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Impact On Customer Choice To Be Considered In El Paso's Texas CCN Case For New Generation
February 10,2020 Both El Paso Electric and Texas PUC Staff have recommended that, as is customary in such cases, the impact on customer choice from EPE's proposed new 228 MW natural gas-fired unit to be constructed at EPE's existing Newman Generating Station be considered as an issue in evaluating whether to grant EPE's application for the unit PUC Staff recommended the following in a proposed list of issues, among other issues: "What effect, if any, would approval of the CCN have on the implementation of customer choice in the applicant's service territory, particularly on how the utility would mitigate market power and achieve full customer choice, including specific alternatives for constructing additional transmission facilities, auctioning rights to generation capacity, divesting generation capacity, or any other measure that is consistent with the public interest? See PURA § 39.402(c)." EPE recommended the following in a proposed list of issues, among other issues: "What effect, if any, would approval of the CCN have on the implementation of customer choice in EPE's service territory?" As only reported by RetailEnergyX.com, EPE said in its application that the addition of Newman Unit 6 would not impact the implementation of retail competition in EPE's service area
A witness for EPE had said, "Under PURA Section 39.553 and 16 TAC § 25.421, 'Transition to Competition for a Certain Area Outside the Electric Reliability Council of Texas Region,' (EPE Competition Rule) the timeline for implementation of retail competition in EPE's service territory is dependent upon completion of a five-stage process, the first of which is development, approval and operation of a regional transmission organization ('RTO') for the EPE region. While EPE is an active participant in the development of WestConnect which may result in the formation of an RTO, no plan is in place to form or request FERC approval of an RTO. Approval of a CCN for the proposed generating unit will not affect the development of an RTO in which EPE could participate. The approval of this CCN will also not affect any subsequent stage toward full retail competition in EPE's service area."
Docket 50277
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