Public Utility Fee of Texas agrees to new electrical energy mannequin

WACO, Texas (KWTX) – The Public Utility Fee of Texas, or PUC, met this morning to debate and presumably take motion on a plan to revamp Texas’ electrical energy market.

After the deadly winter storm of 2021 that left 1000’s with out energy, ERCOT, the Electrical Reliability Council of Texas, made adjustments to forestall a future energy grid disaster.

Amongst these was holding extra energy crops in reserve to supply power extra typically.

However Dr. Joshua Rhodes, a analysis scientist on the College of Texas at Austin, says including extra energy crops to the grid hasn’t made it extra dependable.

“Potomac Economics is employed by the state to watch ERCOT,” Rhodes, who holds a Ph.D. in civil engineering, advised KWTX. “The market monitor really put out a report that stated it was costing Texans billions of {dollars} per 12 months, however wasn’t actually meaningfully rising reliability.”

The PUC met right this moment to debate how the fee can create a plan to revamp Texas’ electrical energy market that does make it extra dependable, whereas retaining prices prime of thoughts.

“As we’re choosing doubtlessly technical parameters which might be key options to a market design change, each step of the best way we’re retaining all shoppers in thoughts,” Lori Cobos, one of many PUC commissioners, stated on the assembly.

The fee spent hours deliberating, in the end agreeing to advocate a brand new mannequin by which Texans can purchase and promote electrical energy primarily based on the efficiency credit score mechanism, or PCM.

“This can be a large step for ERCOT,” Peter Lake, the chair for the PUC, stated because the assembly concluded.

It’s an enormous step that Rhodes says will doubtless make electrical energy costlier.

“Electrical energy costs are already elevated for different causes throughout the state,” Rhodes advised KWTX. “The worth of pure fuel is increased than it’s been prior to now, the value of coal is increased than it’s been prior to now. And we get 60% of our electrical energy from these sources. So it’s gonna add to an already rising power worth actuality that we’re in.”

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