BILL ANALYSIS

H.B. 2052

By: Hilderbran

State Affairs

Committee Report (Unamended)

BACKGROUND AND PURPOSE

Under current law, the Public Utility Commission of Texas (PUC) is required to take enforcement action against an electric utility or a transmission and distribution utility if any feeder with 10 or more customers appears on the utility’s list of worst 10 percent performing feeders for any two consecutive years or has had a system-average interruption duration index or system-average interruption frequency index average that is more than 300 percent greater than the system average of all feeders during any two year period. 

H.B. 2052 removes the “worst 10 percent performing feeders” criteria, but retains the 300 percent system-average interruption duration index or system-average interruption frequency index criteria.  It is believed that these changes will continue to address the worst performing feeders, but will also eliminate time-consuming and unproductive enforcement actions and promote collaborative efforts between the utilities and the PUC staff to discuss and address pertinent reliability issues, the utilities' corrective actions, and other programs being undertaken to improve feeder performance. 

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

H.B. 2052 amends the Utilities Code to authorize, rather than require, the Public Utility Commission of Texas to take appropriate enforcement action against an electric utility or a transmission and distribution utility for unsatisfactory performance with respect to service quality and reliability. The bill removes, as a basis for an enforcement action, the appearance of a feeder with 10 or more customers on the utility's list of worst 10 percent performing feeders for any two consecutive years.

EFFECTIVE DATE

On passage, or, if the act does not receive the necessary vote, the act takes effect September 1, 2009.