A new timeline tells history of the Texas electricity market, from deregulation’s beginning, to phantom tax collections by utilities, to a recent drive by generators to secure multi-billion-dollar subsidies.
Under the bill, the Public Utility Commission will lose the ability to adjust utility rates downward to reflect tax advantages enjoyed by electric utilities. As a result, utilities will gain the ability to charge customers an additional amount for federal income taxes — even in the absence of a greater tax liability by the utility.
Texas electric utilities have collected hundreds of millions from customers for federal income taxes that are not owed to the federal government. Read the statewide media coverage about these shocking phantom taxes.