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  By: Watson  S.B. No. 1280
         (In the Senate - Filed March 6, 2013; March 13, 2013, read
  first time and referred to Committee on Business and Commerce;
  April 11, 2013, reported adversely, with favorable Committee
  Substitute by the following vote:  Yeas 7, Nays 2; April 11, 2013,
  sent to printer.)
 
  COMMITTEE SUBSTITUTE FOR S.B. No. 1280 By:  Watson
 
 
A BILL TO BE ENTITLED
 
AN ACT
 
  relating to attaining reserve capacity margins in power regions to
  meet expected peak demand.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subchapter D, Chapter 39, Utilities Code, is
  amended by adding Section 39.161 to read as follows:
         Sec. 39.161.  POWER REGION RESERVE MARGIN. (a)  Not later
  than July 1 of each year, the independent organization certified
  under Section 39.151 for each power region shall study and project
  for the following year the:
               (1)  anticipated and installed generation capacity
  located in or capable of delivering electricity to the power
  region;
               (2)  expected peak demand in the power region; and
               (3)  amount of reserve capacity necessary to maintain a
  reliability standard set by the commission for the power region.
         (b)  If the independent organization determines under
  Subsection (a) that the amount of reserve capacity available for
  the following year will not maintain the reliability standard
  relative to the expected peak demand and a capacity deficit may
  occur, the organization shall acquire incremental capacity through
  opt-in load participation programs, with at least 20 percent of the
  incremental capacity being attained from each of the following
  classes:
               (1)  residential;
               (2)  commercial; and
               (3)  industrial.
         SECTION 2.  This Act takes effect September 1, 2013.
 
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