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Texas Bill Would Authorize PUC To Bar Bad Actors From Market

February 26,2015



A bill (SB 777) has been filed with the Texas legislature that would explicitly grant the Public Utility Commission of Texas with the following authority:

"If the commission suspends, revokes, or amends a retail electric provider's certificate under Subsection (a) [of Section 39.356 of the Utilities Code], the commission may, after notice and opportunity for hearing, prohibit a principal or officer of the retail electric provider from participating in the retail electric market in Texas through ownership of or employment by a retail electric provider."

Although the Commission can review each REP's application for various managerial and technical competence, and deny application on the lack of such competence, there has been concern that PURA does not explicitly grant the PUCT with authority to issue a blanket prohibition on an individual from participating in the market

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