PUCurrenT

Public Utility Commission of Texas

NEWSLETTER HIGHLIGHTS

Virtual Currency Mining Facilities Must Register with PUCT

PUCT Emergency Management Staff Were Back in the State Operations Center for 2025 Winter Weather Events

OPE in Your Corner: Let’s Meet at Your Legislative Day (or in Your Community)!

PUCT, ELE UTILITIES EMERGEN OPERATIO EXTREME

ONLINE POWER OUTAGE TRACKERS NOW REQUIRED BY THE PUCT

CHAIRMAN’S CHAIRMAN’S CORNER CORNER

PUCTChair

ThomasJ.Gleeson

The Public Utility C Jan 30, 2025, for discuss emergenc plans in place for their electric syste

(L to R: Chair Thomas J. Gleeson, Comms. Kathleen Jackson and Courtney Hjaltman)

CHAIRMAN’S CHAIRMAN’S CORNER CORNER

Something to Celebrate, Later

It may seem premature to talk about celebrations just as the 89th Texas Legislature is picking up steam. But this isn’t just any session year for the Public Utility Commission of Texas (PUCT). It’s our 50th Anniversary.

In 1975, with just hours left in the 64th Texas Legislative Session, lawmakers passed House Bill 819, the Public Utility Regulatory Act (PURA), to create the PUCT. So, this year marks 50 years of regulation – well, technically 49 years, as the agency’s commissioners spent their first year getting organized, setting up the PUCT, hiring staff, and writing operational rules They accepted their first rate case (from Southwestern Bell) on September 1, 1976

It’s humbling to walk the very same halls today that those legislators and lobbyists walked 50 years ago, fighting vigorously for and against forming this agency. It was so fierce in fact, PURA passed with just about 90 minutes left before the final gavel fell on the session.

But the battle to establish the PUCT wasn’t just fought in the 1975 legislative session. It began decades earlier, failing to pass in multiple sessions.

Arguably, the biggest difference in 1975? Consumers. Several consumer groups had formed throughout Texas to demand the state set up a regulatory agency that would make sure electric, water, and telecom utilities were charging consumers reasonable rates The political pressure was strong enough that it finally passed

And to ensure utilities remain viable businesses that provide life-critical services, provisions were included allowing them to collect profits authorized by the PUCT.

While PURA and the PUCT continue to evolve with the needs of Texans, the last four years have arguably been the most consequential in our agency’s history Working with Gov Abbott and the Texas Legislature, the path forward for our next half-century is clear – to ensure reliable utility service at a reasonable cost

We’d love to celebrate, but we’ll have to do that later Right now, we’ve got to get to the Capitol

Thomas Gleeson

Chairman

EXTRA, EXTRA, READ ALL ABOUT IT! BIENNIAL AGENCY REPORT

SUBMITTED TO 89TH TEXAS LEGISLATURE

The past two years have been exceptionally busy at the PUCT, and we’ve put all the highlights and data points together in our 2025 Biennial Agency Report to the Texas Legislature

The 2025 Biennial Agency Report highlights the Commission’s and agency staff’s work primarily during fiscal years 2023 and 2024, from September 1, 2022 – August 31, 2024 During that time, the PUCT experienced significant changes in agency leadership, organizational changes to implement new legislative mandates, like the Texas Energy Fund, and the passage of several key Commission initiatives, including the Permian Basin Reliability Plan and a reliability standard for the ERCOT region.

The Biennial Agency Report provides legislators with updates on implementing legislative recommendations provided to the 88th Texas Legislature It also offers a look back at how the ERCOT grid handled the summer and winter seasons during the past biennium

Updates for the electricity, telecommunications, and water and sewer industries including Commission rulemakings—are also in the report, as is an overview of PUCT Enforcement actions over the biennium

The Commission approved the report for publication during its December 19, 2024, open meeting The Biennial Agency Report is required by law to be submitted to the Texas Legislature no later than January 15 of each odd-numbered year The 89th Texas Legislature convened on January 14, 2025

VIRTUAL CURRENCY MINING FACILITIES MUST REGISTER WITH PUCT

The Public Utility Commission of Texas (PUCT) is now accepting virtual currency mining facility registrations through an online portal on the PUCT website

Facilities with a total demand of more than 75 megawatts are required to register. Existing facilities were required to register by Feb. 1, 2025. Future facilities must register no later than one working day after the facility begins receiving retail electric service. Further information regarding the types of facilities that must register, registration requirements, and a link to the online portal is available on the PUCT’s website

Facilities registering with the PUCT must provide information annually about the facility’s location, ownership, and demand for electricity

On November 21, 2024, the PUCT adopted a new rule requiring virtual currency mining facilities located within the Electric Reliability Council of Texas (ERCOT) region to register with the PUCT The rule implements Public Utility Regulatory Act (PURA) §39 360, enacted by Senate Bill 1929, which was passed by the 88th Texas Legislature and signed into law by Governor Greg Abbott in 2023

Virtual currency mining facilities are considered “flexible loads,” meaning they can quickly adjust their power consumption in response to certain factors, like changes in the wholesale price of electricity. These characteristics can impact wholesale electricity prices or the frequency of the grid. The information provided in the registration will help the PUCT and ERCOT manage the grid reliably as more virtual currency mining facilities connect to the grid

Qualifying facilities failing to register will face a Class A violation which, according to Chapter §25 8 of the PUCT’s rules, could result in up to a $25,000 penalty per violation per day

PUCT EMERGENCY MANAGEMENT STAFF WERE BACK IN THE STATE OPERATIONS CENTER FOR 2025 WINTER WEATHER EVENTS

Extremely cold winter weather kept members of the PUCT’s Critical Infrastructure Security & Risk Management (CISRM) division busy in the State Emergency Operations Center (SOC) during January and February Their main job is to help coordinate the safe, efficient response and restoration of service by utilities

With two activations in January and one in February, they covered 13 days and 5 overnights in the SOC, monitoring weather and tracking utility outages across the state CISRM staff gather information on where outages are concentrated, which also helps state emergency coordinators determine where to stage resources if necessary.

“We're there primarily to serve as a liaison between the state and utilities,” Shawn Hazard, the PUCT’s Emergency Management Coordinator said “For example, if the Health and Human Services Commission hears about a hospital or nursing home without power and the facility can't get information from the utility, they call their PUCT colleagues who are also in the SOC They come to us to help get answers from the utility ”

For this reason, CISRM staff regularly host “blue sky” meetings across Texas, introducing utility providers and local emergency first responders to ensure that everyone knows each other and has the appropriate contacts should issues arise on “gray sky” days. Their next meeting will occur March 12 in Corpus Christi.

CT RATE REGULATION WORK

e “CPA 6” sounds like it could be the title of a Hollywood action ovie, but it’s something much more exciting for the Public Utility ommission of Texas (PUCT), and specifically the Rate Regulation vision. Division Director Darryl Tietjen says his team is back up to licensed Certified Public Accountants (CPAs) at one time the first me since 2017 the agency has had this many CPAs on staff That’s od news because the team handles critical rate regulation work

y team understands the work they do directly impacts the wallets of xans, so there’s no margin for error,” said Tietjen “That’s why it’s important to have the best trained and most qualified employees, including CPAs, doing this kind of work ”

Rate Regulation’s newest employee, Emily Cantu, joined the PUCT in October 2024 and received her CPA license in January 2025. She joins Mark Filarowicz, Anna Givens, Jennifer Mayfield, Ruth Stark, and Tietjen as the sixth CPA.

In rate-setting work at the PUCT, CPAs address issues related to a utility’s revenues, expenses, capital investment, and taxes issues that in some cases can become extraordinarily complex The expertise CPAs provide is critical in carrying out one of the most fundamental and integral missions of the PUCT to ensure that the rates that utility companies are authorized to charge their customers meet appropriate standards of reasonableness and necessity for the provision of utility service The deep knowledge and understanding that CPAs provide regarding a utility's costs and revenues are vital to this key agency task

With the number of rate-related proceedings at the PUCT reaching ever-higher levels, we are grateful to our “CPA 6” for their hard work and dedication to serve the people of Texas.

PUCT CISRM staff at the State Operations Center

From L to R: Jennifer Mayfield, Anna Givens, Emily Cantu, and Darryl Tietjen Not pictured: Mark Filarowicz and Ruth Stark

PUCT PROVIDES LEGISLATIVE RECOMMENDATIONS TO 89TH TEXAS LEGISLATURE

Every legislative session, the PUCT provides recommendations to lawmakers for consideration This year, the PUCT submitted ten recommendations for the 89th Texas Legislature four pertaining to electricity, one relating to enforcement practices, two pertaining to water, and three relating to severe weather preparedness and response efforts that resulted from the Hurricane Beryl Investigative Report.

PUCT PROVIDES LEGISLATIVE APPROPRIATIONS REQUEST TO 89TH TEXAS LEGISLATURE

Each legislative session, the PUCT submits its legislative appropriation requests (LAR), which forecasts the agency’s budget needs for the upcoming biennium. This request takes into account the cost to complete the agency’s work, including staffing and technology needs. The LAR also reports on performance measures and asks for additional money to accomplish new goals through the “exceptional items” process.

For the 2026-2027 biennium, the agency is asking for more full-time employees (FTEs) to bolster the contested case process, support the state’s increased focus on grid resiliency, and provide additional oversight over the Texas Energy Fund Additionally, funds are being requested for several software projects, including a case management system, a statewide outage tracker, and a refresh of the Power to Choose website

ONLINE POWER OUTAGE TRACKERS NOW REQUIRED BY THE PUCT

Electric utilities that deliver power to retail electric customers in Texas are now required to maintain an online electric outage tracker that provides detailed information about power outages in both English and Spanish. This requirement was approved by the Public Utility Commission of Texas (PUCT) on February 13, 2025, through an update to 16 Texas Administrative Code §25.52.

“When severe weather or any other threat to electric service hits, providing timely, accurate information to consumers is essential,” PUCT Chairman Thomas Gleeson said “Texans must be well-informed to stay safe, and information on these outage trackers can be critical for them Requiring that these trackers are always available online means consumers can always access this potentially lifesaving information ”

The rule requires utilities that provide distribution service to retail electricity customers to maintain accurate and publicl available outage trackers or maps on their websites. The tracker or map must contain the following information in English and Spanish:

A map of the utility’s distribution service territory For each active outage impacting customers:

Approximate location of the outage

Date and time the outage was reported or identified

Estimated restoration time

General status of the restoration effort

Date and time the outage and restoration status information was most recently updated

Information on how a customer can report an outage or hazardous condition (One digital reporting method must be available to customers )

Information on how a customer can request to receive updates on the status of outages and restoration efforts

If an outage tracker or map is scheduled to be offline or unavailable for maintenance or upgrades, the utility must post the details of the scheduled activity on its website and provide notice to the PUCT. If the tracker or map unexpectedly becomes unavailable, the utility must notify the Commission in writing.

The rule does not apply to municipally owned utilities or electric cooperatives.

Utilities must comply with these requirements immediately upon the effective date of the rule. However, if a utility needs time to upgrade its tracker or map to comply with the rule, it may file an update with the PUCT The filing must identify which requirements are not being met and provide a projected compliance date, which can be no later than June 1, 2025

Utilities that violate this rule could face penalties up to $25,000 per day, per violation, in accordance with Chapter §25 8 of the PUCT’s rules

TEXAS ENERGY FUND IMPLEMENTATION IN FULL SWING AT PUCT

The PUCT continues making significant progress implementing the four Texas Energy Fund (TEF) Programs, each of which will help satisfy Texas’ need for reliable, affordable energy. The TEF was approved by voters through a constitutional election on November 7, 2023, and will provide funding for electric generation projects and other reliability or resiliency enhancements in Texas through four programs

In-ERCOT Generation Loan Program

The In-ERCOT Generation Loan Program will provide loans for the construction of new dispatchable electric generating facilities in ERCOT or the expansion of existing facilities that provide power to ERCOT Qualifying projects must add at least 100 megawatts (MW) of new dispatchable generation capacity

The PUCT received 72 applications to the program and evaluated each proposed project’s financing, technical attributes, and potential impact in meeting the needs of the ERCOT grid. Currently, 17 projects are undergoing a due diligence review process. The PUCT must make initial disbursements for approved loans by December 31, 2025.

Completion Bonus Grant Program

The PUCT began accepting applications for the Completion Bonus Grant (CBG) Program on January 1, 2025 The CBG Program will provide performance-based grants to qualifying projects that provide at least 100 MW of new dispatchable power to the ERCOT power region

Proposed projects must interconnect to the ERCOT grid by June 1, 2026 to be eligible to receive a bonus grant of $120,000 per MW, or by June 1, 2029 to be eligible to receive a bonus grant of $80,000 per MW.

Outside of ERCOT Grant Program

On February 13, 2025, the PUCT adopted a new rule establishing procedures for applying for the Outside of ERCOT Grant Program The PUCT anticipates opening the application for this program in the spring

The program will provide funding for transmission and distribution infrastructure or electric generating facilities in Texas outside of the ERCOT power region Grants can finance modernization, weatherization, reliability and resiliency enhancements, and vegetation management

Texas Backup Power Package Program

The Texas Backup Power Package Program (TBPPP) will provide grants and loans to qualifying entities to design, procure, or install backup power packages at facilities necessary to support community health, safety, and wellbeing. A research entity supporting the TBPPP recently filed a report that provided detailed designs and specifications for backup power packages, assessed costs and benefits, and identified manufacturers and vendors suitable to support the program. The PUCT will use the report and public comments received to inform the rulemaking for the TBPPP.

OPE IN YOUR CORNER: LET’S MEET AT YOUR LEGISLATIVE DAY (OR IN YOUR COMMUNITY)!

The PUCT’s Office of Public Engagement (OPE) meets regularly with Texans to explain the ongoing work of the PUCT and how the public can participate in that work With the 89th Texas Legislative Session underway, OPE is hosting meetings with constituent groups visiting Austin to engage with their legislators OPE staff is also busy traveling around Texas to visit with consumers in their communities and discuss how to participate in water utility rate cases.

On February 12, OPE Director Mike Hoke met in Austin with Senator Bob Hall and about 80 business owners and county officials from his district in Rockwall County The business leaders heard a 30-minute overview of the agency and its mission, explaining how the PUCT’s work impacts them through their local utility provider, Oncor Hoke and OPE staff also took time to answer questions about customer rights and past issues related to natural disasters and outages.

OPE staff also attended two community meetings in February with consumers who are protesting a rate increase from their water utility On February 13, OPE traveled to Floresville to meet with 10 customers of Central States Water Resources (CSWR)-Texas in a resident’s home in the Arrowhead subdivision On February 20, OPE met with approximately 200 Undine customers, as well as Rep Vicki Goodwin, Austin City Councilman Marc Duchen, and staff from Sen Sarah Eckhardt’s office, in a church in the Greenshores neighborhood in West Austin In both instances, Hoke updated attendees on the status of their utility’s rate case and educated them on how to participate in the rate case process

On February 24, Hoke spoke to local leaders from the city of Rowlett at their Capitol Day in the Capitol’s Historic Supreme Court chambers, where he discussed ensuring reliable electric and water infrastructure Hoke also spoke to the Brazoria County Economic Development Alliance on February 25 about the reliability of the Texas grid as ports move to electric powered operations

If your group will be in Austin during the legislative session or you’d like us to attend a community meeting in your area to help you better understand utility issues, please email public@puc texas gov to set up a meeting No matter the size of your group, we want to help you better understand how to participate in the PUCT’s work.

Mike Hoke, Director of the Office of Public Engagement, speaking to Rockwall County residents in Austin

Mike Hoke speaking at Rowlett Capitol Day in the Capitol’s Supreme Court chambers

Mike Hoke speaking to the Brazoria County Economic Development Alliance

PUCT, ELECTRIC UTILITIES DISCUSS EMERGENCY OPERATIONS

AND EXTREME WEATHER PREPAREDNESS

DURING JANUARY WORKSHOP

The Public Utility Commission of Texas (PUCT) hosted a workshop on January 30, 2025, for electric industry representatives across the state to discuss emergency operations plans and ensure utilities have detailed plans in place for extreme weather and other threats that could impact their electric systems and customers

“The safety of all Texans is the top priority of the PUCT, so it is crucial that we ensure electric utilities are prepared for any threat and have put the appropriate attention and resources into emergency operations planning,” PUCT Executive Director Connie Corona said. “Workshops like this are crucial for utilities to come together, ask questions, and share best practices and PUCT standards ”

Representatives from electric utilities, power generators, retail electric providers, municipally owned utilities, and electric cooperatives attended the workshop, along with representatives from the Electric Reliability Council of Texas (ERCOT)

Staff from the PUCT’s Infrastructure Division led participants through a review of the biennial Weather Emergency Preparedness Report. The report’s findings recommend best practices that electric entities should incorporate into their annual Emergency Operations Plan, which they must file with the PUCT annually

The workshop also included an overview of Texas’ emergency response operations, a review of the PUCT’s Hurricane Beryl Investigation findings related to emergency operations planning, and a panel discussion with industry representatives

An archived recording of the workshop is available here Additional information on emergency operations plans is available here on the PUCT website

ELECTRICITY SUPPLY CHAIN MAP UPDATED; ANNUAL PUBLIC MEETING SCHEDULED

FOR MAY 2025

To ensure the most up-to-date coverage for critical infrastructure during extreme weather conditions, the Texas Electricity Supply Chain Security and Mapping Committee provided a biannual update to the Texas Electricity Supply Chain Map in late 2024 ahead of anticipated winter weather. The map identifies and connects the critical natural gas infrastructure needed to supply natural gas to power plants to the electric distribution and transmission system.

The Texas Electricity Supply Chain Map is a first of its kind nationally and was created by the Public Utility Commission of Texas (PUCT) and the Texas Railroad Commission in 2022 The map is overseen by the Texas Electricity Supply Chain Security and Mapping Committee (Committee), which includes the Public Utility Commission of Texas (PUCT), the Texas Railroad Commission (RRC), the Electric Reliability Council of Texas (ERCOT), the Texas Division of Emergency Management (TDEM), and the Texas Department of Transportation (TxDOT).

The Committee schedules biannual updates to the map so that the most recent information is available prior to severe winter and summer weather. The December 2024 updates include:

Updated transmission line and substation data provided by ERCOT and utilities outside of ERCOT

Updated critical natural gas facilities as provided by the RRC

Updated distribution line information from utilities across the state to connect critical natural gas infrastructure to the Electricity Supply Chain Map

State law prohibits the public release of some layers of the map to protect the safety and integrity of the supply chain The PUCT website features the publicly available layers of the map The webpage is updated periodically as additional facilities and infrastructure are added.

The Committee meets quarterly, with one public meeting annually. This year’s public meeting will occur in May and will be livestreamed on the PUCT’s website

Electric industry representatives attending the Emergency Operations and Extreme Weather Preparedness Workshop

HAIR, HAIR! HAZARD DONATES HAIR FOR GREAT CAUSE

While the PUCT’s mission is to protect consumers, foster competition, and promote high quality infrastructure, the agency can’t accomplish that mission for the people of Texas without the wonderful people who work here When one of our wonderful people goes head and shoulders above to help others, well, we can’t help but shout it from the rooftops!

In January 2025, Ginette Hazard donated approximately 13 inches of hair to Wigs for Kids, an Ohio-based nonprofit organization that helps children experiencing hair loss stemming from medical causes Hazard’s friend, who has survived a breast cancer diagnosis, asked her in 2021 to make a hair donation, and Hazard knew immediately she wanted to help a child in the process

“It took me three and a half years to grow my hair long enough to donate, with trims and haircuts tossed in there ugh, hair maintenance!” Hazard said “No one wants t lose their hair to an illness and kids are innocent victims to it all So, if I can grow my hair out for a few years, it’s the least I can do to help others ”

According to its website, Wigs for Kids accepts hair donations that aren’t permed, co treated, highlighted, and are a minimum of 12 inches long without layers or split end

Now that she’s done the work of growing out her hair, Hazard teases this won’t be her last hair donation “I’m too lazy to colo hair and have looked forward to the gray I can’t wait to have the ‘salt and pepper’ look,” she said While Wigs for Kids accept gray hair, “I’m glad I was able to get a hair donation in before then I might even be able to find an organization that makes w for adults ”

Hazard, who works with the PUCT’s Division of Utility Outreach, encourages everyone to donate to a charitable cause of thei choosing: “As the Nike slogan says, ‘Just Do It’!”

WORK WITH US—MAKE A DIFFERENCE FOR TEXAS!

The PUCT is hiring candidates across multiple agency divisions. It’s our job to ensure reliable, affordable, and accountable electric, water and telecom utility service for Texans and our fast-growing state Please visit our website for our latest career opportunities

We’re especially proud that the PUCT has become a professional home for several veterans who have chosen to continue their service with us following their military careers. Check out what they have to say about working at the PUCT here The PUCT strongly encourages veterans to apply for our open positions

UPDATE ON WILLIAM B. TRAVIS BUILDING CONSTRUCTION

Beginning this spring, the William B. Travis Building (WBT) Lobby will be closed as part of a partial remodel project, led by the Texas Facilities Commission, of several floors of the building

All visitors to the William B Travis Building need to use the ground floor entrance on Brazos Street while the Main Lobby is under construction there will be no access to the Main Lobby for any reason.

The ground floor entrance will be open (no badge access required) during business hours (7 a m – 5 p m , Monday –Friday) For assistance when visiting the building, please contact the PUCT Main Reception Line at 512-936-7001

Ginette Hazard