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Update: Texas Co-op Disputing Area With AEP Texas Now Says, If Resolution On Dispute Cannot Be Reached, It "Does Not See Any Option" Other Than Transferring Customers Currently Served By REPs

September 25, 2018

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Copyright 2010-17 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

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Rio Grande Electric Cooperative, Inc. (Rio Grande or RGEC), which as previously reported recently affirmed in a response to an RFI that it was not seeking to transfer customers away from AEP Texas (and the customers' selected retail electric providers) as a result of the service area dispute, Rio Grande has now amended such RFI response to state that, if a resolution with AEP Texas cannot be reached, "RGEC does not see any option other than to transfer customers."

As first reported by EnergyChoiceMatters.com, Rio Grande Electric Cooperative (RGEC) had originally sought an order from the Public Utility Commission of Texas requiring AEP Texas to cease providing service to customers in RGEC's singly certificated area, which RGEC alleged included the Uvalde Estate Subdivision (outside of Uvalde, TX) where AEP Texas is currently serving over 100 residences

As previously reported, the PUCT ruled that while AEP Texas has grandfathered rights to serve some of the disputed area, AEP Texas does not currently have the right to serve a portion of the disputed area. The PUCT set forth a second phase of the case to, among other things, determine how to treat any existing customers that are not authorized to be served by AEP Texas (such customers are currently served by REPs with delivery service from AEP Texas)

In a recent RFI response, RGEC said that it has identified at least 88 meters in the area in which the PUCT ruled that AEP Texas is not grandfathered to serve

RGEC initially said in an RFI response submitted in early September that, "RGEC's position is NOT to have customers transferred from AEP to RGEC. RGEC had no desire to disrupt the long-established service that the customers have received who are in RGEC's service territory, but that AEP is serving. While RGEC stands ready and more than willing to serve the customers at issue, it hopes that some sort of resolution can be reached that will ensure continuity of service with AEP, but still recognize RGEC's service territory."

However, RGEC has now amended such RFI response, adding a sentence stating, "However, if a resolution cannot be reached, RGEC does not see any option other than to transfer customers."

RGEC's full response to the RFI now states, "RGEC's position is NOT to have customers transferred from AEP to RGEC. RGEC had no desire to disrupt the long-established service that the customers have received who are in RGEC's service territory, but that AEP is serving. While RGEC stands ready and more than willing to serve the customers at issue, it hopes that some sort of resolution can be reached that will ensure continuity of service with AEP, but still recognize RGEC's service territory. However, if a resolution cannot be reached, RGEC does not see any option other than to transfer customers."

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