Texas 2025 89th Regular

Texas House Bill HB805 Analysis / Analysis

Filed 04/10/2025

                    BILL ANALYSIS             H.B. 805     By: Cortez     State Affairs     Committee Report (Unamended)             BACKGROUND AND PURPOSE    2021's Winter Storm Uri revealed significant vulnerabilities in Texas' independent power grid, leaving millions without power and resulting in widespread economic and human loss. According to the comptroller of public accounts, the storm contributed to at least 210 deaths and caused economic damages ranging from $80 billion to $130 billion, highlighting the importance of state energy reliability and emergency preparedness.   Since Texas operates largely independently of the national power grid through ERCOT, our ability to import power during energy shortages is limited. ERCOT currently reports having four direct current ties of limited capacity for importing and exporting energy to and from Mexico or the eastern grid of the United States. The author has informed the committee that expanding and adding to these cross-border connections could improve grid stability and provide additional resources during a power crisis.    H.B. 805 would help evaluate the feasibility of expanding energy interconnections between Texas and Mexico by directing the Public Utility Commission of Texas to conduct a study to assess the effects of interconnections on Texas' power transmission and distribution networks and examine how additional cross-border power connections could impact grid stability and customer costs and to provide a report to the legislature on the findings.       CRIMINAL JUSTICE IMPACT   It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.       RULEMAKING AUTHORITY    It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.       ANALYSIS    H.B. 805 requires the Public Utility Commission of Texas (PUC) to study the impacts of existing interconnections of electric transmission service facilities in Texas with electric transmission service facilities in the United Mexican States and the potential impacts of establishing new interconnections of that nature, including impacts on transmission and distribution networks and retail customers in Texas and in the United Mexican States. The bill requires the PUC to submit a report on the results of the study to the legislature not later than September 1, 2026. The bill's provisions expire December 31, 2026.       EFFECTIVE DATE    September 1, 2025.      

BILL ANALYSIS

# BILL ANALYSIS

 

 

 

H.B. 805
By: Cortez
State Affairs
Committee Report (Unamended)

H.B. 805

By: Cortez

State Affairs

Committee Report (Unamended)

 

 

 

BACKGROUND AND PURPOSE    2021's Winter Storm Uri revealed significant vulnerabilities in Texas' independent power grid, leaving millions without power and resulting in widespread economic and human loss. According to the comptroller of public accounts, the storm contributed to at least 210 deaths and caused economic damages ranging from $80 billion to $130 billion, highlighting the importance of state energy reliability and emergency preparedness.   Since Texas operates largely independently of the national power grid through ERCOT, our ability to import power during energy shortages is limited. ERCOT currently reports having four direct current ties of limited capacity for importing and exporting energy to and from Mexico or the eastern grid of the United States. The author has informed the committee that expanding and adding to these cross-border connections could improve grid stability and provide additional resources during a power crisis.    H.B. 805 would help evaluate the feasibility of expanding energy interconnections between Texas and Mexico by directing the Public Utility Commission of Texas to conduct a study to assess the effects of interconnections on Texas' power transmission and distribution networks and examine how additional cross-border power connections could impact grid stability and customer costs and to provide a report to the legislature on the findings.
CRIMINAL JUSTICE IMPACT   It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.
RULEMAKING AUTHORITY    It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.
ANALYSIS    H.B. 805 requires the Public Utility Commission of Texas (PUC) to study the impacts of existing interconnections of electric transmission service facilities in Texas with electric transmission service facilities in the United Mexican States and the potential impacts of establishing new interconnections of that nature, including impacts on transmission and distribution networks and retail customers in Texas and in the United Mexican States. The bill requires the PUC to submit a report on the results of the study to the legislature not later than September 1, 2026. The bill's provisions expire December 31, 2026.
EFFECTIVE DATE    September 1, 2025.

BACKGROUND AND PURPOSE 

 

2021's Winter Storm Uri revealed significant vulnerabilities in Texas' independent power grid, leaving millions without power and resulting in widespread economic and human loss. According to the comptroller of public accounts, the storm contributed to at least 210 deaths and caused economic damages ranging from $80 billion to $130 billion, highlighting the importance of state energy reliability and emergency preparedness.

 

Since Texas operates largely independently of the national power grid through ERCOT, our ability to import power during energy shortages is limited. ERCOT currently reports having four direct current ties of limited capacity for importing and exporting energy to and from Mexico or the eastern grid of the United States. The author has informed the committee that expanding and adding to these cross-border connections could improve grid stability and provide additional resources during a power crisis. 

 

H.B. 805 would help evaluate the feasibility of expanding energy interconnections between Texas and Mexico by directing the Public Utility Commission of Texas to conduct a study to assess the effects of interconnections on Texas' power transmission and distribution networks and examine how additional cross-border power connections could impact grid stability and customer costs and to provide a report to the legislature on the findings.

 

CRIMINAL JUSTICE IMPACT

 

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

 

RULEMAKING AUTHORITY 

 

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

 

ANALYSIS 

 

H.B. 805 requires the Public Utility Commission of Texas (PUC) to study the impacts of existing interconnections of electric transmission service facilities in Texas with electric transmission service facilities in the United Mexican States and the potential impacts of establishing new interconnections of that nature, including impacts on transmission and distribution networks and retail customers in Texas and in the United Mexican States. The bill requires the PUC to submit a report on the results of the study to the legislature not later than September 1, 2026. The bill's provisions expire December 31, 2026.

 

EFFECTIVE DATE 

 

September 1, 2025.