Texas Administrative Code › Title 16 - ECONOMIC REGULATION › Part 2 - PUBLIC UTILITY COMMISSION OF TEXAS › Chapter 25 - SUBSTANTIVE RULES APPLICABLE TO ELECTRIC SERVICE PROVIDERS › Subchapter D - RECORDS, REPORTS, AND OTHER REQUIRED INFORMATION › Section 25.90 - Market Power Mitigation Plans

Current through Reg. 49, No. 28; July 12, 2024
(a)
				  Application. An electric utility or power generation company that the
				  commission determines owns and controls more than 20% of the installed
				  generation capacity located in, or capable of delivering electricity to, a
				  power region shall file a market power mitigation plan with the commission not
				  later than December 1, 2000. An electric utility or power generation company
				  that the commission determines owns and controls more than 20% of the installed
				  generation capacity located in, or capable of delivering electricity to, a
				  power region after January 1, 2002, shall file a market power mitigation plan
				  as directed by the commission. The commission may, for good cause, waive or
				  modify the requirement to file a market power mitigation plan, in accordance
				  with Public Utility Regulatory Act (PURA) §39.154(b). This section does
				  not apply to an electric utility subject to PURA §39.102(c) until the end
				  of the utility's rate freeze.
(b)
				  Initial information filing. Each utility or power generation company that owns
				  and controls, either separately or in combination with its affiliates, more
				  than 10,000 megawatts (MW) of electric generation capacity located in a power
				  region that is partly or entirely within the state shall file a calculation by
				  September 5, 2000, detailing the installed generation for its power region
				  expected as of January 1, 2002, and showing its percentage share of the
				  installed generation capacity located in, or capable of delivering electricity
				  to, the power region, plus the capacity expected to be interconnected to the
				  transmission system by January 1, 2002, less the capacity to be auctioned off
				  pursuant to PURA §39.153, and any grandfathered facilities capacity
				  pursuant to PURA §39.154(e). The calculation shall be made pursuant to the
				  requirements of §
										RSA
				  25.401 of this title (relating to Share of
				  Installed Generation Capacity). The filing shall include detailed information
				  that will allow the commission to replicate the calculation. At a minimum, the
				  filing must include an itemized list of all generating units that are located
				  in, or capable of delivering electricity to, the power region and are owned and
				  controlled by the utility or power generation company and its affiliates in the
				  power region or capable of delivering electricity to the power region.
				  Generating units should be identified by name, capacity rating, ownership,
				  location, and reliability council. Capacity shall be rated according to the
				  method established in §
										RSA
				  25.91<subdiv>(f)</subdiv> of this
				  title (relating to Generating Capacity Reports). The filing shall also include
				  the transmission import capacity amounts that are to be included in the
				  numerator and the denominator of the calculation prescribed by §
										RSA
				  25.401 of this title and an explanation of
				  how the transmission capacity amounts were determined. Any interested parties
				  may respond to the utility filings by filing comments with the commission by
				  September 29, 2000. By October 20, 2000, the commission will indicate which
				  utilities, if any, exceed the 20% threshold and are required to file a market
				  power mitigation plan on or before December 1, 2000.
(c) Market power mitigation plan. A market
				  power mitigation plan is a written proposal by an electric utility or a power
				  generation company for reducing its ownership and control of installed
				  generation capacity as required by PURA §39.154. A market power mitigation
				  plan may provide for:
(1) the sale of
				  generation assets to a nonaffiliated person;
(2) the exchange of generation assets with a
				  nonaffiliated person located in a different power region;
(3) the auctioning of generation capacity
				  entitlements as part of a capacity auction required by PURA
				  §39.153;
(4) the sale of the
				  right to capacity to a nonaffiliated person for at least four years;
				  or
(5) any reasonable method of
				  mitigation.