A report from ERCOT's independent market monitor is raising questions over the costs of power reserve programs designed to shore up Texas' power grid...
“The economic assessment by the independent market monitor at a minimum raises important questions: Is this the cost of a reliable grid from now on?” said Dallas state Sen. Nathan Johnson.
Grid regulators insist that the increased costs are the price of a reliable power grid in the wake of the 2021 blackouts. But the eye-popping $8 billion cost raises questions about its efficiency and whether the increases are too much for consumers and could threaten the state’s sustained economic growth.Following the winter storm, the Public Utility Commission and ERCOT assumed a more “conservative” posture toward resiliency in the grid.
Residential consumers and small businesses shouldn’t see any immediate impact from the cost increase, though those electricity costs will eventually trickle down to monthly electric bills. But large scale industrial users that often negotiate their power prices directly with providers could see operating costs increase dramatically.
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