87R16166 JXC-F
 
  By: Deshotel H.B. No. 3624
 
  Substitute the following for H.B. No. 3624:
 
  By:  Paddie C.S.H.B. No. 3624
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to certain distributed electricity resources.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Chapter 35, Utilities Code, is amended by adding
  Subchapter F to read as follows:
  SUBCHAPTER F. DISTRIBUTED RENEWABLE GENERATION AND DISTRIBUTED
  ENERGY STORAGE
         Sec. 35.201.  DEFINITIONS. In this subchapter:
               (1)  "Distributed renewable generation" has the
  meaning assigned by Section 39.916.
               (2)  "Distributed energy storage" has the meaning
  assigned by Section 39.9165.
         Sec. 35.202.  OWNER OR OPERATOR USE. (a) An owner or
  operator of distributed renewable generation or distributed energy
  storage that is installed on the retail electric customer's side of
  the meter is entitled to use the generation or storage to sell
  electricity or ancillary services at wholesale in a manner
  consistent with the provisions of this title.
         (b)  A retail electric customer described by Subsection (a)
  is not required to register as a power generation company under
  Section 39.351(a).
         SECTION 2.  Subchapter Z, Chapter 39, Utilities Code, is
  amended by adding Section 39.9165 to read as follows:
         Sec. 39.9165.  DEVICES USED WITH DISTRIBUTED RENEWABLE
  GENERATION AND DISTRIBUTED ENERGY STORAGE. (a)  In this section:
               (1)  "Distributed renewable generation" has the
  meaning assigned by Section 39.916.
               (2)  "Distributed energy storage" means electric
  energy storage with a capacity of not more than 2,000 kilowatts that
  is installed on a retail electric customer's side of the meter.
               (3)  "Owner" means:
                     (A)  an owner of distributed renewable
  generation;
                     (B)  an owner of distributed energy storage;
                     (C)  an owner of distributed renewable generation
  and distributed energy storage;
                     (D)  a retail electric customer on whose side of
  the meter distributed renewable generation or distributed energy
  storage is installed and operated regardless of whether the
  customer takes ownership of the generation or storage; or
                     (E)  a person who by contract is assigned
  ownership rights to energy produced from distributed renewable
  generation or distributed energy storage located at the premises of
  the customer on the customer's side of the meter.
         (b)  An electric utility shall allow an owner to use an
  owner-supplied, UL-certified device designed to isolate and
  disconnect household loads on the retail electric customer's side
  of the meter.
         SECTION 3.  This Act takes effect September 1, 2021.