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Texas Bill Would Require PUC To Develop Ancillary Service Allowing Retail Providers To Aggregate Backup Generation To Provide Dispatchable Generation To ERCOT
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HB 2303 has been filed in the Texas legislature which would require the Texas PUC to develop an ancillary service allowing retail electric providers to aggregate back-up generation to provide dispatchable generation to ERCOT during a power grid "outage".
Specifically, HB 2303 provides that the PUC shall develop an A/S, "to allow a retail electric provider, a municipally owned
utility that has not adopted customer choice, or an electric
cooperative that has not adopted customer choice to aggregate
customer-sited backup generation facilities to provide
dispatchable generation during a power grid outage if the
participation of the facilities in such a program is
technologically feasible."
To be eligible, the back-up generation must be capable of being dispatched by ERCOT
HB 2303 provides that this program "may" allow participating customers to sell
energy produced by the customer-sited backup generation
facilities at:
(1) a value based on the clearing price of energy at
the time of day and at the location at which the electricity is
generated, including electric energy consumed on customer
premises; or
(2) another value as determined by the PUC or ERCOT.
Such sale may be applied as a credit to the customer's
account during a billing period that may be carried over to
subsequent billing periods until the credit has been redeemed, the bill provides
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February
3, 2025
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Copyright 2025 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com
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