PUCT Staff: NextEra-Oncor Deal Needs More Consumer Protections

PUCT Staff: NextEra-Oncor Deal Needs More Consumer Protections

Feb 27, 2017

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

On 2/27/17, UtilityDIVE highlighted a filing the PUCT staff made on 2/13/17, in the NextEra’s case to acquire Oncor. The staff’s Statement of Position, filed in Docket No. 46238, shows that they “believe additional consumer protections need to be put in place before regulators sign off on NextEra’s plan to purchase Oncor Electric Delivery Co., the largest utility in the state. NextEra Energy has significant merchant generation, which staff said carries ‘much more risk than that of a T&D utility,’ particularly if protective ring-fencing keeping Oncor at distance from the parent company is removed. Last month the Federal Energy Regulatory Commission approved NextEra’s plan to purchase Oncor out of the bankruptcy proceeding of its parent company, Energy Future Holdings.”

“Among proposed safeguards, staff said the commission may need to direct NextEra to consider alternatives and seek credit rating assessments to determine whether the commission’s conditions affect credit linkage, any targeted credit rating, or if alternatives exist for maintaining targeted credit ratings.”

(The article also repeats an earlier UD’s conclusion that last year, “the PUC approved a draft preliminary decision approving the deal,” noting the filing of the draft preliminary order in this case in winter of 2016. This, of course, is not the same as an order – even a draft one – that would actually approve the deal, but an order laying out issues to be addressed (or not addressed) in the case.)

Back to Texas Electric News Clips

  • Competitive Assets

    provides information and consulting for the Texas electric utility industry and is the information source relied upon by many retail electric providers, cooperatives, municipalities, generators, power marketers, brokers, aggregators, wires companies, PUCT staff, ERCOT staff, Texas legislators and staff, FERC staff, metering companies, members of the financial community, consumer representatives, and other parties interested in the Texas electric industry..

    For more, click here to visit CompetitiveAssets.com

  • News Services provided by Texas Electric Market Monitor

    Texas Electric Watch

    Texas Electric Policy News

    ERCOT Monitor Reports

    ====================

    For a free trial subscription to any of these 3 news services, please send an email to freetrial. If you are interested in subscribing any of these 3 news services, please click here or call Texas Electric Market Monitor at 512-985-8167

  • Special Reports by Competitive Assets

    How to Prepare Confidential Filings at the PUCT

    ====================

    For more information about this special report, please click here or go to CA Store-Special Reports page.

  • Rate Updates Services

    ERCOT TDU Rate Updates

    Provides updates of approved rates for TDUs in ERCOT in a spreadsheet format, updated twice per month

    If you are interested in subscribing this service, please click here

  • Texas Electric News Daily Email Service is a free service. If you like this news service, please consider supporting this website

  • Texas Electric News Daily Email Sign Up

    Enter your name and email address to receive daily Texas Electric News Clip emails

    ==============================


    By submitting this form, you are consenting to receive marketing emails from: . You can revoke your consent to receive emails at any time by using the SafeUnsubscribe® link, found at the bottom of every email. Emails are serviced by Constant Contact
  • Want to Share Your Opinion with Our Readers?

    Articles or Press Releases may be submitted to Competitive Assets via CAcontact@texaselectricnews.com Please Click Here to see our policy on article submission.

  • Search This Website