Sec. 49.233.  ELECTRIC GENERATION, TRANSMISSION, AND DISTRIBUTION FOR CERTAIN DISTRICTS.  (a)  A district that owns or operates raw water pipelines that convey surface water, groundwater, or both surface water and groundwater, through more than 10 counties for municipal and industrial purposes may:
(1)  develop, generate, transmit, or distribute water power and electric energy inside the district's boundaries for its own use;
(2)  purchase electric energy from any available source for use at a facility the district owns, operates, and maintains inside the district's boundaries;
(3)  enter into an agreement to acquire, install, construct, finance, operate, make an addition to, own, or operate an electric energy generating, transmission, or distribution facility jointly with another person;  or
(4)  sell or otherwise dispose of any of the district's interest in a jointly owned facility described by Subdivision (3).
(b)  A district governed by this section:
(1)  is subject to the transmission line certification provisions of Chapter 37, Utilities Code;
(2)  may not generate electricity by means of hydroelectric generation.
Added by Acts 1999, 76th Leg., ch. 405, Sec. 58, eff. Jan. 1, 2002.