By: Troxclair H.B. No. 5569       A BILL TO BE ENTITLED   AN ACT   relating to fire safety standards and emergency operations plans   for the operation of battery energy storage.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Subtitle B, Title 4, Utilities Code, is amended   by adding Chapter 187 to read as follows:   CHAPTER 187.  BATTERY ENERGY STORAGE FIRE SAFETY          Sec. 187.001.  DEFINITIONS. In this chapter:                (1)  "Battery energy storage" means a battery energy   storage facility or battery energy storage equipment considered to   be a generation asset under Section 35.152(a) and operated inside   or outside the ERCOT power region.                (2)  "Battery operator" means an electric cooperative,   an electric utility, or a power generation company that owns or   operates battery energy storage.                (3)  "Electric cooperative" and "municipally owned   utility" have the meanings assigned by Section 11.003.                (4)  "Electric utility" and "power generation company"   have the meanings assigned by Section 31.002.          Sec. 187.002.  FIRE SAFETY STANDARDS FOR BATTERY ENERGY   STORAGE. (a)  The state fire marshal shall adopt and periodically   update fire safety standards and testing requirements for battery   energy storage.  The standards and requirements must be based on:                (1)  model code requirements for battery energy storage   equipment or facilities; and                (2)  minimum standards related to the design, safety,   and installation of stationary energy storage systems established   by the National Fire Protection Association, such as NFPA 855.          (b)  Each battery operator or municipally owned utility that   owns or operates battery energy storage shall ensure that the   storage meets the fire safety standards and testing requirements   adopted by the state fire marshal under Subsection (a) at the time   of interconnection.          (c)  Unless expressly authorized by another statute, a   municipality or county may not adopt, enforce, or maintain an   ordinance, order, or rule regulating conduct in a field of   regulation that is inconsistent with the fire safety standards and   testing requirements adopted by the state fire marshal.  An   ordinance, order, or rule that violates this subsection is void and   unenforceable.          (d)  On request by a municipality in which battery energy   storage is located, or a county in which battery energy storage is   located if the storage is in an unincorporated area, a battery   operator that owns or operates the battery energy storage shall, at   the battery operator's expense, contract with an independent,   third-party engineer licensed in this state or other consultant   with appropriate expertise to:                (1)  evaluate the design, safety, and installation of   the battery energy storage before the start of commercial   operations to ensure compliance with the requirements of this   section;                (2)  produce a written report that:                      (A)  includes the evaluation;                      (B)  identifies any noted deficiencies in   compliance with the standards adopted by the state fire marshal;   and                      (C)  recommends appropriate actions to correct   deficiencies; and                (3)  provide the written report described by   Subdivision (2) to the requesting municipality or county.          (e)  The battery operator must make available to the engineer   or consultant and the requesting municipality or county the   following documents if held or created by the battery operator:                (1)  documents relating to the site layout;                (2)  the emergency operations plan described by Section   187.003;                (3)  a hazard mitigation analysis for the battery   energy storage;                (4)  any manufacturer specifications for the battery   energy storage;                (5)  a UL 9540A report and any UL listings and   associated documentation for the battery energy storage;                (6)  National Fire Protection Association standards,   including any associated documentation, for the battery energy   storage;                (7)  electrical drawings for the battery energy   storage;                (8)  monitoring procedures for the battery energy   storage;                (9)  alarm activation criteria for the battery energy   storage; and                (10)  fire protection system documentation for the   battery energy storage.          (f)  At least once every three years, each battery operator   shall contract, at the battery operator's expense, with an   independent, third-party engineer licensed in this state or other   consultant with appropriate expertise to produce a fire safety   inspection report for the battery operator's battery energy storage   and provide the report to the municipality in which the storage is   located or to the county in which the storage is located if the   facility or equipment is in an unincorporated area.  The report   must:                (1)  include an evaluation of:                      (A)  the structural integrity and weatherproofing   of any enclosure at the site of the storage;                      (B)  the maintenance schedule and any associated   documentation for the storage;                      (C)  the emergency operations plan described by   Section 187.003;                      (D)  any hazard mitigation analysis for the   storage;                      (E)  any monitoring procedures and monitoring   history for the storage;                      (F)  fire protection system inspection and   testing records for the storage; and                      (G)  the ventilation systems of the storage; and                (2)  identify any noted deficiencies and recommend   appropriate actions to correct deficiencies.          Sec. 187.003.  EMERGENCY OPERATIONS PLANS FOR BATTERY ENERGY   STORAGE. (a)  In this section, "first responder" has the meaning   assigned by Section 78B.001, Civil Practice and Remedies Code.          (b)  This section applies only to a battery operator or a   municipally owned utility that owns or operates battery energy   storage, whether standalone or colocated with another generation   asset.          (c)  A battery operator or a municipally owned utility to   which this section applies shall produce a site-specific emergency   operations plan for each battery energy storage site owned or   operated by the battery operator or utility.  The site-specific   emergency operations plan must include:                (1)  an identification of potential risks and hazards   specific to the site;                (2)  a hazard mitigation analysis;                (3)  procedures for the safe shutdown, de-energizing,   or isolation of equipment and systems under emergency conditions,   including emergency procedures to be followed in case of fire;                (4)  procedures for handling equipment damaged in a   fire or other emergency event;                (5)  procedures and schedules for conducting drills   using the procedures listed under this subsection and documentation   related to the performance of the drills;                (6)  procedures for communication between the operator   of the storage and first responders, including procedures that   facilitate communication between first responders and emergency   contacts designated by the operator of the storage; and                (7)  emergency operations protocols to ensure safety   during critical events, including protocols that provide for the   safety of:                      (A)  nearby residents;                      (B)  neighboring properties;                      (C)  first responders; and                      (D)  the environment, including measures to   mitigate or prevent pollution of air, soil, groundwater, or surface   water.          (d)  The battery operator or municipally owned utility   shall:                (1)  before starting commercial operations, provide   the site-specific emergency operations plan developed under   Subsection (c) to the local first responder that is responsible for   providing fire protection services in the area in which the battery   energy storage is located; and                (2)  maintain materials safety data sheets or   comparable documents and the site-specific emergency operations   plan developed under Subsection (c) at an on-site location   accessible to personnel responsible for the operations and   maintenance of the battery energy storage and first responders.          (e)  The battery operator or municipally owned utility shall   offer to local first responders, at no cost to the responders,   education and annual training regarding responding to an equipment   failure incident at the battery energy storage site, including:                (1)  training on specific characteristics of battery   energy storage technology;                (2)  training on protecting first responders during   incident response;                (3)  training on hazards commonly associated with   incident response;                (4)  training on incident response protocols,   including an overview of the site-specific emergency operations   plan developed under Subsection (c); and                (5)  an on-site review of the perimeter, major   equipment, and ingress and egress to the battery energy storage   site.          SECTION 2.  Sections 187.002 and 187.003, Utilities Code, as   added by this Act, apply only to battery energy storage facilities   or equipment for which interconnection is approved by the   independent system operator of jurisdiction on or after January 1,   2027.          SECTION 3.  This Act takes effect September 1, 2025.