Texas 2023 - 88th Regular

Texas House Bill HB3054 Compare Versions

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1	1	By: Geren H.B. No. 3054
2	2
3	3
4	4	A BILL TO BE ENTITLED
5	5	AN ACT
6	6	relating to regulation of ownership and control of installed
7	7	electric generation capacity.
8	8	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
9	9	SECTION 1. Sections 39.152(a) and (d), Utilities Code, are
10	10	amended to read as follows:
11	11	(a) The commission shall certify a power region if:
12	12	(1) a sufficient number of interconnected utilities in
13	13	the power region fall under the operational control of an
14	14	independent organization as described by Section 39.151;
15	15	(2) the power region has a generally applicable tariff
16	16	that guarantees open and nondiscriminatory access for all users to
17	17	transmission and distribution facilities in the power region as
18	18	provided by Section 39.203; and
19	19	(3) no person owns and controls more than 25 [20]
20	20	percent of the installed generation capacity located in or capable
21	21	of delivering electricity to a power region, as determined
22	22	according to Section 39.154.
23	23	(d) For a power region outside of ERCOT, a power generation
24	24	company that is affiliated with an electric utility may elect to
25	25	demonstrate that it meets the requirements of Subsection (a)(3) by
26	26	showing that it does not own and control more than 25 [20] percent
27	27	of the installed capacity in a geographic market that includes the
28	28	power region, using the guidelines, standards, and methods adopted
29	29	by the Federal Energy Regulatory Commission.
30	30	SECTION 2. Section 39.154(a), Utilities Code, is amended to
31	31	read as follows:
32	32	(a) A [Beginning on the date of introduction of customer
33	33	choice, a] power generation company may not own and control more
34	34	than 25 [20] percent of the installed generation capacity located
35	35	in, or capable of delivering electricity to, a power region.
36	36	SECTION 3. Section 39.156(f), Utilities Code, is amended to
37	37	read as follows:
38	38	(f) The commission shall approve, modify, or reject a plan
39	39	within 180 days after the date the plan is filed [of a filing under
40	40	Subsection (b)]. The commission may not modify a plan to require
41	41	divestiture by the electric utility or the power generation
42	42	company.
43	43	SECTION 4. Section 39.407(a), Utilities Code, is amended to
44	44	read as follows:
45	45	(a) If an electric utility chooses on or after January 1,
46	46	2007, to participate in customer choice, the commission may not
47	47	authorize customer choice until the applicable power region has
48	48	been certified as a qualifying power region under Section
49	49	39.152(a). Except as otherwise provided by this subsection, the
50	50	commission shall certify that the requirements of Section
51	51	39.152(a)(3) are met for electric utilities subject to this
52	52	subchapter only upon a finding that the total capacity owned and
53	53	controlled by each such electric utility and its affiliates does
54	54	not exceed 25 [20] percent of the total installed generation
55	55	capacity within the constrained geographic region served by each
56	56	such electric utility plus the total available transmission
57	57	capacity capable of delivering firm power and energy to that
58	58	constrained geographic region. Not later than May 1, 2002, each
59	59	electric utility subject to this subchapter shall submit to the
60	60	electric utility restructuring legislative oversight committee an
61	61	analysis of the needed transmission facilities necessary to make
62	62	the electric utility's service area transmission capability
63	63	comparable to areas within the ERCOT power region. On or after
64	64	September 1, 2003, each electric utility subject to this subchapter
65	65	shall file the utility's plans to develop the utility's
66	66	transmission interconnections with the utility's power region or
67	67	other adjacent power regions. The commission shall review the plan
68	68	and not later than the 180th day after the date the plan is filed,
69	69	determine the additional transmission facilities necessary to
70	70	provide access to power and energy that is comparable to the access
71	71	provided in areas within the ERCOT power region; provided, however,
72	72	that if a hearing is requested by any party to the proceeding, the
73	73	180-day deadline will be extended one day for each day of hearings.
74	74	The commission shall, as a part of the commission's approval of the
75	75	plan, approve a rate rider mechanism for the recovery of the
76	76	incremental costs of those facilities after the facilities are
77	77	completed and in-service. A finding of need under this subsection
78	78	shall meet the requirements of Sections 37.056(c)(1), (2), and
79	79	(4)(E). The commission may certify that the requirements of Section
80	80	39.152(a)(3) are met for electric utilities subject to this
81	81	subchapter if the commission finds that:
82	82	(1) each such utility has sufficient transmission
83	83	facilities to provide customers access to power and energy from
84	84	capacity controlled by suppliers not affiliated with the incumbent
85	85	utility that is comparable to the access to power and energy from
86	86	capacity controlled by suppliers not affiliated with the incumbent
87	87	utilities in areas of the ERCOT power region; and
88	88	(2) the total capacity owned and controlled by each
89	89	such electric utility and its affiliates does not exceed 25 [20]
90	90	percent of the total installed generation capacity within the power
91	91	region.
92	92	SECTION 5. Section 39.453(b), Utilities Code, is amended to
93	93	read as follows:
94	94	(b) The commission shall certify that the requirement of
95	95	Section 39.152(a)(3) is met for an electric utility subject to this
96	96	subchapter only if the commission finds that the total capacity
97	97	owned and controlled by the electric utility and the utility's
98	98	affiliates does not exceed 25 [20] percent of the total installed
99	99	generation capacity within the power region of that utility.
100	100	SECTION 6. Section 39.156(b), Utilities Code, is repealed.
101	101	SECTION 7. This Act takes effect September 1, 2023.