Summary

HB 269 increases the requirement for the amount of new energy demand that regulated energy transmission companies must meet by investing in energy efficiency. For their increased investment, the transmission companies are guaranteed an increased rate of return, and an addtional incentive if they exceed that amount.

Background

This session, energy will be a hot topic in the Legislature. Nineteen new coal fired plant are being fast-tracked by Gov. Perry to come online by 2009. Environmentalists, public health experts and a coalition of mayors- led by Mayor Miller of Dallas- all oppose the new plants.

Proponents of the new plants claim that Texas needs new energy supply in order to meet increasing demand.

HB 269 aims to address the demand side of the equation. Currently, energy transmission companies (separate from the deregulated energy generators) must make up 10% of the increase in energy demand by investing in energy efficiency programs. This bill increases that amount to 50%.

The bill doesn't affect municipal or co-op transmission companies.

Reports

Power to Save: An Alternative Path to Meet Electric Needs in Texas (pdf)

News Links:

Austin American Statesman: Forecast darkens for Texas power picture
The Austin Chronicle reviews the energy debate likely to occur this session