Beginning in 2003 the legislature began diverting money from the System Benefit Fund to support the budget — an accounting move that arguably turned what was a special-purpose fee into a full-fledged tax. It also meant that tens of thousands of low-income Texans ended up paying more for electricity.
Deregulated Electricity in Texas: A History of Retail Competition also reveals that Texans in deregulated areas consistently have paid more for power than Texans outside deregulation. It shows that many big electric companies — after spending years arguing against market intervention — now clamor for price supports.
(Courtesy Texas Energy Report) A key consultant says that that with typical weather patterns, Texans shouldn’t expect a sizable increase in the number of blackouts even if the state’s generation reserves decline somewhat.
When approved by the PUC — and if the companies stick to them — the proposals protect companies against any prosecution for market power abuse.
Under the program, which is open to larger-volume customers, eligible participants will have a half hour to respond to ERCOT requests to reduce electricity usage.
