The bill, S.B. No. 6, aims to enhance electricity planning and infrastructure costs for large loads within the Electric Reliability Council of Texas (ERCOT) power region. It amends Section 35.004(d) of the Utilities Code to require distribution-owning utilities to report additional billing determinants for establishing postage stamp rates, and allows electric utilities under a freeze period to treat excess transmission costs as expenses in their annual reports. The bill introduces a new Section 36.010, mandating minimum transmission charges for all retail customers in ERCOT, ensuring they contribute to transmission cost recovery based on their peak demand. Additionally, it establishes standards for interconnecting large load customers, including a demand threshold of 75 megawatts, and requires disclosure of backup generating facilities.

Furthermore, the bill adds Sections 39.169 and 39.170, which outline requirements for net metering arrangements and demand management services for large load customers. It mandates that utilities install equipment for remote disconnection during energy emergencies and develop reliability services to procure demand reductions from large load customers. The Public Utility Commission of Texas is tasked with evaluating the current methodology for allocating wholesale transmission costs and determining if amendments are necessary. The bill is set to take effect immediately upon a two-thirds vote or on September 1, 2025, if that vote is not achieved.

Statutes affected:
Introduced: Utilities Code 35.004, Utilities Code 39.002 (Utilities Code 35, Utilities Code 39)