Adjusted Earnings and Adjusted EPS Presentation slide image

Adjusted Earnings and Adjusted EPS Presentation

Texas Legislative Summary Positive legislative reforms should improve ability to reliably serve customers while reducing regulatory lag and supporting increased investment Bill Description SB 1015 (Distribution tracker) HB 2555¹ (System resiliency) SB 1076 (Shortened permit timeline) HB 5066 (Accelerated transmission build) SB 1016 (Total compensation) HB 1500 (Use of mobile gen) Allows for second distribution tracker, including years when a rate case is filed, which is designed to improve filing frequency and efficiency Potential for utility to implement commission-approved resiliency plan with distribution cost recovery via deferred asset or rider Shortens timeline to approve certificate of convenience + necessity applications from 365 to 180 days Directs ERCOT + PUCT to develop plans for transmission build out to serve high growth areas, including Permian Basin Presumes certain non-officer employee compensation expenses are reasonable + necessary when supported by market studies Expansion of, and clarity for, uses of mobile generation leased by T+D utilities during power outages 1. Subject to PUCT rulemaking before utilities can begin to file plans and recover under it. SEMPRA | 15
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