SB 1978 Texas Senate · 89th Legislature (2025)

Relating to the interconnection of a facility in the ERCOT power region to certain other facilities.

SB 1978 requires electric utilities and cooperatives in Texas to obtain approval from the Public Utility Commission before connecting facilities within the ERCOT power grid (Texas' grid) to facilities outside Texas or connected to outside facilities. Specifically, they must first get a commission determination that the interconnection aligns with free market principles and avoids federal control of the Texas grid, and second, comply with existing utility regulations. The bill mandates that this approval request be filed at least 180 days before seeking any federal energy commission order related to the connection. It exempts facilities already operational as of December 31, 2014, from these requirements.
Bill status passed 3 of 5 stages cleared
Introduction
Mar 2025
Committee Review
May 2025
Senate Passage
May 2025
House Passage
Governor
Introduced Mar 6, 2025 Last action May 23, 2025
Maddy AI version diff · 1 comparison

What changed between versions

Introduced Engrossed · 5 edits · May 21, 2025
MODERATE
The bill was reformatted and renumbered as an Engrossed version, with substantive changes to the legal text of Section 37.051 of the Utilities Code. The amendments restructure how interconnection requests between the ERCOT power region and facilities outside the region are handled, adding new subsections that clarify public interest determinations, certificate requirements, and application timelines.
Scope change
The bill's scope expanded to include clearer definitions of 'facility' and added specific criteria for determining public interest in interconnection projects, while retaining exemptions for electric cooperatives from certain certificate requirements.
REQUIREMENT

Added new subsection (c-1) that defines 'facility' more broadly to include those that consume, generate, transmit, or distribute electricity, and established a public interest determination process before interconnection approval.

Created new subsection (c-2) requiring the commission to apply specific procedures from Section 37.056 when reviewing interconnection applications, including consideration of technical attributes, costs, and reliability assessments.

TIMELINE

Revised application deadlines and certificate requirements, specifying that applicants must seek commission determinations 180 days before seeking Federal Energy Regulatory Commission orders.

ELIGIBILITY

Clarified that electric cooperatives are not required to obtain certificates of public convenience and necessity for certain interconnection projects, while other entities must follow the new public interest determination process.

DEFINITION

Updated the definition of 'facility' to explicitly include entities that consume, generate, transmit, or distribute electricity, broadening the scope of facilities subject to interconnection rules.

Floor votes · Senate May 20, 2025

How they voted

2010
Passed
Total votes 30
May 20, 2025
D Democratic10
10 Nay
100% Nay
R Republican20
20 Yea
100% Yea
Vote distribution
All Yea All Nay Mixed No data
Full legislative history

Actions timeline

Total actions
28
Key actions
8
Committee
9
May 23, 2025
Committee
Referred to State Affairs
lower
May 23, 2025
Introduced
Read first time
lower
May 21, 2025
Introduced
Received from the Senate
lower
May 21, 2025
Upper · Passed
Passed
upper
May 20, 2025
Senate · Passed
Senate Vote: pass (20-10)
senate
May 16, 2025
Upper · Passed
Committee report printed and distributed
upper
May 16, 2025
Upper · Passed
Reported favorably as substituted
upper
May 15, 2025
Upper · Passed
Vote taken in committee
upper
May 15, 2025
Upper · Passed
Vote reconsidered in committee
upper
May 8, 2025
Committee
Failed to receive affirmative vote in comm.
upper
Apr 22, 2025
Upper · Passed
Left pending in committee
upper
Apr 22, 2025
Upper · Passed
Testimony taken in committee
upper
Mar 17, 2025
Committee
Referred to Business & Commerce
upper
Mar 17, 2025
Introduced
Read first time
upper
1 primary · 2 co-sponsors

Sponsors