Texas Statutes
Subchapter B. Exempt Wholesale Generators, Distributed Natural Gas Generation Facilities, and Power Marketers
Section 35.034. Transfer of Assets

Sec. 35.034. TRANSFER OF ASSETS. (a) Unless an electric utility receives commission approval under Subsection (b), the utility may not sell or transfer a facility to an affiliate or otherwise consider the facility to be an eligible facility as defined by federal law if on May 27, 1995, the utility had a rate or charge in effect:
(1) for or in connection with the construction of the facility;
(2) for electric energy produced by the construction of the facility; or
(3) for electric energy produced by the facility other than a portion of a rate or charge that represents recovery of the cost of a wholesale rate or charge.
(b) The commission, after notice and hearing, may allow an electric utility to sell or transfer a facility governed by Subsection (a) to an affiliate or otherwise allow the facility to become an eligible facility only if the transaction:
(1) will benefit ratepayers of the utility making the sale or transfer;
(2) is in the public interest; and
(3) otherwise complies with state law.
(c) For purposes of this section, "electric utility" does not include a river authority.
Acts 1997, 75th Leg., ch. 166, Sec. 1, eff. Sept. 1, 1997. Amended by Acts 1999, 76th Leg., ch. 405, Sec. 20, eff. Sept. 1, 1999.