HB3778 - Relating to the use of geothermal energy as a dispatchable generation resource.

  89R24081 CS-D     By: Louderback, Darby, Garcia of Bexar, H.B. No. 3778       Lalani       A BILL TO BE ENTITLED   AN ACT   relating to the use of geothermal energy as a dispatchable   generation resource.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Subchapter A, Chapter 34, Utilities Code, is   amended by adding Section 34.01015 to read as follows:           Sec.   34.01015.     APPLICABILITY. For the purposes of this   chapter:                 (1)     a generating facility is considered to be   dispatchable if the facility's output can be controlled primarily   by forces under human control; and                 (2)     a geothermal energy generation facility is   considered to be dispatchable.          SECTION 2.  Section 34.0104, Utilities Code, is amended by   amending Subsection (a) and adding Subsection (a-1) to read as   follows:          (a)  The commission may use money in the fund without further   appropriation to provide loans to finance upgrades to existing   dispatchable electric generating facilities providing power for   the ERCOT power region that result in a net increase of at least 100   megawatts of capacity for each facility or the construction of   dispatchable electric generating facilities providing power for   the ERCOT power region that each have a generation capacity of at   least 100 megawatts.  [ For the purposes of this section, a   generating facility is considered to be dispatchable if the   facility's output can be controlled primarily by forces under human   control. ] An electric energy storage facility , other than a   geothermal energy conservation well, is not eligible for a loan   under this section.           (a-1)     Notwithstanding Subsections (a) and (b)(1), the   commission may use money in the fund, without further   appropriation, to provide loans to finance the construction of   geothermal energy generation facilities and geothermal energy   conservation wells in the ERCOT power region that have a generation   capacity of at least 10 megawatts.          SECTION 3.  Sections 34.0105(a) and (c), Utilities Code, are   amended to read as follows:          (a)  The commission shall provide, using money available in   the fund for the purpose without further appropriation, a   completion bonus grant for the construction of dispatchable   electric generating facilities in the ERCOT power region.  [ For the   purposes of this section, a generating facility is considered to be   dispatchable if the facility's output can be controlled primarily   by forces under human control. ]  An electric energy storage   facility , other than a geothermal energy conservation well, is not   eligible for a grant under this section.          (c)  The commission may provide a grant under this section   only for construction of a facility that:                (1)  will have a generation capacity of at least 100   megawatts or at least 10 megawatts for a geothermal energy   generation facility or geothermal energy conservation well ; and                (2)  does not meet the planning model requirements   necessary to be included in the Capacity Demand and Reserves Report   of the independent organization certified under Section 39.151 for   the ERCOT power region before June 1, 2023.          SECTION 4.  Section 39.159(a), Utilities Code, is amended to   read as follows:          (a)  For the purposes of this section :                 (1) [ , ] a generation facility is considered to be   dispatchable if the facility's output can be controlled primarily   by forces under human control; and                 (2)     a geothermal energy generation facility and a   geothermal energy conservation well are considered to be   dispatchable [ non-dispatchable if the facility's output is   controlled primarily by forces outside of human control ].          SECTION 5.  This Act takes effect September 1, 2025.