By: Otto H.B. No. 3189
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the qualifications of certain electric generation
  projects for programs designed to encourage the capture and
  utilization of carbon dioxide for use in enhanced oil recovery.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 382.003(1-a), Health and Safety Code, is
  amended to read as follows:
               (1-a)  "Advanced clean energy project" means a project
  for which an application for a permit or for an authorization to use
  a standard permit under this chapter is received by the commission
  on or after January 1, 2008, and before January 1, 2020, and that:
                     (A)  involves the use of coal, biomass, petroleum
  coke, solid waste, or fuel cells using hydrogen derived from such
  fuels, in the generation of electricity, or the creation of liquid
  fuels outside of the existing fuel production infrastructure while
  co-generating electricity, whether the project is implemented in
  connection with the construction of a new facility or in connection
  with the modification of an existing facility and whether the
  project involves the entire emissions stream from the facility or
  only a portion of the emissions stream from the facility;
                     (B)  with regard to the portion of the emissions
  stream from the facility that is associated with the project, is
  capable of achieving:
                           (i)  on an annual basis, a 99 percent or
  greater reduction of sulfur dioxide emissions, or:
                                 (a)  if the project is designed for the
  use of one or more combustion turbines, an emission rate that meets
  best available control technology requirements as determined by the
  commission; or
                                 (b)  if the project is designed for the
  use of feedstock substantially all of which is subbituminous coal,
  an emission rate of 0.04 pounds or less of sulfur dioxide per
  million British thermal units as determined by a 30-day average;
                           (ii)  on an annual basis, a 95 percent or
  greater reduction of mercury emissions, if applicable;
                           (iii)  an annual average emission rate for
  nitrogen oxides of:
                                 (a)  0.05 pounds or less per million
  British thermal units; or
                                 (b)  if the project uses gasification
  technology, 0.034 pounds or less per million British thermal units;
  and
                           (iv)  an annual average emission rate for
  filterable particulate matter of 0.015 pounds or less per million
  British thermal units; and
                     (C)  captures not less than 50 percent of the
  carbon dioxide in the portion of the emissions stream from the
  facility that is associated with the project and sequesters that
  captured carbon dioxide by geologic storage or other means.
         SECTION 2.  SECTION 120.001(2), Natural Resources Code, is
  amended to read as follows:
               (2)  "Clean energy project" means a project to
  construct an coal-fueled or petroleum coke-fueled electric
  generating facility, including a facility in which the fuel is
  gasified before combustion, that will:
                     (A)  have a capacity of at least 200 megawatts;
                     (B)  meet the emissions profile for an advanced
  clean energy project under Section 382.003(1-a)(B), Health and
  Safety Code;
                     (C)  capture at least 70 percent of the carbon
  dioxide resulting from or associated with the generation of
  electricity by the facility;
                     (D)  be capable of permanently sequestering in a
  geological formation the carbon dioxide captured; and
                     (E)  be capable of supplying the carbon dioxide
  captured for purposes of an enhanced oil recovery project.
         SECTION 3.  The Texas Commission on Environmental Quality
  shall adopt rules as necessary to implement Section 382.003, Health
  and Safety Code, as amended by this Act, not later than January 1,
  2014.
         SECTION 4.  The Railroad Commission of Texas may adopt rules
  as necessary to implement section 120.001(2), Natural Resources
  Code, as amended by this Act.
         SECTION 5.  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, 2013.