Texas Utilities Code

§ 39.1594 — RELIABILITY PROGRAM

UT § 39.1594Title 2. PUBLIC UTILITY REGULATORY ACT · Part B. ELECTRIC UTILITIES · Ch. 39. RESTRUCTURING OF ELECTRIC UTILITY INDUSTRY · Art. D. MARKET STRUCTURE

Statute text

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(a)Under Section 39.159(b), as added by Chapter 426 (S.B. 3), Acts of the 87th Legislature, Regular Session, 2021, or other law, the commission may not require retail customers or load-serving entities in the ERCOT power region to purchase credits designed to support a required reserve margin or other capacity or reliability requirement unless the commission ensures that:

(1)the net cost to the ERCOT market of the credits does not exceed $1 billion annually, less the cost of any interim or bridge solutions that are lawfully implemented, except that the commission may adjust the limit:

(A)proportionally according to the highest net peak demand year-over-year with a base year of 2026; and

(B)for inflation with a base year of 2026;

(2)credits are available only for dispatchable generation;

(3)the independent organization certified under Section 39.151 for the ERCOT power region is required to procure the credits centrally in a manner designed to prevent market manipulation by affiliated generation and retail companies;

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Legislative history

Added by Acts 2023, 88th Leg., R.S., Ch. 410 (H.B. 1500), Sec. 23, eff. September 1, 2023.