Texas currently leads the country in electricity deregulation as well as in wind generation but according to Senator Wendy Davis (D-Ft. Worth) it has failed our constituency." Because of this belief Sen. Davis & Representative Jim Keffer (R-Eastland) have filed Texas Consumer First" legislation that will take deregulation off the market.
According to Davis and Keffer the Texas Consumer First" package of bills would help make electricity more affordable by strengthening competition in the states deregulated electricity market.
We are moving Texas away from a non-competitive deregulation system" Davis stated.
If passed cities would be allowed to contract the electric provider of their choice for every city resident. Those who wanted to a different provider would then need to opt-out for a different electric supplier.
My community talks about this as one of the most frequent issues of concern" said Davis Over half of the phone calls in our office are over residential rates complaints."
The Cities Aggregation Power Project (CAPP) is also in agreement with the bills and prepared extensive studies to show exactly where Texas stands on deregulation benefits.
CAPP claims that not only have the number of electric providers increased since the Texas electric deregulation law in 1999 but prices have increased as well. Energy prices have climbed higher in Texas by a greater percentage than they have in other deregulated states.
The Electric Reliability Council of Texas operator of the Texas power grid continues to have system managing problems according to CAPP.
CAPP also believes that market overhaul by ERCOT remains years behind schedule and almost 900 percent over initial cost projections.
CAPP has said they do not feel the need to call for complete re-regulation but they do believe lawmakers should demand more accountability from ERCOT and force them to abandon their over-budget market renovations. They also desire to give market participants harmed by market abuses and anti-competitive behavior the right to participate in enforcement actions by regulators.
There are those however who see the Texas Consumer First" bills as an infringement on their right to free market principles. They fear giving cities the ability to aggregate and use taxpayer dollars to promote their plan. The inclination would then be towards whats best for the city not the people.
Tax dollars should not be used to compete with the private sector" said Americans for Prosperity State Director Peggy Venable This isnt the appropriate role government."
Americans for Prosperity (AFP) opposes the legislation and believes that the competitive market in Texas is working."
Right now the lowest available retail price for electricity in most parts of Texas is lower than the retail price for electricity before the beginning of competition without even adjusting for inflation" said Venable.
AFP considers the competitive electricity marketplace as good news for Texans. In 2001 the Regulated Rate in North Texas was 9.67 cents and the current Lowest Price is 9.5 cents. The competitive electricity market has produced billions of investment dollars within Texas not to mention thousands of jobs.
Competition is stimulating economic growth in Texas at a time when private sector investment is critically needed and such a competitive structure allows electric generators to bear the investment risks not the customer.
Debate about the bill is now alive as Texans fight to keep the voice and choice theyre entitled to.
