THIS PAGE EDITED: 03/26/2008

The background and purpose of House Bill 3693, effective 1 Sep 2007- (taken from HB 3693 analysis)

The Texas Utilities Code requires certain activities by electric utilities to achieve energy efficiency and conservation in Texas.

Continued growth in peak demand for electricity in Texas, particularly in the short term, could result in electric generation shortages.  Texas’ population is growing at nearly 2% per year and the economy is expanding at an even greater rate, nearly 4% annually.  This is causing a growth in demand for electricity.  The Electric Reliability Council of Texas (ERCOT) reports that peak demand on the ERCOT system increased by about 2.5% per year between 1990 and 2006.  The current forecast is for peak demand to increase by 2.3% annually from 2007 through 2012. 

ERCOT has established a reserve margin of electric generation capacity to provide a cushion for peak demand times.  However, with continued growth in Texas, it is possible that peak demand could exceed the margin and possibly result in blackouts.  The energy efficiency mechanisms proposed in C.S.H.B. 3693 are intended to provide near-term reductions in consumption and demand that should protect the reserve margin and avoid crises during the peak. C.S.H.B. 3693 enhances existing energy efficiency programs, enables more customer demand management, updates building energy codes, and requires state agencies to purchase more efficient equipment and appliances.  These measures should result in reductions in electricity consumption sufficient to avoid short-term peak demand problems and also avoid some new costs for power plants and power lines.

A.  At this point all districts should be putting together their particular "resolution" for board approval, (see #5 & #6) for samples.

B.  Districts need to also start thinking about the process they will use to gather their consumption data for all metered utilities, (water, gas, electrical).  AEP has stated that they will provide that info on electrical for all of their customers.  Many other Retail Energy Providers may also be able to help in that regard.

The preceding comments, (A & B) reflect my personal opinion and understanding of HB 3693 and may not necessarily be an accurate interpretation of the Bill requirements.  Each district is encouraged to read HB 3693, (and interpret/apply it to their situation as appropriate.  (D.Cantu, President)

The following are documents that are related to the requirements of HB 3693, (it should not be considered to be all inclusive).  Sources include but are not limited to, The State Energy Conservation Office (SECO), PSJA, Watt Watchers and STASMO HB 3693 Committee.