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A BILL TO BE ENTITLED
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AN ACT
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relating to the creation and implementation of a greenhouse gas |
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emissions reduction plan. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. The heading to Subchapter J, Chapter 382, Health |
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and Safety Code, is amended to read as follows: |
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SUBCHAPTER J. [FEDERAL] GREENHOUSE GAS REPORTING [RULE] |
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SECTION 2. Subchapter J, Chapter 382, Health and Safety |
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Code, is amended by adding Section 382.4515 to read as follows: |
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Sec. 382.4515. STATE GREENHOUSE GAS REPORTING. The |
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commission by rule shall adopt greenhouse gas reporting |
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requirements as necessary to implement the greenhouse gas emissions |
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reduction plan developed under Subchapter L. The commission is not |
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required to adopt reporting requirements in addition to federal |
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reporting requirements if federal reporting requirements provide |
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the commission with sufficient information to implement Subchapter |
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L. |
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SECTION 3. Chapter 382, Health and Safety Code, is amended |
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by adding Subchapter L to read as follows: |
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SUBCHAPTER L. GREENHOUSE GAS EMISSIONS REDUCTIONS |
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Sec. 382.551. DEFINITIONS. In this subchapter: |
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(1) "Clean Power Plan" means a final rulemaking action |
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of the United States Environmental Protection Agency that |
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establishes carbon pollution guidelines for existing electric |
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utility generating units under Section 111(d) of the federal Clean |
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Air Act (42 U.S.C. Section 7411). |
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(2) "Utility commission" means the Public Utility |
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Commission of Texas. |
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Sec. 382.552. EMISSIONS REDUCTION REQUIREMENT AND PLAN. |
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(a) It is the intent of the legislature that greenhouse gas |
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emissions in this state: |
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(1) comply with statewide greenhouse gas emissions |
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limits established by the Environmental Protection Agency, |
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including limits in a Clean Power Plan; and |
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(2) beginning in 2030, do not exceed 2005 emissions |
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levels. |
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(b) If a statewide greenhouse gas emissions limit |
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established by the Environmental Protection Agency requires that |
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this state reduce emissions below the level stated in Subsection |
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(a)(2), it is the intent of the legislature that this state meet the |
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federally established limit. |
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(c) The commission shall prepare a plan to meet the |
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emissions reduction requirements described by this section. The |
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plan must: |
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(1) identify the greenhouse gases that are subject to |
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the plan, one of which must be carbon dioxide; |
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(2) identify emissions reduction measures; |
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(3) evaluate the total potential costs of implementing |
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the emissions reduction measures to the economy, environment, and |
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public health in this state; |
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(4) evaluate the total potential economic and |
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noneconomic effects of implementing the emissions reduction |
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measures on the economy, environment, and public health in this |
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state; and |
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(5) evaluate the costs to this state of implementing |
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the emissions reduction measures relative to the costs to this |
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state of implementing only federal greenhouse gas emissions |
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reduction requirements. |
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(d) The commission, before the end of each successive |
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five-year period after the date the first plan is complete, shall |
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receive public comments on, review, and update the plan. |
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(e) The commission shall submit the plan and each updated |
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version of the plan to the legislature. |
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Sec. 382.553. EMISSIONS REDUCTION MEASURES. (a) The |
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commission shall design emissions reduction measures in the plan |
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developed under this subchapter so that the plan: |
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(1) achieves the maximum technologically feasible and |
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cost-effective emissions reductions; |
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(2) minimizes costs and maximizes benefits for the |
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economy of this state; |
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(3) improves and modernizes energy infrastructure and |
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maintains electric system reliability; |
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(4) maximizes the use of measures that produce both |
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environmental and economic benefits; and |
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(5) complements this state's efforts to improve air |
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quality. |
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(b) The commission shall ensure that each emissions |
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reduction measure: |
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(1) results in net savings for consumers or businesses |
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in this state; |
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(2) can be achieved without financial cost to |
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consumers or businesses in this state; or |
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(3) helps businesses in this state maintain global |
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competitiveness. |
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(c) In designing the emissions reduction measures, the |
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commission shall consider the strategies in the report prepared |
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under Section 403.028, Government Code. |
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Sec. 382.554. RULES. The commission shall adopt rules to |
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implement the plan developed under this subchapter. |
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Sec. 382.555. COLLABORATION. In designing emissions |
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reduction measures and implementing the plan developed under this |
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subchapter, the commission shall: |
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(1) collaborate with state agencies, including the |
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Department of Agriculture, the General Land Office, the Railroad |
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Commission of Texas, and the utility commission; and |
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(2) consult with the environmental justice community, |
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industry sectors, business groups, academic institutions, |
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environmental organizations, and other stakeholders. |
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Sec. 382.556. UTILITY COMMISSION; CLEAN POWER PLAN. |
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(a) The commission shall consult with the utility commission in |
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designing emissions reduction measures and implementing the plan |
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developed under this subchapter to ensure that: |
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(1) electricity and natural gas providers in this |
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state are not required to meet duplicative or inconsistent |
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regulatory requirements; and |
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(2) emissions reduction measures are consistent with |
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competitive electricity market structures and the policies of the |
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Electric Reliability Council of Texas. |
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(b) Notwithstanding any other law, the commission and the |
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utility commission: |
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(1) have the authority necessary to comply with and |
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implement a Clean Power Plan; and |
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(2) shall take measures necessary to comply with and |
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implement a Clean Power Plan. |
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(c) The commission and the utility commission shall develop |
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and adopt a memorandum of understanding as necessary to clarify or |
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provide for their respective duties, responsibilities, or |
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functions on any matter under the jurisdiction of the commission or |
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utility commission that relates to a Clean Power Plan and is not |
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expressly assigned to either the commission or utility commission. |
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Sec. 382.557. FUNDING AND SAVINGS. (a) Revenue from the |
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state gas severance taxes imposed under Chapter 201, Tax Code, and |
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state oil severance taxes imposed under Chapter 202, Tax Code, may |
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be appropriated to the commission and the utility commission to: |
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(1) cover costs of implementing the plan developed |
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under this subchapter that are not covered by revenues from permit |
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fees and penalties; and |
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(2) provide funding for projects that will provide |
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long-term reductions in greenhouse gas emissions. |
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(b) To the extent that compliance with the plan increases |
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general revenue or decreases state expenditures, it is the intent |
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of the legislature that the resulting increased or excess revenue |
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be used to: |
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(1) defray electric infrastructure costs; |
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(2) reduce property taxes; |
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(3) increase education funding; or |
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(4) provide funding for: |
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(A) hurricane preparedness; |
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(B) coastal reclamation; |
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(C) protection from sea level rise; |
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(D) strengthening Texas gulf coast oil and gas |
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infrastructure; or |
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(E) drought relief. |
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SECTION 4. As soon as practicable after the effective date |
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of this Act, the Texas Commission on Environmental Quality shall |
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prepare the plan required by, and adopt rules as necessary to |
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implement, Subchapter L, Chapter 382, Health and Safety Code, as |
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added by this Act. |
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SECTION 5. This Act takes effect September 1, 2015. |