Bill Text: TX SB1125 | 2011-2012 | 82nd Legislature | Introduced
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Relating to energy efficiency goals and programs, public information regarding energy efficiency programs, and the participation of loads in certain energy markets.
Spectrum: Bipartisan Bill
Status: (Passed) 2011-05-28 - Effective on 9/1/11 [SB1125 Detail]
Download: Texas-2011-SB1125-Introduced.html
Bill Title: Relating to energy efficiency goals and programs, public information regarding energy efficiency programs, and the participation of loads in certain energy markets.
Spectrum: Bipartisan Bill
Status: (Passed) 2011-05-28 - Effective on 9/1/11 [SB1125 Detail]
Download: Texas-2011-SB1125-Introduced.html
82R11510 ALL-F | ||
By: Carona | S.B. No. 1125 |
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relating to energy efficiency goals and programs and the | ||
participation of loads in certain energy markets. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 39.905, Utilities Code, is amended by | ||
amending Subsections (a) and (b) and adding Subsection (h) to read | ||
as follows: | ||
(a) It is the goal of the legislature that: | ||
(1) electric utilities will administer energy | ||
efficiency incentive programs in a market-neutral, | ||
nondiscriminatory manner but will not offer underlying competitive | ||
services; | ||
(2) all customers, in all customer classes, will have | ||
a choice of and access to energy efficiency alternatives and other | ||
choices from the market that allow each customer to reduce energy | ||
consumption, peak demand, or energy costs; | ||
(3) each electric utility annually will provide, | ||
through a cost-effective portfolio of market-based standard offer | ||
programs or through limited, targeted, market-transformation | ||
programs, incentives sufficient for retail electric providers and | ||
competitive energy service providers to acquire additional | ||
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transmission-level voltage facility, equivalent to at least | ||
one-half of one[ |
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transmission-level industrial facilities, [ |
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(4) each electric utility in the ERCOT region shall | ||
use its best efforts to encourage and facilitate the involvement of | ||
the region's retail electric providers in the delivery of | ||
efficiency programs and demand response programs under this | ||
section; | ||
(5) retail electric providers in the ERCOT region, and | ||
electric utilities outside of the ERCOT region, shall provide | ||
customers with energy efficiency educational materials; [ |
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(6) notwithstanding Subsection (a)(3), electric | ||
utilities shall continue to make available, at 2007 funding and | ||
participation levels, any load management standard offer programs | ||
developed for industrial customers and implemented prior to May 1, | ||
2007; and | ||
(7) electric utilities may communicate with and | ||
provide rebate or incentive funds to their customers to promote or | ||
facilitate the success of programs implemented under this section. | ||
(b) The commission shall provide oversight and adopt rules | ||
and procedures to ensure that the utilities can achieve the goal of | ||
this section, including: | ||
(1) establishing an energy efficiency cost recovery | ||
factor for ensuring timely and reasonable cost recovery for utility | ||
expenditures made to satisfy the goal of this section; | ||
(2) establishing an incentive under Section 36.204 to | ||
reward utilities administering programs under this section that | ||
exceed the minimum goals established by this section; | ||
(3) providing a utility that is unable to establish an | ||
energy efficiency cost recovery factor in a timely manner due to a | ||
rate freeze with a mechanism to enable the utility to: | ||
(A) defer the costs of complying with this | ||
section; and | ||
(B) recover the deferred costs through an energy | ||
efficiency cost recovery factor on the expiration of the rate | ||
freeze period; | ||
(4) ensuring that the costs associated with programs | ||
provided under this section are borne by the customer classes that | ||
receive the services under the programs; [ |
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(5) ensuring the program rules encourage the value of | ||
the incentives to be passed on to the end-use customer; | ||
(6) ensuring that programs are evaluated, measured, | ||
and verified using a framework established by the commission that | ||
promotes effective program design and consistent and streamlined | ||
reporting; and | ||
(7) ensuring that an independent organization | ||
certified under Section 39.151 allows load participation in all | ||
energy markets for residential, commercial, and industrial | ||
customer classes, either directly or through aggregators of retail | ||
customers, to increase market efficiency, competition, and | ||
customer benefits. | ||
(h) The commission shall develop a standard disclosure form | ||
and require an energy efficiency provider to use the form to help | ||
consumers make better informed decisions regarding energy | ||
efficiency investments. The form must include disclosures | ||
regarding: | ||
(1) the full scope of incentives that are available to | ||
the consumer for the energy efficiency measure the consumer is | ||
considering, including all utility, city, county, state, and | ||
national incentives; | ||
(2) the value of any incentives used to reduce the | ||
costs of products or services offered passed on to the energy | ||
service provider marketing its energy efficiency program; | ||
(3) other related energy efficiency incentives that | ||
are available to the consumer; and | ||
(4) the consumer's estimated energy savings and | ||
payback period. | ||
SECTION 2. Section 39.905(b-2), Utilities Code, is | ||
repealed. | ||
SECTION 3. (a) The Public Utility Commission of Texas shall | ||
conduct a study to determine: | ||
(1) the effect of including avoided transmission and | ||
distribution capacity costs as a factor included in an analysis | ||
used to determine whether programs are cost-effective; | ||
(2) the appropriate cost of energy to be included as a | ||
factor included in an analysis used to determine whether programs | ||
are cost-effective; | ||
(3) how the reductions in energy demand and energy | ||
consumption provided by energy efficiency programs affect the | ||
market clearing price in ERCOT for the balancing energy market | ||
during peak and nonpeak periods; and | ||
(4) ways to include the associated changes in energy | ||
prices due to the effect of energy efficiency programs, as found | ||
under Subdivision (3) of this subsection, as a factor included in an | ||
analysis used to determine whether a program is cost-effective. | ||
(b) The commission shall report its findings from the study | ||
conducted under this section to the legislature not later than | ||
September 1, 2012. | ||
SECTION 4. This Act takes effect September 1, 2011. |