HB 3905

relating to the interconnection or deployment of distributed
generation by or for retail electric customers.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1.  Section 17.004(a), Utilities Code, is amended to
(a)  All buyers of telecommunications and retail electric
(1)  protection from fraudulent, unfair, misleading,
deceptive, or anticompetitive practices, including protection from
being billed for services that were not authorized or provided;
(2)  choice of a telecommunications service provider, a
retail electric provider, or an electric utility, where that choice
is permitted by law, and to have that choice honored;
(3)  information in English and Spanish and any other
language as the commission deems necessary concerning rates, key
terms and conditions, and the basis for any claim of environmental
benefits of certain production facilities;
(4)  protection from discrimination on the basis of
race, color, sex, nationality, religion, marital status, income
level, or source of income and from unreasonable discrimination on
the basis of geographic location;
(5)  impartial and prompt resolution of disputes with a
certificated telecommunications utility, a retail electric
provider, or an electric utility and disputes with a
telecommunications service provider related to unauthorized
charges and switching of service;
(6)  privacy of customer consumption and credit
(7)  accuracy of metering and billing;
(8)  bills presented in a clear, readable format and
easy-to-understand language that uses defined terms as required by
commission rules adopted under Section 17.003;
(9)  information in English and Spanish and any other
language as the commission deems necessary concerning low-income
assistance programs and deferred payment plans;
(10)  all consumer protections and disclosures
established by the Fair Credit Reporting Act (15 U.S.C. Section
1681 et seq.) and the Truth in Lending Act (15 U.S.C. Section 1601
(11)  after retail competition begins as authorized by
the legislature, programs provided by retail electric providers
that offer eligible low-income customers energy efficiency
programs, an affordable rate package, and bill payment assistance
programs designed to reduce uncollectible accounts; and
(12)  deploy emergency energy backup generation or
storage capability on the customer's premises, whether connected to
an electricity distribution system or not, if the generation or
storage complies with all applicable standards established by the
commission and local building codes.
SECTION 2.  Section 39.002, Utilities Code, is amended to
Sec. 39.002.  APPLICABILITY.  This chapter, other than
Sections 39.151, 39.1516, 39.155, 39.157(e), 39.161, 39.162,
39.163, 39.203, 39.9051, 39.9052, [and] 39.914(e), and 39.9162, and
Subchapters M and N, does not apply to a municipally owned utility
or an electric cooperative.  Sections 39.157(e) and 39.203 apply
only to a municipally owned utility or an electric cooperative that
is offering customer choice.  If there is a conflict between the
specific provisions of this chapter and any other provisions of
this title, except for Chapters 40 and 41, the provisions of this
SECTION 3.  Section 39.554, Utilities Code, is amended by
adding Subsection (b-1) to read as follows:
(b-1)  An electric utility subject to this subchapter may not
require a distributed renewable generation owner of generation that
produces electricity using photovoltaic technology and complies
with the standards established by rule under Section 39.916(d) to
comply with additional safety, technical, or performance
SECTION 4.  Subchapter Z, Chapter 39, Utilities Code, is
amended by adding Section 39.9162 to read as follows:
Sec. 39.9162.  DISTRIBUTED SOLAR GENERATION PROTECTIONS.
(a)  In this section, "distributed solar generation owner" means a
distributed renewable generation owner, as defined by Section
39.916, of generation that produces electricity using photovoltaic
(b)  An electric cooperative, electric utility, municipally
owned utility, or retail electric provider may not:
(1)  prohibit a distributed solar generation owner from
connecting a device or load on the circuit on which the generation
operates unless a meter used exclusively for monitoring the
generation of voluntary renewable energy credits is also installed
(2)  limit the point of interconnection of generation
that produces electricity using photovoltaic technology to a single
point of interconnection on a distributed solar generation owner's
side of the meter, unless required by the commission by rule;
(3)  prohibit a distributed solar generation owner from
installing the generation on the owner's side of the meter;
(4)  limit the size of a customer's generation system
that produces electricity using photovoltaic technology or the
amount of energy production from the system, other than limiting
the amount of possible exportation of energy to prevent an
exportation of energy that exceeds the customer's existing
electrical service transformer rating;
(5)  prohibit a retail customer of the cooperative,
utility, or provider from purchasing or leasing generation that
produces electricity using photovoltaic technology;
(6)  require a person who sells, leases, installs, or
maintains generation that produces electricity using photovoltaic
technology to or for a retail customer of the cooperative, utility,
or provider to hold any certification, license, or insurance not
(7)  require a distributed solar generation owner to
have the generation regularly inspected at the owner's expense.
(c)  An electric cooperative, electric utility, municipally
owned utility, or retail electric provider shall approve or deny an
interconnection request submitted by a retail customer regarding
generation that produces electricity using photovoltaic technology
not later than the 21st day after the date the request is submitted.
(d)  An electric cooperative, electric utility, or retail
electric provider may not require a distributed solar generation
owner whose generation complies with the standards established by
rule under Section 39.916(d) to comply with additional safety,
technical, or performance standards.
(e)  The governing body of a municipally owned utility shall
adopt, implement, and enforce rules to comply with the requirements
of this section.  An electric cooperative shall adopt, implement,
and enforce rules to comply with the requirements of this section.
SECTION 5.  The changes in law made by this Act apply only to
a contract entered into on or after the effective date of this Act.
A contract entered into before the effective date of this Act is
governed by the law as it existed immediately before the effective
date of this Act, and that law is continued in effect for that
SECTION 6.  This Act takes effect September 1, 2025.