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A BILL TO BE ENTITLED
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AN ACT
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relating to distributed renewable generation of electric power. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 17.002, Utilities Code, is amended by |
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adding Subdivision (4-a) to read as follows: |
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(4-a) "Distributed renewable generation" has the |
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meaning assigned by Section 39.916. |
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SECTION 2. Section 17.004, Utilities Code, is amended by |
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adding Subsection (a-1) to read as follows: |
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(a-1) All buyers of retail electric services are entitled to |
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the opportunity to interconnect distributed renewable generation |
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according to conditions established by commission rule. |
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SECTION 3. Section 17.006, Utilities Code, is amended to |
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read as follows: |
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Sec. 17.006. PROTECTIONS FOR CUSTOMERS OF ELECTRIC |
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COOPERATIVES. (a) An electric cooperative shall not be deemed to |
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be a "service provider" or "billing agent" for purposes of Sections |
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17.156(b) and (e), except that, for purposes of enforcing Section |
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17.004(a-1), an electric cooperative is a "service provider" under |
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Section 17.156(b). |
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(b) An [The] electric cooperative shall adopt, implement, |
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and enforce rules that shall have the effect of accomplishing the |
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objectives set out in Sections 17.004(a), (a-1), and (b) and |
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Section 17.102. The board of directors of an [the] electric |
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cooperative or its designee shall perform the dispute resolution |
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function provided for by Section 17.157 for electric customers |
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served by the electric cooperative within its certificated service |
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area. With respect to electric customers served by an electric |
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cooperative outside its certificated service area or otherwise |
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served through others' distribution facilities, after the |
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legislature authorizes retail competition, the provisions of this |
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chapter as administered by the commission shall apply. Nothing in |
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this chapter shall be deemed to apply to a wholesale customer of an |
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electric cooperative. |
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SECTION 4. Section 41.004, Utilities Code, is amended to |
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read as follows: |
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Sec. 41.004. JURISDICTION OF COMMISSION. Except as |
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specifically provided otherwise in this chapter, the commission has |
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jurisdiction over electric cooperatives only as follows: |
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(1) to regulate wholesale transmission rates and |
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service, including terms of access, to the extent provided in |
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Subchapter A, Chapter 35; |
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(2) to regulate certification to the extent provided |
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in Chapter 37; |
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(3) to establish a code of conduct as provided in |
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Section 39.157(e) subject to Section 41.054; |
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(4) to establish terms and conditions, but not rates, |
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for open access to distribution facilities for electric |
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cooperatives providing customer choice, as provided in Section |
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39.203; [and] |
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(5) to require reports of electric cooperative |
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operations only to the extent necessary to: |
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(A) ensure the public safety; |
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(B) enable the commission to satisfy its |
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responsibilities relating to electric cooperatives under this |
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chapter; |
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(C) enable the commission to determine the |
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aggregate electric load and energy requirements in the state and |
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the resources available to serve that load; or |
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(D) enable the commission to determine |
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information relating to market power as provided in Section 39.155; |
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and |
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(6) to establish conditions under which customers may |
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interconnect distributed renewable generation, as defined by |
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Section 39.916. |
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SECTION 5. Section 41.055, Utilities Code, is amended to |
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read as follows: |
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Sec. 41.055. JURISDICTION OF BOARD OF DIRECTORS. A board |
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of directors has exclusive jurisdiction to: |
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(1) set all terms of access, conditions, and rates |
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applicable to services provided by the electric cooperative, except |
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as provided by Sections 41.004, 41.054, and 41.056, including |
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nondiscriminatory and comparable rates for distribution but |
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excluding wholesale transmission rates, terms of access, and |
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conditions for wholesale transmission service set by the commission |
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under Subchapter A, Chapter 35, provided that the rates for |
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distribution established by the electric cooperative shall be |
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comparable to the distribution rates that apply to the electric |
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cooperative and its subsidiaries; |
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(2) determine whether to unbundle any energy-related |
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activities and, if the board of directors chooses to unbundle, |
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whether to do so structurally or functionally; |
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(3) reasonably determine the amount of the electric |
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cooperative's stranded investment; |
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(4) establish nondiscriminatory transition charges |
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reasonably designed to recover the stranded investment over an |
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appropriate period of time; |
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(5) determine the extent to which the electric |
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cooperative will provide various customer services, including |
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nonelectric services, or accept the services from other providers; |
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(6) manage and operate the electric cooperative's |
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utility systems, including exercise of control over resource |
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acquisition and any related expansion programs; |
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(7) establish and enforce service quality standards, |
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reliability standards, and consumer safeguards designed to protect |
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retail electric customers; |
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(8) determine whether a base rate reduction is |
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appropriate for the electric cooperative; |
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(9) determine any other utility matters that the board |
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of directors believes should be included; |
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(10) sell electric energy and capacity at wholesale, |
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regardless of whether the electric cooperative participates in |
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customer choice; |
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(11) determine the extent to which the electric |
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cooperative offers energy efficiency programs and how the programs |
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are administered by the electric cooperative; and |
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(12) make any other decisions affecting the electric |
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cooperative's method of conducting business that are not |
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inconsistent with the provisions of this chapter. |
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SECTION 6. This Act takes effect September 1, 2009. |