Amend CSSB 408 by adding the following appropriately numbered
section:
Section:
Section 39.904, Utilities Code, is amended by amending
Subsections (a), (b), (c), and (d) and adding Subsection (g) to read
as follows:
(a) It is the goal of this state that before January 1, 2020,
not less than 20 percent of electric energy consumed in this state
must be generated by renewable energy technologies. The [intent of
the] legislature intends that the goal be met incrementally so that
[by January 1, 2009, an additional 2,000 megawatts of generating
capacity from renewable energy technologies will have been
installed in this state. The cumulative installed renewable
capacity in this state shall total [1,280 megawatts by January 1,
2003, 1,730 megawatts by January 1, 2005,] 2,280 megawatts by
January 1, 2007, [and] 2,880 megawatts by January 1, 2009, and
10,880 megawatts by January 1, 2015. Of the generating capacity
from renewable energy technologies installed by January 1, 2015,
the goal is for at least 500 megawatts to be generating capacity
from distributed renewable energy technologies, and, of that 500
megawatts of distributed capacity, the goal is for at least 100
megawatts to be generating capacity installed on the customer's
side of the meter.
(b) The commission shall establish a renewable energy
credits trading program and a program for recognizing the credits
representing generating capacity by distributed renewable
technologies on either side of the meter. Any retail electric
provider, municipally owned utility, or electric cooperative that
does not satisfy the requirements of Subsection (a) by directly
owning or purchasing capacity using renewable energy technologies
shall purchase sufficient renewable energy credits to satisfy the
requirements by holding renewable energy credits in lieu of
capacity from renewable energy technologies.
(c) The [Not later than January 1, 2000, the] commission
shall adopt rules necessary to administer and enforce this section.
At a minimum, the rules shall:
(1) establish the minimum annual renewable energy
technology and distributed renewable energy technology generating
capacity requirement for each retail electric provider,
municipally owned utility, and electric cooperative operating in
this state in a manner reasonably calculated by the commission to
produce, on a statewide basis, compliance with the requirement
prescribed by Subsection (a); and
(2) specify reasonable performance standards that all
renewable and distributed generating capacity additions must meet
to count against the requirement prescribed by Subsection (a) and
that:
(A) are designed and operated so as to maximize
the energy output from the generating capacity additions in
accordance with then-current industry standards; and
(B) encourage the development, construction, and
operation of new renewable energy technology projects at those
sites in this state that have the greatest economic potential for
capture and development of this state's environmentally beneficial
renewable resources.
(d) In this section: (1) "Distributed renewable energy
technology" includes renewable energy technology:
(A) connected to the electric energy transmission
system at the distribution level, such as photovoltaic generation,
solar thermal electric generation, small wind-powered generation,
generation using biomass, or geothermal generation technologies;
and
(B) that offsets electric energy generation when
operated at a facility connected to the distribution system, such
as solar water heating systems or geothermal water heating systems.
(2) "Renewable [, "renewable] energy technology"
means any technology that exclusively relies on an energy source
that is naturally regenerated over a short time and derived
directly from the sun, indirectly from the sun, or from moving water
or other natural movements and mechanisms of the environment.
Renewable energy technologies include those that rely on energy
derived directly from the sun, on wind, geothermal, hydroelectric,
wave, or tidal energy, or on biomass or biomass-based waste
products, including landfill gas. A renewable energy technology
does not rely on energy resources derived from fossil fuels, waste
products from fossil fuels, or waste products from inorganic
sources.
(g) The commission and each appropriate independent
organization certified under Section 39.151 and transmission group
shall approve a plan to provide new transmission infrastructure
necessary to support the goals established by Subsection (a). The
commission may adopt rules as necessary to implement the plan. The
plan must address:
(1) timely recovery of transmission infrastructure
costs by transmission service providers before renewable energy
technology generating capacity is installed;
(2) transmission and distribution infrastructure
security;
(3) reliability benefits; and
(4) the priority of projects.