Electricity Company Calls Texas Transmission Law Discriminatory

Sept. 30, 2024, 9:36 PM UTC

An electric transmission developer urged a federal court to block the enforcement of a Texas law that gives existing providers in the state preference to build and operate new lines.

LSP Transmission Holdings II LLC, which is intervening in the case, said preliminary injunction was necessary because the Texas law violates the Commerce Clause of the US Constitution prohibiting discrimination of interstate commerce.

NextEra Energy Capital Holdings Inc. and others claimed in June 2019 that Senate Bill 1938 burdened interstate commerce by keeping out-of-state operators from getting approvals for projects from the state Public Utility Commission.

A Texas federal judge ...

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