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A BILL TO BE ENTITLED
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AN ACT
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relating to the regulation of cross-border electric generating |
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facilities. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter D, Chapter 39, Utilities Code, is |
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amended by adding Section 39.159 to read as follows: |
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Sec. 39.159. SWITCHABLE ELECTRIC GENERATING FACILITIES FOR |
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CROSS-BORDER DISPATCH. (a) In this section: |
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(1) "Load shedding condition" means a temporary |
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condition on a power grid that requires or may require the |
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interruption of firm load. |
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(2) "Mexican power grid" means the electric power grid |
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in the northeast region of the United Mexican States. |
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(b) The commission shall adopt rules to encourage the |
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development of switchable electric generating facilities that: |
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(1) are located in this state; and |
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(2) consist of multiple electric generating units each |
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of which: |
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(A) can dispatch into only a single grid at any |
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given time but is capable of synchronizing with and dispatching |
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into the ERCOT power grid and the Mexican power grid at different |
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times; and |
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(B) may be called on by ERCOT to address a load |
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shedding condition. |
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(c) The rules must allow and encourage the adoption of a |
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binding coordination agreement by the operators of ERCOT and the |
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Mexican power grid to govern the dispatching of energy into the |
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ERCOT power grid and the Mexican power grid from a switchable |
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electric generating facility described by Subsection (b). |
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(d) For an agreement described by Subsection (c) that |
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requires that a new switchable electric generating facility have a |
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nameplate output at least 35 percent of which is from electric |
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generating units that, under the agreement, are committed to serve |
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the ERCOT power grid to the exclusion of the Mexican power grid |
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during an ERCOT load shedding condition, regardless of whether a |
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load shedding condition exists on the Mexican power grid, the rules |
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must: |
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(1) provide reasonable assurance that access to an |
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electric generating unit cannot be denied to the operator of the |
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Mexican power grid when the unit is called on by the operator, |
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regardless of whether a load shedding condition exists on the ERCOT |
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power grid, if the unit is not committed under the agreement to |
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serve the ERCOT power grid during a load shedding condition on the |
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ERCOT power grid; and |
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(2) establish a process for the commission to evaluate |
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an agreement described by Subsection (c) to determine whether the |
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agreement qualifies for the protections described by this |
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subsection. |
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SECTION 2. The Public Utility Commission of Texas shall |
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adopt rules as are necessary to implement Section 39.159, Utilities |
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Code, as added by this Act, not later than March 1, 2018. |
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SECTION 3. This Act takes effect September 1, 2017. |