| 1 | 1 | | 89R3396 CS-D |
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| 2 | 2 | | By: Guillen H.B. No. 5633 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | |
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| 6 | 6 | | |
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| 7 | 7 | | A BILL TO BE ENTITLED |
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| 8 | 8 | | AN ACT |
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| 9 | 9 | | relating to the operation of Texas backup power packages. |
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| 10 | 10 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 11 | 11 | | SECTION 1. Section 34.0204, Utilities Code, is amended to |
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| 12 | 12 | | read as follows: |
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| 13 | 13 | | Sec. 34.0204. TEXAS BACKUP POWER PACKAGES. (a) The |
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| 14 | 14 | | commission may use money in the Texas energy fund without further |
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| 15 | 15 | | appropriation to provide a grant or loan for the operation of a |
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| 16 | 16 | | Texas backup power package that: |
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| 17 | 17 | | (1) is engineered to minimize operation costs; |
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| 18 | 18 | | (2) uses interconnection technology and controls that |
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| 19 | 19 | | enable immediate islanding from the power grid and stand-alone |
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| 20 | 20 | | operation for the host facility; |
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| 21 | 21 | | (3) is capable of operating for at least 96 [48] |
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| 22 | 22 | | continuous hours without refueling or connecting to a separate |
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| 23 | 23 | | power source; and |
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| 24 | 24 | | (4) is designed so that one or more Texas backup power |
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| 25 | 25 | | packages can be aggregated on-site to serve not more than eight |
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| 26 | 26 | | [2.5] megawatts of load at the host facility[; |
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| 27 | 27 | | [(5) provides power sourced from: |
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| 28 | 28 | | [(A) a combination of natural gas or propane with |
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| 29 | 29 | | photovoltaic panels and battery storage; or |
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| 30 | 30 | | [(B) battery storage on an electric school bus; |
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| 31 | 31 | | and |
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| 32 | 32 | | [(6) is not used by the owner or host facility for the |
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| 33 | 33 | | sale of energy or ancillary services]. |
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| 34 | 34 | | (b) An owner or host facility of a Texas backup power |
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| 35 | 35 | | package for which a grant or loan is provided under this chapter |
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| 36 | 36 | | that sells energy or ancillary services from the package is not |
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| 37 | 37 | | required to register with the commission as a power generation |
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| 38 | 38 | | company under Section 39.351 if the package has a generation |
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| 39 | 39 | | capacity of not more than 2,000 kilowatts. |
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| 40 | 40 | | SECTION 2. The change in law made by this Act to Section |
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| 41 | 41 | | 34.0204(a)(3), Utilities Code, applies only to a Texas backup power |
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| 42 | 42 | | package for which a grant or loan is issued on or after the |
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| 43 | 43 | | effective date of this Act. |
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| 44 | 44 | | SECTION 3. This Act takes effect September 1, 2025. |
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