| |
| |
|
|
A BILL TO BE ENTITLED
|
|
|
AN ACT
|
|
|
relating to the right of certain entities to intervene in |
|
|
enforcement actions regarding market power abuse. |
|
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
|
SECTION 1. Section 39.157(a), Utilities Code, is amended to |
|
|
read as follows: |
|
|
(a) The commission shall monitor market power associated |
|
|
with the generation, transmission, distribution, and sale of |
|
|
electricity in this state. On a finding that market power abuses or |
|
|
other violations of this section are or may be occurring, the |
|
|
commission shall commence an appropriate enforcement proceeding |
|
|
with the goal of ending the market power abuse. An enforcement |
|
|
proceeding under this section is a contested case in which |
|
|
interested parties, including interested municipalities, |
|
|
commercial customers, retail electric providers, and other |
|
|
entities as determined by the commission by rule, have a right to |
|
|
intervene. On finding that market power abuse has occurred, the |
|
|
commission shall require reasonable mitigation of the market power |
|
|
by ordering the construction of additional transmission or |
|
|
distribution facilities, by seeking an injunction or civil |
|
|
penalties as necessary to eliminate or to remedy the market power |
|
|
abuse or violation as authorized by Chapter 15, by imposing an |
|
|
administrative penalty as authorized by Chapter 15, or by |
|
|
suspending, revoking, or amending a certificate or registration as |
|
|
authorized by Section 39.356. Section 15.024(c) does not apply to |
|
|
an administrative penalty imposed under this section. For purposes |
|
|
of this subchapter, market power abuses are practices by persons |
|
|
possessing market power that are unreasonably discriminatory or |
|
|
tend to unreasonably restrict, impair, or reduce the level of |
|
|
competition, including practices that tie unregulated products or |
|
|
services to regulated products or services or unreasonably |
|
|
discriminate in the provision of regulated services. For purposes |
|
|
of this section, "market power abuses" include predatory pricing, |
|
|
withholding of production, precluding entry, and collusion. A |
|
|
violation of the code of conduct provided by Subsection (d) that |
|
|
materially impairs the ability of a person to compete in a |
|
|
competitive market shall be deemed to be an abuse of market power. |
|
|
The possession of a high market share in a market open to |
|
|
competition may not, of itself, be deemed to be an abuse of market |
|
|
power; however, this sentence shall not affect the application of |
|
|
state and federal antitrust laws. |
|
|
SECTION 2. This Act takes effect immediately if it receives |
|
|
a vote of two-thirds of all the members elected to each house, as |
|
|
provided by Section 39, Article III, Texas Constitution. If this |
|
|
Act does not receive the vote necessary for immediate effect, this |
|
|
Act takes effect September 1, 2009. |