Shiloh – .The Texas Energy Report

Feared “Anti-Renewables” Bills Die; Texas Legislature Does Pretty Good For Environmental Agenda

May 29, 2025 — Some feared “anti-renewables” bills failed to pass the state legislature in the current session, which closes down (and will be adjourned Sine Die!) Monday.

Many of them, despite widespread fear mongering by lobbyists and some Texas journalists, were never much of a threat to renewables.

Meanwhile, the bigger picture indicates that the Texas Legislature passed bills this session that would speed up permitting for home solar and energy storage installations, require licensing of solar power systems salespeople (after claims of consumer solar rip-offs have been greatly increasing) and would make certain that the oil and gas industry cleans up all those leaking, non-producing wells.

HB 3356 was among the most criticized as “anti-renewable energy,” yet it never came close to passing. In fact it never left the Texas House of Representatives, where it was debated in…

Gulf States Liquefied Natural Gas Industry Compact Bill to Become Law

May 29, 2025 — Governor Greg Abbott has signed into law House Bill 2890, which establishes the Gulf States Liquefied Natural Gas Industry Compact.

The bill takes effect immediately.

It authorizes Governor Abbott to develop and then enter into an interstate compact with other Gulf Coast states to promote the LNG industry. Republican Representative Jared Patterson is the author

The compact is designed to facilitate collaboration between member states on issues affecting the LNG sector, particularly focusing on the sharing of information, resources, and services to enhance the protection, growth, and operational efficiency of LNG operations along the Gulf…

Tracking the Energy Bills We’re Watching In the Texas Legislature

This Texas energy bill tracking tool is updated several times daily; please check back with us

Monday, May 12th was the last day to pass a House bill out of committee; Friday, May 16th (midn) was the last day the House can pass a House bill out of the House (for more, see here); May 27th was the last day to pass a Senate bill out of the House

This MondayJune 2nd is the end of the 89th Legislative Session

BILL NUMBERS ARE IN BLUE AND INCLUDE LINKS TO THE BILL, DISPOSITIONS OF BILLS ARE IN RED, BILL SUBJECT CATEGORIES ARE IN GREEN

BILLS FROM THIS SESSION SIGNED BY THE GOVERNOR

OIL AND GAS: Inactive wells

SB 1150

Plugging of and reporting on inactive wells subject to the jurisdiction of the Railroad Commission of Texas; authorizing an administrative penalty; would create a severance tax exemption to provide incentives for oil and gas operators to bring inactive gas and oil wells back into production

Has passed the Senate, passed out of the House Energy Resources committee on May 8th with substitute bill, passed the House on May 28th, sent to the Governor

(companion bill not passed HB 2766 “Relating to the plugging of certain inactive wells subject to the jurisdiction of the Railroad Commission of Texas” Pending in House Energy Resources committee since April 7th)

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BILLS FROM THIS SESSION SIGNED BY THE GOVERNOR

OIL AND GAS: Declaration of an oil or gas emergency by the Railroad Commission of Texas and the liability of a person for assistance, advice, or resources provided in relation to an oil or gas emergency

SB 1759

Senator Brian Birdwell (Republican) is the author

Passed the Senate, passed the House as amended May 6th, signed by the Governor May 27th

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BILLS FROM THIS SESSION SIGNED BY THE GOVERNOR

CORPORATE LEADERSHIP: Corporate leadership dispute resolution and extra legal protection for corporate leadership

SB 29

Passed the Senate and, May 7th, the House, with the Senate concurring with House committee substitute that result in CSSB 29, signed by Governor Abbott on May 14th, effective immediately

Enhances legal protections for corporate leadership, streamlines corporate dispute resolution, and grants businesses greater control over litigation. “Relating to the formation, governance, and internal management of domestic entities,” to provide greater clarity and predictability regarding judicial review of corporate decision-making. See Frost Brown Todd’s analysis here

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BILLS FROM THIS SESSION SIGNED BY THE GOVERNOR

OIL AND GAS: The inspection, purchase, sale, possession, storage, transportation, and disposal of petroleum products, oil and gas equipment, and oil and gas waste; creating criminal offenses and increasing the punishment for an existing criminal offense; bill seeks to address the challenges posed by organized oilfield theft by setting out provisions relating to the inspection, purchase, sale, possession, storage, transportation, and disposal of petroleum products, oil and gas equipment, and oil and gas waste in order to provide law enforcement with clear authority to inspect and investigate suspected oil and gas theft, strengthen existing penalties, and modernize and reinforce the state’s legal response to oilfield theft and improper disposal practices; Senator Kevin Sparks (Republican) is the author

SB 1806

Passed the House April 16th, passed the Senate with agreement on House amendments, sent to the Governor May 7th, signed by the Governor May 19th

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BILLS FROM THIS SESSION SIGNED BY THE GOVERNOR

SOLAR POWER: Customer guide to home solar energy devices requirement; Requires the state Public Utility Commission to publish and update periodically a free “transparency and best practices guide” with information on how solar panel arrays should be designed and installed, the availability of federal and state tax credits, and the cost of financing, maintenance, repairs and other expenses.

SB 1697

Signed by the Governor May 13th, effective September 1st

(companion bill not passed, HB 1640 requiring the Texas Public Utility Commission to create a consumer guide for home solar systems — moved out of House State Affairs committee with companion SB 1697 considered instead, has been tabled since April 28th)

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BILLS FROM THIS SESSION SIGNED BY THE GOVERNOR

OIL AND GAS: Authorizes the Texas Commission on Environmental Quality to issue permits for land application of produced water — wastewater that comes out of the ground during the extraction of oil and gas production — and develop standards that prevent pollution of surface and groundwater.

SB 1145

Passed the Senate March 13th, passed the House April 29th, sent to the Governor May 1st, signed by the Governor May 13th

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BILLS FROM THIS SESSION SIGNED BY THE GOVERNOR

SB 1194

WATER: Creating the Central Texas Water Alliance; providing authority to issue bonds; granting the power of eminent domain; providing authority to impose fees; Details on this bill from KWKT here

Passed by the Senate March 27th, passed by the House April 29th, signed by the Governor May 15th, effective immediately

BILLS ON THE GOVERNOR’S DESK

The Texas Legislature has passed and sent to the governor:

ELECTRICITY: Third-party review of property development documents and inspections of improvements related to those documents, including home backup power installations; this bill will expedite the approval process by allowing authorized third parties, such as a licensed engineer, to review development documents and conduct inspections required by regulatory authorities to install home backup power generation instead of by the regulatory authority.

SB 1202

Passed the Senate April 1st, passed the House May 23rd, sent to the Governor May 28th

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BILLS ON THE GOVERNOR’S DESK

WATER: Would require companies and the TCEQ to alert people sooner if their water is contaminated; Filed by Zaffarini as a direct result of original situation in the Arrowhead subdivision, subject of San Antonio TV reporting. “There was E. coli in our water supply distribution system, which had been present for at least four days, and they had not notified us…So, this bill will require the water company to provide notification.”

SB 1663

Passed the Senate April 17th, passed House Natural Resources committee without amendment May 17th, passed the House May 27th, going to the Governor

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BILLS ON THE GOVERNOR’S DESK

WATER: Calls for the Texas Commission on Environmental Quality to appoint a panel to review the duties of a groundwater conservation district. This would happen if someone files a petition with the TCEQ requesting an inquiry about a conservation district. If the petition is not dismissed, the commission would appoint a review panel of five members.

HB 2080

Passed the House May 16th, passed the Senate May 28th, going to the Governor

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BILLS ON THE GOVERNOR’S DESK

WATER: installation and operation of intermediate bulk container recycling facilities; authorizing a fee; amends the Water Code to prohibit a person from installing or operating an intermediate bulk container recycling facility within 2,000 feet of a private residence. The bill applies only to an intermediate bulk container regulated by the Pipeline and Hazardous Materials Safety Administration; See the amendment

HB 3866

Passed the House May 12th as a committee substitute bill, passed the Senate May 29th with an amendment, headed for the Governor’s desk

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BILLS ON THE GOVERNOR’S DESK

SB 6

ELECTRICITY: A key bill — to streamline and standardize the process for connecting new energy retailers to the electrical grid; Increasing Texas’ Electric Grid Reliability is on Lt. Gov. Patrick’s Priority Bills listThe legislation would give ERCOT the ability to turn off power to major consumers in an emergency. The bill says ERCOT will prioritize requests for electricity from companies that agree to allow grid operators to lessen the amount they consume when the grid needs the power — Texas Tribune analysis

Passed by the Senate, passed from House State Affairs committee with substitute bill May 16th, passed the House on May 26th, going to the Governor

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BILLS ON THE GOVERNOR’S DESK

MINIATURE VEHICLES: Titling, registration, and operation of a miniature vehicle, kei vehicles, small Japanese cars, trucks, vans, and SUVs, on public roads, effective immediately; From bill analysis: S.B. 1816 amends the Transportation Code to establish that, for purposes of issuing a title under the Certificate of Title Act or registering a vehicle under applicable state law, a miniature vehicle is considered to be a motor vehicle.

SB 1816

Passed the Senate April 2nd, passed the House May 21st, sent to the Governor May 22nd

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BILLS ON THE GOVERNOR’S DESK

UTILITIES: Penalty for assaulting utility workers; would enhance the penalty for assaulting a utility worker, making it equal to that of assaulting a first responder, after workers for CenterPoint Energy received the brunt of criticism last summer during widespread and prolonged power outages caused by Hurricane Beryl. Sen. Carol Alvarado (D-Houston) authored

SB 482

Passed as amended by the Senate on April 29th, House Criminal Jurisprudence committee approved substitute May 1st, passed the House as amended May 20th, sent to the Governor May 23rd

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BILLS ON THE GOVERNOR’S DESK

ELECTRICITY: Allows the State Energy Conservation Office to adopt more modern energy codes for new residential and commercial construction

SB 783

Passed the Senate, then passed the House on May 7th, Senate concurs on House amendments, filed without the Governor’s signature on May 20th, effective September 1st

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BILLS ON THE GOVERNOR’S DESK

SOLAR POWER: Regulation by a property owners’ association of the installation of solar roof tiles;Relating to the regulation by a property owners’ association of the installation of solar roof tiles. (HOAs allow for solar homeowners to use solar shingles on their roofs instead of traditional panels. Submitted by Rep. Philip Cortez.

HB 431

Passed the House April 29th, passed the Senate and sent to the Governor on May 20th, filed without the Governor’s signature May 29th, effective immediately

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BILLS ON THE GOVERNOR’S DESK

OIL AND GAS: Imposition of application fees for certain permits and permit amendments for the disposal of oil and gas waste; Senator Judith Zaffirini (Democrat) is the author

SB 2122

Passed the Senate and the House on May 15th, signed by the Governor May 27th, effective immediately

(companion bill not passed, HB 3158 Drew Darby is an author; left after second reading in the House, companion bill SB 2122 considered instead)

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BILLS ON THE GOVERNOR’S DESK

SB 1252

ELECTRICITY: Relating to the authority of a municipality to regulate the installation or inspection of a residential energy backup system; S.B. 1252 seeks to address these inefficiencies by removing municipal authority over the installation and inspection of backup energy resources under a certain size.

Passed the Senate March 31st without amendment, passed the House May 21st, sent to the Governor May 22nd

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BILLS ON THE GOVERNOR’S DESK

WATER: Mandates TCEQ give no more than 24 hours notice before it tests water; The bill “addresses a situation in which a customer files a complaint against a water company, and the TCEQ is called in to investigate. Right now, if a water company is being investigated, the state can give the company as much notice as they want before they go conducts tests on the water. SB 1662 would mandate TCEQ give no more than 24 hours notice before it tests the water.”

SB 1662

Passed the Senate April 16th, passed the House on May 21st, sent to the Governor May 21st

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BILLS ON THE GOVERNORS DESK

RENEWABLE ENERGY: Recycling of certain renewable energy components; authorizing an administrative penalty; would require renewable energy companies to recycle all components that are capable of being reused or recycled; the bill would also require nonrecyclable components to be properly disposed of.

HB 3228

Passed the House, passed out of the Senate Business & Commerce committee on May 13th, sent to the Governor May 26th

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BILLS ON THE GOVERNORS DESK

RENEWABLE ENERGY: Set reporting and financial assurance requirements for recycling facilities. This bill aims to address a pass situation within the wind industry, where a recycling facility failed to fulfill its promise to General Electric to recycle about 5,000 wind turbine blade. Both bills were introduced by Rep. Stan Lambert (R).

HB 3229

Passed the House April 29th, passed the Senate May 19th, sent to the Governor May 20th, signed by the Governor May 29th, effective September 1st

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BILLS ON THE GOVERNORS DESK

OIL AND GAS: An interstate compact for the LNG industry for states that border the Gulf of America; establishes the Gulf States Liquefied Natural Gas Industry Compact, authorizing the Governor of Texas to develop and enter into an interstate compact with other Gulf Coast states to promote the liquefied natural gas (LNG) industry. The compact is designed to facilitate collaboration between member states on issues affecting the LNG sector, particularly focusing on the sharing of information, resources, and services to enhance the protection, growth, and operational efficiency of LNG operations along the Gulf of Mexico.

HB 2890

Passed the House, now leaving the Senate Natural Resources committee with a substitute bill, passed by the Senate May 16th, sent to the Governor May 17th, signed by the Governor My 28th, effective immediately

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BILLS ON THE GOVERNOR’S DESK

OIL AND GAS: RRC to oversee task force to address petroleum product theft in the state; would direct the Railroad Commission of Texas to oversee the task force, which would recommend solutions to address petroleum-product theft throughout the state. The group would be made up of industry stakeholders and law enforcement agencies. The bill also mandates that the task force submit a report every two years outlining “recommendations to increase transparency, improve security, enhance consumer protections, prevent the theft of petroleum products, and address the long-term economic impact of the theft of petroleum products.” Authored by Republican Sen. Kevin Sparks of Midland

SB 494

Passed the Senate and House, with the Senate concurring with House amendments,signed by the Governor May 20th, effective September 1st

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BILLS ON THE GOVERNOR’S DESK

ELECTRICITY UTILITIES: Aimed at setting energy efficiency goals for electric utilities

SB 1719

Passed the Senate April 10th, passed the House May 27th

(companion bill HB 4372 Stuck in House Homeland Security, Public Safety & Veterans Affairs committee since April 1st)

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BILLS ON THE GOVERNOR’S DESK

NUCLEAR ENERGY: Establishes advanced nuclear energy workforce development program for higher education through the Texas Workforce Commission; to address “urgent skilled labor demands” in the nuclear energy industry; In collaboration with the commission, Texas Higher Education Coordinating Board and Texas Public Utility Commission, the program would provide a “strategic plan” to address the growing need for labor in the nuclear energy industry; Co-sponsored by Texas senators Judith Zaffirini and Tan Parker

SB 1535

Passed the Senate April 2nd, passed the House as amended May 21st, sent to the Governor May 28th

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BILLS ON THE GOVERNOR’S DESK

OIL AND GAS: A severance tax exemption for oil and gas produced from certain restimulation wells; Representative Drew Darby (Republican) is the author

HB 3159

Substitute bill passed the House on May 15th, passed the Senate May 26th, sent to the Governor May 28th

(companion bill SB 782 Left pending in the Senate Finance committee on May 14th)

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BILLS ON THE GOVERNOR’S DESK

OIL AND GAS: Applicability of certain safety provisions and regulatory fees administered by the Railroad Commission of Texas to gas distribution pipelines; Representative Eddie Morales (Democratic) is the author

HB 4042

Passed the House, received by the Senate May 5th,passed by the House May 23rd, sent to the Governor May 26th

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BILLS ON THE GOVERNOR’S DESK

OIL AND GAS: Recovery of a gas utility’s gross plant placed in service not yet being recovered in rates; Representative Drew Darby (Republican) is the author

HB 4384

Passed the House May 8th, passed Senate May 28th, enrolled May 29th, sent to the Governor

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BILLS ON THE GOVERNOR’S DESK

WATER: Establishes the Texas Water Fund Advisory Committee for water oversight; establishes the Texas Office of Water Supply Conveyance Coordination to oversee water infrastructure and connectivity; Establishes administration methods for the funding of infrastructure for the transit of water and repair of water pipes through the Texas Water Development Board. This bill was on Lt. Gov. Patrick’s Priority Bills list

SB 7

Passed the Senate April 2nd, passed the House May 28th, going to the Governor

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BILLS ON THE GOVERNOR’S DESK

NUCLEAR ENERGY: Creates Texas Advanced Nuclear Energy Office to assess the state’s nuclear power needs and to facilitate the growth of plants; This bill does not make accommodations for storing radioactive waste from nuclear generation; bill considered essential by Gov. Abbott

HB 14

Passed the House April 23rd, passed the Senate May 28th, reconciled as amended May 29th, going to the Governor

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BILLS ON THE GOVERNOR’S DESK

HB 500

NUCLEAR ENERGY: Appropriates $750 million, contingent on HB 14, for PUC to support deployment of advanced nuclear reactors; Public Citizen has said it opposes HB 500 because they “do not believe taxpayer dollars should be spent on speculative and expensive new nuclear energy projects.”

Passed the House April 15th, passed the House May 27th, headed for the Governor’s desk

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BILLS ON THE GOVERNOR’S DESK

NUCLEAR ENERGY: Taxpayer subsidies for nuclear power; (by Cody Harris) dubbed the Texas Nuclear Deployment Act, is referred to by some (The Sierra Club) as the “nuclear handout bill” that, in conjunction with HJR 8, a constitutional amendment facilitating the creation of the Texas nuclear development fund (HJR 8 never left the House as of May 30th), could allow $2 billion in subsidies from taxpayers; It would establish the Texas Advanced Nuclear Energy Office as a part of the Governor’s office to manage grant programs, oversee nuclear projects and facilitate permitting; It incentivizes a two-tiered funding system intended to help build out nuclear infrastructure.

HB 14 (Relating to support for the development of the nuclear energy industry)

Passed the House April 23rd, passed the Senate as amended May 29th, going to the Governor

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BILLS ON THE GOVERNOR’S DESK

SOLAR POWER: Regulating sales of solar panels

SB 1036

Requiring solar panel salespeople to register with the Texas Department of Licensing and Regulation

Passed the Senate April 8th, reported without amendments out of the House State Affairs committee on May 12th, passed by the House May 22nd, sent to the Governor May 27th

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BILLS ON THE GOVERNOR’S DESK

WATER: Dedicating $1 billion to a Texas Water Fund under TWBD; A constitutional amendment to dedicate $1 billion to the Texas Water Fund for up to 10 years. The annual stream of state tax dollars would help cities and local water agencies buy more water and repair aging infrastructure. It gives the Texas Water Development Board full discretion over the $1 billion, allowing it to distribute the money as it sees fit.

HJR 7

Passed the House April 30th, passed the Senate May 29th, going to the Governor

BILLS THAT GOT STUCK WHILE MOVING TOWARD PASSAGE

They came close, but it doesn’t look like these bill are gonna make it:

ELECTRICITY: Approval of a certificate of convenience and necessity for certain transmission projects; Where transmission constraints, congestion, and curtailments present expensive reliability issues for the Texas grid, H.B. 3069 seeks to address these issues by establishing a new long-term planning criteria for evaluating certain transmission projects within the ERCOT power region. H.B. 3069 directs the Public Utility Commission of Texas (PUC) to introduce supplemental multi-decade transmission planning criteria for granting a certificate for a transmission project that serves ERCOT and that is not necessary to meet state or federal reliability standards.

HB 3069

Passed the House May 6th, in Senate Business & Commerce committee since May 7th, testimony taken May 22nd, left pending in committee May22nd

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BILLS STUCK MOVING TOWARD PASSAGE

OIL AND GAS: Cross border fuel crime: Certain regulations involving motor fuels or other hazardous materials, including the transportation of motor fuels and other hazardous materials and restrictions on certain motor fuel depots; creating criminal offenses; authorizing a civil penalty; See author State Sen. Juan Hinojosa’s op-ed on the need for this bill here. This bill is aimed at enhancing public safety around fuel transportation and ensuring compliance with the Tax Code regarding the exportation of fuel and creating a new criminal offense for unauthorized fuel transport routes under the Transportation Code

SB 2949

Passed the Senate April 22nd, passed the House Energy Resources committee with substitute bill May 20th, sent to House Calendars May 24th, no further action

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BILLS STUCK MOVING TOWARD PASSAGE

ELECTRICITY: Creates and assesses energy efficiency goals and programs, public information regarding energy efficiency programs, and the participation of loads in certain energy markets

SB 2994

Passed the Senate May 16th, in Senate State Affairs Committee since May 19th

HB 5479 (companion bill)

Languishing in House State Affairs committee since April 7th

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BILLS STUCK MOVING TOWARD PASSAGE

WATER: Creates a new fund to support scientific research that will expand knowledge about the quality, quantity and threats to the state’s groundwater resources. It will be administered by the Texas Water Development Board.

HB 1400

Passed the House April 10th, sent to Senate Water, Agriculture & Rural Affairs committee April 16th, no further action taken

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BILLS STUCK MOVING TOWARD PASSAGE

WATER: Forcing companies failing to keep well water clean to install sand filtration system; If a company is consistently failing to keep well water clean determined by a specific set of criteria, SB 2497 would force the company to install a sand filtration system

SB 2497

Passed the Senate May 20th, left House Natural Resources committee without amendment, passed Calendars May 25th, no further action taken, deadline missed

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BILLS STUCK MOVING TOWARD PASSAGE

OFFSHORE WIND: Public Utility Commission to prohibit the interconnection of offshore wind energy projects under certain circumstances; by Senator Mayes Middleton, which would direct the Public Utility Commission to prohibit the interconnection of offshore wind energy projects under certain circumstances

SB 383

Passed the Senate May 8th, reported from the House State Affairs committee without amendment May 20th, sent to Calendars May 22nd, no further action taken

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BILLS STUCK MOVING TOWARD PASSAGE

RENEWABLE ENERGY: Permitting of renewable energy generation facilities by the Public Utility Commission of Texas; authorizing fees

HB 553

Stuck in House State Affairs committee since March 3rd

also:

HB 1343 (companion bill)

Stuck in House State Affairs committee since March 10th

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BILLS STUCK MOVING TOWARD PASSAGE

ELECTRICITY: Reduce electricity and energy waste in Texas facilities by creating a board and advisory committee; the big take-away, reducing energy waste would leave more power available during those peak events throughout the year, according to The Texan

HB 5323

Passed the House May 8th, passed the Senate May 28th, going to the Governor

(SB 2455 companion bill Left pending in the Senate Business & Commerce committee since April 24th)

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BILLS STUCK MOVING TOWARD PASSAGE

ELECTRICITY: Study and report on burying power lines in the Gulf Coast region

HB 842

Passed the Senate May 13th, received by the House May 14th

After more than 2.2 million customers lost power during Hurricane Beryl, Texas lawmakers are requesting a study through House Bill 842 on the cost and feasibility of burying power lines in the Gulf Coast region.

The bill filed by Rep. Suleman Lalani, D-Sugar Land, calls for the study to include all areas in the state within 150 miles of the Gulf of Mexico, according to the draft legislation. The study would explore the potential:

Cost of burying existing power lines
Cost of maintaining and repairing underground power lines
Cost saving analysis with reduced weather-related power outages
Technologies developed or tested by the Department of Energy

If passed, the bill calls for all results and recommendations by the commission to be submitted to the governor, lieutenant governor and speaker of the house by Sept. 1, 2026.

A similar bill has been filed by State Rep. David Cook, R-Mansfield, although he proposed the study explore the costs and benefits of burying power lines in metropolitan areas including Austin, Dallas-Fort Worth, Houston and San Antonio.

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BILLS STUCK MOVING TOWARD PASSAGE

OIL AND GAS: For adoption of a comprehensive plan to protect oil and gas infrastructure; Representative Richard Raymond (Democrat) is the author

HB 1169

Passed the House May 6th, referred to the Senate Natural Resources committee since May 7th

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BILLS STUCK MOVING TOWARD PASSAGE

CONSERVATION: Establishment, administration, and use of the Texas land, water, and wildlife conservation account

HB 4212

Passed by the House May 15th, stuck in Senate Natural Resources committee since May 22nd

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BILLS STUCK MOVING TOWARD PASSAGE

HJR 47

OIL AND GAS: Constitutional amendment providing for the creation of the Texas severance tax revenue and oil and natural gas (Texas STRONG) defense fund

Passed the House on May 12th, left in the Senate Finance committee since May 19th

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BILLS STUCK MOVING TOWARD PASSAG

HB 4021

Passed the House Energy Resources committee, moved to the House calendar as of May 5th, tabled subject to call May 5th, no action since

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BILLS STUCK MOVING TOWARD PASSAGE

OIL AND GAS: Critical designation of some natural gas facilities; Senator Tan Parker (Republican) is the author

SB 2116

Left in the Senate Business & Commerce committee since March 24th

(companion bill HB 5224 Passed the House, received in the Senate May 9th, stuck in the Senate Business & Commerce committee since)

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BILLS STUCK MOVING TOWARD PASSAGE

OIL AND GAS: Reassessing regulation by the Railroad Commission of Texas of some commercial facilities that dispose of oil and gas waste and imposing a fee; Representative Eddie Morales (Democratic) is the author

HB 4891

In the House Energy Resources committee with substitute bill entered May 8th, placed on House calendar May 15th, no further action

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BILLS STUCK MOVING TOWARD PASSAGE

SB 2967

Allows funding mechanisms to support the siting, development, construction, and deployment of advanced nuclear and innovative energy technologies in this state (by Schwertner)

Left in House Business & Commerce committee since April 8th

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BILLS STUCK MOVING TOWARD PASSAGE

ELECTRICITY: Outlines creation of the Texas Energy Efficiency Council

SB 2717

Out of Senate Business & Commerce committee, not again placed on Senate intent calendar May 28th

(companion bill HB 3826 Passed the House April 29th, received by the Senate, no further action taken)

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BILLS STUCK MOVING TOWARD PASSAGE

CARBON TAX: HJR 138 would ask voters if Texas should prohibit a carbon tax; Prohibiting carbon tax; Filed by state Rep. Daniel Alders, R-Tyler, proposed a constitutional amendment to prohibit the legislature “from imposing a tax on the carbon content of a fuel or on the emission of carbon dioxide or other greenhouse gas that results from the use, production, or consumption of any good or service”; Multiple authors, including Democrat Reps. Eddie Morales of Eagle Pass and Josey Garcia of San Antonio; environmentalists called HJR 138 as “key” to climate action

HJR 138

Passed the House May 12th, no further action

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BILLS STUCK MOVING TOWARD PASSAGE

ELECTRICITY/OIL AND GAS: A key energy bill — dubbed the “Dispatchable Generation Credits Trading Program“; sets an ambitious goal for new dispatchable generation. If signed into law, the bill would push for 50% of the generating capacity installed in the Electric Reliability Council of Texas (ERCOT) region after January 1, 2026, to be sourced from dispatchable generation.

SB 388

Passed the Senate on March 19th, stuck in House State Affairs committee since April 22nd

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BILLS STUCK MOVING TOWARD PASSAGE

PUBLIC NUISANCE ACTIONS: Bills relating to common law nuisance claims, would eliminate public nuisance actions for any permitted activity

SB 779

Passed the Senate April 14th, left in House Judiciary & Civil Jurisprudence committee since April 17th

(companion bill HB 3964 Left pending in the House Judiciary & Civil Jurisprudence committee since April 23rd)

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BILLS STUCK MOVING TOWARD PASSAGE

OIL AND GAS: Setting up an organized oilfield theft program by establishing a law enforcement unit within the Texas Department of Public Safety

SB 1320

Has passed the Senate, in the House Energy Resources committee since April 22

(companion bill HB 3035 stuck In House Energy Resources committee since March 20)

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BILLS STUCK MOVING TOWARD PASSAGE

“FOREVER” CHEMICALS: On the production, sale, and use of certain agricultural products containing perfluoroalkyl and polyfluoroalkyl substances (PFAS) (“Forever Chemicals”); creating a criminal offense; By Rep. Helen Kerwin, R-Cleburne, aims to regulate the use of fertilizers made from treated sewage, also known as biosolids, by requiring regular testing for PFAS — a group of long-lasting, harmful chemicals often called “forever chemicals.”

HB 1674

This bill has missed the official deadline to move House bills out of House committees; It will take special tactics to advance this bill during this session; stuck in the House Environmental Regulation committee since May 9th

THE BILLS BELOW WILL NOT BE PASSED

OIL & GAS — STUCK

The usual attempt to rename and adjust the governance of the Railroad Commission of Texas; Ann Johnson (Democratic) is the author

SB 2635

Left in the Senate Natural Resources committee since April 3rd

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OIL & GAS — STUCK

Change the name and governance of the Railroad Commission of Texas; Rafael Anchia (Democrat) is the author

HB 2719

Left in the House Energy Resources committee since March 18th

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OIL & GAS — STUCK

Reassessing financial security requirements for operators of oil and gas wells

HB 2256

Vikki Goodwin is an author

Left in the House Energy Resources committee since March 14th

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OIL & GAS — STUCK

Creation of the criminal offense of oil and gas equipment theft

SB 1054

Judith Zaffirini and Cesar Blanco are authors

Left in the Senate Criminal Justice committee since February 24th

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OIL & GAS — STUCK

Creation of the criminal offense of oil and gas equipment theft; Brooks Landgraf was an author

HB 1808

Left in the House Energy Resources committee since March 14th

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OIL & GAS — STUCK

Reassessing the legal standing of some lawsuits against a critical infrastructure facility; Jeffrey Barry was an author

HB 2021

Left in the House Judiciary & Civil Jurisprudence committee since March 14th

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OIL & GAS — STUCK

Requirement that an applicant for a permit to drill an oil or gas well submit a gas capture plan for the well; Gina Hinojosa is the author

HB 1174

Left in the House Energy Resources committee since March 7th

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OIL & GAS — STUCK

Legislature’s goals for electric generation capacity in this state; Representative Ken King (Republican) is the author

SB 388

Passed the Senate March 20th, in the House State Affairs committee since April 22nd

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OIL & GAS — STUCK

To control flaring and venting of methane gas on land dedicated to the permanent university fund; Sen. Sarah Eckhardt is an author

SB 1157

Left in the Senate Natural Resources committee since February 28th

__________________________

OIL & GAS — STUCK

Creating a gas inventory system by the independent organization certified for the ERCOT power region, the Public Utility Commission of Texas, and the Railroad Commission of Texas; John Bryant is the author

HB 2167

Left in the House Natural Resources committee since February 28th

_________________________

OIL & GAS — STUCK

Looking at the ability of the Railroad Commission of Texas to permit the release into the air of natural gas from a gas well; Senator Sarah Eckhardt (Democratic) is the author

SB 1216

Left in the Senate Natural Resources committee since February 28th

___________________________

OIL & GAS — STUCK

For programs established and funded under the Texas emissions reduction plan; Claudia Ordaz is an author

HB 4519

Left pending in the House Environmental Regulation committee since April 17th

___________________________

OIL & GAS — STUCK

Fluid oil and gas waste and products and byproducts of that waste; Representative Drew Darby (Republican) is the author

HB 3156

Left in the House Energy Resources committee since March 20th

____________________________

OIL & GAS — STUCK

Recovery of a gas utility’s gross plant placed in service not yet being recovered in rates; Senator Brian Birdwell (Republican) is the author

SB 2780

Left in the Senate Natural Resources committee since April 3rd

_____________________________

OIL & GAS — STUCK

Imposition of a fee for oil and gas waste not produced in Texas; Senator Bryan Hughes (Republican) is the author

SB 2800

Left in the Senate Natural Resources committee since April 3rd

____________________________

OIL & GAS — STUCK

The Texas Oil-Backed Stablecoin Act, the issuance and regulation of an oil-backed stablecoin; Senator Tan Parker (Republican) is the author

SB 2922

Left in the Senate Business & Commerce committee since April 7th

_______________________________

OIL & GAS — STUCK

Responsibility in tort for the treatment of fluid oil and gas waste for beneficial use; Representative Jay Dean (Republican) is the author

HB 5410

Left in the House Judiciary & Civil Jurisprudence committee since April 7th

__________________________

OIL & GAS — STUCK

Prioritization of natural gas deliveries to certain electric power generation units; Senator Tan Parker (Republican) is the author

SB 2434

Left in the Senate Business & Commerce committee since April 29th

_______________________

OIL & GAS — STUCK

Offshore spill response containment property

SB 459

Left in the Senate Local Government committee since February 3rd

_______________________

OIL & GAS — STUCK

To create Texas’ own oil and gas strategic reserve as preparation for future energy needs by using pits

HB 3652

Left pending in House Energy Resources committee since April 7th

HB 4572 (Relating to the regulation by the Railroad Commission of Texas of certain pits used for the storage and disposal of oil and gas waste)

Pending in Energy Resources committee since April 14

(companion bill SB 3017 never left the Senate Natural Resources committee)

_____________________

OIL & GAS — STUCK

Would require oil and gas drillers to notify landowners before burying toxic waste on their property. House Bill 4572 would also strengthen other regulations for reserve pits, where oil and gas companies permanently bury waste next to drilling sites.

HB 4572

Left pending in House Energy Resources committee since April 14th

____________________

OIL & GAS — STUCK

A reliability plan for electric transmission service in the Permian Basin)

SB 391

In Senate Business and Commerce committee since February 25

Note: On April 24, the Public Utility Commission okayed transmission lines to the Permian Basin area under terms of a bill passed during the previous Legislative session

ELECTRICITY AND RELATED — STUCK

ELECTRICITY: Certain energy consumption goals for institutions of higher education and certain governmental entities

HB 3237

Passed the House May 2nd, no action taken in the Senate

________________________

ELECTRICITY: Generation Reliability Requirements adjusted in the implementation of the generation reliability requirements of Tex. Util. Code Section 39.1592 added by H.B. 1500 in 2023

SB 715

Committee substitute version of SB 715 passed the Senate, received by the House on May 9th, referred to House State Affairs committee May 12th, missed deadline to pass out of the House

(companion bill)

(companion bill not passed, HB 3356 Identical to SB 715; moved out of the House State Affairs committee, has been pending calendars setting since April 29th, missed deadline to move out of the House)

_______________________

ELECTRI

5-30-25

Texas Energy Report NewsClips Friday May 30, 2025 Asterisk (*) denotes news stories that may be inaccessible because portions are behind a paywall Click here for yesterday’s NewsClips Top Stories pv …

Governor Abbott Signs Bill Increasing Penalties for O&G Theft

May 21, 2025 — A bill cracking down on organized oilfield theft has been signed by Governor Greg Abbott.

SB 1806, authored by state Senator Kevin Sparks, provides law enforcement with new, clearer authority to inspect and investigate suspected oil and gas theft and possible organizations involved, and also strengthens some existing penalties.

It will also “modernize and reinforce the state’s…

Legislature Passes Bill Giving No More Than 24 Hours Notice for TCEQ Water Tests

May 21st, 2025 — The Texas Legislature has passed and sent to Governor Greg Abbott a bill aimed at keeping water testing by the Texas Commission on Environmental Quality more accurate by mandating that the agency give no more than 24 hours notice before it tests water.

SB 1662 is simply a procedure in which a customer files a complaint against a water company, and the TCEQ is…

Legislature Passes Bill Establishing LNG Industry Compact

May 14, 2025 — The Texas Legislature has passed a bill that sets up a Gulf States Liquefied Natural Gas Industry Compact, which empowers the the Governor to develop and establish or join an interstate compact with other states along the Gulf Coast to promote the liquefied natural gas (LNG) industry.

HB 2890 passed the Texas House of Representatives on April 23rd in an engrossed version, which was then passed to the Senate and was then passed on May 14th by a final vote. The bill now…

USGS Releases Assessment of Undiscovered Oil & Gas Resources In the Hosston and Travis Peak Formations Along the Gulf Coast

May 8, 2025 — The U.S. Geological Survey released its assessment of potential for undiscovered oil and gas in two formations under much of the Gulf of America Coast from Texas to Florida, assessing that there are technically recoverable resources of 35.8 trillion cubic feet of gas and 28 million barrels of oil.

The estimate for today’s assessment is as much gas as the United States consumes in 14 months at the current rate of consumption. Since exploration began in the area, the Hosston and Travis Peak Formations have produced 8 trillion cubic feet of natural gas, as well as 126 million barrels of oil.

“USGS energy assessments typically focus on undiscovered resources – areas where science tells us there may be a resource that industry hasn’t discovered yet. In this case, our assessment found substantial resources of gas,” said Sarah Ryker, acting director of the USGS.

The onshore Gulf Coast is a major energy production area thanks to a world-class petroleum system and extensive energy exploration and production infrastructure. This assessment is limited to the Hosston and Travis Peak formations, which comprise a small portion of the onshore Gulf Coast’s Cretaceous aged rocks. While the study area stretches from the Mexican border along the Gulf of America to most of Florida, resources are concentrated in one sliver extending from southeastern Texas across central Louisiana through the Mississippi Delta and into state waters of Louisiana, in the Hosston-Travis…

70-Year-Old Nuclear Fusion Problem Solved, Helps Prevent Sustaining Plasma Inside Fusion Reactors: UT

By Ameya Palega

May 7, 2025 — Scientists at the University of Texas at Austin, Los Alamos National Laboratory, and Type One Energy Group in the US have finally solved a problem that has troubled fusion energy research for 70 long years. Using a novel symmetry theory approach, the collaboration has resolved a hurdle that has prevented sustaining plasma inside fusion reactors.

Nuclear fusion technology promises abundant clean energy with no planet-warming gases or risk of highly radioactive waste. Research in this field has been ongoing for decades but has picked up pace in recent years, with the National Ignition Facility (NIF) even demonstrating a net energy gain from fusion reactions.

The challenge, however, in scaling up nuclear fusion has been containing high-energy particles within the walls of the reactor. For fusion to occur, isotopes of hydrogen are heated to temperatures greater than those on the surface of the Sun and exist in a fourth state of matter called plasma, before fusing to form helium molecules and releasing energy.

However, at these temperatures and high energy states, alpha particles leak from the fusion reactor, causing the plasma to become less dense. As the plasma loses heat, it can no longer…

Water Is the New Oil (Again): Shoring Up Water Supply, Curbing Demand Key to Texas’ Future Growth — Dallas Fed

Texas’ strong economic growth depends on a steady supply of fresh water. Without significant investment, however, the state could face shortages during future droughts. Supply can be bolstered with reservoirs, reuse and conservation. Additionally, a transition to market-based policies could allow price signals to more efficiently mediate supply and demand.

Water is essential to the expanding Texas economy and its ability to continue outpacing U.S. growth. However, Texas’ increasing demand for water is running up against its current supply, which is already stressed by extreme heat and more frequent droughts.

Funding for water infrastructure improvements has emerged as a priority for the Legislature during its 2025 legislative session. Absent changes to policy, Texans could face significant water shortages during droughts and constraints on future growth and economic development.

Gauging potential water shortages

The Texas Water Development Board produces the State Water Plan, a blueprint that addresses supply and demand for water during droughts. In 2022, the agency estimated that if a severe drought (“drought of record”) were to occur in 2030, the state would be short 4.7 million acre-feet—more than 20 percent of projected demand.

One acre-foot of water is enough to supply two to three homes for a year. It is a unit of measure equivalent to the amount needed to cover an acre with a foot of water.

Water resources and potential shortages are highly regional because of Texas’ size. In recent years, portions of East Texas experienced near- or above-normal rainfall, while the western half of the state was drier than normal (Chart 1).

Some Texas communities already face extremely low water supplies. Reservoirs in the Rio Grande Valley are below 25 percent capacity. As a result, Brownsville has limited car washing and landscape irrigation and drained city swimming pools to reduce water demand. The city of Mission has weighed a moratorium on new construction, and Corpus Christi has restricted residential yard watering to conserve water. Areas in central Texas, including Austin, have implemented similar measures as Lakes Buchanan and Travis hover around half capacity.

Rapid urban growth and depletion of the Ogallala Aquifer, a prominent water source for agriculture in the Panhandle and West Texas, will exacerbate the impact of future droughts. Under severe drought conditions, the shortage could total 6.9 million acre-feet per year in 2070 if the State Water Plan’s recommendations are not implemented.

Rules differ for groundwater, surface water sources

Texas agricultural users draw mainly from groundwater supplies, while municipal and industrial users rely on both surface water and groundwater.

Nine major aquifers and several minor ones hold groundwater. Texas assigns groundwater rights using the rule of capture, which gives landowners the legal right to the water under their property. Groundwater conservation districts can, however, require well permitting or regulate the pumping and spacing of wells.

Aquifers recharge naturally as rainwater percolates through the ground. Some aquifers recharge quickly; the Ogallala Aquifer does not. The State Water Plan projects groundwater availability will fall 25 percent from 2020 to 2070, partly because of the Ogallala’s depletion.

By comparison, the state owns surface water and grants water rights to users such as cities, utilities, firms and individual landowners. River authorities or watermasters administer water use on some river systems, including the Rio Grande, the Brazos and the Lower Colorado. During a drought, the users with the longest-standing permits tend to take priority.

Regulators manage surface water availability with storm and wastewater capture and reuse, stream diversion and reservoirs. Some metro areas are heavily dependent on surface water. The greater Dallas–Fort Worth area sources 89 percent of its water demand from surface water.

Water demand to grow as economy, population expand

The State Water Plan anticipates water demand increasing 9 percent during the half century ending in 2070, mostly because of population-growth-driven municipal water consumption.

Crop irrigation accounts for the majority of water use in Texas (Chart 2). Farmers and ranchers used 9.8 million acre-feet of water in 2020—mainly groundwater, and much of it from the Ogallala Aquifer.

Eagle Ford Natural Gas Production Increases as Crude Oil Production Holds Steady: EIA

average annual Eagle Ford natural gas and crude oil production

Data source: U.S. Energy Information Administration, Short-Term Energy Outlook, April 2025

In our April Short-Term Energy Outlook, we forecast U.S. annual natural gas production from the Eagle Ford region in southwest Texas will grow from 6.8 billion cubic feet per day (Bcf/d) in 2024 to 7.0 Bcf/d in 2026. The increase in natural gas production comes as natural gas prices rise and demand for liquefied natural gas exports grows. Oil production in the Eagle Ford, on the other hand, has hovered around 1.1 million barrels per day (b/d) since 2020, and we forecast it will remain about the same through 2026.

This increase in natural gas production with stable oil production in the Eagle Ford region is a result of increasing gas-oil ratios. As more oil and natural gas are produced, pressure within the reservoir declines, allowing more natural gas relative to oil to be produced.

The Eagle Ford region contains many plays, the largest of which are the Eagle Ford play and the Austin…

Texas Lawmaker Seeks to Improve Texas’ Power Capacity by Joining Regional Grid and Agreeing to Federal Oversight

Electrical grids are vulnerable to climate change, which amplifies intense heat and drought in the summer and intensifies storms in the winter. Nowhere is the problem more pronounced than in Texas, as recent history has shown.

Texas has the added challenge of running its own power grid that doesn’t cross state lines and connect extensively to neighboring regional grids—by design, thus enabling the state to evade regulation by the Federal Energy Regulatory Commission.

So it’s been hard for Texas in times of extreme heat or intense storms to come up with the power it needs at times of peak demand when, in the age of climate change, having adequate, reliable power can prevent people from freezing or sweltering to death in their homes.

“Broadening your interconnection reduces your risks and increases your reliability,” said Dennis Wamsted, an energy analyst at the Institute for Energy Economics and Financial Analysis, a nonprofit energy policy research group, who noted the need for building interregional transmission lines. The lines are expensive to build, he said, but interconnection could lower energy costs once the transmission lines are built.

Now, freshman U.S. Rep. Greg Casar, a former a labor organizer, Austin City Council standout and rising progressive star in Texas, has introduced legislation that would establish power connections across state borders that he said would prevent climate-related blackouts as well as aid the transition to clean energy and cut electricity bills.

He also wants $11 billion from a federal Department…

Texas Senate Approves Credit Program for Dispatchable Generation: Hogan Lovells

Update: The bill passed the Senate last month has now moved to the House State Affairs committee

On March 24, 2025, the Texas Senate passed S.B. 388, a bill establishing a mandatory program for “dispatchable” power credits. The proposed program generally resembles programs established in other states to incent the construction of renewable and, in a few cases, nuclear resources. The stated intention of the program is to ensure that 50% of new capacity installed from 2026 onwards is “dispatchable.” Dispatchable is defined in contrast to “non-dispatchable” which is defined as being controlled primarily by forces outside of human control. However, battery storage, which is generally considered a dispatchable power resource, is expressly excluded from the credit program. S.B. 388 passed in an 18-13 vote, largely along party lines. The bill now heads to the Texas House of Representatives for consideration.

Technically speaking, the program is not entirely new—it repurposes an existing program that was never implemented. S.B. 388 is an amendment to Section 39.9044 of Texas’ Utilities Code, which was adopted as part of Texas’ restructuring of the electricity markets to encourage competition. Section 39.9044 created a natural gas energy credit trading program with the goal of encouraging 50% of megawatt generating capacity installed after 2000 to use natural gas. The goal was to incent the construction of competitive and efficient gas-fired generation over the nuclear and coal fired generation that dominated the industry at the time. However, the natural gas credit program never went into effect.

S.B. 388 amends Section 39.9044 to ensure that 50% of the megawatts of generation capacity installed in the Energy Reliability Council of Texas (“ERCOT”) region after January 1, 2026, be sourced from “dispatchable” generation other than battery energy storage. Specifically, S.B. 388 requires the Public Utilities Commission of Texas (“PUCT”) to activate a dispatchable …

Bill Expediting Home Energy Storage, Solar, Goes to Texas House

Update: The House Land & Resource Management committee approved a committee substitute bill as of April 17th

April 3, 2025 — A bill to expedite the approval process for home energy storage and solar applications was quickly approved by the Senate Business and Commerce Committee in late March, was quickly passed by the Texas Senate and is now in the queue for attention by the state House.

After representatives from the Texas Solar and Storage Association joined Tesla and the Texas Advanced Energy Business Alliance in testifying in favor of the bill, the committee unanimously sent SB 1202 off to the full Senate.

The bill, sponsored by Republican Senator Bill King, would streamline the approval process in allowing licensed engineers and other third parties to conduct required home inspections and review applicable regulatory documents, which frees up the process of installation by no longer requiring regulatory agencies to inspect and review paperwork.

The bill passed the Texas Senate on March 31st and was received by the House on April 1st, where it’s awaiting action.

Following submission to the regulatory agency within 15 days by engineers or outside inspectors, then a decision by the regulatory agency would be…

The Texas Hydrogen Industry Needs Water, New Study Provides Details on How Much: UT Austin

Hydrogen Demand In 2050 — The Gulf Coast is projected to need 44.3 million metric tons of hydrogen per year by 2050 in a net-zero emissions scenario, according to a study by the National Petroleum Council. Producing that hydrogen requires a lot of water. Credit: National Petroleum Council.

There are many ways to make hydrogen — a carbon-free energy source and petrochemical ingredient. But no matter the method, all hydrogen production requires a lot of water.

In a recent study, researchers from The University of Texas at Austin examined just how much water the growing Texas hydrogen economy might need. They found that by 2050 new hydrogen production facilities could account for 2–6.8% of water demand in the state.

In comparison to big water draws, such as irrigation or municipal use, hydrogen’s demand is relatively small, said the study’s lead author Ning Lin, an energy economist at UT’s Bureau of Economic Geology. But it has the potential to disproportionately affect communities that face future water issues.

This includes the Gulf Coast, where most current hydrogen infrastructure is built and where most new hydrogen infrastructure is planned. The State Water Plan projects this region to face large annual shortages of fresh groundwater by 2040.

Hydrogen Plant Map — Existing and proposed hydrogen infrastructure as of 2024 in the Gulf Coast region of…

Two Views: The Future of the Precious Resource Water In Texas, in HB 16 and SB 7

See the House version of this bill, HB 16, by clicking here

See the Senate version of this bill, SB 7, by clicking here

March 20, 2025 — A new bill has been introduced in the Texas Legislature, with a goal for the overall improvement of state water management. Texas House Bill 16 would extend the “powers and responsibilities” of the Texas Water Development Board. District 8 State Rep. Cody Harris (R), has sponsored a bill to broaden the role of the board members. The board manages several responsibilities pertaining to the state water supply such as, collecting and distributing relevant data, assisting with planning, budget, wastewater treatment, flood oversight and agricultural conservation operations.

“Last session, we took a major step forward by creating the Texas Water Fund—approved by 78% of voters. But our work isn’t done. HB 16 expands funding eligibility, prioritizes critical infrastructure repairs, and ensures every dollar is spent wisely,” Harris said. “HJR 7 takes it further by proposing a constitutional amendment to dedicate up to $2 billion in sales tax revenue over the biennium to secure Texas’ water future.”

Should HB 16 pass the board would have more flexibility to carry out their duties for instance:

Increased authority over water infrastructure development regarding storage, collecting or diverting of water
Decisions will be subjected to less legislative oversight
Permission to implement performance and accountability by conducting water assessments
Granted more revenue from sales tax to increase budget

The bill will be subject to voter approval during the regular session and if it passes, it will take effect on Jan. 1, 2026. — KTEK/MSN

From the Greater Houston Partnership:

Texas lawmakers are moving forward with securing the state’s long-term water future with sweeping new legislation aimed at increasing water availability and funding critical infrastructure improvements. Senate Bill 7 (SB 7) lays out a comprehensive framework to address these challenges, reinforcing the state’s commitment to sustainable water solutions.

The Partnership joins Texas 2036, a leading voice in the statewide coalition, in supporting this critical initiative. Filed by Sen. Charles Perry in early March, SB 7 represents one of the most anticipated policy measures of the legislative session.

Here’s a look at the proposed legislation in both chambers.

What’s in the Bill?

Sen. Perry was emphatic about the need for Texas to deliver a solution. “Water scarcity is no longer a distant threat,” the senator said in his Thursday press release announcing the bill’s filing. “It’s here, and it’s already disrupting the lives of Texans across the state. From West and South Texas, where agriculture is being strangled, to communities struggling to keep up with economic and industrial growth, the lack of water has become the biggest limiting factor for our state’s future.”

For decades, Sen. Perry has been a leading voice on this issue. SB 7 is the culmination of decades of work that saw its first taste of victory in 2023 with the creation of the Texas Water Fund. In SB 7, the plan includes three key components: expanded authority for the Texas Water Development Board to deliver funding for water projects, enhanced legislative oversight through the restructured Texas Water Fund Advisory Committee, and improved reporting and accountability measures.

What are ‘Sweeping Changes’?

SB 7 is targeting the following initiatives to bring new water resources across the Lone Star State:

Creates the Texas Water Fund Advisory Committee to provide oversight of all Texas Water Fund activities
Requires the Texas Water Development Board (TWBD) to submit a biennial progress report to the Legislature regarding projects financed with Texas Water Fund money
Creates the Office of Water Supply Conveyance Coordination to optimize water supply infrastructure construction for regional and statewide interconnection and interoperability
Protects non-saline groundwater reserves in the state’s rapidly depleting freshwater aquifers
Preserves local control over surface water rights
Authorizes TWDB’s state water bank program to purchase out-of-state water for importation to meet the needs of Texans across the state
Expands both project eligibility for financing from the New Water Supply for Texas Fund and the available methods of financing
Prioritizes wastewater treatment projects in rural communities and small cities for financial assistance
Adds the Flood Infrastructure Fund to the Texas Water Fund structure, allowing flood projects to be financed using the funding stream constitutionally dedicated by Senate Joint Resolution 66.

Click here to download the one-pager outlining the goals for SB 7 and Senate Joint Resolution 66.

What is in the House Bill?

There are many similarities between SB 7 and House Bill 16 (HB 16) by Representative Cody Harris. The latter is broader in scope, with differences in approach to water infrastructure development, financial allocations, legislative oversight, and reporting measures. Here are several highlights from HB 16:

Expands funding for produced water treatment projects, excluding those identified for oil and gas exploration
Emphasizes prioritization of rural populations (less than 150,000) and projects with significant progress on state/federal permitting
Allows funding transfers for the economically distressed areas program account and ensures funding for public water awareness, water conservation, and water loss mitigation
Slightly modifies the makeup of Texas Water Fund Advisory Committee—including a seat for Texas Department of Emergency Management
Expands the duties of the committee to conduct regular reviews of historically underutilized businesses participation, annual reports on statewide supply expansion, and direct oversight of state water project funding
Requires regular reports to the legislature with updates on project delivery, completed infrastructure repairs and economic benefits of funded projects

What’s Next?

HB 16 has already been referred to the House Committee on Natural Resources. SB 7 will likely be referred to the Senate Committee on Water, Agriculture, and Rural Affairs, which Sen. Perry chairs.

Two Views: House Bill 14 on Texas Development of Advanced Nuclear Reactors from Public Citizen & TPPF

See the introduced version of HB 14 by clicking here

See the introduced version of the similar bill in the Texas Senate, SB 2967, by clicking here

March 20, 2025 — From the Texas Public Policy Foundation: “Authored by Representative Cody Harris, HB 14 proposes a framework to support the development and deployment of advanced nuclear reactors in Texas for the purpose of bolstering energy security and economic growth through strategic collaboration, investment, and enhanced regulatory programs.

“The Electric Reliability Council of Texas (ERCOT) forecasts that Texas’ total annual load will double from 2023 to 2029 (ERCOT, 2024a, p. 4). While that amount of growth will not be realized in this decade, even realizing a portion of that growth demands more reliable and scalable electricity generation capacity in the ERCOT region. Nuclear energy will be essential in meeting this growing demand over the next decades. As the federal government reduces regulations and expands opportunities for nuclear development, Texas has the capability to lead the nation in the deployment of advanced nuclear reactors.” See the entire statement by clicking here

From Public Citizen: Re: HB 14, Nuclear Energy – Public Citizen testimony in opposition

Dear Chairman King and Members of the Committee:

On behalf of 30,000 members and supporters in Texas, Public Citizen appreciates the opportunity to testify against HB 14, relating to funding mechanisms within the Office of the Governor and Texas Public Utility Commission to support the deployment of advanced nuclear reactors in this state. We must oppose this bill because we do not think taxpayer dollars should support unproven nuclear technologies and we do not believe the bill will lead to more affordable energy on the ERCOT grid within a reasonable time.

Tier 1 and 2 payments are available before a project generates any electricity.

HB 14’s tiered payment system provides grant funding for projects at three separate tiers of completion, as follows.

Tier 1 is for initial development costs.
Tier 2 is for costs associated with construction, with 30% of a grant awarded while the nuclear commission is considering the application and 70% awarded after the final investment decision is made by the company building the project. Tier 2 funds can even be given for costs incurred before a project enrolls in the Texas Advanced Nuclear Deployment program.
Tier 3 is for projects that are activated and operating and are awarded on a per megawatt basis.

This means that projects can be awarded Tier 1 and 2 funds without generating any electricity at all. The bill does includes a provision that Tier 1 and 2 agreements may include a requirement to repay funds if no operating license is obtained. If this bill moves forward, we recommend a deadline for generating electricity be set, with any project not meeting that deadline required to return funds. See the entire statement by clicking here

RRC Successfully Complies with Well Plugging Grants: RRC

March 20, 2025 — The U.S. Department of the Interior Office of the Inspector General has released an audit report showing the Railroad Commission of Texas successfully used federal grant funding for orphaned well plugging and complied with all related laws and regulations.

The RRC utilized its 40 years of well plugging expertise to expend a $25 million Initial Grant from the Infrastructure Investment and Jobs Act (IIJA) passed by Congress. The agency plugged more than 760 orphaned wells through the Initial Grant.

The Inspector General concluded that “We found that the State of Texas properly expended IIJA orphaned well initial grant funds and fulfilled program goals in accordance with applicable laws, Federal regulations, and grant terms…We make no recommendations as there are not reportable findings.” The audit also noted that the RRC “performs enhanced monitoring on all the contractual work performed on the well-plugging using IIJA funds” submitting daily reports on all completed work and costs as well as performing three levels of review to ensure invoice accuracy.

Well Plugging Work Utilizing IIJA Initial Grant, Refugio County

The majority of oil and gas wells that are no longer producing are plugged by the responsible operators. If an operator is non-compliant or goes out of business the well is considered orphaned, and the Railroad Commission administers a program to plug the wells. The IIJA grants supplement state funds that are used annually to plug orphaned wells across the state.

The RRC is now utilizing the first phase of IIJA Formula Grants to plug wells. However, the formula grants include administrative hurdles that are not specified in the IIJA, such as reviews of Endangered Species Act compliance and compliance with the National Historic Preservation Act, that significantly delay plugging projects. In fact, in the first 12 months of the IIJA Formula Grant, the RRC plugged 45 percent fewer wells using federal funds than were plugged during the first 12 months of the IIJA Initial Grant due to the reviews.

“We are proud to remain a leader in well plugging efforts nationwide and look forward to working with the new Secretary of the Interior to expeditiously plug wells in Texas,” said RRC Executive Director Wei Wang. “According to a recent Interstate Oil and Gas Compact Commission…

Plastic Pyrolysis − Chemists Explain a Technique Attempting to Tackle Plastic Waste by Bringing the Heat

By Kevin A. Schug & Alexander Kaplitz, University of Texas at Arlington, from The Conversation

March 20, 2025 — Because plastic is so commonly used, finding new ways to manage and recycle plastic waste is becoming ever more important. Plastic waste pyrolysis is one technology that could help address this issue.

This is a relatively new technique, so researchers still have only a limited knowledge of the pyrolysis process. As analytical chemists, we strive to understand the composition of complex mixtures, especially new creations from sources such as plastic waste pyrolysis.

What is plastic pyrolysis?

Plastic pyrolysis is a chemical process that involves chemically breaking down plastics into other molecules by heating the plastics to extremely high temperatures in the absence of oxygen.

A diagram showing the pyrolysis process, from the reaction to gas condensation to distillation. — Plastics are fed into the pyrolysis reactor, where they get hot and turn to oil. The oil moves to another vat where it’s boiled and distilled. Alexander Kaplitz and Kevin A. Schug

Unlike traditional plastic recycling, pyrolysis theoretically isn’t limited to specific types of plastic. It could be made to accommodate many of them, although current technology is limited to a few types – polyethylene and polypropylene, used in food containers and bottles – at an industrial scale.

So, plastic pyrolysis could help handle the waste from consumer products such as plastic bags, bottles, milk jugs, packaging materials, wet wipes and even discarded children’s toys. Pyrolysis can also handle more complex plastic waste such as tires and discarded electronics, although solid waste handlers and recyclers avoid certain plastic types in pyrolysis, such as polyvinyl chloride – or PVC, which is found in pipes and roofing products – and polystyrene, used in packaging, as these can create harmful byproducts.

During pyrolysis, the plastic polymers are broken down into smaller molecules, resulting in the production of liquid oil, fuel source gases such as methane, propane and butane, and char.

Char is the solid residue left at the end of the pyrolysis process. It can be used as a carbon-rich material for various applications, including adding it to soil to make it healthier for farming, as it increases soil moisture and pH, benefiting nutrient absorption. Char also has the ability to absorb harmful carbon gases from the air, which can help prevent climate change.

The main downside of char is if it’s used too much it can increase soil alkalinity, which may hinder plant growth.

Plastic pyrolysis uses heat to break down plastic, with the intent to convert plastic waste into usable materials.

How pyrolosis works

The plastic pyrolysis process typically involves several key steps.

In the first step of pyrolysis, community recyclers collect the plastic waste and clean it to remove any contaminants. The plastic then gets shredded into smaller…

Is Worldwide Sharing of Electricity Possible? Yes, It’s Even Likely, Expert Says

By Michael Shiloh

March 20, 2025 — It may sound like a utopian idea or a John Lennon song or maybe just plain impractical, but the sharing of electricity worldwide is not only possible, it’s an idea that’s slowly becoming more practical and therefore more likely.

Electrical power could be shared among nations using underground and underwater cables that tie together countries and continents, and it may only be a few years away, according to one Rice University professor.

Now that wind and solar energy production is dropping in price so much that in some circumstances they’re cheaper than some fossil fuels, Professor of Chemical and Microbiology Engineering Aditya Mohite believes the pieces are falling in place.

“You get electricity from sunlight when the sun shines, and only electricity from wind when the wind blows,” he said Monday, but it’s increasingly important to note that worldwide…