House Bill No. 3230 introduces a new section, 36.216, to the Utilities Code, specifically aimed at electric utilities operating outside of the Electric Reliability Council of Texas (ERCOT) within the Southeastern Electric Reliability Council. This section establishes a capacity cost recovery rider that allows these utilities to recover annual capacity-related costs and return revenues in a timely manner. The bill outlines that the regulatory authority should presume the costs and revenues associated with participation in multi-state auctions and power purchase agreements as just and reasonable. It mandates that the commission must establish a rider that can be updated at least annually, ensuring the recovery of eligible costs and revenues.

Additionally, the bill specifies the process for establishing and updating the capacity cost recovery rider, including deadlines for applications and responses from commission staff or intervenors. It allows utilities to recover eligible costs incurred before September 1, 2026, even if no rules have been adopted by the Public Utility Commission of Texas regarding these riders. The regulatory authority is required to approve the proposed rates within ten days of receiving the application, enabling utilities to begin billing the new rates shortly thereafter. The act is set to take effect immediately upon receiving a two-thirds vote from both houses or on September 1, 2025, if that threshold is not met.

Statutes affected:
Introduced: ()