Bill Text: TX SB1699 | 2023-2024 | 88th Legislature | Enrolled
Bill Title: Relating to electricity service in the ERCOT power region, including the participation of aggregated distributed energy resources in the ERCOT market.
Spectrum: Bipartisan Bill
Status: (Passed) 2023-06-18 - Effective on 9/1/23 [SB1699 Detail]
Download: Texas-2023-SB1699-Enrolled.html
S.B. No. 1699 |
|
||
relating to electricity service in the ERCOT power region, | ||
including the participation of aggregated distributed energy | ||
resources in the ERCOT market. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 31.002(17), Utilities Code, is amended | ||
to read as follows: | ||
(17) "Retail electric provider" means a person that | ||
sells electric energy to retail customers in this state. A retail | ||
electric provider may not own or operate generation assets but may | ||
aggregate distributed energy resources under Section 39.3515. The | ||
term does not include a person not otherwise a retail electric | ||
provider who owns or operates equipment used solely to provide | ||
electricity charging service for consumption by an alternatively | ||
fueled vehicle, as defined by Section 502.004, Transportation Code. | ||
SECTION 2. Section 39.101(b), Utilities Code, is amended to | ||
read as follows: | ||
(b) A customer is entitled: | ||
(1) to be informed about rights and opportunities in | ||
the transition to a competitive electric industry; | ||
(2) to choose the customer's retail electric provider | ||
consistent with this chapter, to have that choice honored, and to | ||
assume that the customer's chosen provider will not be changed | ||
without the customer's informed consent; | ||
(3) to have access to providers of energy efficiency | ||
services, to on-site distributed generation, and to providers of | ||
energy generated by renewable energy resources; | ||
(4) to be served by a provider of last resort that | ||
offers a commission-approved standard service package; | ||
(5) to receive sufficient information to make an | ||
informed choice of service provider; | ||
(6) to be protected from unfair, misleading, or | ||
deceptive practices, including protection from being billed for | ||
services that were not authorized or provided; [ |
||
(7) to have an impartial and prompt resolution of | ||
disputes with its chosen retail electric provider and transmission | ||
and distribution utility; | ||
(8) to participation in demand response programs | ||
through retail electric providers that offer demand response | ||
programs; and | ||
(9) to receive notice from the retail electric | ||
provider that serves the customer when the independent organization | ||
certified under Section 39.151 for the ERCOT power region issues an | ||
emergency energy alert. | ||
SECTION 3. Section 39.351, Utilities Code, is amended by | ||
amending Subsection (a) and adding Subsection (a-1) to read as | ||
follows: | ||
(a) A person may not generate electricity unless: | ||
(1) the person is registered with the commission as a | ||
power generation company in accordance with this section; or | ||
(2) the electricity is generated as part of a | ||
registered aggregate distributed energy resource under Section | ||
39.3515. | ||
(a-1) A person may register as a power generation company by | ||
filing the following information with the commission: | ||
(1) a description of the location of any facility used | ||
to generate electricity; | ||
(2) a description of the type of services provided; | ||
(3) a copy of any information filed with the Federal | ||
Energy Regulatory Commission in connection with registration with | ||
that commission; and | ||
(4) any other information required by commission rule, | ||
provided that in requiring that information the commission shall | ||
protect the competitive process in a manner that ensures the | ||
confidentiality of competitively sensitive information. | ||
SECTION 4. Subchapter H, Chapter 39, Utilities Code, is | ||
amended by adding Section 39.3515 to read as follows: | ||
Sec. 39.3515. AGGREGATE DISTRIBUTED ENERGY RESOURCES. (a) | ||
A person who aggregates distributed energy resources: | ||
(1) is not required to register as a power generation | ||
company to aggregate the resources; | ||
(2) shall comply with rules, guidelines, and | ||
registration requirements established by the commission and by | ||
Chapter 17 and this chapter; and | ||
(3) remains accountable for compliance with the | ||
applicable statutes and rules by a subcontractor, an agent, or any | ||
other entity compensated by the person for activities conducted on | ||
the person's behalf. | ||
(b) The commission may establish rules and registration | ||
requirements for the aggregation of distributed energy resources. | ||
SECTION 5. Subchapter Z, Chapter 39, Utilities Code, is | ||
amended by adding Section 39.919 to read as follows: | ||
Sec. 39.919. AVERAGE TOTAL RESIDENTIAL LOAD REDUCTION | ||
GOALS. (a) The commission by rule shall establish goals in the | ||
ERCOT power region to reduce the average total residential load. | ||
(b) The rules adopted under Subsection (a) must provide for | ||
the adoption of a program that: | ||
(1) provides demand response participation to | ||
residential customers where reasonably available; | ||
(2) promotes the use of smart metering technology; | ||
(3) is capable of responding to an emergency energy | ||
alert about low operating reserves issued by the independent | ||
organization certified under Section 39.151 for the ERCOT power | ||
region; | ||
(4) provides opportunities for demand response | ||
providers to contract with retail electric providers to provide | ||
demand response services; | ||
(5) ensures the program does not impact the critical | ||
needs of vulnerable populations; | ||
(6) facilitates the widespread deployment of smart | ||
responsive appliances and devices in a manner that enables the | ||
customer's appliance or device to be enrolled as part of a demand | ||
response product or plan offered by a retail electric provider; | ||
(7) establishes the method by which the components of | ||
the ratio described by Subsection (c) are calculated for purposes | ||
of determining whether the goals described by Subsection (a) have | ||
been achieved; | ||
(8) provides for achievement of demand reductions | ||
within both summer and winter seasons; and | ||
(9) allows a retail electric provider that offers a | ||
demand response program under this section to obtain funding for | ||
the demand response program through an energy efficiency incentive | ||
program established under Section 39.905 if the program complies | ||
with commission requirements related to the evaluation, | ||
measurement, and verification of demand response programs adopted | ||
under Section 39.905. | ||
(c) The goals described by Subsection (a) must be calculated | ||
as a ratio by dividing the amount of load reduced at peak demand by | ||
the total amount of demand, at the same time, of all residential | ||
customers who have responsive appliances or devices at their | ||
premises that reduce the electric consumption of the customers. | ||
(d) A transmission and distribution utility required to | ||
provide an energy efficiency incentive program under Section 39.905 | ||
may use up to 10 percent of the budgeted spending for demand | ||
response programs on the programs described by Subsection (b)(9). | ||
SECTION 6. The Public Utility Commission of Texas shall | ||
adopt rules as necessary for the adoption of a program to begin | ||
facilitating the widespread deployment of appliances and devices | ||
capable of being part of a demand response product or plan offered | ||
by a retail electric provider, as provided by Section 39.919(b)(6), | ||
Utilities Code, as added by this Act, before December 31, 2024. | ||
SECTION 7. This Act takes effect September 1, 2023. | ||
______________________________ | ______________________________ | |
President of the Senate | Speaker of the House | |
I hereby certify that S.B. No. 1699 passed the Senate on | ||
April 12, 2023, by the following vote: Yeas 31, Nays 0; and that | ||
the Senate concurred in House amendments on May 28, 2023, by the | ||
following vote: Yeas 31, Nays 0. | ||
______________________________ | ||
Secretary of the Senate | ||
I hereby certify that S.B. No. 1699 passed the House, with | ||
amendments, on May 23, 2023, by the following vote: Yeas 145, | ||
Nays 0, one present not voting. | ||
______________________________ | ||
Chief Clerk of the House | ||
Approved: | ||
______________________________ | ||
Date | ||
______________________________ | ||
Governor |