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A BILL TO BE ENTITLED
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AN ACT
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relating to the approval of a certificate of public convenience and |
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necessity for certain transmission projects. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 37.056, Utilities Code, is amended by |
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amending Subsection (d) and adding Subsection (d-1) to read as |
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follows: |
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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). [The criteria must include a comparison |
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of the estimated cost of the transmission project for consumers and |
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the 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. The criteria must: |
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(1) include a comparison of the estimated cost of the |
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transmission project to consumers and the estimated congestion cost |
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savings for consumers that may result from the project, considering |
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both current and expected congestion levels and the project's |
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ability to reduce those levels; |
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(2) address: |
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(A) other benefits of the transmission project, |
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including deferral of reliability upgrade costs, reduction of |
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transmission system losses, and reduction of operating reserve |
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costs; |
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(B) solutions to relieve generic transmission |
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constraints; |
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(C) potential for increasing transmission system |
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reliability, resiliency, and operational flexibility; |
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(D) potential for minimizing outage moratoria |
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and transmission system congestion by employing planning criteria |
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that include contingencies for a planned outage followed by an |
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unplanned outage under peak conditions; and |
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(E) the operational benefits and reduced impacts |
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on affected landowners of constructing new transmission lines |
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operating below 345 kilovolts as double circuit capable lines; |
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(3) evaluate: |
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(A) the costs of the transmission project on a |
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levelized basis over the life of the project; and |
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(B) the benefits of the transmission project on a |
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levelized basis over the life of the project or the longest period |
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determined to be reasonable by the commission; and |
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(4) for high growth areas and areas experiencing rapid |
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growth in power demand, including coastal port areas, oil and gas |
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producing and processing areas, and the Lower Rio Grande Valley: |
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(A) consider loads under signed interconnection |
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agreements with the transmission service provider and the |
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transmission service provider's forecast of high confidence load |
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that is not under a signed interconnection agreement; and |
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(B) prioritize the addition of load serving |
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capability onto the transmission system in order to serve load |
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growth in a timely fashion. |
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(d-1) For a transmission project described by Subsection |
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(d), the commission shall require all new transmission lines |
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operating at 345 kilovolts to be constructed as double circuit |
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capable lines unless the electric utility requests an exception. |
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SECTION 2. Section 37.057, Utilities Code, is amended to |
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read as follows: |
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Sec. 37.057. DEADLINE FOR APPLICATION FOR NEW TRANSMISSION |
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FACILITY. The commission must approve or deny an application for a |
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certificate for a new transmission facility not later than the |
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181st day after [the first anniversary of] the date the application |
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is filed. If the commission does not approve or deny the |
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application on or before that date, a party may seek a writ of |
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mandamus in a district court of Travis County to compel the |
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commission to decide on the application. |
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SECTION 3. 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 4. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2023. |