🔴Relating to risk mitigation planning and associated liability for providers of electric service; providing an administrative penalty.
HB 145
🔴 HB 145: Utilities Can Avoid Lawsuits by Filing Wildfire Plans
What it says it does:
The bill requires electric utilities to create and submit wildfire mitigation plans to the Public Utility Commission. It claims to reduce fire risk by promoting better planning, vegetation management, and emergency response.
What it actually changes:
Once a utility's plan is approved, it can be used as a legal defense in court. Even if a wildfire occurs, the utility cannot be held liable unless a victim can prove gross negligence or intent. Utilities are also allowed to self-insure instead of purchasing wildfire insurance.
Who is pushing for it:
Major utility companies including Oncor, AEP Texas, Entergy, Xcel, and Vistra. Industry groups like the Association of Electric Companies of Texas and Texas Electric Cooperatives also supported it. Texas Association of Manufacturers backed the bill as well.
Who benefits:
Large electric utilities gain liability protection and cost savings by avoiding commercial insurance. The PUC gains more control over plan approvals. Manufacturers and large energy users benefit from a more lawsuit-resistant grid.
Who gets left out or exposed:
Rural landowners, small towns, and fire victims who now face a higher legal burden when seeking compensation. Local fire departments and emergency responders bear the cost of utility-caused fires with limited recourse.
Why this matters long term:
This bill shifts accountability from the courts to a state agency and replaces legal responsibility with paperwork. It opens the door to similar carveouts in other industries and weakens Texans’ ability to hold monopolies accountable after disasters.
What to watch next:
Watch for future bills using the same “submit a plan, avoid liability” approach in industries like pipelines, chemical storage, or telecoms. Also track whether utilities publicly disclose or update their wildfire plans over time.
Bottom line:
HB 145 is framed as fire prevention, but it’s really about lawsuit prevention. It lets utilities write their own shield against liability, with little transparency and no guarantee the plan will protect anyone but themselves.