|   | 
         
         
            |   | 
         
         
            |   | 
         
         
            | 
                
			 | 
            
               AN ACT
             | 
         
         
            | 
                
			 | 
            relating to the compensation of a distributed renewable generation  | 
         
         
            | 
                
			 | 
            owner in certain areas outside of ERCOT. | 
         
         
            | 
                
			 | 
                   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | 
         
         
            | 
                
			 | 
                   SECTION 1.  Section 39.554, Utilities Code, is amended by  | 
         
         
            | 
                
			 | 
            amending Subsection (f) and adding Subsection (i) to read as  | 
         
         
            | 
                
			 | 
            follows: | 
         
         
            | 
                
			 | 
                   (f)  Unless the commission approves an alternative method  | 
         
         
            | 
                
			 | 
            for compensating a distributed renewable generation owner for  | 
         
         
            | 
                
			 | 
            electricity generated by distributed renewable generation or a  | 
         
         
            | 
                
			 | 
            qualifying facility, for [For] a distributed renewable generation  | 
         
         
            | 
                
			 | 
            owner that chooses interconnection through a single meter under  | 
         
         
            | 
                
			 | 
            Subsection (e): | 
         
         
            | 
                
			 | 
                         (1)  the amount of electricity the owner generates  | 
         
         
            | 
                
			 | 
            through distributed renewable generation or a qualifying facility  | 
         
         
            | 
                
			 | 
            for a given billing period offsets the owner's consumption for that  | 
         
         
            | 
                
			 | 
            billing period; and | 
         
         
            | 
                
			 | 
                         (2)  any electricity the owner generates through  | 
         
         
            | 
                
			 | 
            distributed renewable generation or a qualifying facility that  | 
         
         
            | 
                
			 | 
            exceeds the owner's consumption for a given billing period shall be  | 
         
         
            | 
                
			 | 
            credited to the owner under Subsection (g). | 
         
         
            | 
                
			 | 
                   (i)  Before approving an alternative method for compensating  | 
         
         
            | 
                
			 | 
            a distributed renewable generation owner for electricity generated  | 
         
         
            | 
                
			 | 
            by distributed renewable generation or a qualifying facility, the  | 
         
         
            | 
                
			 | 
            commission shall require the electric utility to conduct and submit  | 
         
         
            | 
                
			 | 
            to the commission a comprehensive cost-benefit analysis using  | 
         
         
            | 
                
			 | 
            established best practices to justify the rates of compensation and  | 
         
         
            | 
                
			 | 
            any associated fees.  The commission must consider the  | 
         
         
            | 
                
			 | 
            comprehensive cost-benefit analysis before approving alternative  | 
         
         
            | 
                
			 | 
            rates for compensating distributed renewable generation owners or  | 
         
         
            | 
                
			 | 
            the continuation of net metering, including any rates or fees that  | 
         
         
            | 
                
			 | 
            apply only to distributed renewable generation owners and reflect  | 
         
         
            | 
                
			 | 
            the value provided by the distributed renewable generation or  | 
         
         
            | 
                
			 | 
            qualifying facility. | 
         
         
            | 
                
			 | 
                   SECTION 2.  This Act takes effect September 1, 2026. | 
         
         
            |   | 
         
         
            |   | 
         
         
            |   | 
            ______________________________ | 
            ______________________________ | 
         
         
            |   | 
               President of the Senate | 
            Speaker of the House      | 
         
         
            |   | 
         
         
            |   | 
         
         
            | 
                		
			 | 
                   I certify that H.B. No. 912 was passed by the House on April  | 
         
         
            | 
                		
			 | 
            9, 2025, by the following vote:  Yeas 148, Nays 0, 1 present, not  | 
         
         
            | 
                		
			 | 
            voting. | 
         
         
            | 
                		
			 | 
             | 
         
         
            | 
                		
			 | 
            ______________________________ | 
         
         
            | 
                		
			 | 
            Chief Clerk of the House    | 
         
         
            |   | 
         
         
            |   | 
         
         
            | 
                		
			 | 
                   I certify that H.B. No. 912 was passed by the Senate on May 7,  | 
         
         
            | 
                		
			 | 
            2025, by the following vote:  Yeas 31, Nays 0. | 
         
         
            | 
                		
			 | 
             | 
         
         
            | 
                		
			 | 
            ______________________________ | 
         
         
            | 
                		
			 | 
            Secretary of the Senate     | 
         
         
            | 
                		
			 | 
            APPROVED:  _____________________ | 
         
         
            | 
                		
			 | 
                               Date           | 
         
         
            | 
                		
			 | 
              | 
         
         
            | 
                		
			 | 
                      _____________________ | 
         
         
            | 
                		
			 | 
                             Governor        |