The bill amends the Utilities Code to enhance regulations regarding the affiliation of individuals and entities in the electricity market with certain foreign entities. A significant change includes the introduction of a new administrative penalty, allowing for fines up to $1 million for business entities that submit false or incomplete information to the independent organization certified for the ERCOT power region. Additionally, the bill stipulates that independent organizations must require business entities to attest compliance with specific provisions of the Business & Commerce Code and report purchases of critical electric grid equipment from certain companies.

Further amendments include the ability for independent organizations to suspend or terminate a business entity's registration as a market participant if there is reasonable suspicion of non-compliance with established criteria. The bill also empowers the attorney general to investigate the accuracy of information provided to independent organizations and to disclose findings related to such investigations. These changes aim to strengthen oversight and ensure the integrity of the electricity market in Texas, with the new provisions set to take effect on September 1, 2025.

Statutes affected:
Introduced: Utilities Code 15.023 (Utilities Code 15)