HB3568 - Relating to the interconnection of wind or solar power facilities that use critical electric grid equipment purchased from certain companies.

  89R8543 JXC-D     By: Harris Davila H.B. No. 3568       A BILL TO BE ENTITLED   AN ACT   relating to the interconnection of wind or solar power facilities   that use critical electric grid equipment purchased from certain   companies.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 39.002, Utilities Code, is amended to   read as follows:          Sec. 39.002.  APPLICABILITY.  This chapter, other than   Sections 39.151, 39.1516, 39.155, 39.157(e), 39.161, 39.162,   39.163, 39.203, 39.360(f-1), 39.9051, 39.9052, and 39.914(e), and   Subchapters M and N, does not apply to a municipally owned utility   or an electric cooperative.  Sections 39.157(e) and 39.203 apply   only to a municipally owned utility or an electric cooperative that   is offering customer choice.  If there is a conflict between the   specific provisions of this chapter and any other provisions of   this title, except for Chapters 40 and 41, the provisions of this   chapter control.          SECTION 2.  Section 39.360, Utilities Code, as added by   Chapter 464 (S.B. 2013), Acts of the 88th Legislature, Regular   Session, 2023, is amended by amending Subsections (a), (b), (c),   (d), and (e) and adding Subsection (f-1) to read as follows:          (a)  In this section, "company" and "critical   infrastructure" have the meanings assigned by Section 117.001   [ 113.001 ], Business & Commerce Code[ , as added by Chapter 975 (S.B.   2116), Acts of the 87th Legislature, Regular Session, 2021 ].          (b)  An independent organization certified under Section   39.151 may not register a business entity or maintain the   registration of a business entity to operate in the power region for   which the independent organization is certified unless the business   entity attests that the entity complies with Chapter 117 [ 113 ],   Business & Commerce Code[ , as added by Chapter 975 (S.B. 2116), Acts   of the 87th Legislature, Regular Session, 2021 ].          (c)  An independent organization certified under Section   39.151 shall require as a condition of operating in the power region   for which the independent organization is certified that a business   entity report to the independent organization the purchase of any   critical electric grid equipment or service from a company   described by Section 117.002(a)(2) [ 113.002(a)(2) ], Business &   Commerce Code[ , as added by Chapter 975 (S.B. 2116), Acts of the   87th Legislature, Regular Session, 2021 ].          (d)  For each purchase reported by a business entity under   Subsection (c), the business entity shall submit an attestation to   the independent organization that the purchase will not result in   access to or control of its critical electric grid equipment by a   company described by Section 117.002(a)(2) [ 113.002(a)(2) ],   Business & Commerce Code[ , as added by Chapter 975 (S.B. 2116), Acts   of the 87th Legislature, Regular Session, 2021 ], excluding access   specifically allowed by the business entity for product warranty   and support purposes.          (e)  Notwithstanding any other law, an independent   organization certified under Section 39.151 may immediately   suspend or terminate a company's registration or access to any of   the independent organization's systems if the independent   organization has a reasonable suspicion that the company meets any   of the criteria described by Section 2275.0102(a)(2)   [ 2274.0102(a)(2) ], Government Code[ , as added by Chapter 975 (S.B.   2116), Acts of the 87th Legislature, Regular Session, 2021 ].           (f-1)     The commission by rule shall require as a condition of   interconnecting after September 1, 2025, a wind power facility, as   defined by Section 301.0001, or a solar power facility, as defined   by Section 302.0001, used to sell energy at wholesale, by an   electric cooperative, municipally owned utility, or power   generation company that the cooperative, utility, or company submit   an attestation that the facility does not use any critical electric   grid equipment purchased from a company described by Section   117.002(a)(2), Business & Commerce Code.          SECTION 3.  To the extent of any conflict, this Act prevails   over another Act of the 89th Legislature, Regular Session, 2025,   relating to nonsubstantive additions to and corrections in enacted   codes.          SECTION 4.  This Act takes effect immediately if it receives   a vote of two-thirds of all the members elected to each house, as   provided by Section 39, Article III, Texas Constitution.  If this   Act does not receive the vote necessary for immediate effect, this   Act takes effect September 1, 2025.