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TPPA Membership Plans for Future Electrification in Texas

TPPA Membership Plans for Future Electrification in Texas

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This excerpt was originally included in TPPA’s Winter 2020 Regulatory Update.

TPPA Adopts Statement of Principles on Electric Vehicle Fueling Infrastructure Policy

In its recent Report to the 87th Texas Legislature, the Public Utility Commission recommends that the Legislature clarify that the use of an electric vehicle charging station does not constitute a sale of electric energy to a retail customer, and that an electric vehicle charging station is not an electric utility or retail electric provider.  The Commission believes that these changes will provide regulatory certainty, are consistent with the principles of competition, and will facilitate deployment of electric vehicle charging stations across Texas.

TPPA submitted comments to the PUC in August as part of the PUC’s development of this legislative recommendation.  During that process, TPPA adopted a set of policy principles as the basis for its input to the Commission.  The principles were developed in collaboration with TPPA’s Government Relations & Legal Committee, the Engineering & Operations Committee, and the Board of Directors.  The principles emphasize that the members of the MOU community may take different approaches to extending vehicle fueling services in their service territories.  As submitted to the PUC in TPPA’s comments, the principles are listed below:

Electric Vehicle Fueling Infrastructure Statement of Principles of TPPA
  • TPPA and its members recognize the ongoing expansion of electric vehicles and are preparing for the likely infrastructure investments required to accommodate electric vehicle ownership growth.
  • The regulatory framework supporting electric vehicle fueling in the State should promote innovation and accommodate multiple models.
  • An electric vehicle charging station may be owned and operated by an MOU or a third party.
  • An electric vehicle charging station may be installed behind the meter of a commercial establishment.
  • An electric vehicle charging station, or a set of multiple charging stations at a single point of interconnection, may be established as a separately metered customer.
  • In an area served by an MOU, the transaction between the MOU and an owner/operator of a public charging station is a retail sale of electricity. The transaction between an owner/operator of a public charging station and an EV driver is a fueling service.
  • A separately metered electric vehicle charging station located in the service territory of a MOU must purchase electricity at retail from the MOU.
  • Extension of electric infrastructure to serve an electric vehicle charging station within a MOU service territory can be provided through a MOU’s line extension policy or facilities extension policy as contributions in aid of construction for costs of materials and labor associated with the connection and energization.
  • An MOU may establish a tariff for provision of retail electric service to owners/operators of separately metered electric vehicle charging stations.
  • Terms for the provision of electric vehicle fueling services to an electric vehicle driver or fleet operator may be set by the owner/operator of the electric vehicle charging station providing fueling services.

The Commission’s recommendation to the Legislature for clarification is in full alignment with these principles.  TPPA looks forward to working with the Public Utility Commission and the 87th Texas Legislature on clarifying electric vehicle charging policy in the State consistent with TPPA’s Statement of Principles.

 

For additional information on regulatory matters, please contact Taylor Kilroy, TPPA Regulatory Counsel, at tkilroy@tppa.com.