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SB 2368

Relating to critical infrastructure and utilities, including affiliation with certain foreign entities of certain persons working or participating in the electricity market; authorizing and increasing administrative penalties.

89th Legislature (2025) Introduced by Donna Campbell and 4 co-sponsors

Texas law now bars individuals affiliated with certain foreign entities from electricity market work and increases PUCT penalties for critical infrastructure violations, effective September 1, 2025.

Effective on 9/1/25
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Bill Summary · SB 2368

Legislative bill overview

SB 2368 restricts individuals with affiliations to certain foreign entities from working in or participating in Texas's electricity market and increases administrative penalties for violations of critical infrastructure regulations. The bill creates new compliance requirements for utility sector employees and contractors, with enforcement mechanisms through the Public Utility Commission of Texas (PUCT).

Why is this important

This legislation directly affects workforce access in Texas's power grid sector—a critical infrastructure vital to the state's economic function and public safety. The restrictions could impact hiring practices, employment contracts, and international business relationships in the energy industry while establishing stronger financial deterrents for regulatory violations.

Potential points of contention

  • Definitional clarity: "Affiliation with certain foreign entities" may be broadly interpreted, potentially affecting employees with distant family connections, international business dealings, or dual citizenship, creating uncertainty about who qualifies
  • Economic impact on energy sector: Restrictions could reduce available talent pools, increase compliance costs for utilities, and potentially affect international partnerships or equipment sourcing relationships
  • Due process concerns: The bill's enforcement through administrative penalties raises questions about appeals processes, evidence standards, and how individuals can challenge determinations of prohibited affiliations

Compiled from official sources — confirm details with the bill’s official record.

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