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Texas Utilities Code - Chapter 39 Restructuring Of Electric Utility IndustryLegal Research Home > Texas Lawyer > Utilities Code > Texas Utilities Code - Chapter 39 Restructuring Of Electric Utility Industry (a) The legislature finds that the production and sale of electricity is not a monopoly warranting regulation of rates, operations, and services and that the ... This chapter, other than Sections 39.155, 39.157(e), 39.203, 39.903, and 39.904, does not apply to a municipally owned utility or an electric cooperative. Sections 39.157(e), ... Unless specifically provided otherwise, each commission proceeding under this chapter, other than a rulemaking proceeding, report, notification, or registration, shall be conducted as a contested ... (a) On or before September 1, 2000, each electric utility shall separate from its regulated utility activities its customer energy services business activities that are ... (a) Until January 1, 2002, an electric utility shall provide retail electric service within its certificated service area in accordance with the electric utility's retail ... This subchapter does not limit or alter the ability of an electric utility during the freeze period to revise its fuel factor or to reconcile ... (a) An electric utility shall provide retail electric service during the freeze period in accordance with any contract terms applicable to a particular retail customer ... (a) An electric utility may recover losses resulting from force majeure through an increase in its retail base rates during the freeze period. (b) Notwithstanding ... (a) Before customer choice begins on January 1, 2002, the commission shall ensure that retail customer protections are established that entitle a customer: (1) to ... (a) Each retail customer in this state, except retail customers of electric cooperatives and municipally owned utilities that have not opted for customer choice, shall ... (a) A person may not make or cause to be made a telephone solicitation to a nonresidential electric customer who has given notice to the ... If the commission determines under Section 39.104 that a power region is unable to offer fair competition and reliable service to all retail customer classes ... (a) Customer choice pilot projects may be used to allow the commission to evaluate the ability of each power region and electric utility to implement ... (a) After January 1, 2002, a transmission and distribution utility may not sell electricity or otherwise participate in the market for electricity except for the ... (a) The commission shall designate retail electric providers in areas of the state in which customer choice is in effect to serve as providers of ... (a) On introduction of customer choice in a service area, metering services for the area shall continue to be provided by the transmission and distribution ... This chapter may not: (1) interfere with or abrogate the rights or obligations of any party, including a retail or wholesale customer, to a contract ... (a) To ensure the continued safe and reliable operation of electric generating facilities, the commission shall require a generating facility that is transferred to a ... (a) A power region must establish one or more independent organizations to perform the following functions: (1) ensure access to the transmission and distribution systems ... (a) Meetings of the governing body of an independent organization certified under Section 39.151 and meetings of a subcommittee that includes a member of the ... (a) If a matter comes before the governing body of an independent organization certified under Section 39.151 and a member has a direct interest in ... (a) An independent organization certified under Section 39.151 shall contract with an entity selected by the commission to act as the commission's wholesale electric market ... (a) The commission shall certify a power region if: (1) a sufficient number of interconnected utilities in the power region fall under the operational control ... (a) Each electric utility subject to this section shall sell at auction, at least 60 days before the date set for customer choice to begin, ... (a) Beginning on the date of introduction of customer choice, a power generation company may not own and control more than 20 percent of the ... (a) Each person, municipally owned utility, electric cooperative, and river authority that owns generation facilities and offers electricity for sale in this state shall report ... (a) In this section, "market power mitigation plan" or "plan" means a written proposal by an electric utility or a power generation company for reducing ... (a) The commission shall monitor market power associated with the generation, transmission, distribution, and sale of electricity in this state. On a finding that market ... (a) An owner of electric generation facilities that offers electricity for sale in the state and proposes to merge, consolidate, or otherwise become affiliated with ... (a) Each electric utility shall, on or before April 1, 2000, file proposed tariffs for its proposed transmission and distribution utility. (b) The filing under ... (a) From January 1, 2002, until January 1, 2007, an affiliated retail electric provider shall make available to residential and small commercial customers of its ... (a) All transmission and distribution utilities shall provide transmission service at wholesale under Subchapter A, Chapter 35. In addition, on and after January 1, 2002, ... Each transmission and distribution utility shall file a tariff implementing the open access rules with the commission or the federal regulatory authority having jurisdiction over ... At the conclusion of the freeze period, any remaining costs associated with nuclear decommissioning obligations continue to be subject to cost of service rate regulation ... In this subchapter: (1) "Above market purchased power costs" means wholesale demand and energy costs that a utility is obligated to pay under an existing ... (a) An electric utility is allowed to recover all of its net, verifiable, nonmitigable stranded costs incurred in purchasing power and providing electric generation service. ... (a) Any capital costs incurred by an electric utility to improve air quality under Section 39.263 or 39.264 that are included in a utility's invested ... This subchapter provides a number of tools to an electric utility to mitigate stranded costs. Each electric utility that was reported by the commission to ... (a) An electric utility that does not have stranded costs described by Section 39.254 shall be permitted to use any positive difference under the report ... (a) For the calendar years of 1998, 1999, 2000, and 2001, an electric utility described by Section 39.254 may redirect all or a part of ... (a) Beginning with the 1999 calendar year, each electric utility shall file a report with the commission not later than 90 days after the end ... For the purposes of determining the annual costs in each annual report, the following amounts shall be used: (1) the lesser of: (A) the utility's ... (a) For the purposes of determining invested capital in each annual report, the net plant in service, regulatory assets, and deferred federal income taxes shall ... (a) The definition and identification of invested capital and other terms used in this subchapter and Subchapter G that affect the net book value of ... (a) The annual report filed under this subchapter is a public document and shall be reviewed by the staff of the commission and the office. ... (a) An electric utility, together with its affiliated retail electric provider and its affiliated transmission and distribution utility, may not be permitted to overrecover stranded ... (a) Subject to Subsection (c), capital costs incurred by an electric utility to improve air quality before January 1, 2002, are eligible for inclusion as ... (a) In this section: (1) "Conservation commission" means the Texas Natural Resource Conservation Commission. (2) "Electric generating facility" means a facility that generates electric energy ... This chapter is not intended to alter any rights of utilities to recover stranded costs from wholesale customers. Added by Acts 1999, 76th Leg., ch. ... The purpose of this subchapter is to enable utilities to use securitization financing to recover regulatory assets and stranded costs, because this type of debt ... In this subchapter: (1) "Assignee" means any individual, corporation, or other legally recognized entity to which an interest in transition property is transferred, other than ... (a) The commission shall adopt a financing order, on application of a utility to recover the utility's regulatory assets and eligible stranded costs under Section ... (a) The rights and interests of an electric utility or successor under a financing order, including the right to impose, collect, and receive transition charges ... The interest of an assignee or pledgee in transition property and in the revenues and collections arising from that property are not subject to setoff, ... A financing order shall include terms ensuring that the imposition and collection of transition charges authorized in the order shall be nonbypassable. Added by Acts ... A financing order shall include a mechanism requiring that transition charges be reviewed and adjusted at least annually, within 45 days of the anniversary date ... An agreement by an electric utility or assignee to transfer transition property that expressly states that the transfer is a sale or other absolute transfer ... (a) Transition property does not constitute an account or general intangible under Section 9.106, Business & Commerce Code. The creation, granting, perfection, and enforcement of ... Transition bonds are not a debt or obligation of the state and are not a charge on its full faith and credit or taxing power. ... Transactions involving the transfer and ownership of transition property and the receipt of transition charges are exempt from state and local income, sales, franchise, gross ... An assignee or financing party may not be considered to be a public utility or person providing electric service solely by virtue of the transactions ... Effective on the date the first utility transition bonds are issued under this subchapter, if any provision in this title or portion of this title ... (a) A person may not generate electricity unless the person is registered with the commission as a power generation company in accordance with this section. ... (a) After the date of customer choice, a person, including an affiliate of an electric utility, may not provide retail electric service in this state ... (a) A person may not provide aggregation services in the state unless the person is registered with the commission as an aggregator. (b) In this ... (a) In this section, "military bases aggregator" means a person joining two or more military bases that are located in areas of the state offering ... (a) A municipal aggregator may not provide aggregation services in the state unless the municipal aggregator registers with the commission. (b) In this section, "municipal ... (a) A political subdivision aggregator may not provide aggregation services in the state unless the political subdivision aggregator registers with the commission. (b) In this ... A person may not sell electric energy at wholesale as a power marketer unless the person registers with the commission pursuant to Section 35.032. Added ... (a) The commission may suspend, revoke, or amend a retail electric provider's certificate for significant violations of this title or the rules adopted under this ... In addition to the suspension, revocation, or amendment of a certification, the commission may impose an administrative penalty, as provided by Section 15.023, for violations ... (a) A municipality may require a retail electric provider to register with the municipality as a condition of serving residents of the municipality. The municipality ... This subchapter shall apply to investor-owned electric utilities operating solely outside of ERCOT having fewer than six synchronous interconnections with voltage levels above 69 kilovolts ... (a) Until the later of January 1, 2007, or the date on which an electric utility subject to this subchapter is authorized by the commission ... (a) If an electric utility chooses on or after January 1, 2007, to participate in customer choice, the commission may not authorize customer choice until ... An electric utility subject to this subchapter is entitled to recover, as provided by this section, all reasonable and necessary expenditures made or incurred before ... This subchapter may not: (1) interfere with or abrogate the rights or obligations of any party, including a retail or wholesale customer, to a contract ... This subchapter applies only to an investor-owned electric utility that is operating solely outside of ERCOT in areas of this state that were included in ... (a) Until the date on which an electric utility subject to this subchapter is authorized by the commission to implement customer choice under Section 39.453, ... (a) The commission may not authorize customer choice until the commission certifies the applicable power region as a qualifying power region under Section 39.152(a). Sections ... § 39.454. RECOUPMENT OF TRANSITION TO COMPETITION COSTS. An electric utility subject to this subchapter is entitled to recover, as provided by this ... An electric utility subject to this subchapter is entitled to recover, through a rate rider mechanism, reasonable and necessary costs of incremental resources required to ... A municipality, with the agreement of an electric utility, may accelerate the expiration date of a franchise agreement that was in existence on September 1, ... In the event that the electric utility subject to this subchapter either merges, consolidates, or otherwise becomes affiliated with another owner of electric generation, or ... (a) The purpose of this section and of Sections 39.459-39.463 is to enable an electric utility subject to this subchapter to obtain timely recovery of ... (a) In this subchapter: (1) "Hurricane reconstruction costs" means reasonable and necessary costs, including costs expensed, charged to the storm reserve, or capitalized, that are ... (a) The procedures and standards of this subchapter and the provisions of Subchapter G govern the application for, and the commission's issuance of, a financing ... The commission may include terms in the financing order to ensure that the imposition and collection of transition charges associated with the recovery of hurricane ... (a) An electric utility subject to this subchapter is entitled to recover hurricane reconstruction costs consistent with the provisions of this subchapter and is entitled ... Effective on the date the first utility transition bonds associated with hurricane reconstruction costs are issued under this subchapter, if any provision in this title ... An electric utility that operates a nuclear asset located in a county on the coast of the Gulf of Mexico shall pay a nuclear safety ... (a) On or before January 1, 2001, the commission shall develop and implement an educational program to inform customers, including low-income and non-English-speaking customers, about ... (a) The system benefit fund is an account in the general revenue fund. Money in the account may be appropriated only for the purposes provided ... (a) It is the intent of the legislature that by January 1, 2015, an additional 5,000 megawatts of generating capacity from renewable energy technologies will ... (a) It is the intent of the legislature that 50 percent of the megawatts of generating capacity installed in this state after January 1, 2000, ... It is the intent of the legislature that: (1) the cost of generating electricity remain as low as possible; and (2) the state establish and ... (a) It is the goal of the legislature that: (1) electric utilities will administer energy savings incentive programs in a market-neutral, nondiscriminatory manner but will ... In order to mitigate potential negative impacts on utility personnel directly affected by electric industry restructuring, the commission shall allow the recovery of reasonable employee-related ... (a) In this section, "committee" means the electric utility restructuring legislative oversight committee. (b) The committee is composed of six members as follows: (1) the ... (a) If the commission is abolished and the other provisions of this title expire as provided by Chapter 325, Government Code (Texas Sunset Act), this ... (a) In this section, "small business" and "historically underutilized business" have the meanings assigned by Section 481.191, Government Code. (b) Before January 1, 2000, each ... (a) The commission by rule shall establish an electric energy efficiency incentive program under which each electric utility in an area where customer choice is ... Last modified: August 10, 2007 |