| TO: | Honorable Tom Craddick, Speaker of the House, House of Representatives |
| FROM: | John S. O'Brien, Director, Legislative Budget Board |
| IN RE: | HB1386 by King, Phil (Relating to regulation of the decommissioning costs of certain nuclear-powered commercial electric generation units. ), As Passed 2nd House |
The bill would amend the Utilities Code relating to regulation of the decommissioning costs of certain nuclear-powered commercial electric generation units. The Public Utility Commission (PUC) would be required to approve, modify, or reject a plan within a certain time frame and establish the necessary amount of annual decommissioning funding for a nuclear generating unit. The PUC would be required to conduct a proceeding at least once in each three-year period to review a power generation company’s cost of decommissioning study and other available information. The bill would require PUC to take certain actions relating to each nuclear decommissioning trust.
The PUC would be required to take certain actions prior to allowing certain activities of a power generation company. The PUC would be required to determine the manner in which any shortfall in the actual costs of decommissioning a nuclear generating unit is recovered. The PUC would be required to investigate a mechanism to ensure funds for decommissioning will be obtained when necessary and file legislative recommendations regarding any changes in law that may be necessary to carry out the certain provisions of this bill prior to January 15, 2009. The PUC would be required to adopt certain rules relating to the provisions of this bill.
Based on the analysis of the PUC, it is assumed that the duties and responsibilities associated with implementing the provisions of the bill could be accomplished by utilizing existing resources.
This bill would take effect September 1, 2007.
| Source Agencies: | 473 Public Utility Commission of Texas
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| LBB Staff: | JOB, JRO, TGl
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