“Texas Justices OK Electric Companies’ Pollution Exemptions”
The Texas Supreme Court on Friday determined that the Texas Commission on Environmental Quality did not have the authority to deny a property tax exemption for electric companies that operate heat recovery steam generators, which are devices the Legislature has deemed “pollution control property.”
…Melissa M. Davis of Thompson & Knight LLP, who represents Brazos Electric, said she was pleased with the ruling in favor of her client, describing the process of overturning the administrative ruling from TCEQ against it as a “ long uphill battle.” She expressed skepticism that the TCEQ will chose to exercise its authority to remove HRSGs from the list of equipment that qualifies for an exemption.
“I really think one of the reasons they haven’t done that is because they have to show that the equipment isn’t environmentally beneficial,” she said. “And that’s going to be hard to do because that’s by their nature what they do — reduce pollution through increased efficiency.”