Texas Public Utilities Commission issuing moratorium on customer disconnects for non-payment for investor owned utilities

UPDATED AT 8:50 P.M.: This article was updated at 8:50 p.m. after a press release was issued by TPUC. The story clarifies that the order only applies to investor owned utilities, something Governor Abbott did not mention in his press conference. A copy of the original story has been kept below for transparency. 

The Texas Public Utilities Commission ordered the immediate suspension of electricity disconnections for non-payment until further notice, including ordering utilities not to process disconnection for investor owned utilities in Texas (namely Oncor, AEP, CenterPoint, and TNMP). The orders do not apply to municipal owned utilities or electric cooperatives that are not within the PUC’s jurisdiction. 

The Commission strongly urged retail electric providers to delay invoicing for residential and small commercial electricity customers, including invoices with estimated meter reads

“Our absolute top priority as a commission and a state is protecting electricity customers from the devastating effects of a storm that already affected their delivery of power,” TPUC Chairman DeAnn Walker said in a press release. “The order and directives are intended to be temporary, likely through the end of this week, to address the potential financial impacts that are especially challenging during this extremely difficult time.”

Reports began surfacing over the weekend of Texans seeing thousands of dollars in electric bill charges due to the increased demand during the winter storm. The wholesale price of electricity shot up, leaving customers in variable rate municipalities on the hook for pricing measured at 110,000 percent the normal cost. 

LPR reached out to the City of Lockhart, which is a municipal utility, on Saturday Feb. 20 to get details on how the price spike will effect residents electric bills. A city official is expected to get back to LPR on Monday Feb. 22. 

Bluebonnet Electric, which is an electric co-op that serves most of the rural areas of Caldwell County, issued the following statement on Feb. 20: “Bluebonnet Electric Cooperative’s electric rates will not increase as a result of February’s extreme weather in the same way that some Texans will experience according to media reports. Bluebonnet has power supply contracts in place that are meant to protect our members from price volatility in the ERCOT wholesale power market.”

It is important to note that increased usage will effect your electric bill. If you used more electricity during the storm to keep your home warm, you will likely see a larger bill. But you will not pay more per kw/h, which was the issue seen in other areas.

Governor Greg Abbot said in a Sunday press briefing in San Antonio that he called an emergency meeting of the Texas Legislature on Saturday, urging legislators to begin the legislative process to shield families from unreasonable bills. 

“Texans who have suffered through days of freezing cold without power, should not be subjected to skyrocketing energy bills due to a spike in the energy market,” Governor Abbot said. 

Abbott reported the bill is being fast-tracked and hopes to have something on his desk by this week. 

The copy below was the originally published story. It has since been updated.

By Kristen Meriwether, Editor LPR

At a press conference on Sunday in San Antonio, Texas Governor Greg Abbott said the Texas Public Utilities Commission (TPUC) was meeting and is expected to issue a moratorium on customer disconnects for non-payment. As of this writing a press release or public comment by the TPUC has not been made on the issue. 

The governor also said TPUC would restrict electric providers from sending customers invoices at this time. 

“This pause will give them time to address the electric and power billing challenges that Texans are seeing,” Governor Abbott said. 

Reports began surfacing over the weekend of Texans seeing thousands of dollars in electric bill charges due to the increased demand during the winter storm. The wholesale price of electricity shot up, leaving customers in variable rate municipalities on the hook for pricing measured at 110,000 percent the normal cost. 

LPR reached out to the City of Lockhart, which has their own electric co-op, on Saturday Feb. 20 to get details on how the price spike will effect residents electric bills. A city official is expected to get back to LPR on Monday Feb. 22. 

Bluebonnet Electric, which serves most of the rural areas of Caldwell County, issued the following statement on Feb. 20: “Bluebonnet Electric Cooperative’s electric rates will not increase as a result of February’s extreme weather in the same way that some Texans will experience according to media reports. Bluebonnet has power supply contracts in place that are meant to protect our members from price volatility in the ERCOT wholesale power market.”

It is important to note that increased usage will effect your electric bill. If you used more electricity during the storm to keep your home warm, you will likely see a larger bill. But you will not pay more per kw/h, which was the issue seen in other areas.

The Governor is also said he called an emergency meeting of the Texas Legislature on Saturday, urging legislators to begin the legislative process to shield families from unreasonable bills. 

“Texans who have suffered through days of freezing cold without power, should not be subjected to skyrocketing energy bills due to a spike in the energy market,” Governor Abbot said Sunday. 

Abbott reported the bill is being fast-tracked and hopes to have something on his desk by this week.