Texas 2023 - 88th Regular

Texas Senate Bill SB1751 Compare Versions

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1	1	By: Kolkhorst, et al. S.B. No. 1751
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4	4	A BILL TO BE ENTITLED
5	5	AN ACT
6	6	relating to the regulation and tax treatment of facilities in the
7	7	ERCOT power region that demand a large load of interruptible power.
8	8	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
9	9	SECTION 1. Subchapter D, Chapter 39, Utilities Code, is
10	10	amended by adding Section 39.1591 to read as follows:
11	11	Sec. 39.1591. VIRTUAL CURRENCY MINING AS DEMAND RESPONSE.
12	12	(a) In this section:
13	13	(1) "Virtual currency" has the meaning assigned by
14	14	Section 12.001, Business & Commerce Code.
15	15	(2) "Virtual currency mining facility" means a
16	16	facility that uses electronic equipment to add virtual currency
17	17	transactions to a distributed ledger.
18	18	(b) The commission shall require the independent
19	19	organization certified under Section 39.151 for the ERCOT power
20	20	region to ensure that any demand response program operated by the
21	21	independent organization to respond to emergencies that provides
22	22	compensation for load reductions is open to participation by a
23	23	virtual currency mining facility that is registered as a large
24	24	flexible load under Section 39.360 only if the anticipated demand
25	25	provided under Section 39.360(b) for all facilities of that type
26	26	participating in the program is less than 10 percent of the total
27	27	load required by all loads in the program.
28	28	SECTION 2. Subchapter H, Chapter 39, Utilities Code, is
29	29	amended by adding Section 39.360 to read as follows:
30	30	Sec. 39.360. LARGE FLEXIBLE LOAD REGISTRATION. (a) The
31	31	commission by rule shall require a person operating a facility who
32	32	enters into an agreement for retail electric service in the ERCOT
33	33	power region to register the facility receiving service as a large
34	34	flexible load under this section if:
35	35	(1) the person anticipates that the facility will
36	36	require a total load of more than 10 megawatts before the second
37	37	anniversary of the date the agreement begins;
38	38	(2) the facility load is interruptible; and
39	39	(3) the facility is a computing load.
40	40	(b) The rules must require a person described by Subsection
41	41	(a) to:
42	42	(1) register the large flexible load with the
43	43	commission not later than one business day after the date the
44	44	agreement begins; and
45	45	(2) provide the commission with:
46	46	(A) the location of the facility; and
47	47	(B) the anticipated demand from the facility for
48	48	the five-year period beginning on the date of the registration.
49	49	SECTION 3. Subchapter A, Chapter 312, Tax Code, is amended
50	50	by adding Section 312.0022 to read as follows:
51	51	Sec. 312.0022. PROHIBITION ON ABATEMENT OF TAXES ON CERTAIN
52	52	VIRTUAL CURRENCY MINING PROPERTY. (a) In this section:
53	53	(1) "Virtual currency" has the meaning assigned by
54	54	Section 12.001, Business & Commerce Code.
55	55	(2) "Virtual currency mining facility" means a
56	56	facility that uses electronic equipment to add virtual currency
57	57	transactions to a distributed ledger.
58	58	(b) This section applies only to a virtual currency mining
59	59	facility registered as a large flexible load under Section 39.360,
60	60	Utilities Code.
61	61	(c) The governing body of a taxing unit may not enter into an
62	62	agreement under this chapter to exempt from taxation a portion of
63	63	the value of real property on which a virtual currency mining
64	64	facility is located or is planned to be located during the term of
65	65	the agreement, or of tangible personal property that is located or
66	66	is planned to be located on the real property during that term.
67	67	SECTION 4. Section 312.0022, Tax Code, as added by this Act,
68	68	applies only to an agreement entered into under Chapter 312, Tax
69	69	Code, on or after the effective date of this Act.
70	70	SECTION 5. This Act takes effect September 1, 2023.