Relating to the utilization of the Texas Energy Fund to support dispatchable electric generation using treated fluid oil and gas waste.
Impact
The bill proposes significant changes to the Texas Utilities Code, authorizing the Texas Energy Fund Administrator to allocate funds for projects that meet the outlined criteria. This includes infrastructure development, operational incentives, and feasibility studies specifically aimed at projects utilizing treated oil and gas waste. The bill's impact is expected to promote new investments in energy infrastructure along with the consumption of treated waste, potentially leading to an increased economic viability for dispatchable generation units across Texas.
Summary
Senate Bill 2810 aims to amend regulations surrounding the utilization of the Texas Energy Fund by supporting dispatchable electric generation that utilizes treated fluid oil and gas waste as a water source. It is specifically targeted towards regions identified as high renewable energy generation areas, where the integration of such waste can help alleviate economic difficulties faced by dispatchable generation facilities competing with renewable energy. By providing a legislative framework for this process, SB2810 seeks to ensure grid stability and reliability amidst the growing share of non-dispatchable renewable energy sources in Texas's energy mix.
Contention
Notable points of contention surrounding SB2810 could arise from stakeholders in the renewable energy sector as well as environmental advocacy groups. Critics may express concerns about the environmental implications of utilizing treated fluid oil and gas waste and may argue that the focus on dispatchable generation could detract from investments in cleaner, renewable energy sources instead. Thus, balancing economic incentives with environmental stewardship will likely remain a central point of debate as this bill proceeds through the legislative process.
Texas Constitutional Statutes Affected
Utilities Code
Chapter 34. Facility Funding
Section: New Section
Government Code
Chapter 481. Texas Economic Development And Tourism Office
Designating the Electric Reliability Council of Texas (ERCOT) as the entity responsible for the reliable supply of electricity in its interconnected area of responsibility, establishing a fund under ERCOT's control to fund a net 5,000 MWe of "dispatchable" "peaking unit" generating capacity owned by "Independent Power Producers", establishing the payment structure to such "Independent Power Producers" to fund the 5,000 MWe of "dispatchable" "peaking unit" generating capacity, establishing the criteria of operation and performance of the "peaking unit" generating capacity under ERCOT's direct control, and establishing criteria for review of ERCOT's performance in its duty to assure reliability of electricity supply.
Relating to the establishment of the Texas Energy Insurance Program and other funding mechanisms to support the construction and operation of electric generating facilities.
Relating to the use of the Texas energy reliability fund to finance construction of electric generating facilities in the ERCOT power region; authorizing fees.