According to Reuters reporting on February 14, 2021 the cost of wholesale electricity spiked 10,000 percent. Pre-storm price was $30 per megawatt hour. It now sells the same commodity at $9000.
The PUC (Public Utility Commission) of Texas has a “UTILI-FACTS” page on “Charges on Your Electric Bill” that would give any accountant fainting spells. No wonder they have their own grid; it’s a racket and the federal system has no relationship.
PUC offers about five different types of rates. Sign onto a long term contract and a consumer won’t pay $9000/kilowatt hour. But, if a Texan felt lucky and opted for the wholesale price moment to moment they could see themselves on the hook for utility payments that will follow them to their grave.
Why waste a good storm on cheap rates when ERCOT has to pay the lawsuits for the dead?
There needs to be a federal investigation into the state, ERCOT and their relationship to consumers. Before this storm there were some federal regulations that would apply like requesting ERCOT to maximize its output. Both Texas and the US Department of Energy asked ERCOT to maximize its output but with the infrastructure collapse there was no capacity to increase.
There is a lot wrong with this paradigm and it is not beneficial to Texans. Playing Russian Roulette with a Texan’s utility bill is a horrible policy, especially when the state government doesn’t even see this coming to warn consumers. Texas needs to formally recognize the climate crisis and prepare its infrastructure accordingly.
