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Relating to the compensation of a distributed renewable generation owner in certain areas outside of ERCOT, the official text

Shown verbatim: the complete text as captured from the official page posted by the Texas Legislature, fetched 2026-08-29. Where this bill amends existing law, language marked for deletion in the official page appears here in brackets. This is the enrolled version. The official bill page.
H.B. No. 912

AN ACT

relating to the compensation of a distributed renewable generation

owner in certain areas outside of ERCOT.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 39.554, Utilities Code, is amended by

amending Subsection (f) and adding Subsection (i) to read as

follows:

(f) Unless the commission approves an alternative method

for compensating a distributed renewable generation owner for

electricity generated by distributed renewable generation or a

qualifying facility, for [For] a distributed renewable generation

owner that chooses interconnection through a single meter under

Subsection (e):

(1) the amount of electricity the owner generates

through distributed renewable generation or a qualifying facility

for a given billing period offsets the owner's consumption for that

billing period; and

(2) any electricity the owner generates through

distributed renewable generation or a qualifying facility that

exceeds the owner's consumption for a given billing period shall be

credited to the owner under Subsection (g).

(i) Before approving an alternative method for compensating

a distributed renewable generation owner for electricity generated

by distributed renewable generation or a qualifying facility, the

commission shall require the electric utility to conduct and submit

to the commission a comprehensive cost-benefit analysis using

established best practices to justify the rates of compensation and

any associated fees. The commission must consider the

comprehensive cost-benefit analysis before approving alternative

rates for compensating distributed renewable generation owners or

the continuation of net metering, including any rates or fees that

apply only to distributed renewable generation owners and reflect

the value provided by the distributed renewable generation or

qualifying facility.

SECTION 2. This Act takes effect September 1, 2026.

______________________________
______________________________

President of the Senate
Speaker of the House

I certify that H.B. No. 912 was passed by the House on April

9, 2025, by the following vote: Yeas 148, Nays 0, 1 present, not

voting.

______________________________

Chief Clerk of the House

I certify that H.B. No. 912 was passed by the Senate on May 7,

2025, by the following vote: Yeas 31, Nays 0.

______________________________

Secretary of the Senate

APPROVED: _____________________

Date

_____________________

Governor
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