Bill Text: TX HB4376 | 2021-2022 | 87th Legislature | Introduced
Bill Title: Relating to regulation of ownership and control of installed electric generation capacity.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2021-03-29 - Referred to State Affairs [HB4376 Detail]
Download: Texas-2021-HB4376-Introduced.html
87R3103 BRG-F | ||
By: Kacal | H.B. No. 4376 |
|
||
|
||
relating to regulation of ownership and control of installed | ||
electric generation capacity. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Sections 39.152(a) and (d), Utilities Code, are | ||
amended to read as follows: | ||
(a) The commission shall certify a power region if: | ||
(1) a sufficient number of interconnected utilities in | ||
the power region fall under the operational control of an | ||
independent organization as described by Section 39.151; | ||
(2) the power region has a generally applicable tariff | ||
that guarantees open and nondiscriminatory access for all users to | ||
transmission and distribution facilities in the power region as | ||
provided by Section 39.203; and | ||
(3) no person owns and controls more than 25 [ |
||
percent of the installed generation capacity located in or capable | ||
of delivering electricity to a power region, as determined | ||
according to Section 39.154. | ||
(d) For a power region outside of ERCOT, a power generation | ||
company that is affiliated with an electric utility may elect to | ||
demonstrate that it meets the requirements of Subsection (a)(3) by | ||
showing that it does not own and control more than 25 [ |
||
of the installed capacity in a geographic market that includes the | ||
power region, using the guidelines, standards, and methods adopted | ||
by the Federal Energy Regulatory Commission. | ||
SECTION 2. Section 39.154(a), Utilities Code, is amended to | ||
read as follows: | ||
(a) A [ |
||
than 25 [ |
||
in, or capable of delivering electricity to, a power region. | ||
SECTION 3. Section 39.156(f), Utilities Code, is amended to | ||
read as follows: | ||
(f) The commission shall approve, modify, or reject a plan | ||
within 180 days after the date the plan is filed [ |
||
divestiture by the electric utility or the power generation | ||
company. | ||
SECTION 4. Section 39.407(a), Utilities Code, is amended to | ||
read as follows: | ||
(a) If an electric utility chooses on or after January 1, | ||
2007, to participate in customer choice, the commission may not | ||
authorize customer choice until the applicable power region has | ||
been certified as a qualifying power region under Section | ||
39.152(a). Except as otherwise provided by this subsection, the | ||
commission shall certify that the requirements of Section | ||
39.152(a)(3) are met for electric utilities subject to this | ||
subchapter only upon a finding that the total capacity owned and | ||
controlled by each such electric utility and its affiliates does | ||
not exceed 25 [ |
||
capacity within the constrained geographic region served by each | ||
such electric utility plus the total available transmission | ||
capacity capable of delivering firm power and energy to that | ||
constrained geographic region. Not later than May 1, 2002, each | ||
electric utility subject to this subchapter shall submit to the | ||
electric utility restructuring legislative oversight committee an | ||
analysis of the needed transmission facilities necessary to make | ||
the electric utility's service area transmission capability | ||
comparable to areas within the ERCOT power region. On or after | ||
September 1, 2003, each electric utility subject to this subchapter | ||
shall file the utility's plans to develop the utility's | ||
transmission interconnections with the utility's power region or | ||
other adjacent power regions. The commission shall review the plan | ||
and not later than the 180th day after the date the plan is filed, | ||
determine the additional transmission facilities necessary to | ||
provide access to power and energy that is comparable to the access | ||
provided in areas within the ERCOT power region; provided, however, | ||
that if a hearing is requested by any party to the proceeding, the | ||
180-day deadline will be extended one day for each day of hearings. | ||
The commission shall, as a part of the commission's approval of the | ||
plan, approve a rate rider mechanism for the recovery of the | ||
incremental costs of those facilities after the facilities are | ||
completed and in-service. A finding of need under this subsection | ||
shall meet the requirements of Sections 37.056(c)(1), (2), and | ||
(4)(E). The commission may certify that the requirements of | ||
Section 39.152(a)(3) are met for electric utilities subject to this | ||
subchapter if the commission finds that: | ||
(1) each such utility has sufficient transmission | ||
facilities to provide customers access to power and energy from | ||
capacity controlled by suppliers not affiliated with the incumbent | ||
utility that is comparable to the access to power and energy from | ||
capacity controlled by suppliers not affiliated with the incumbent | ||
utilities in areas of the ERCOT power region; and | ||
(2) the total capacity owned and controlled by each | ||
such electric utility and its affiliates does not exceed 25 [ |
||
percent of the total installed generation capacity within the power | ||
region. | ||
SECTION 5. Section 39.453(b), Utilities Code, is amended to | ||
read as follows: | ||
(b) The commission shall certify that the requirement of | ||
Section 39.152(a)(3) is met for an electric utility subject to this | ||
subchapter only if the commission finds that the total capacity | ||
owned and controlled by the electric utility and the utility's | ||
affiliates does not exceed 25 [ |
||
generation capacity within the power region of that utility. | ||
SECTION 6. Section 39.156(b), Utilities Code, is repealed. | ||
SECTION 7. This Act takes effect September 1, 2021. |