Navigating ERCOT: Analysis of the Legislative Session & Market Implications

Our discussion will focus on two consequential bills that have progressed beyond committee and now await House consideration: SB 388, which establishes a Dispatchable Energy Credit trading program and mandates minimum dispatchable capacity requirements, and SB 6, which implements guidelines for large load interconnections and revises transmission cost allocation frameworks. The outcomes of this legislative session could profoundly influence the energy landscape in Texas and the design of the ERCOT market.

The session will address the following:

• Current implementation status of previous legislative initiatives, including the Texas Energy Fund (TEF)
• Analysis of newly proposed bills and their potential impact on ERCOT market design
• Examination of how SB 388 may influence ERCOT’s capacity mix, price formation, and system costs
• Assessment of SB 6’s implications for future load growth, transmission planning, and congestion patterns, particularly in regions designated for data center development

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