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Legislative Background

Legislative Background

The Texas Legislature has passed a variety of laws to increase the state’s use of renewable energy and alleviate grid congestion. One of these laws created Competitive Renewable Energy Zones (CREZ) to encourage transmission service providers to work with developers to develop cleaner new energy sources such as wind.

The Public Utility Commission of Texas (PUCT) was charged with fulfilling the requirements of the law, including a target of 10,000 megawatts of installed renewable capacity by Jan. 1, 2025. As a result, the PUCT:

  • Designated CREZs where renewable energy resources and land areas are sufficient to develop generating capacity using renewable energy technology
  • Considered the level of financial commitment by developers
  • Developed a transmission plan with sufficient capacity to deliver output from renewable resources to electric customers.

Click here to review legislative language in the Texas Utilities Code, Public Utility Regulatory Act, Section 39.904 Goal for Renewable Energy.

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