Committee hears progress and data gaps in implementation of HB 2663 on inactive-well electrical equipment

Chairman Darby opened the committee’s first interim item by asking regulators about enforcement of House Bill 26 63, the 89th-session law that added electrical equipment to the list of infrastructure operators must remove when seeking long-term plugging extensions. David Lindley, assistant director of field operations in the Railroad Commission of Texas, said the bill was adopted Nov. 18, 2025 and became effective Dec. 8, 2025. He described the rule’s key effect: after 10 years an operator must remove all site equipment, now including electric equipment, and operators must affirm on first extension applications that electricity has been disconnected.

The Public Utility Commission’s Mike Hoke explained how customers — including oil-and-gas operators — may disconnect customer-side electrical equipment and how PUC and the Railroad Commission coordinate on unsafe conditions at well sites. Hoke said the agencies have a memorandum of understanding to ensure rapid disconnections and that utilities can often disconnect meters remotely. "There's no need to get permission from the PUC before disconnecting," he said, describing the MOU’s role when ownership of equipment is unclear.

Members pressed for measurable data. Chairman Darby and Vice Chair Eddie Morales asked how many operator affirmations RRC had received and how often inspections showed the affirmations were accurate. Lindley said the agency inspects on follow-up and that inspectors note whether meters are removed, but he did not have an immediate count of affirmations. "I do not have that number, vice chair. I apologize. That I can get," he told the committee and later agreed to provide counts of W3C applications and affirmations to the committee. Industry witnesses, including Carr Ingham of the Texas Alliance of Energy Producers and Peyton Schumann of the Texas and Southwestern Cattle Raisers Association, said the legislation reinforced existing practices and that increased Railroad Commission engagement had driven more cleanup activity in some areas, though they flagged inconsistent follow-through by some operators.

Committee members asked staff to consider whether regulators should adopt new data categories or rules to track electric-service-termination affirmations separately so the Legislature can evaluate implementation. Lindley said the Commission could provide the committee with the requested counts and acknowledged more data would help policymakers determine whether statutory tweaks are needed.

Provenance: topicintro — {"block_id_start":"SEG 190","block_id_end":"SEG 191","evidence_excerpt":"the implementation of House Bill 26 63."}, topfinish — {"block_id_start":"SEG 768","block_id_end":"SEG 770","evidence_excerpt":"the Chair closes testimony on the implementation of House Bill 2,663."}