Relating to the provision of loans and grants from the Texas energy fund for certain electric generating facilities.

The text as introduced · 348 words

90R3902 CS-D

By: Lalani
H.B. No. 589

A BILL TO BE ENTITLED

AN ACT

relating to the provision of loans and grants from the Texas energy

fund for certain electric generating facilities.

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) an electric generating facility is considered to

be dispatchable if the facility's output can be controlled

primarily by forces under human control; and

(2) an electric generating facility that uses

petroleum, natural gas, coal, geothermal energy, hydroelectric

energy, or nuclear energy as the primary energy source is

considered to be dispatchable.

SECTION 2. Section 34.0104(a), Utilities Code, is amended

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 is not eligible for

a loan under this section.

SECTION 3. Section 34.0105(a), Utilities Code, is 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 is not eligible for a grant under this section.

SECTION 4. This Act takes effect September 1, 2027.