By: Landgraf, Reynolds (Senate Sponsor - Birdwell) H.B. No. 2361          (In the Senate - Received from the House May 3, 2021;   May 10, 2021, read first time and referred to Committee on Natural   Resources & Economic Development; May 21, 2021, reported favorably   by the following vote:  Yeas 9, Nays 0; May 21, 2021, sent to   printer.)Click here to see the committee vote     A BILL TO BE ENTITLED   AN ACT     relating to the new technology implementation grant program   administered by the Texas Commission on Environmental Quality.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 391.002(b), Health and Safety Code, is   amended to read as follows:          (b)  Projects that may be considered for a grant under the   program include:                (1)  advanced clean energy projects, as defined by   Section 382.003;                (2)  new technology projects that reduce emissions of   regulated pollutants from stationary sources;                (3)  new technology projects that reduce emissions from   upstream and midstream oil and gas production, completions,   gathering, storage, processing, and transmission activities   through:                      (A)  the replacement, repower, or retrofit of   stationary compressor engines;                      (B)  the installation of systems to reduce or   eliminate the loss of gas, flaring of gas, or burning of gas using   other combustion control devices; or                      (C)  the installation of systems that reduce   flaring emissions and other site emissions [by capturing waste heat   to generate electricity solely for on-site service]; and                (4)  electricity storage projects related to renewable   energy, including projects to store electricity produced from wind   and solar generation that provide efficient means of making the   stored energy available during periods of peak energy use.          SECTION 2.  Section 391.205(a), Health and Safety Code, is   amended to read as follows:          (a)  Except as provided by Subsection (c), in awarding grants   under this chapter the commission shall give preference to projects   that:                (1)  involve the transport, use, recovery for use, or   prevention of the loss of natural resources originating or produced   in this state;                (2)  contain an energy efficiency component;                (3)  include the use of solar, wind, or other renewable   energy sources; [or]                (4)  recover waste heat from the combustion of natural   resources and use the heat to generate electricity; or                (5)  reduce flaring emissions and other site emissions.          SECTION 3.  Section 391.301, Health and Safety Code, is   amended to read as follows:          Sec. 391.301.  RESTRICTION ON USE OF GRANT. A recipient of a   grant under this chapter must use the grant to pay the incremental   costs of the purchase, lease, or [and] installation of the project   for which the grant is made, which may include reasonable and   necessary expenses for the labor needed to install   emissions-reducing equipment.  The recipient may [not] use the   grant for the costs of operating and maintaining the   emissions-reducing equipment.          SECTION 4.  The changes in law made by this Act apply only to   a Texas emissions reduction plan grant awarded on or after the   effective date of this Act.  A grant awarded before the effective   date of this Act is governed by the law in effect on the date the   award was made, and the former law is continued in effect for that   purpose.          SECTION 5.  This Act takes effect September 1, 2021.     * * * * *