The bill, titled "An Act relating to the evaluation and use of grid enhancing technologies and high-performance conductors," introduces a new section, 39.171, to the Utilities Code. This section defines "grid enhancing technology" and "high-performance conductors," and mandates that the independent organization certified for the ERCOT power region periodically evaluate the potential use of these technologies. The evaluation aims to increase transmission capacity, reduce congestion, enhance reliability and safety, and mitigate wildfire risks. Additionally, the independent organization is authorized to prepare a report on available technologies for electric utilities and cooperatives, which may include considerations of feasibility and cost-effectiveness.

Furthermore, if the independent organization finds a technology or conductor to be technically feasible and cost-effective, electric utilities and cooperatives may implement them. The bill also requires electric utilities to include an evaluation of the integration of recommended technologies in their applications for new or amended certificates of convenience and necessity for transmission projects. The Public Utility Commission of Texas is tasked with adopting necessary rules to implement this section by January 1, 2026, and the act is set to take effect on September 1, 2025.

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