|
|
|
A BILL TO BE ENTITLED
|
|
AN ACT
|
|
relating to rates charged by an electric utility or retail electric |
|
provider on acquisition by another electric utility or retail |
|
electric provider. |
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
SECTION 1. Subchapter C, Chapter 39, Utilities Code, is |
|
amended by adding Section 39.110 to read as follows: |
|
Sec. 39.110. RATES OF RETAIL ELECTRIC PROVIDER ON |
|
ACQUISITION BY ANOTHER RETAIL ELECTRIC PROVIDER. A retail electric |
|
provider that acquires another retail electric provider shall: |
|
(1) in relation to a customer of the acquired retail |
|
electric provider who received service under a term contract, |
|
continue to charge the customer the rates specified in the contract |
|
for the remaining term of the contract; and |
|
(2) in relation to a customer of the acquired retail |
|
electric provider who did not receive service under a term |
|
contract: |
|
(A) continue, for at least 90 days, to charge |
|
that customer the rates charged by the acquired retail electric |
|
provider at the time of acquisition if the rates of the acquired |
|
retail electric provider at the time of acquisition are lower than |
|
the rates charged by the acquiring retail electric provider; or |
|
(B) extend the rates of the acquiring retail |
|
electric provider to that customer if the rates charged by the |
|
acquiring retail electric provider at the time of acquisition are |
|
lower than the rates charged by the acquired retail electric |
|
provider. |
|
SECTION 2. Section 39.915, Utilities Code, is amended by |
|
amending Subsection (b) and adding Subsection (b-1) to read as |
|
follows: |
|
(b) The commission shall approve a transaction under |
|
Subsection (a) if the commission finds that the transaction is in |
|
the public interest. For a transaction involving the acquisition of |
|
one electric utility by another electric utility, the commission |
|
may find the transaction to be in the public interest only if the |
|
acquiring utility: |
|
(1) in relation to a customer of the acquired utility |
|
who received services under a term contract, agrees to continue to |
|
charge the customer the rates specified in the contract for the |
|
remaining term of the contract; and |
|
(2) in relation to a customer of the acquired utility |
|
who did not receive service under a term contract, agrees to: |
|
(A) continue, for at least 90 days, to charge |
|
that customer the rates charged by the acquired utility at the time |
|
of acquisition if the rates of the acquired utility at the time of |
|
acquisition are lower than the rates charged by the acquiring |
|
utility; or |
|
(B) extend the rates of the acquiring utility to |
|
that customer if the rates charged by the acquiring utility at the |
|
time of acquisition are lower than the rates charged by the acquired |
|
utility. |
|
(b-1) In making its determination of whether a transaction |
|
is in the public interest, the commission shall consider whether |
|
the transaction will adversely affect the reliability of service, |
|
availability of service, or cost of service of the electric utility |
|
or transmission and distribution utility. The commission shall |
|
make the determination concerning a transaction under this |
|
subsection not later than the 180th day after the date the |
|
commission receives the relevant report. If the commission has not |
|
made a determination before the 181st day after that date, the |
|
transaction is considered approved. |
|
SECTION 3. The changes in law made by Section 39.110, |
|
Utilities Code, as added by this Act, apply only to a retail |
|
electric provider acquired by another retail electric provider on |
|
or after the effective date of this Act. A retail electric provider |
|
acquired after the effective date of this Act is subject to the law |
|
in effect on the date of acquisition, and that law is continued in |
|
effect for that purpose. |
|
SECTION 4. The changes in law made by this Act to Section |
|
39.915, Utilities Code, apply only to a report submitted to the |
|
Public Utility Commission of Texas on or after the effective date of |
|
this Act. A report submitted to the Public Utility Commission of |
|
Texas before the effective date of this Act is subject to the law in |
|
effect on the date the report is submitted, and that law is |
|
continued in effect for that purpose. |
|
SECTION 5. This Act takes effect September 1, 2009. |