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A BILL TO BE ENTITLED
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AN ACT
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relating to energy efficiency incentive programs administered by |
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electric utilities. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 39.905, Utilities Code, is amended by |
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amending Subsection (a) and adding Subsections (b-1) and (b-2) to |
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read as follows: |
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(a) It is the goal of the legislature that: |
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(1) electric utilities will administer energy savings |
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incentive programs in a market-neutral, nondiscriminatory manner |
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but will not offer underlying competitive services; |
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(2) all customers, in all customer classes, have a |
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choice of and access to energy efficiency alternatives and other |
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choices from the market that allow each customer to reduce energy |
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consumption, peak demand, or energy costs; and |
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(3) each electric utility will provide, through |
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market-based standard offer programs or limited, targeted, |
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market-transformation programs, incentives sufficient for retail |
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electric providers and competitive energy service providers to |
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acquire additional cost-effective energy efficiency equivalent to |
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at least 50 [10] percent of the electric utility's annual growth in |
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demand. |
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(b-1) The commission by rule shall adopt procedures to allow |
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an increased rate of return for electric utilities complying with |
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Subsection (a)(3). The commission shall allow an additional |
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increased rate of return as an incentive for an electric utility |
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that exceeds the goal prescribed by Subsection (a)(3). In |
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establishing the increased rates of return, the commission shall |
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ensure that the additional revenue received by the electric utility |
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does not exceed the energy cost savings received by the utility's |
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customers from the energy efficiency programs. |
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(b-2) The commission by rule shall adopt guidelines and |
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procedures to ensure that each electric utility is administering |
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its energy efficiency programs provided under Subsection (a)(3) |
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with outreach efforts sufficient to ensure that all customers in |
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the utility's service area have access to the programs. |
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SECTION 2. This Act takes effect September 1, 2007. |