The bill proposes the addition of Section 39.171 to Subchapter D, Chapter 39 of the Utilities Code, which focuses on the elimination of generic transmission constraints within the ERCOT power region. A "generic transmission constraint" is defined as a specific group of transmission lines that connect two areas of the ERCOT power grid, for which a power flow limit has been established by the independent organization certified under Section 39.151 to ensure grid stability. The bill mandates that the commission will require this organization to implement a program aimed at eliminating each generic transmission constraint within ten years of its establishment.

This legislation is designed to enhance the efficiency and reliability of the power grid by ensuring that transmission constraints are periodically reviewed and removed as necessary. The bill is set to take effect on September 1, 2025, allowing time for the necessary regulatory adjustments and program implementations to be established.

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