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A BILL TO BE ENTITLED
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AN ACT
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relating to the delay of retail electric competition in the areas of |
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the state covered by the Southeastern Electric Reliability Council |
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and to the recovery of certain transmission costs by electric |
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utilities in those areas. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subsection (a), Section 36.209, Utilities Code, |
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is amended to read as follows: |
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(a) This section applies only to an electric utility that |
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operates solely outside of ERCOT in areas of this state included in |
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the Southeastern Electric Reliability Council, the Southwest Power |
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Pool, or the Western Electricity Coordinating Council and that owns |
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or operates transmission facilities. |
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SECTION 2. Section 39.452, Utilities Code, is amended by |
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amending Subsection (b) and adding Subsection (i) to read as |
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follows: |
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(b) [Notwithstanding Subsection (a), except for adjustments
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authorized by Sections 36.203, 39.454, 39.455, and 39.456, and
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except for proceedings and cost recovery mechanisms authorized by
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Sections 39.458-39.463, a person may not file a proceeding to
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change, alter, or revoke any rate offered or charged by an electric
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utility subject to this subchapter before June 30, 2007, with an
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effective date no earlier than June 30, 2008.
As part of a
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Subchapter C, Chapter 36, rate proceeding, the] An electric utility |
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subject to this subchapter shall propose a competitive generation |
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tariff to allow eligible customers the ability to contract for |
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competitive generation. The commission shall approve, reject, or |
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modify the proposed tariff not later than September 1, 2010. The |
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tariffs subject to this subsection may not be considered to offer a |
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discounted rate or rates under Section 36.007, and the utility's |
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rates shall be set, in the proceeding in which the tariff is |
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adopted, to recover any costs unrecovered as a result of the |
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implementation of the tariff. The commission shall ensure that a |
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competitive generation tariff shall not be implemented in a manner |
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that harms the sustainability or competitiveness of manufacturers |
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that choose not to take advantage of competitive generation. |
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Pursuant to the competitive generation tariff, an electric utility |
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subject to this subsection shall purchase competitive generation |
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service, selected by the customer, and provide the generation at |
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retail to the customer. An electric utility subject to this |
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subsection shall provide and price retail transmission service, |
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including necessary ancillary services, to retail customers who |
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choose to take advantage of the competitive generation tariff at a |
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rate that is unbundled from the utility's cost of service. Such |
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customers shall not be considered wholesale transmission |
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customers. Notwithstanding any other provision of this chapter, |
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the commission may not issue a decision relating to a competitive |
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generation tariff that is contrary to an applicable decision, rule, |
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or policy statement of a federal regulatory agency having |
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jurisdiction. |
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(i) Notwithstanding any other provision of this chapter, if |
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the commission has not approved the transition to competition plan |
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under this section before January 1, 2009, an electric utility |
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subject to this subchapter shall cease all activities relating to |
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the transition to competition under this section. The commission |
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may, on its own motion or the motion of any affected person, |
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initiate a proceeding under Section 39.152 to certify a power |
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region to which the utility belongs as a qualified power region when |
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the conditions supporting such a proceeding exist. The commission |
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may not approve a plan under Subsection (g) until the expiration of |
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four years from the time that the commission certifies a power |
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region under Subsection (f). |
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SECTION 3. Not later than the 90th day after the effective |
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date of this Act, an electric utility operating in the Southeastern |
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Electric Reliability Council that is subject to traditional cost of |
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service rate regulation and on the effective date of this Act has a |
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transition to competition plan on file with the Public Utility |
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Commission of Texas shall: |
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(1) withdraw the plan from the commission; and |
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(2) cease all activities related to the plan. |
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SECTION 4. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2009. |
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