Texas 2025 - 89th Regular

Texas House Bill HB3346 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	89R9009 CXP-F
2	2	By: Reynolds H.B. No. 3346
3	3
4	4
5	5
6	6
7	7	A BILL TO BE ENTITLED
8	8	AN ACT
9	9	relating to distributed energy resources.
10	10	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
11	11	SECTION 1. Subchapter A, Chapter 17, Utilities Code, is
12	12	amended by adding Section 17.011 to read as follows:
13	13	Sec. 17.011. METER SOCKET ADAPTER. The commission by rule
14	14	shall require an electric utility to modify the utility's service
15	15	requirements to authorize the use of a meter socket adapter owned by
16	16	a residential customer of retail electric service and certified by
17	17	a nationally recognized testing laboratory to support residential
18	18	distributed generation and energy storage systems.
19	19	SECTION 2. Section 31.002, Utilities Code, is amended by
20	20	adding Subdivision (4-c) to read as follows:
21	21	(4-c) "Distributed energy resource" means a resource
22	22	located on the distribution system, on a subsystem of the
23	23	distribution system, or on the customer's side of the meter,
24	24	including:
25	25	(A) a generation resource or storage resource
26	26	that provides electricity onto the distribution system; and
27	27	(B) a load resource capable of modifying its
28	28	electricity usage in response to grid conditions.
29	29	SECTION 3. Section 39.002, Utilities Code, is amended to
30	30	read as follows:
31	31	Sec. 39.002. APPLICABILITY. This chapter, other than
32	32	Sections 39.151, 39.1516, 39.155, 39.157(e), 39.161, 39.162,
33	33	39.163, 39.203, 39.9051, 39.9052, [and] 39.914(e), and 39.9155, and
34	34	Subchapters M and N, does not apply to a municipally owned utility
35	35	or an electric cooperative. Sections 39.157(e) and 39.203 apply
36	36	only to a municipally owned utility or an electric cooperative that
37	37	is offering customer choice. If there is a conflict between the
38	38	specific provisions of this chapter and any other provisions of
39	39	this title, except for Chapters 40 and 41, the provisions of this
40	40	chapter control.
41	41	SECTION 4. Section 39.3515, Utilities Code, is amended by
42	42	amending Subsection (b) and adding Subsection (c) to read as
43	43	follows:
44	44	(b) The commission shall adopt [may establish] rules and
45	45	registration requirements for the aggregation of distributed
46	46	energy resources.
47	47	(c) The commission shall:
48	48	(1) establish the aggregate distributed energy
49	49	resource pilot project (Project 53911) as a formal program;
50	50	(2) require the independent organization certified
51	51	under Section 39.151 for the ERCOT power region to:
52	52	(A) increase participation in the program by:
53	53	(i) eliminating capacity- and load
54	54	zone-based limitations;
55	55	(ii) allowing for the participation of an
56	56	aggregated distributed energy resource in the wholesale energy
57	57	market if the resource has a capacity of 160 megawatts or less and
58	58	complies with all applicable commission requirements;
59	59	(iii) allowing for the participation of an
60	60	aggregated distributed energy resource in the ancillary services
61	61	market if the resource has a capacity of 80 megawatts or less and
62	62	complies with all applicable commission requirements; and
63	63	(iv) allowing for the participation in the
64	64	wholesale energy and ancillary services markets, without
65	65	security-constrained economic dispatch restrictions, of load
66	66	resource types that respond to demand response instructions with
67	67	blocks of demand; and
68	68	(B) incorporate aggregated noncontrollable load
69	69	resources into the program's governing documents; and
70	70	(3) provide that, when the independent organization
71	71	certified under Section 39.151 for the ERCOT power region issues an
72	72	emergency energy alert, a distributed energy resource that
73	73	participates in the program is entitled to the same legal
74	74	protections and subject to the same performance standards as
75	75	another comparable energy resource.
76	76	SECTION 5. Subchapter Z, Chapter 39, Utilities Code, is
77	77	amended by adding Sections 39.9155 and 39.9161 to read as follows:
78	78	Sec. 39.9155. DISTRIBUTED ENERGY RESOURCES. (a) The
79	79	commission by rule shall:
80	80	(1) provide for an expedited application process for
81	81	the interconnection of distributed energy resources;
82	82	(2) adopt statewide technical requirements for
83	83	interconnected distributed energy resources;
84	84	(3) provide for an expedited approval process for the
85	85	installation of distributed energy resources with a capacity of
86	86	less than 50 kilowatts; and
87	87	(4) authorize the management of distributed energy
88	88	resource import and export limitations using power control systems
89	89	that are tested and certified by a nationally recognized testing
90	90	laboratory.
91	91	(b) The commission shall review the requirements adopted
92	92	under Subsection (a)(2) at least once every two years and update
93	93	those requirements as necessary for public safety.
94	94	(c) Compliance with rules adopted under Subsection (a) by a
95	95	provider of electric service which is a municipally owned utility
96	96	shall be administered solely by the governing body of the
97	97	municipally owned utility, which shall adopt, implement, and
98	98	enforce, as to the municipally owned utility, rules having the
99	99	effect of accomplishing the objectives of this section.
100	100	(d) The commission by rule shall:
101	101	(1) ensure that owners of distributed energy resources
102	102	are fairly compensated for contributions to grid resilience,
103	103	including through retail tariffs or other market mechanisms, with
104	104	compensation that reflects the locational and temporal value of the
105	105	resources; and
106	106	(2) establish standards for telemetry provided to the
107	107	independent organization certified under Section 39.151 for the
108	108	ERCOT power region by an owner or operator of a distributed energy
109	109	resource that include real-time two-second protocols and clarified
110	110	validation metrics.
111	111	(e) The commission may enter into public-private
112	112	partnerships and allocate grants for the purposes of this section
113	113	if money is available for those purposes under other law.
114	114	Sec. 39.9161. INTERCONNECTION OF ELECTRIC VEHICLES. (a)
115	115	In this section:
116	116	(1) "Electric vehicle" has the meaning assigned by
117	117	Section 42.0102.
118	118	(2) "Interconnection" means the right of an electric
119	119	vehicle owner to physically connect the electric vehicle to an
120	120	electricity distribution system and the technical requirements,
121	121	rules, or processes for the connection.
122	122	(b) The commission by rule shall establish safety,
123	123	technical, and performance standards for electric vehicles that may
124	124	be interconnected. In adopting the rules, the commission shall
125	125	consider standards published by the Underwriters Laboratories, the
126	126	National Electrical Code, the National Electrical Safety Code, and
127	127	the Institute of Electrical and Electronics Engineers.
128	128	(c) The commission by rule shall establish a program to
129	129	allow the sale of electricity stored by an electric vehicle to the
130	130	transmission grid and distribution system. The rules must
131	131	authorize an electric utility or retail electric provider to
132	132	contract with an electric vehicle owner so that:
133	133	(1) electricity stored by the electric vehicle is made
134	134	available for sale to the transmission grid and distribution
135	135	system; and
136	136	(2) the value of that electricity is credited to the
137	137	electric vehicle owner.
138	138	SECTION 6. Not later than December 31, 2025, the Public
139	139	Utility Commission of Texas shall adopt the rules required by this
140	140	Act.
141	141	SECTION 7. This Act takes effect immediately if it receives
142	142	a vote of two-thirds of all the members elected to each house, as
143	143	provided by Section 39, Article III, Texas Constitution. If this
144	144	Act does not receive the vote necessary for immediate effect, this
145	145	Act takes effect September 1, 2025.