Texas House Bill HB 5572

Texas 2025 - 89th Regular

• Filed: 3/14/25

Caption

Relating to energy storage facilities.

Summary

HB 5572 would create a new approval process in the Utilities Code for battery energy storage facilities seeking to connect to the ERCOT electric grid. The bill directs the Public Utility Commission of Texas to adopt rules by September 1, 2026, establishing an application process and public notice requirements for state agencies, local landowners, and county and municipal officials. It also bars interconnection unless the facility receives commission approval under the new subchapter or a separate commission order authorizing interconnection. Under the bill, the commission would decide each application in a contested case proceeding and must consider a range of factors, including nearby renewable generation, agricultural and recreational land uses, environmental and species impacts, historical and aesthetic values, setbacks from existing development, and any other relevant factor. Applications must include recommendations from the Texas Commission on Environmental Quality and the Texas Parks and Wildlife Department, a plan for responding to those recommendations, and a fire mitigation plan addressing emergency access and evacuation routes. The commission would have 180 days to act on an application, after which it would be deemed approved if no decision is made.

Impact

HB 5572 would add a new subchapter to Chapter 35 of the Texas Utilities Code and expand the Public Utility Commission’s authority over battery energy storage facility siting and interconnection. It would impose a formal state-level approval process before such facilities can connect to ERCOT, potentially affecting project timelines, development costs, local notice practices, and the criteria used to evaluate proposed facilities. The bill would also require coordination with environmental and wildlife agencies and create new procedural obligations for applicants.

Sentiment

The available record shows little direct debate or recorded voting activity, so overall sentiment cannot be measured from committee testimony or floor votes. Based on the bill’s structure, it appears aimed at balancing support for energy storage development with added oversight, safety, and land-use review. The referral to State Affairs suggests the measure was still in early committee consideration when the available record ended.

Contention

The main points of potential contention are likely to be the added regulatory burden and the possibility of delays versus the bill’s public-safety and land-use protections. Developers and clean-energy advocates may object to a contested-case approval process, broad discretionary factors, and the risk of deemed approval only after a 180-day deadline. Local governments, landowners, environmental interests, and public-safety stakeholders may support the added notice, agency review, setback considerations, and fire mitigation requirements. The bill also raises questions about how much authority the commission should have over ERCOT interconnection decisions and whether the criteria are too open-ended.