79R4508 JJT-F
By: Carona S.B. No. 710
A BILL TO BE ENTITLED
AN ACT
relating to establishing a state goal for electric generation
capacity using certain emerging generation technologies.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter Z, Chapter 39, Utilities Code, is
amended by adding Section 39.9042 to read as follows:
Sec. 39.9042. GOAL FOR RENEWABLE ENERGY. (a) In this
section, "emerging generation technology" has the meaning Section
39.904(d) assigns to "renewable energy technology" except that the
term:
(1) includes clean distributed generation from
sources such as fuel cells or waste heat; and
(2) does not include renewable energy technology that
relies on energy derived from:
(A) wind; or
(B) landfill gas.
(b) It is the intent of the legislature that by January 1,
2015, an additional 500 megawatts of generating capacity from
emerging generation technology will have been installed in this
state.
(c) The commission by rule shall establish an emerging
generation technology credits trading program. Any retail electric
provider, municipally owned utility, or electric cooperative that
does not satisfy the requirements of Subsection (b) by directly
owning or purchasing capacity using emerging generation technology
shall purchase sufficient emerging generation technology credits
to satisfy the requirements by holding emerging generation
technology credits in lieu of capacity from emerging generation
technology.
(d) Not later than January 1, 2007, the commission shall
adopt rules necessary to administer and enforce this section. At a
minimum, the rules shall:
(1) establish the minimum annual emerging generation
technology generation 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 (b); and
(2) specify reasonable performance standards that all
emerging generation technology capacity additions must meet to
count against the requirement prescribed by Subsection (b) and
that:
(A) are designed and operated so as to maximize
the energy output from the capacity additions in accordance with
then current industry standards; and
(B) encourage the development, construction, and
operation of new emerging generation technology generation
projects at those sites in this state that have the greatest
economic potential for capture and development of this state's
environmentally beneficial energy resources.
SECTION 2. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2005.