87R17909 MP-F
 
  By: Landgraf, Reynolds H.B. No. 2361
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the new technology implementation grant program
  administered by the Texas Commission on Environmental Quality.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 391.002(b), Health and Safety Code, is
  amended to read as follows:
         (b)  Projects that may be considered for a grant under the
  program include:
               (1)  advanced clean energy projects, as defined by
  Section 382.003;
               (2)  new technology projects that reduce emissions of
  regulated pollutants from stationary sources;
               (3)  new technology projects that reduce emissions from
  upstream and midstream oil and gas production, completions,
  gathering, storage, processing, and transmission activities
  through:
                     (A)  the replacement, repower, or retrofit of
  stationary compressor engines;
                     (B)  the installation of systems to reduce or
  eliminate the loss of gas, flaring of gas, or burning of gas using
  other combustion control devices; or
                     (C)  the installation of systems that reduce
  flaring emissions and other site emissions [by capturing waste heat
  to generate electricity solely for on-site service]; and
               (4)  electricity storage projects related to renewable
  energy, including projects to store electricity produced from wind
  and solar generation that provide efficient means of making the
  stored energy available during periods of peak energy use.
         SECTION 2.  Section 391.205(a), Health and Safety Code, is
  amended to read as follows:
         (a)  Except as provided by Subsection (c), in awarding grants
  under this chapter the commission shall give preference to projects
  that:
               (1)  involve the transport, use, recovery for use, or
  prevention of the loss of natural resources originating or produced
  in this state;
               (2)  contain an energy efficiency component;
               (3)  include the use of solar, wind, or other renewable
  energy sources; [or]
               (4)  recover waste heat from the combustion of natural
  resources and use the heat to generate electricity; or
               (5)  reduce flaring emissions and other site emissions.
         SECTION 3.  Section 391.301, Health and Safety Code, is
  amended to read as follows:
         Sec. 391.301.  RESTRICTION ON USE OF GRANT. A recipient of a
  grant under this chapter must use the grant to pay the incremental
  costs of the purchase, lease, or [and] installation of the project
  for which the grant is made, which may include reasonable and
  necessary expenses for the labor needed to install
  emissions-reducing equipment.  The recipient may [not] use the
  grant for the costs of operating and maintaining the
  emissions-reducing equipment.
         SECTION 4.  The changes in law made by this Act apply only to
  a Texas emissions reduction plan grant awarded on or after the
  effective date of this Act.  A grant awarded before the effective
  date of this Act is governed by the law in effect on the date the
  award was made, and the former law is continued in effect for that
  purpose.
         SECTION 5.  This Act takes effect September 1, 2021.