WSJ: Texas Electric Bills Were $28 Billion Higher Under Deregulation

[jackalope48]

Originally Posted by unseengundam

https://www.wsj.com/articles/texas-b...cy-11614612602

Here something I would like to add, the largest Electric Cooperative Generation Brazos, declared bankruptcy because they can't pay the $2.1 billion electric bill.

I expect only one thing guaranteed to happen from this crisis:

Higher Electricity Rates!

Someone needs to cover the $2.1 billion and other billions they Texas aren't paying to the power generation companies! Leading to increased Electric Rate and possibly even Taxes.

The high rates already got charged it's what bankrupted them. You are assuming that because it was charged someone needs to pay. Far poorer people than power plant owners get stiffed in bankruptcy all the time. The cost of producing electricity in Texas didn't increase 1000 fold week before last.

Price gouging is a crime. If any of those guys complain about not getting paid they should give them a few years free rent in Huntsville.

[OutdoorLover]

Originally Posted by move4ward

Or they can winterize their gas plants like Oklahoma, which has lower electric prices than Texas. Oklahoma has a higher percentage of wind power generation than Texas and cheaper electricity.

Yes, clearly there is a model of a better way, right next door.

[txbullsfan]

Originally Posted by move4ward

Or they can winterize their gas plants like Oklahoma, which has lower electric prices than Texas. Oklahoma has a higher percentage of wind power generation than Texas and cheaper electricity.

Sir, why are you bringing facts into this?

[Treasurevalley92]

Originally Posted by EDS_

That option would not be passing the buck.

What else would you call it?

[Treasurevalley92]

Originally Posted by move4ward

Or they can winterize their gas plants like Oklahoma, which has lower electric prices than Texas. Oklahoma has a higher percentage of wind power generation than Texas and cheaper electricity.

Yeah, why is anyone fighting this?

Our system is overly complicated and it doesn't produce the cheapest or best outcome....why are people so emotionally attached to the cronie capitalism solution Texas has just because its Texas.

[riffle]

Originally Posted by jackalope48

The high rates already got charged it's what bankrupted them. You are assuming that because it was charged someone needs to pay. Far poorer people than power plant owners get stiffed in bankruptcy all the time. The cost of producing electricity in Texas didn't increase 1000 fold week before last.

Price gouging is a crime. If any of those guys complain about not getting paid they should give them a few years free rent in Huntsville.

For what it's worth: ERCOT doesn't have a forward capacity market. High peak pricing is the incentive for construction and maintenance of generating capacity to meet peak demand.

I'm not defending the current approach, just pointing out that (like most things) you can't pull out a single card and expect the rest of the tower to keep standing.