The passage of HB 3346 is projected to impact state laws by expanding the regulatory framework surrounding DERs, allowing individuals to not only generate but also store energy and sell any excess back to the grid. This shift is expected to promote greater energy independence and potentially lower electricity costs for consumers by allowing them to contribute to energy supply during peak demand periods. Furthermore, the bill reflects a broader national trend toward adopting cleaner, more sustainable energy solutions, which may lead to increased investment in renewable resources within Texas.
Summary
House Bill 3346 aims to enhance the integration and regulation of distributed energy resources (DERs) within the state of Texas. The bill introduces a definition for DERs and facilitates their use on the distribution system. This initiative is focused on encouraging more residential customers to adopt systems for energy generation and storage, aligning with the state's move towards decentralizing energy production. The bill mandates the Public Utility Commission of Texas (PUCT) to adjust regulatory requirements and standards to accommodate such technologies, emphasizing consumer ownership of energy solutions.
Contention
While the bill is aimed at fostering innovation in energy production and storage, concerns have been raised regarding its potential implications for traditional energy markets and utilities. Opponents argue that the regulation changes could complicate existing partnerships between utilities and consumers, potentially undermining utility businesses that rely heavily on conventional energy generation. Furthermore, the need for technical standards and safety regulations for the interconnection of electric vehicles and DERs introduces additional complexity, and stakeholders have varying views on the adequacy of the proposed regulatory measures.
Texas Constitutional Statutes Affected
Utilities Code
Chapter 17. Customer Protection
Section: New Section
Chapter 31. General Provisions
Section: New Section
Chapter 39. Restructuring Of Electric Utility Industry
Relating to the continuation and functions of the Public Utility Commission of Texas and the Office of Public Utility Counsel, and the functions of the independent organization certified for the ERCOT power region; increasing an administrative penalty.
Relating to the establishment of the Texas Energy Insurance Program and other funding mechanisms to support the construction and operation of electric generating facilities.