| (i) A resiliency plan must define identify and describe
each type of resiliency event and any associated resiliency-related
risks the plan is designed to prevent, withstand, mitigate, or more
promptly recover from. A resiliency event may be defined using an
established definition (e.g., a hurricane) or a plan- or measure-specific
definition based on the risks posed by that type of event to the electric
utility's systems (e.g. flooding of a specified depth). Each type
of resiliency event must be defined with sufficient detail to allow
the electric utility or commission to determine whether an actual
set of circumstances qualifies as a resiliency event of that type.
(ii) If appropriate, one or more magnitude thresholds
must be included in the definition of a resiliency event type based
on the risks posed to the electric utility's systems by that type
of event. A resiliency plan may establish multiple magnitude thresholds
for a single type of resiliency event (e.g., categories of hurricanes)
when necessary to conduct a more granular analysis of the risks posed
by the event and the options available to prevent, withstand, mitigate,
or more promptly recover from them.
(iii) The resiliency plan must include a description
of the system characteristics that make the electric utility's transmission
and distribution systems susceptible to each identified resiliency
event type.
(iv) A resiliency plan must provide sufficient evidence
to support the presence of and risk posed by each identified resiliency
event. The resiliency plan must provide historical evidence of the
electric utility's experience with, if applicable, and forecasted
risk of the identified event type, including whether the forecasted
risk is specific to a particular system or geographic area. In assessing
the presence and risk posed by each resiliency event, the commission
will give great weight to any studies conducted by an independent
system operator or independent entity with relevant expertise.
(C) Evaluation metric or criteria. Each measure in
the resiliency plan must include a proposed metric or criteria for
evaluating the effectiveness of that measure in preventing, withstanding,
mitigating, or more promptly recovering from the risks associated
with the resiliency event it is designed to address.
(i) The resiliency plan must explain the appropriateness
of the selected evaluation metric or criteria.
(ii) For an evaluation metric or criteria that is not
quantitative, the resiliency plan must explain why quantitative evaluation
of the effectiveness of that measure is not possible.
(iii) The resiliency plan must also include an estimate
or analysis of the expected effectiveness of each measure using the
selected evaluation metric or criteria.
(D) If a resiliency plan includes measures that are
similar to other existing programs or measures, such as a storm hardening
plan under §25.95 of this title (relating to Electric Utility
Infrastructure Storm Hardening) or a vegetation management plan under §25.96
of this title (relating to Vegetation Management), or programs or
measures otherwise required by law, the electric utility must distinguish
the measures in the resiliency plan from these programs and measures
and, if appropriate, explain how the related items work in conjunction
with one another.
(E) A resiliency plan must be implemented using a systematic
approach over a period of at least three years. The resiliency plan
must explain this systematic approach and provide implementation details
for each of the plan's measures, including estimated capital costs,
estimated operations and maintenance expenses, an estimated timeline
for completion, and, when practicable and appropriate, estimated net
salvage value (value of the retired asset less depreciation and cost
of removal) and remaining service lives of any assets expected to
be retired or replaced by resiliency-related investments. The resiliency
plan should identify relevant cost drivers (e.g., line miles, frequency
of inspections, frequency of trim cycles, etc.) that would affect
the estimates.
(F) A utility may deviate from the implementation schedule
specified in an approved plan if its independent system operator has
not approved an outage that would be required to timely implement
the plan.
(G) The resiliency plan must include an executive summary
or comprehensive chart that explains the plan objectives, the resiliency
events or related risks the plan is designed to address, the plan's
proposed resiliency measures, the proposed metrics or criteria for
evaluating the plans' effectiveness, the plan's cost and benefits,
and how the overall plan is in the public interest.
(3) An electric utility may designate portions of the
resiliency plan as critical energy infrastructure information, as
defined by applicable law, and file such portions confidentially.
(d) Commission processing of resiliency plan.
(1) Notice and intervention deadline. By the day after
it files its application, the electric utility must provide notice
of its filed resiliency plan, including the docket number assigned
to the resiliency plan and the deadline for intervention, in accordance
with this paragraph. The intervention deadline is 30 days from the
date service of notice is complete. The notice must be provided using
a reasonable method of notice, to:
(A) all municipalities in the electric utility's service
area that have retained original jurisdiction;
(B) all parties in the electric utility's base-rate
proceeding;
(C) if the resiliency plan is filed by an electric
utility operating in an area in Texas that is open to competition
and includes a request for a resiliency cost recovery rider, each
retail electric provider that is authorized by the registration agent
to provide service in the electric utility's service area;
(D) the Office of Public Utility Counsel. Notice delivered
to the Office of Public Utility Counsel must include a copy of the
resiliency plan, excluding critical energy infrastructure information;
and
(E) the independent system operator. Notice delivered
to the utility's independent system operator must include a copy of
the resiliency plan, excluding critical energy infrastructure information.
(2) Sufficiency of resiliency plan. An application
is sufficient if it includes the information required by subsection
(c) of this section and the electric utility has filed proof that
notice has been provided in accordance with this subsection.
(A) Commission staff must review each resiliency plan
for sufficiency and file a recommendation on sufficiency within 28
calendar days after the resiliency plan is filed. If commission staff
recommends the resiliency plan be found deficient, commission staff
must identify the deficiencies in its recommendation. The electric
utility will have seven calendar days to file a response.
(B) If the presiding officer concludes the resiliency
plan is deficient, the presiding officer will file a notice of deficiency
and cite the particular requirements with which the resiliency plan
does not comply. The presiding officer must provide the electric utility
an opportunity to amend its resiliency plan. Commission staff must
file a recommendation on sufficiency within 10 calendar days after
the filing of an amended resiliency plan, when the amendment is filed
in response to an order concluding that material deficiencies exist
in the resiliency plan.
(C) If the presiding officer has not filed a written
order concluding that material deficiencies exist in the resiliency
plan within 14 working days after a deadline for a recommendation
on sufficiency, the resiliency plan is deemed sufficient.
(3) The commission will approve, modify, or deny a
resiliency plan not later than 180 days after a complete resiliency
plan is filed. A resiliency plan is complete once it is deemed sufficient
in accordance with this subsection. The presiding officer must establish
a procedural schedule that will enable the commission to approve,
modify, or deny the plan not later than 180 days after a complete
plan is filed. If the resiliency plan is determined to be materially
deficient, the presiding officer must toll the 180-day deadline until
a complete application is filed.
(4) Commission review of resiliency plan. In determining
whether to approve, deny, or modify a plan, the commission will consider:
(A) the extent to which the plan is expected to enhance
system resiliency, including whether the plan prioritizes areas of
lower performance;
(B) the estimated costs of implementing the measures
proposed in the plan; and
(C) whether the plan is in the public interest. The
commission will not approve a plan that is not in the public interest.
In evaluating the public interest, the commission may consider:
(i) the extent to which the plan is expected to enhance
system resiliency, including:
(I) the verifiability and severity of the resiliency
risks posed by the resiliency events the resiliency plan is designed
to address;
Cont'd... |
