89R24081 CS-D
 
  By: Louderback, Darby, Garcia of Bexar, H.B. No. 3778
      Lalani
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the use of geothermal energy as a dispatchable
  generation resource.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subchapter A, Chapter 34, Utilities Code, is
  amended by adding Section 34.01015 to read as follows:
         Sec. 34.01015.  APPLICABILITY. For the purposes of this
  chapter:
               (1)  a generating facility is considered to be
  dispatchable if the facility's output can be controlled primarily
  by forces under human control; and
               (2)  a geothermal energy generation facility is
  considered to be dispatchable.
         SECTION 2.  Section 34.0104, Utilities Code, is amended by
  amending Subsection (a) and adding Subsection (a-1) to read as
  follows:
         (a)  The commission may use money in the fund without further
  appropriation to provide loans to finance upgrades to existing
  dispatchable electric generating facilities providing power for
  the ERCOT power region that result in a net increase of at least 100
  megawatts of capacity for each facility or the construction of
  dispatchable electric generating facilities providing power for
  the ERCOT power region that each have a generation capacity of at
  least 100 megawatts.  [For the purposes of this section, a
  generating facility is considered to be dispatchable if the
  facility's output can be controlled primarily by forces under human
  control.] An electric energy storage facility, other than a
  geothermal energy conservation well, is not eligible for a loan
  under this section.
         (a-1)  Notwithstanding Subsections (a) and (b)(1), the
  commission may use money in the fund, without further
  appropriation, to provide loans to finance the construction of
  geothermal energy generation facilities and geothermal energy
  conservation wells in the ERCOT power region that have a generation
  capacity of at least 10 megawatts.
         SECTION 3.  Sections 34.0105(a) and (c), Utilities Code, are
  amended to read as follows:
         (a)  The commission shall provide, using money available in
  the fund for the purpose without further appropriation, a
  completion bonus grant for the construction of dispatchable
  electric generating facilities in the ERCOT power region.  [For the
  purposes of this section, a generating facility is considered to be
  dispatchable if the facility's output can be controlled primarily
  by forces under human control.]  An electric energy storage
  facility, other than a geothermal energy conservation well, is not
  eligible for a grant under this section.
         (c)  The commission may provide a grant under this section
  only for construction of a facility that:
               (1)  will have a generation capacity of at least 100
  megawatts or at least 10 megawatts for a geothermal energy
  generation facility or geothermal energy conservation well; and
               (2)  does not meet the planning model requirements
  necessary to be included in the Capacity Demand and Reserves Report
  of the independent organization certified under Section 39.151 for
  the ERCOT power region before June 1, 2023.
         SECTION 4.  Section 39.159(a), Utilities Code, is amended to
  read as follows:
         (a)  For the purposes of this section:
               (1)[,] a generation facility is considered to be
  dispatchable if the facility's output can be controlled primarily
  by forces under human control; and
               (2)  a geothermal energy generation facility and a
  geothermal energy conservation well are considered to be
  dispatchable [non-dispatchable if the facility's output is
  controlled primarily by forces outside of human control].
         SECTION 5.  This Act takes effect September 1, 2025.