PUCT Commissioner Sides with Co-ops against City

PUCT Commissioner Sides with Co-ops against City

Feb 9, 2017

by Margarita Fournier; Copyright 2016 by Competitive Assets, LLC.  All rights reserved

For the 2/9/17 open meeting, Commissioner Anderson filed a memo, detailing his position in a case pitting two Texas electric co-ops – Brazos and Co-Serv – and the city of The Colony. The main issue in Docket No. 45175, Appeal of Brazos Electric Power Cooperative, Inc., and Denton County Electric Cooperative, Inc., d/b/a CoServ Electric, from an Ordinance of The Colony, Texas, and, in the Alternative, Application for a Declaratory Order, is whether the municipality has the right to prohibit the building of a new substation, as proposed by the two co-ops. The co-ops argue that the city’s ordinance, controlling where they may site their facilities, is an impermissible attempt to regulate their services. In his memo, Commissioner Anderson sided with the co-ops, stating that ‘facilities’ fall under the definition of a transmission service; therefore, based on the applicable statutes, the city’s ordinance is unenforceable.

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