Public Utility Commission of Texas

Lawmakers of the 86th Texas Legislature passed several bills in regular session related to storage and cybersecurity, as well as a bill extending the expiration of a Chapter 312 tax abatement program that benefits renewable energy. These energy-related bills passed by the Texas Legislature are discussed below, as are notable bills that failed to gain traction this session.

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By the time the March 8, 2019 bill filing deadline for the 86th Texas Legislature passed, many bills concerning the electric industry had been filed. Storage, cybersecurity of the electric grid, and capital project tax abatements are among the energy issues Texas lawmakers are considering. This reviews the major filed bills before the current Texas Legislature.

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At the January 17, 2019 Open Meeting, the Public Utility Commission of Texas (Commission) addressed several highly contested issues, including storage, Operating Reserve Demand Curve, Real-Time Co-optimization, and Marginal Losses. First, in Project No. 48023, Rulemaking to Address the Use of Non-Traditional Technologies in Electric Delivery Service (the Battery Project), dealing with utility ownership of battery storage, the Commission decided to defer further action until Texas Legislature’s regular session concludes. This decision comes after 63 comments were filed with the Commission, expressing widely varying views on whether a transmission and distribution utility within ERCOT may legally own and operate battery storage facilities. The Commission previously submitted through its Scope of Competition Report a request for the Legislature to enact legislation clarifying this legal point.

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Don’t miss Chris Reeder’s annual report on the regulatory activities during 2018 at the Public Utility Commission of Texas.

Chris will speak during the Gulf Coast Power Association’s Annual Meeting & Luncheon on Thursday, January 17, 11:00am in Houston, Texas at the Downtown Club at the Houston Center.

For more information or to register