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Another Texas Bill Would Allow Customers To Petition PUC To Set Muni Utility Rates

March 04,2019



Bill H.B. No. 2829 has been introduced into the Texas legislature to allow certain customers at certain municipal utilities to petition Texas PUC to review their rates, and allow the PUCT to set such rates

The bill applies only to a municipally owned utility that:

(1) owns generation assets; and

(2) is not governed by an independent board.

Under the bill, a retail customer or group of customers may file a petition for commission review of current or proposed rates of a municipally owned utility that apply to the petitioning customer or group if the customer or group:

(1) has a non-demand metered total usage of more than 100,000 kilowatt hours per year; or

(2) is served through a demand meter at secondary or primary voltage.

Under any such petition, the PUC shall review the muni's rates to determine if the muni's rates are consistent with the rates available to similarly situated customers in areas of the state that have access to customer choice.

If the PUC determines that the muni's rates are not just and reasonable, the commission shall set rates for the petitioning customer or group that are just, reasonable, and consistent with the rates available to similarly situated customers in areas of the state that have access to customer choice.

The bill is similar to the rate review requirements of SB 1100 (see prior story here), though the language to describe the municipal utilities to which the bill applies differs

Unlike a bill in a prior session, the bill would not allow such petitioning customers to participate in customer choice.

Tags:
Texas   Munis and co-ops  

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