Archive for the ‘ Wholesale ’ Category

ABACCUS Report Cites Texas Electricity Market Design as Most Successful in North America

In the Annual Baseline Assessment of Choice in Canada and the United States (ABACCUS) report  released by the Distributed Energy Financial Group LLC (DEFG), Texas was once again found to be the top competitive market in North America. From the release:

The report identifies North American electricity markets that have successfully restructured to allow direct access or consumer choice and explains the policy choices that led to those successes.

“In Texas we refuse to rest on our laurels and have every intention of remaining number one by continuing to add features in our nation’s leading electricity market,” said Donna L. Nelson, chairman of the Public Utility Commission of Texas. “We keep finding ways to increase customer value in the marketplace through smart grid innovations and ongoing improvements in the shopping experience, just to name a few.”

DEFG found in its research that the Texas retail electricity market is very competitive for all customer classes. Texans in competitive areas are engaging in the market in record numbers and making choices to meet their energy needs. The depth and breadth of retail electricity offers is unparalleled in Texas. Approximately 40 retail energy suppliers compete for residential customers in competitive areas of the state by offering a broad range of products and services designed to meet customers’ needs.

DEFG also noted the innovation in the ERCOT competitive market:

Texas continues to see a surge in consumer‐driven product and service innovation. New smart grid infrastructure investments – advanced meters, mobile communications and control devices, and in‐ home usage displays – allow entrepreneurial retail energy suppliers to develop innovative pricing and service choices.

Read the full release here.


ERCOT Briefing on Latest Challenges & Opportunities

ERCOT President and CEO Trip Doggett spoke today at a legislative staff briefing held by AECT, covering several issues including: resource adequacy, wind generation, demand response and the status of generation following last summer’s drought. Click here to download his presentation from the ERCOT website. It’s also presented below to view online.

EPA data: NO2 and SO2 emissions decreasing rapidly

Based on data from the Environmental Protection Agency, total emissions of nitrogen oxides and sulfur dioxide have fallen substantially since 1980. But what’s especially telling is that those total emissions plummeted between 2008 and 2010, showing a far larger decrease.


In addition to the long-term decreases in these emissions, this data also shows that NOx emissions fell by 20% between 2008 and 2010, while SO2 emissions fell by 30% over the same period. This is partially due to lessened energy usage during times of limited economic growth nationwide, but electric generators have also made billions of dollars in investment nationwide to reduce emissions.

Electricity 101: January 2012 Update

For 2012, we’ve updated Electricity 101, our comprehensive overview of the electric markets in the state. It includes updated information on the wholesale market, retail market, transmission and distribution activities and growth in renewable generation. It also includes a helpful overview of the legislative history that created competition in ERCOT, plus explanations of the differences between regions.

The presentation is shown after the jump, but you can always find the latest version of Electricity 101 by clicking the tab above.

Continue reading

John Fainter in the Statesman: Challenges for reliable power ahead in region

“Texas’ ongoing drought — and despite rains, it continues — has put terrific pressure on many aspects of our economy, not the least of which is the electric power industry. The challenge is unprecedented for an industry that has been one of the most reliable parts of the state’s economy for decades.

“The most immediate concern is whether dwindling water supplies will hurt electric generators’ ability to produce the power we need. Texas continues to add homes, hospitals, factories and offices statewide, not to mention other energy-intensive services like irrigation, drinking water treatment and wastewater treatment.”

Click here to read the rest of AECT’s John Fainter in the Statesman.

AECT Testimony before the Senate Business & Commerce Committee

AECT Testimony before the Senate Business & Commerce Committee

Date: January 10th, 2012

Topic: Drought Impacts on Electric Generation

Charge: Assess the impact of current and anticipated drought conditions on electric generation capacity. Identify those regions of Texas that will be most affected by a lack of capacity. Analyze response plans and make recommendations to improve and expedite those plans.

Good morning to the Chairmen and members, my name is John Fainter. I am here on behalf of the Association of Electric Companies of Texas (AECT) to discuss the impact of current and anticipated drought conditions on electric generation capacity in Texas.

Electric generating companies use water in the cooling process for electricity generation. This water is most often obtained from man-made cooling reservoirs that were constructed for the purpose of providing cooling water to the electric generation. It is non-consumptive use because most of the water is used for cooling, then returned to the cooling reservoirs from which it was obtained.

Electric generating companies have built and developed reservoirs and water infrastructure across Texas and are among the largest private holders of water rights and water contracts in Texas. Generators have made substantial investments to secure water contracts and rights and groundwater resources in advance of actual use to ensure continued operation of existing electric generation units and to promote the development of new generation.

AECT member companies have an outstanding record of stewardship and compliance with water regulations, and routinely conduct rigorous biological monitoring tests at generating facilities. Our companies also practice sound water conservation, restore aquatic habitats, preserve ecosystems and enhance and create valuable wetlands. On many facilities electric generating companies provide public recreation opportunities and provide land for state parks.

Continue reading

ABACCUS report identifies Texas as the competitive retail market leader for the fifth consecutive year.

Annual Baseline Assessment of Choice in Canada and the United States (ABACCUS) Report Highlights Market Growth and Increasing Consumer Benefits from Restructured Retail Electricity Markets

From the release:

States that have opened their electricity markets to retail competition have seen a surge in consumer‐driven product and service innovation compared with states where electricity remains a commodity delivered by monopoly providers, according to the Annual Baseline Assessment of Choice in Canada and the United States (ABACCUS) released today by Distributed Energy Financial Group LLC (DEFG).

According to the 2011 ABACCUS report, commercial and industrial customer choice is thriving and growing in many U.S. states and Canadian provinces because well‐structured retail electric markets foster the introduction of new products and services that are not available in traditional monopoly areas. The report’s scorecard helps policymakers across the U.S. understand how their decisions have helped or hindered the development of competitive retail electricity markets.

“Competition has prompted retail electric suppliers to deliver a growing portfolio of innovative energy management solutions to consumers, and consumers are responding. The overall result is greater control of costs coupled with reduced pressure on regional electricity grids,” said Nat Treadway, DEFG managing partner and lead author of the report. “The results of our 2011 research clearly show that well‐structured, competitive retail electricity markets are delivering new and better services at lower cost than ever before. We are seeing new companies, new investments in local economies, and the development of a new energy services marketplace.”

The ABACCUS report identifies Texas as the competitive retail market leader for the fifth consecutive year.

Click here to read the full release.