|
|
|
A BILL TO BE ENTITLED
|
|
AN ACT
|
|
relating to the agricultural biomass and landfill diversion |
|
incentive program. |
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
SECTION 1. Section 22.002, Agriculture Code, is amended by |
|
amending Subdivision (5) and adding Subdivisions (1-a) and (5-a) to |
|
read as follows: |
|
(1-a) "Co-firing biomass" means a solid fuel that: |
|
(A) contains qualified agricultural biomass; |
|
(B) is produced by a renewable biomass aggregator |
|
and bio-coal fuel producer; and |
|
(C) is used to supplement coal combustion for the |
|
generation of electricity. |
|
(5) "Qualified agricultural biomass" means: |
|
(A) agricultural residues that are of a type that |
|
historically have been disposed of in a landfill, relocated from |
|
their point of origin and stored in a manner not intended to enhance |
|
or restore the soil, burned in open fields in the area from which |
|
they are derived, or burned in fields and orchards that continue to |
|
be used for the production of agricultural goods, and includes: |
|
(i) field or seed crop residues, including |
|
straw from rice or wheat, cotton gin trash, corn stover, grain |
|
sorghum (milo) harvest residues, sugarcane bagasse, and |
|
switchgrass; |
|
(ii) fruit or nut crop residues, including |
|
orchard or vineyard prunings and removals; |
|
(iii) forest wood waste or urban wood |
|
waste, including state designated forest management cuttings and |
|
brush management cuttings from private lands; and |
|
(iv) agricultural livestock waste |
|
nutrients; and |
|
(B) a crop grown and used specifically for its |
|
energy generation value, including a crop consisting of a |
|
fast-growing tree species. |
|
(5-a) "Renewable biomass aggregator and bio-coal fuel |
|
producer" means an operator of an integrated harvesting, |
|
transportation, and fuel conversion facility that aggregates |
|
qualified agricultural or forest biomass and produces renewable |
|
fuel suitable for replacing coal or co-firing with coal. |
|
SECTION 2. Section 22.003, Agriculture Code, is amended to |
|
read as follows: |
|
Sec. 22.003. GRANT PROGRAM. (a) The department shall |
|
develop and administer an agricultural biomass and landfill |
|
diversion incentive program to make grants to farmers, loggers, |
|
[and] diverters, and renewable biomass aggregators and bio-coal |
|
fuel producers who provide qualified agricultural biomass, forest |
|
wood waste, urban wood waste, co-firing biomass, or storm-generated |
|
biomass debris to facilities that use biomass to generate electric |
|
energy in order to provide an incentive for the construction of |
|
facilities for that purpose and to: |
|
(1) promote economic development; |
|
(2) encourage the use of renewable sources in the |
|
generation of electric energy; |
|
(3) reduce air pollution caused by burning |
|
agricultural biomass, forest wood waste, urban wood waste, |
|
co-firing biomass, or storm-generated biomass debris in open |
|
fields; and |
|
(4) divert waste from landfills. |
|
(b) Subject to Section 22.005, a farmer, logger, [or] |
|
diverter, or renewable biomass aggregator and bio-coal fuel |
|
producer is entitled to receive a grant in the amount of $20 for |
|
each bone-dry ton of qualified agricultural biomass, forest wood |
|
waste, urban wood waste, co-firing biomass, or storm-generated |
|
biomass debris provided by the farmer, logger, [or] diverter, or |
|
renewable biomass aggregator and bio-coal fuel producer in a form |
|
suitable for generating electric energy to a facility that: |
|
(1) is located in this state; |
|
(2) was placed in service after August 31, 2009; |
|
(3) generates electric energy sold to a third party by |
|
using qualified agricultural biomass, forest wood waste, urban wood |
|
waste, co-firing biomass, or storm-generated biomass debris; |
|
(4) uses the best available emissions control |
|
technology, considering the technical practicability and economic |
|
reasonableness of reducing or eliminating the air contaminant |
|
emissions resulting from the facility; |
|
(5) maintains its emissions control equipment in good |
|
working order; and |
|
(6) is in compliance with its operating permit issued |
|
by the Texas Commission on Environmental Quality under Chapter 382, |
|
Health and Safety Code. |
|
(c) The commissioner by rule may authorize a grant to be |
|
made for providing each bone-dry ton of a type or source of |
|
qualified agricultural biomass, forest wood waste, urban wood |
|
waste, co-firing biomass, or storm-generated biomass debris in an |
|
amount that is greater than the amount provided by Subsection (b) if |
|
the commissioner determines that a grant in a greater amount is |
|
necessary to provide an adequate incentive to use that type or |
|
source of qualified agricultural biomass, forest wood waste, urban |
|
wood waste, co-firing biomass, or storm-generated biomass debris to |
|
generate electric energy. |
|
(d) The Public Utility Commission of Texas and the Texas |
|
Commission on Environmental Quality shall assist the department as |
|
necessary to enable the department to determine whether a facility |
|
meets the requirements of Subsection (b) for purposes of the |
|
eligibility of farmers, loggers, [and] diverters, and renewable |
|
biomass aggregators and bio-coal fuel producers for grants under |
|
this chapter. |
|
(e) To receive a grant under this chapter, a farmer, logger, |
|
[or] diverter, or renewable biomass aggregator and bio-coal fuel |
|
producer must deliver qualified agricultural biomass, forest wood |
|
waste, urban wood waste, co-firing biomass, or storm-generated |
|
biomass debris to a facility described by Subsection (b). The |
|
operator of each facility described by that subsection shall: |
|
(1) verify and document the amount of qualified |
|
agricultural biomass, forest wood waste, urban wood waste, |
|
co-firing biomass, or storm-generated biomass debris delivered to |
|
the facility for the generation of electric energy; and |
|
(2) make a grant on behalf of the department in the |
|
appropriate amount to each farmer, logger, [or] diverter, or |
|
renewable biomass aggregator and bio-coal fuel producer who |
|
delivers qualified agricultural biomass, forest wood waste, urban |
|
wood waste, co-firing biomass, or storm-generated biomass debris to |
|
the facility. |
|
(f) The department quarterly shall reimburse each operator |
|
of a facility described by Subsection (b) for grants under this |
|
chapter made by the operator during the preceding quarter to |
|
eligible farmers, loggers, [and] diverters, and renewable biomass |
|
aggregators and bio-coal fuel producers. To receive reimbursement |
|
for one or more grants, an operator of a facility described by that |
|
subsection must file an application with the department that |
|
verifies the amount of the grants made by the operator during the |
|
preceding quarter for which the operator seeks reimbursement. |
|
(g) The department may contract with and provide for the |
|
compensation of private consultants, contractors, and other |
|
persons to assist the department in administering the agricultural |
|
biomass and landfill diversion incentive program. |
|
SECTION 3. This Act takes effect September 1, 2009. |