	Regulatory Commission that was issued in Docket No. TX11-01-001 on
106	106	or before December 31, 2014, directing physical connection between
107	107	the ERCOT and SERC regions under Sections 210, 211, and 212 of the
108	108	Federal Power Act (16 U.S.C. Sections 824i, 824j, and 824k). In
109	109	approving the application, the commission may prescribe reasonable
110	110	conditions to protect the public interest that are consistent with
111	111	the final order of the Federal Energy Regulatory Commission.
112	112	(g) [(c-3)] Nothing in this section [Subsection (c-1) or
113	113	(c-2)] is intended to restrict the authority of the commission or
114	114	the independent organization certified under Section 39.151 for the
115	115	ERCOT power region to adopt rules or protocols of general
116	116	applicability.
117	117	SECTION 3. This Act takes effect September 1, 2023.