Texas energy legislation

After Winter Storm Uri devastated the ERCOT grid, calls for industry reform rang out across the state of Texas. For the past few months, public hearings and floor debates have considered wide-ranging proposals to harden the ERCOT system against extreme weather events and address the financial consequences of the storm. The Legislature considered numerous bills dealing with issues such as energy and ancillary services repricing, market rules and price formation, generation weatherization, ERCOT and Texas Public Utility Commission (“PUCT”) reform, debt securitization, and the appropriate role and accountability of renewable resources in securing reliability of the grid. Below we provide an overview of the most significant energy legislation proposed during the recent Texas legislative session, both related and unrelated to Winter Storm Uri fallout. The Legislature passed bills that will affect all segments of the Texas energy economy, which collectively will prompt significant change in the years ahead. We have described bills that “passed” as those that have been enrolled or have already been signed into law by the Governor (Bills that have an asterisk in this article have been signed by the Governor.). We note that the veto period extends for 20 days post-session, which ended May 31st , so as of this writing it remains possible the Governor may veto some of these bills, though we have no indication he intends to do so. We will update this post after the veto period expires to note any such vetoes.
Continue Reading A Legislative Session in Review: Taking a Look at Key Energy Bills that Did (and Did Not) Pass During the 87th Regular Session

When beginning a solar project in Texas, developers must be cognizant of the potential conflict between the surface and mineral estates. In Texas, mineral rights can be severed from the surface estate, and when severed, the mineral estate rights are dominant, meaning the mineral estate has the implied right to use as much of the surface, subsurface, and adjacent airspace of the land as is reasonably necessary to locate and develop the mineral estate beneath. This right can cause complications for solar developers if not properly addressed.

This blog post focuses on the preemptive steps a solar developer should take to protect its project from impacts by oil and gas operations.


Continue Reading Texas Solar Energy Projects: Avoiding Mineral Issues

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.

Continue Reading Bills Related to Storage and Cybersecurity and Other Energy Issues Signed into Law After Close of 86th Texas Legislature’s Regular Session