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A BILL TO BE ENTITLED
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AN ACT
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relating to the state goal for energy efficiency. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 39.905, Utilities Code, is amended by |
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amending Subsection (a) and adding Subsections (h), (i), and (j) to |
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read as follows: |
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(a) It is the goal of the legislature that: |
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(1) electric utilities will administer energy |
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efficiency incentive programs in a market-neutral, |
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nondiscriminatory manner but will not offer underlying competitive |
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services; |
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(2) all customers, in all customer classes, will have |
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a choice of and access to energy efficiency alternatives and other |
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choices from the market that allow each customer to reduce energy |
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consumption, peak demand, or energy costs; |
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(3) each electric utility will provide, through |
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market-based standard offer programs, [or] limited, targeted, |
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market-transformation programs, or programs that address the major |
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barriers to energy efficiency, incentives sufficient for retail |
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electric providers and competitive energy service providers to |
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acquire additional cost-effective energy efficiency for |
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residential and commercial customers equivalent to at least: |
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(A) 10 percent of the electric utility's annual |
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growth in demand of residential and commercial customers by |
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December 31, 2007; |
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(B) 15 percent of the electric utility's annual |
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growth in demand of residential and commercial customers by |
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December 31, 2008, provided that the electric utility's program |
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expenditures for 2008 funding may not be greater than 75 percent |
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above the utility's program budget for 2007 for residential and |
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commercial customers, as included in the April 1, 2006, filing; |
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[and] |
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(C) 20 percent of the electric utility's annual |
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growth in demand of residential and commercial customers by |
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December 31, 2009, provided that the electric utility's program |
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expenditures for 2009 funding may not be greater than 150 percent |
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above the utility's program budget for 2007 for residential and |
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commercial customers, as included in the April 1, 2006, filing; |
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(D) the lower of 30 percent of the electric |
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utility's annual growth in demand or 0.3 percent of the total peak |
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demand of residential and commercial customers by December 31, |
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2012, provided that the average rate impact of the programs is not |
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more than 25 cents per megawatt hour; and |
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(E) the lower of 50 percent of the electric |
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utility's annual growth in demand or 0.7 percent of the total peak |
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demand of residential and commercial customers by December 31, |
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2016, provided that the average rate impact of the programs is not |
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more than 35 cents per megawatt hour; |
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(4) each electric utility in the ERCOT region shall |
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use its best efforts to encourage and facilitate the involvement of |
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the region's retail electric providers in the delivery of |
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efficiency programs and demand response programs under this |
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section; |
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(5) retail electric providers in the ERCOT region, and |
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electric utilities outside of the ERCOT region, shall provide |
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customers with energy efficiency educational materials; and |
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(6) notwithstanding Subdivision (3) [Subsection
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(a)(3)], electric utilities shall continue to make available, at |
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2007 funding and participation levels, any load management standard |
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offer programs developed for industrial customers and implemented |
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prior to May 1, 2007. |
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(h) If the commission finds that an electric utility is |
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unable to meet the goals specified in this section due to the |
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establishment of new building energy codes; new appliance |
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standards; federal funding of conservation, weatherization, and |
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energy efficiency programs; or other factors unique to a particular |
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utility, the commission may establish alternative goals for the |
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utility, subject to the average rate impact limitations listed in |
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Subsection (a)(3). |
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(i) In the event the federal government establishes |
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national mandates, requirements, or goals for energy efficiency, |
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the commission may suspend the goals in this section if it finds |
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that the maintenance of a separate state requirement is duplicative |
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or more costly than the suspension of the requirement. |
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(j) In the event funding is not provided for customer |
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education efforts under Section 39.903(e)(2) at a level sufficient |
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to allow the commission to adequately inform customers of the |
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programs authorized by this section, electric utilities may conduct |
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advertising or other outreach activities to retail customers if |
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insufficient demand for incentives exists in the utility's service |
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area. Outreach funds shall not be included in the average rate |
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impact cap provided by this section. The commission shall approve |
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the amount of funds to be expended in outreach efforts and the |
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electric utility's plan for the activities to ensure that the |
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activities are coordinated with other customer education |
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initiatives of the commission. |
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SECTION 2. The following provisions of the Utilities Code |
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are repealed: |
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(1) Subsection (b-2), Section 39.905; and |
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(2) Section 39.913. |
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SECTION 3. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2009. |
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