CenterPoint customers to see rate hike as utility recovers $200M spent on emergency generation
seeks to recoup $200 million in costs
It’s among the first cases in which the PUC has considered emergency generation in a transmission and distribution company’s rate base, the fixed monthly fee passed onto customers, and it gave the verbal OK in anSandra Haverlah, president of the nonprofit advocacy group Texas Consumer Alliance, said every time a utility adds a cost to the rate base, there should be robust public engagement and significant analysis of alternatives, and CenterPoint’s lease of emergency mobile generators didn’t...
Jason Ryan, the company’s executive vice president of regulatory services and government affairs, said the company worked with PUC staff to spread out the cost of the mobile generators over time so it would represent less than a $1 dollar increase of the rate base on monthly bills. Concerns were raised about the CenterPoint deal as soon as the company included it in the cost recovery request to the PUC in April of last year, but mostly through filings from trade groups and others who watch the electricity market closely. Haverlah said there’s a very slim window for the public to make comments, and it’s challenging for consumers to learn how that process even works.
The mobile units are meant to be used in emergencies, when customers are in jeopardy of going days without power because of an intense weather event, CenterPoint’s Ryan said.
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