PUCT assesses $­617,037 in penalties for electric rule violations

AUSTIN The Public Utility Commission of Texas (PUCT) assessed $568,700 in penalties, secured $28,337 in market refunds, and required a $20,000 donation to a customer bill assistance program for violations of electric rules at its open meeting Oct. 3. The Commission has primary oversight and economic regulatory authority over the state’s electricity, water, and telecommunications industries.

The Commission approved settlement agreements in six separate dockets:

  • Docket No. 56560: A settlement agreement with a retail electric provider (REP) for rule violations related to disconnection of service during an extreme weather emergency (16 Texas Administrative Code (TAC) § 25.483(j)). The REP agreed to pay an administrative penalty of $91,500.
  • Docket No. 56603: A settlement agreement with an electric utility for rule violations related to reliability and continuity of service standards in 2022 (16 TAC § 25.52). The utility agreed to pay an administrative penalty of $29,000.
  • Docket No. 56683: A settlement agreement with an electric cooperative for rule violations related to inaccurate telemetering communications with ERCOT (PURA § 39.151(j); 16 TAC §§ 25.503(e)(3), (f)(2), (f)(6), and (f)(8); and ERCOT Nodal Protocols § 6.4.6(1)), which resulted in excess payments received by the cooperative. The cooperative agreed to pay the excess earnings, amounting to $28,337, back to the market.
  • Docket No. 56708: A settlement agreement with a solar generation company for rule violations related to system reliability and continuity of service in 2022 (PURA § 38.005, 16 TAC § 25.52, and ERCOT Nodal Operating Guide §§ 2.92(2) and 2.9.1(8)). The generation company agreed to pay an administrative penalty of $75,000.
  • Docket No. 56821: A settlement agreement with a REP for rule violations related to the adjustment, placement, and removal of switch-holds (16 TAC § 25.480). The REP agreed to pay an administrative penalty of $323,100.
  • Docket No. 56890: A settlement agreement with a REP for rule violations related to the issuance and format of customer bills (16 TAC § 25.479(b)(1)). The REP took internal corrective action to prevent future violations and agreed to pay a $50,100 administrative penalty and make a $20,000 donation to a customer bill assistance program.

Administrative penalty payments are made to the PUCT and are ultimately deposited into the state’s general fund. Typically, payments must be made within 30 days of the signed final order.

A recording of this week’s open meeting is available here on the PUCT website. The next PUCT open meeting is scheduled for Thursday, Oct. 24, 2024.