PUC, ERCOT and stakeholders outline next steps to implement Senate Bill 6
Summary
PUC staff and ERCOT told the House Committee on State Affairs they have five concurrent rulemakings to implement Senate Bill 6, including net metering, interconnection standards, large‑load forecasting, demand response for large loads, and a review of the 4 CP transmission cost allocation method.
Barksdale English, deputy executive director of the Public Utility Commission, told the committee the commission has identified five rulemakings to implement Senate Bill 6 and expects to bring its evaluation of transmission cost recovery and recommended rule changes to commissioners at an open meeting on May 7.
"The first rule making that we've implemented is related to the net metering arrangements," English said, and outlined work on large‑load forecasting, interconnection standards, voluntary demand‑management service for large loads, and a comprehensive review of transmission cost recovery (the 4 CP methodology).
The PUC is finalizing an evaluation of the 4 CP methodology and said staff will recommend whether to change how transmission costs are allocated between customer classes. Committee members pressed staff about timelines and the interplay between rulemakings, particularly how interconnection requirements and financial‑security standards will interact with the ERCOT batch process. English said the agency is balancing cost‑causation principles, consumer protection, and the need for predictable rules for developers and utilities.
The commission asked stakeholders for input and signaled it may move away from the 4 CP approach; English said staff was analyzing other coincident‑peak models and that some retail ratemaking changes could follow any wholesale methodology adjustment. The committee did not take votes; staff requested continued engagement as draft rules advance.
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