S.B. No. 1978 amends Section 37.051 of the Utilities Code to establish new regulations regarding the interconnection of facilities within the ERCOT power region to other facilities, particularly those located outside of Texas. The bill specifies that electric cooperatives are not required to obtain a certificate of public convenience and necessity for constructing or operating generating facilities or necessary interconnection facilities. However, it introduces a series of conditions under which interconnections can occur, including ensuring that the proposed interconnection does not subject the ERCOT power region to additional federal control, and that the Texas commission determines the interconnection is in the public interest based on various technical and cost considerations.

Additionally, the bill outlines a process for obtaining a public interest determination from the commission, which must be applied for before seeking any related orders from the Federal Energy Regulatory Commission. The commission is also tasked with applying existing regulations when considering applications for interconnections and must approve applications for certain facilities constructed under specific interconnection agreements. The changes made by this Act will only apply to interconnections made after its effective date, with prior interconnections governed by the law in effect at that time.

Statutes affected:
Senate Committee Report: Utilities Code 37.051 (Utilities Code 37)
Engrossed: Utilities Code 37.051 (Utilities Code 37)