Bill not drafted by TLC or Senate E&E.

      Line and page numbers may not match official copy.

      By Longoria                                     H.B. No. 2148

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to monitoring and regulation of electric utilities in the

 1-3     provision of energy efficiency products and services.

 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-5           SECTION 1.  Section 2.216, Public Utility Regulatory Act of

 1-6     1995 (Article 1446c-0, Vernon's Texas Civil Statutes), is amended

 1-7     to read as follows:

 1-8           Sec. 2.216.  DISCRIMINATION; RESTRICTION ON COMPETITION.  (a)

 1-9     A public utility may not discriminate against any person or

1-10     corporation that sells or leases equipment or performs services in

1-11     competition with the public utility, nor may any public utility

1-12     engage in any other practice that tends to restrict or impair such

1-13     competition.

1-14           (b)  The commission shall monitor and by rule shall regulate

1-15     the relationships among utilities and the affiliates, partners, and

1-16     ventures of utilities to ensure that a utility or a utility's

1-17     affiliates, partners, and ventures do not gain an unfair advantage

1-18     over an unaffiliated person competing in the same market to provide

1-19     customers with products or services related to energy efficiency.

1-20           (c)  The commission by rule shall ensure that a utility's

1-21     incentive programs or other programs related to energy efficiency

1-22     technology or services that are directly or indirectly financed by

1-23     rate payments:

1-24                 (1)  allow a customer freely to choose the provider of

 2-1     the energy efficiency technology or service;

 2-2                 (2)  allow a provider of energy efficiency technology

 2-3     or service to determine the provider's offerings of product or

 2-4     service;

 2-5                 (3)  promote open, continuous, and transparent market

 2-6     competition among all providers of energy efficiency technology or

 2-7     service; and

 2-8                 (4)  do not place a provider of energy efficiency

 2-9     technology or service at a competitive disadvantage regarding

2-10     similar products or services offered by the utility.

2-11           SECTION 2.  The Public Utility Commission of Texas shall

2-12     adopt rules under Section 2.216, Public Utility Regulatory Act of

2-13     1995 (Article 1446c-0, Vernon's Texas Civil Statutes), as amended

2-14     by this Act, not later than December 31, 1997.

2-15           SECTION 3.  The importance of this legislation and the

2-16     crowded condition of the calendars in both houses create an

2-17     emergency and an imperative public necessity that the

2-18     constitutional rule requiring bills to be read on three several

2-19     days in each house be suspended, and this rule is hereby suspended,

2-20     and that this Act take effect and be in force from and after its

2-21     passage, and it is so enacted.