Bill Text: TX SB1278 | 2021-2022 | 87th Legislature | Engrossed
Bill Title: Relating to the responsibility for ancillary services costs incurred for the operation of intermittent generation resources.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Engrossed - Dead) 2021-04-19 - Referred to State Affairs [SB1278 Detail]
Download: Texas-2021-SB1278-Engrossed.html
By: Hancock | S.B. No. 1278 |
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relating to the responsibility for ancillary services costs | ||
incurred for the operation of intermittent generation resources. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 35.004(e), Utilities Code, is amended to | ||
read as follows: | ||
(e) The commission shall ensure that ancillary services | ||
necessary to facilitate the transmission of electric energy are | ||
available at reasonable prices with terms and conditions that are | ||
not unreasonably preferential, prejudicial, discriminatory, | ||
predatory, or anticompetitive. The commission shall require, | ||
consistent with cost-causation principles, intermittent generation | ||
resources in the ERCOT power region to purchase ancillary services | ||
and replacement power sufficient to manage net load variability. | ||
In this subsection, "ancillary services" means services necessary | ||
to facilitate the transmission of electric energy including load | ||
following, standby power, backup power, reactive power, and any | ||
other services as the commission may determine by rule. On the | ||
introduction of customer choice in the ERCOT power region, | ||
acquisition of generation-related ancillary services on a | ||
nondiscriminatory basis by the independent organization in ERCOT on | ||
behalf of entities selling electricity at retail shall be deemed to | ||
meet the requirements of this subsection. | ||
SECTION 2. The Public Utility Commission of Texas shall | ||
adopt any rules required to implement Section 35.004(e), Utilities | ||
Code, as amended by this Act, not later than January 1, 2022. The | ||
commission shall ensure that the rules do not unreasonably impede | ||
or impair performance under contracts entered into before the | ||
effective date of this Act. | ||
SECTION 3. This Act takes effect September 1, 2021. |