Dorazio Bill Credits Extra Solar Power At Retail Value

The text as introduced · 775 words

89R10166 JXC-D

By: Dorazio
H.B. No. 3904

A BILL TO BE ENTITLED

AN ACT

relating to billing and payments associated with distributed

renewable generation.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 39.002, Utilities Code, is amended to

read as follows:

Sec. 39.002. APPLICABILITY. This chapter, other than

Sections 39.151, 39.1516, 39.155, 39.157(e), 39.161, 39.162,

39.163, 39.203, 39.9051, 39.9052, 39.9113, [ and ] 39.914(e), and

39.9161, and Subchapters M and N, does not apply to a municipally

owned utility or an electric cooperative. Sections 39.157(e) and

39.203 apply only to a municipally owned utility or an electric

cooperative that is offering customer choice. If there is a

conflict between the specific provisions of this chapter and any

other provisions of this title, except for Chapters 40 and 41, the

provisions of this chapter control.

SECTION 2. Section 39.9113, Utilities Code, is amended to

read as follows:

Sec. 39.9113. RENEWABLE ENERGY CREDITS. (a) To facilitate

voluntary contractual obligations and verify claims regarding

environmental attributes of renewable energy production in this

state, the independent organization certified under Section 39.151

for the ERCOT power region shall maintain an accreditation and

banking system to award and track voluntary renewable energy

credits generated by eligible facilities.

(b) An electric cooperative, municipally owned utility, or

retail electric provider may not assume ownership or assignment of

or sell a voluntary renewable energy credit generated by

distributed renewable generation, as defined by Section 39.916, or

require a distributed renewable generation owner, as defined by

Section 39.916, to install a meter to monitor the generation of

credits unless the cooperative, utility, or provider has entered

into a written agreement with the owner for the transfer,

assignment, or sale of voluntary renewable energy credits and has

paid reasonable monetary consideration to the owner.

(c) An electric cooperative, municipally owned utility, or

retail electric provider shall pay the cost of installing any meter

used exclusively for a transaction described by Subsection (b).

The electric cooperative, municipally owned utility, or retail

electric provider shall include with each periodic retail bill

provided to the distributed renewable generation owner all

generation data measured by the meter described in Subsection (b).

SECTION 3. Subchapter Z, Chapter 39, Utilities Code, is

amended by adding Section 39.9161 to read as follows:

Sec. 39.9161. DISTRIBUTED SOLAR GENERATION. (a) In this

section, "solar generation owner" means a distributed renewable

generation owner, as defined by Section 39.916, of generation that

produces electricity using photovoltaic technology.

(b) Notwithstanding any other provision of this code, an

electric cooperative, electric utility, municipally owned utility,

or retail electric provider may not discriminate against a solar

generation owner in any monetary form through billing practices or

policies compared to other ratepayers.

(c) Notwithstanding Sections 39.554 and 39.916, an electric

cooperative, electric utility, municipally owned utility, or

retail electric provider shall offer to contract with a solar

generation owner so that:

(1) surplus electricity produced by the solar

generation is made available for sale to the transmission grid and

distribution system;

(2) the net retail value of that surplus electricity

is credited to the solar generation owner during the billing period

in which the electricity is produced to reduce the owner's retail

bill for services, other than charges for fixed delivery or

availability;

(3) any taxes or fees associated with the surplus

electricity are not charged to the owner as if the electricity was

consumed by the owner; and

(4) the value of any surplus electricity that exceeds

the amount authorized to be credited under Subdivision (2), if not

purchased at retail value, is purchased from the owner at a value

that is at least equal to the clearing price of energy at the time of

day that the electricity is made available to the grid.

(d) An electric cooperative, electric utility, municipally

owned utility, or retail electric provider shall pay to a solar

generation owner at least annually the accumulated value of surplus

electricity described by Subsection (c)(4) owed to the owner.

(e) The governing body of a municipally owned utility shall

adopt, implement, and enforce rules to comply with the requirements

of this section. An electric cooperative shall adopt, implement,

and enforce rules to comply with the requirements of this section.

SECTION 4. The changes in law made by this Act apply only to

a contract entered into on or after the effective date of this Act.

A contract entered into before the effective date of this Act is

governed by the law as it existed immediately before the effective

date of this Act, and that law is continued in effect for that

purpose.

SECTION 5. This Act takes effect September 1, 2025.