Bill Text: TX SB1690 | 2021-2022 | 87th Legislature | Introduced

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Bill Title: Relating to rates charged for wholesale or retail electric service; authorizing a civil penalty.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2021-03-24 - Referred to Business & Commerce [SB1690 Detail]

Download: Texas-2021-SB1690-Introduced.html

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By: Gutierrez S.B. No. 1690

A BILL TO BE ENTITLED
AN ACT
relating to rates charged for wholesale or retail electric service;
authorizing a civil penalty.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. This Act may be cited as the Texas Ratepayer's
Bill of Rights.
SECTION 2. Title 2, Subtitle B, Utilities Code, is amended
by adding new Subchapter J to read as follows:
SUBCHAPTER J. RATEPAYER BILL OF RIGHTS
Sec. 36.501. LEGISLATIVE FINDINGS. The legislature finds
that the state has failed to protect Texas families in its
regulation and management of the electric grid. This failure has
caused mass suffering, death, and exploitative energy pricing
during a catastrophic emergency. The legislature further finds
that the extreme weather events of February 2021 were foreseeable
and will occur with greater frequency in the future. It is the
intent of the legislature to prevent the collapse of the electric
grid caused by extreme weather events and the exploitation of
energy consumers during a statewide emergency and in the normal
course of business as ratepayers.
Sec. 502. RATEPAYER RIGHTS IN ELECTRIC UTILITY SERVICE.
Notwithstanding any other provision in law, and individual customer
for retail or wholesale electric service:
1) shall have the right to avoid discontinuation of service
for nonpayment on any Saturday or Sunday or any holiday observed by
the utility, unless the utility is open to accept payment and
restore service on those days;
2) shall have the right to avoid discontinuation of service
for a period of sixty (60) days for nonpayment when the utility
receives written notice from a medical doctor licensed to practice
in the State of Texas, or any adjoining state, certifying that
discontinuance of service would create a life threatening situation
for the customer or other permanent resident of the customer's
household;
3) shall have the right to be given a written notice from the
utility company of pending discontinuation of service at least five
(5) days prior to disconnection of service. This notice shall
include a date on or after which discontinuance may occur;
4) shall have the right to negotiate with any electric or
natural gas company a delayed payment plan to avoid discontinuation
of service for a delinquent account in accordance with the
utility's terms and conditions;
5) shall have the right to avoid discontinuation of service
or refusal of service because a former occupant, not of the same
household, failed to pay prior bill;
6) shall have the right to avoid disconnection of their
electric or gas service during extreme temperatures exceeding 100
degrees Fahrenheit or below 32 degrees Fahrenheit;
7) shall have the right to avoid discontinuation of service
of electric or natural gas service for nonpayment, if the ratepayer
has been approved for Low Income Home Energy Assistance Program
(LIHEAP) benefits in an amount equal to the delinquent balance,
payable within thirty (30) days, and the notice of the approval has
been given to the utility provider;
8) shall have the right to avoid discontinuation of service
for failure to pay a portion of any bill that is in dispute,
provided that a deposit is made by the ratepayer for amounts in
dispute;
9) shall have the right to negotiate monthly installments for
initial service deposits in excess of One Hundred Dollars ($100.00)
provided that the entire amount of the deposit is paid within 60
days;
10) shall have the right to avoid discontinuation of electric
or natural gas service for nonpayment of bills if, as of 8:00 a.m.
on the scheduled disconnection day, a freeze warning has been
issued by the National Weather Service for the county of the
scheduled disconnection;
11) shall have the right to avoid discontinuation of electric
service for nonpayment of bills if, as of 8:00 a.m. on the scheduled
disconnection day, an Excessive Heat Warning has been issued by the
National Weather Service for the county of the scheduled
disconnection;
12) shall have the right to request a written explanation if
the utility company refuses to initially serve a consumer. When the
ratepayer has provided the utility company with a valid mailing
address, the explanation shall be mailed to the ratepayer within
seven (7) business days and shall include the reason service is
being refused and what actions the consumer must take in order to
receive service;
13) shall be given accurate and understandable information
concerning the price and terms of service; and
14) shall have access through the Commission to an
independent administrative process that provides a simple, quick,
and effective means of resolving complaints about service and bills
from all electric and gas service providers over which the
Commission has appropriate jurisdiction. Ratepayers are
encouraged to attempt to resolve the dispute directly with the
utility company.
SECTION 3. 36.003, Utilities Code, is amended to read as
follows:
Sec. 36.003. JUST AND REASONABLE RATES. (a) The regulatory
authority shall ensure that each rate an electric utility or two or
more electric utilities jointly make, demand, or receive is just
and reasonable.
(b) A rate may not be unreasonably preferential,
prejudicial, or discriminatory but must be sufficient, equitable,
and consistent in application to each class of consumer.
(c) An electric utility may not:
(1) grant an unreasonable preference or advantage
concerning rates to a person in a classification;
(2) subject a person in a classification to an
unreasonable prejudice or disadvantage concerning rates; or
(3) establish or maintain an unreasonable difference
concerning rates between localities or between classes of service.
(d) In establishing an electric utility's rates, the
commission may treat as a single class two or more municipalities
that an electric utility serves if the commission considers that
treatment to be appropriate.
(e) A charge to an individual customer for retail or
wholesale electric service that is less than the rate approved by
the regulatory authority does not constitute an impermissible
difference, preference, or advantage.
(f) Notwithstanding any other provision in law, an
individual customer for retail or wholesale electric service may
not be charged a rate in excess of $500 per megawatt hour for
electric service provided during an emergency declared by the
governor or the federal government in the geographic area affected
by the disaster.
(g) A provider of retail or wholesale electric service that
charges a rate in violation of this section during a declared
emergency by the governor or federal government is assessed civil
penalty equal to the difference between the charged rate during an
emergency and the rate charged before the declared emergency.
SECTION 4. ECTION 13. Not later than July 1, 2022, the
Public Utilities Commission of Texas shall adopt rules as required
to implement, administer, and enforce subchapter J, Title 2,
Utilities Code, as added by this Act.
SECTION 5. EFFECTIVE DATE. This Act takes effect
immediately if it receives a vote of two-thirds of all the members
elected to each house, as provided by Section 39, Article III, Texas
Constitution. If this Act does not receive the vote necessary for
immediate effect, this Act takes effect September 1, 2021.