HB 2152

Overall Vote Recommendation
Yes
Principle Criteria
positive
Free Enterprise
neutral
Property Rights
neutral
Personal Responsibility
neutral
Limited Government
positive
Individual Liberty
Digest
HB 2152 proposes changes to the Utilities Code to strengthen the reliability of electric transmission service in the Permian Basin, a region critical to Texas's energy production and economic stability. Specifically, the bill amends Section 39.167(a) to mandate that the Public Utility Commission (PUC) require the independent system operator for ERCOT to develop and regularly update a regional reliability plan. Rather than having a one-time deadline, the bill now requires an update every five years, ensuring that the grid planning remains responsive to future growth and demand in the area.

Additionally, the bill repeals Section 39.167(c), which had previously established a static, dated requirement for the initial plan's development. By removing outdated language, the bill streamlines statutory obligations and clarifies the ongoing responsibility to maintain and refresh the reliability plan for the Permian Basin.

Overall, HB 2152 seeks to promote long-term energy security and infrastructure resilience in a high-growth, high-energy-use region without creating new regulatory burdens.
Author (3)
Eddie Morales
Drew Darby
Brooks Landgraf
Co-Author (1)
Penny Morales Shaw
Fiscal Notes

According to the Legislative Budget Board (LBB), HB 2152 is projected to have a negative impact of $878,172 on the General Revenue Fund over the biennium ending August 31, 2027. The bill does not make an appropriation but would require additional appropriations to the Public Utility Commission of Texas (PUC) to fulfill its new responsibilities.

Specifically, the PUC would need to hire three full-time employees (FTEs) to implement the bill’s requirements. These positions include an Attorney III–IV, an Economist III, and an Engineer III–V. Collectively, their salaries, benefits, and associated operational costs are estimated to cost about $439,086 annually. The agency also anticipates minor information technology expenditures of around $8,100 per year.

The fiscal impact is expected to continue at a similar annual cost through at least fiscal year 2030. While there could be local government impacts in the Permian Basin area due to expansion or upgrades of transmission and distribution lines, those effects could not be quantified at this time.

Vote Recommendation Notes

This bill focuses on a critical, proactive strategy to ensure the long-term reliability of electric transmission service in the Permian Basin, a region that plays a vital role in Texas's economy and energy production. Building on 2023 legislation (HB 5066), this bill refines existing law by requiring the Public Utility Commission (PUC) to direct ERCOT to update a detailed regional reliability plan every five years.

While ERCOT already conducts general, system-wide transmission planning, it tends to focus reactively on reliability violations across the whole ERCOT grid. Without specific legislative direction, ERCOT may not prioritize early investment and upgrades in the Permian Basin, even though that region's growth is highly unique and critical. HB 2152 ensures a proactive, ongoing focus on this key region, protecting grid reliability before shortages or emergencies arise.

Importantly, while the bill slightly grows the size of government, requiring three additional full-time employees at the PUC, it is a narrow, targeted expansion. It does not create new agencies, expand regulatory burdens on individuals or businesses, or impose new costs on the private sector. Instead, it focuses government activity solely on internal planning responsibilities to protect public infrastructure.

The bill carries a modest fiscal impact of approximately $878,172 over the 2026-2027 biennium, with about $439,086 in ongoing annual costs. While this represents a small increase in taxpayer-funded expenditures, it is a responsible and proportional investment considering the critical economic role of the Permian Basin and the massive risks posed by potential grid failures.

Concerns about government growth and spending are valid, but in this case, the expansion is minimal, clearly defined, and directly tied to maintaining essential services that support free enterprise, energy independence, and economic growth.

Ultimately, HB 2152 supports essential infrastructure planning without creating new regulatory burdens, while protecting Texas's broader economic interests, private property rights, and individual liberties. It reflects a responsible, limited-government solution to a major strategic challenge,e and as such, Texas Policy Research recommends that lawmakers vote YES on HB 2152.

  • Individual Liberty: Reliable electric service protects people’s ability to live freely and securely, especially in critical energy-producing regions like the Permian Basin. Without stable power, daily life, health, and personal safety are all at risk. By requiring proactive grid planning, the bill safeguards basic conditions necessary for individuals to exercise their freedoms.
  • Personal Responsibility: The bill does not change citizens’ personal responsibilities or impose new obligations. It is an internal mandate to government agencies (PUC and ERCOT) rather than individuals. It neither expands nor erodes the concept that individuals must manage their own lives without government interference.
  • Free Enterprise: A reliable grid is essential for businesses, particularly energy companies, manufacturers, and small businesses operating in the Permian Basin. Power outages, transmission congestion, or uncertainty would hurt private investment and disrupt operations. By ensuring better infrastructure planning, the bill helps businesses thrive without imposing new regulations, mandates, or costs on them.
  • Private Property Rights: The bill does not authorize new land seizures (eminent domain), alter property regulations, or affect private property rights directly. It focuses purely on planning efforts. However, indirectly, protecting electric reliability strengthens property values and economic activity in the Permian Basin.
  • Limited Government: The bill moderately supports limited government, but with caution. The bill targets government action narrowly to a key infrastructure need without creating sweeping new powers or regulations. It slightly grows the size of the government by adding three full-time employees to the PUC​and creates a small but ongoing cost to taxpayers. On balance, though, it keeps the expansion limited, focused, and transparent, consistent with principles of necessary and responsible governance.
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