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AN ACT
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relating to a reliability assessment of the ERCOT power grid and |
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certificates of public convenience and necessity for certain |
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transmission projects. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 37.052, Utilities Code, is amended by |
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adding Subsection (c) to read as follows: |
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(c) An electric utility is not required to amend the |
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utility's certificate of public convenience and necessity to |
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construct a transmission line that connects the utility's existing |
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transmission facilities to a substation or metering point if: |
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(1) the transmission line does not exceed: |
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(A) three miles in length, if the line connects |
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to a load-serving substation or metering point; or |
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(B) two miles in length, if the line connects to a |
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generation substation or metering point; |
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(2) each landowner whose property would be directly |
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affected by the transmission line, as provided by commission rules, |
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provides written consent for the transmission line; and |
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(3) all rights-of-way necessary for construction of |
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the transmission line have been purchased. |
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SECTION 2. Section 37.056, Utilities Code, is amended by |
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adding Subsection (c-1) and amending Subsection (d) to read as |
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follows: |
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(c-1) In considering the need for additional service under |
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Subsection (c)(2) for a reliability transmission project that |
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serves the ERCOT power region, the commission must consider the |
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historical load, forecasted load growth, and additional load |
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currently seeking interconnection. |
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(d) The commission by rule shall establish criteria, in |
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addition to the criteria described by Subsection (c), for granting |
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a certificate for a transmission project that serves the ERCOT |
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power region, that is not necessary to meet state or federal |
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reliability standards, and that is not included in a plan developed |
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under Section 39.904(g) [does not serve a competitive renewable |
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energy zone]. The criteria must include a comparison of the |
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estimated cost of the transmission project for consumers and the |
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estimated congestion cost savings for consumers that may result |
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from the transmission project, considering both current and future |
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expected congestion levels and the transmission project's ability |
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to reduce those congestion levels. The commission shall include |
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with its decision on an application for a certificate to which this |
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subsection applies findings on the criteria. |
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SECTION 3. Subchapter D, Chapter 39, Utilities Code, is |
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amended by adding Section 39.159 to read as follows: |
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Sec. 39.159. GRID RELIABILITY ASSESSMENT. (a) The |
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independent organization certified under Section 39.151 for the |
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ERCOT power region shall conduct a biennial assessment of the ERCOT |
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power grid to assess the grid's reliability in extreme weather |
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scenarios. |
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(b) Each assessment must: |
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(1) consider the impact of different levels of thermal |
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and renewable generation availability; and |
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(2) recommend transmission projects that may increase |
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the grid's reliability in extreme weather scenarios. |
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SECTION 4. The changes in law made by this Act apply only to |
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a proceeding affecting a certificate of public convenience and |
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necessity that commences on or after the effective date of this Act. |
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A proceeding affecting a certificate of public convenience and |
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necessity that commenced before the effective date of this Act is |
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governed by the law in effect on the date the proceeding is |
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commenced, and that law is continued in effect for that purpose. |
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SECTION 5. This Act takes effect September 1, 2021. |
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______________________________ |
______________________________ |
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President of the Senate |
Speaker of the House |
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I hereby certify that S.B. No. 1281 passed the Senate on |
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April 19, 2021, by the following vote: Yeas 31, Nays 0; |
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May 28, 2021, Senate refused to concur in House amendments and |
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requested appointment of Conference Committee; May 28, 2021, House |
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granted request of the Senate; May 30, 2021, Senate adopted |
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Conference Committee Report by the following vote: Yeas 31, |
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Nays 0. |
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______________________________ |
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Secretary of the Senate |
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I hereby certify that S.B. No. 1281 passed the House, with |
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amendments, on May 26, 2021, by the following vote: Yeas 142, |
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Nays 1, two present not voting; May 28, 2021, House granted request |
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of the Senate for appointment of Conference Committee; |
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May 30, 2021, House adopted Conference Committee Report by the |
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following vote: Yeas 137, Nays 0, two present not voting. |
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______________________________ |
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Chief Clerk of the House |
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Approved: |
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______________________________ |
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Date |
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______________________________ |
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Governor |