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1 Document(s) [ Subject: Demand Response Program ]

Committee:	Senate Business and Commerce
Title:	Interim Report
Subjects:	Artificial intelligence | Demand Response Program | Digital currencies | Electric power plants | Electric Reliability Council of Texas | Electricity transmission and distribution | Energy conservation | Insurance industry | Noncompete agreements | Public Utility Commission of Texas | Texas Energy Fund |
Library Call Number:	L1836.88 B963
Session:	88th R.S. (2023)
Online version:	View report [32 pages  File size: 594 kb]
Charges:	This report should address the charges below.
1.	Electricity Market Design: Assess state efforts to provide incentives for new thermal generation. Review and report on the state of the electricity market in Texas and issues impacting the reliability and resiliency of the Texas electric grid. Consider rulemaking related to wholesale market design, including the impact of these changes on grid reliability, market revenues, costs to consumers, and the efficiency of operations. Examine and report on the direct and indirect impacts that variable resources, such as wind and solar, have on grid resiliency, consumer prices, and market uncertainty. Monitor the implementation of HB 1500, 88th R.S.
2.	Texas Energy Fund: Review and report on the impact of SB 2627, 88th R.S., the Powering Texas Forward Act, as passed by the 88th Legislature, which established the Texas Energy Fund (TEF) to provide grants and loans to finance the construction, maintenance, modernization, and operation of electric facilities in Texas.
3.	Innovative Power Generation: Explore emerging technologies with the potential to add new dispatchable power to our electric grid including, but not limited, to small modular nuclear reactors, advanced batteries, and new developments in hydrogen and geothermal resources. Identify and recommend regulatory and policy actions required to deploy emerging technologies within the state's electric grid.
4.	Transmitting Texas Power: Identify the future electric transmission and distribution system needs of the state and recommend ways to reduce barriers to constructing the necessary electric infrastructure to support the growing demand and changes in technology. Review and make any necessary recommendations to enhance legislation passed during the 88th legislative session, including the status of projects to improve the safety and resiliency of the transmission system, as well as the effect of current and future projects on consumer costs.
5.	Managing Texas Sized Growth: Evaluate the state's ability to keep pace with increasing electricity demand related to population growth and energy intensive technologies such as electric vehicles and data centers. Recommend ways to increase reliability via demand-side response programs. Study ERCOT's forecasting methodology and recommend ways to increase transparency. Monitor ongoing efforts at the Public Utility Commission related to energy efficiency programs and distributed energy resources, including the implementation of SB 1699, 88th R.S.
6.	Impact of Bitcoin Mining on the Texas Electric Grid: Study the impact of energy-intensive cryptocurrency mining facilities on the Texas electric grid. Report on whether any changes should be made to ERCOT demand response programs and large flexible load registration requirements to limit the impact of these facilities on system reliability and consumer costs.
7.	Addressing the Rising Cost of Insurance: Assess the impact of rising property and casualty insurance costs on Texas property owners, real estate lenders, and commercial and industrial development. Identify ways to increase consumer transparency to better inform coverage decisions and make recommendations to ensure a competitive and affordable insurance market for consumers.
8.	Artificial Intelligence: Examine the development and utilization of artificial intelligence (AI). Evaluate the implications of AI adoption across the public and private sectors. Make recommendations for a responsible regulatory framework for AI development, including data privacy, industry standards, consumer protections, risk mitigation, and compliance processes. Propose any necessary changes to state law to protect the Texas radio, television, music, and film industries against unauthorized use by AI. Monitor the findings of the Texas Artificial Intelligence Advisory Council.
9.	Non-Compete Agreements: Examine the impact of the Federal Trade Commission’s final rule on non-compete agreements on Texas employers including, but not limited to, contractual exceptions and limitations on independent contractors, for-profit and non-profit businesses, and senior executives. Identify ways to address balancing legitimate business interests of employers while also protecting employment mobility, increasing innovation, and fostering new business formation. Report on whether any changes should be made to existing law on the criteria, procedures, and remedies on enforcing non-compete and alternative agreements.

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