x
Breaking News
More () »

Austin Energy says re-pricing of ERCOT energy prices during winter storms would negatively impact customers

If re-pricing were to occur, Austin Energy said costs would be unfairly shifted to customers.

AUSTIN, Texas — On Wednesday, Austin Energy filed comments with the Public Utility Commission of Texas (PUC) in opposition of the re-pricing of the Electric Reliability Council of Texas' (ERCOT) wholesale prices during the winter storms last month.

According to the local energy provider, retroactive price changes would harm customers because Austin Energy would not be compensated for costs incurred to generate the power needed to keep the grid running during the emergency.

Austin Energy said generation assets help keep rates stable for customers. Any revenue earned through this generation is then used to lower the power supply adjustment on customers' bills. If re-pricing were to occur, it said costs would be unfairly shifted to customers.

"Austin Energy made difficult operational decisions throughout this winter storm event, during a time of unprecedently high natural gas prices, to ensure the stability of the grid based on energy prices in effect under the PUC’s order," the provider said in a press release on Wednesday. "These prices were not the result of an ERCOT system 'error' but were intentionally set to maintain the stability of the system and provide the appropriate pricing signals to ensure sufficient generation remained online as load was restored and conditions remained tight."

Today, Austin Energy manages a large and diverse generation resource portfolio, functions as a transmission and distribution utility, and provides retail electricity service to over 500,000 residential, commercial and industrial customers. It is a not-for-profit, municipally owned utility.

PEOPLE ARE ALSO READING:

Austin officer who shot Mike Ramos indicted for murder

Kyle police give all-clear after reports of active shooter hoax on Brazos Lane

Phase 1C will begin in Texas by adding vaccine eligibility to those 50 and up

Before You Leave, Check This Out