SB 2659

relating to recycling of certain renewable energy components;
authorizing an administrative penalty.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1.  Subtitle B, Title 5, Health and Safety Code, is
amended by adding Chapter 376 to read as follows:
CHAPTER 376. RENEWABLE ENERGY COMPONENT RECYCLING FACILITIES
Sec. 376.001.  DEFINITION.  In this chapter, "commission"
means the Texas Commission on Environmental Quality.
Sec. 376.002.  APPLICABILITY.  This chapter applies only to
a recycling facility that accepts, processes, and repurposes
components to recover valuable materials from:
(1)  a wind turbine generator, including turbine
blades, nacelles, nacelle covers, towers, drivetrains, generators,
magnets, power electronics, and cables;
(2)  a solar energy device, as defined by Section
185.001, Utilities Code, including solar modules, junction boxes,
transformers, inverters, racks or trackers, and cables; or
(3)  a battery energy storage system, including battery
cells, racks, containers, inverters, battery management systems,
cooling and fire suppression systems, and cables.
Sec. 376.003.  REPORT.  (a) The owner of a recycling facility
shall submit a report to the commission not later than January 15 of
(1)  an inventory of all components of a wind turbine
generator, solar energy device, or battery energy storage system
accepted by the facility for recycling that have not yet been
recycled, including any components the facility has taken title to
or assumed control of regardless of whether the components are
(2)  an estimated timeline for recycling the components
described by Subdivision (1); and
(3)  a cost estimate for recycling the components
described by Subdivision (1) prepared by an independent,
third-party professional engineer licensed in this state.
(b)  The owner of the recycling facility shall:
(1)  submit with the facility's first report submitted
under Subsection (a) evidence of financial assurance in an amount
equal to 125 percent of the cost estimated under Subsection (a)(3);
(2)  submit with each subsequent report any additional
financial assurance necessary to ensure that the amount of
financial assurance the owner has on file with the commission for
the facility is at least equal to 125 percent of the cost estimated
under Subsection (a)(3) in the subsequent report.
(c)  Acceptable forms of financial assurance for purposes of
(1)  a parent company guaranty with a minimum
investment grade credit rating for the parent company issued by a
major domestic credit rating agency;
(d)  The owner of the recycling facility is responsible for
estimating costs under Subsection (a) and for paying the costs
associated with obtaining the financial assurance required by this
Sec. 376.004.  INTERNET POSTING.  The commission shall
maintain on its Internet website a list of recycling facilities in
this state that are in compliance with this chapter.
Sec. 376.005.  ADMINISTRATIVE PENALTY.  (a) A person may not
accept, process, or repurpose components as described by Section
376.002 for compensation unless the person complies with the
(b)  The commission may impose an administrative penalty on
an owner or operator of a recycling facility to which this section
applies in accordance with Section 7.052(b-5), Water Code.
SECTION 2.  Section 5.013(a), Water Code, is amended to read
(a)  The commission has general jurisdiction over:
(1)  water and water rights including the issuance of
water rights permits, water rights adjudication, cancellation of
water rights, and enforcement of water rights;
(2)  continuing supervision over districts created
under Article III, Sections 52(b)(1) and (2), and Article XVI,
Section 59, of the Texas Constitution;
(3)  the state's water quality program including
issuance of permits, enforcement of water quality rules, standards,
orders, and permits, and water quality planning;
(4)  the determination of the feasibility of certain
(5)  the adoption and enforcement of rules and
performance of other acts relating to the safe construction,
maintenance, and removal of dams;
(6)  conduct of the state's hazardous spill prevention
(7)  the administration of the state's program relating
to inactive hazardous substance, pollutant, and contaminant
(8)  the administration of a portion of the state's
(9)  the administration of the state's programs
involving underground water and water wells and drilled and mined
(10)  the state's responsibilities relating to regional
(11)  the responsibilities assigned to the commission
by Chapters 361, 363, 376, 382, 401, 505, 506, and 507, Health and
(12)  any other areas assigned to the commission by
this code and other laws of this state.
SECTION 3.  Section 7.052, Water Code, is amended by adding
Subsection (b-5) to read as follows:
(b-5)  The amount of the penalty for a violation of Chapter
376, Health and Safety Code, may not exceed $500 a day for each
SECTION 4.  This Act takes effect September 1, 2025.