Texas ALJ Denies CenterPoint-TDU's Request For Interim DCRF Rates

January 9, 2024

Email This Story
Copyright 2010-23 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

The following story is brought free of charge to readers by VertexOne, the exclusive EDI provider of EnergyChoiceMatters.com

The Chief ALJ of the Texas PUC denied a request from CenterPoint Energy Houston Electric, LLC (CenterPoint or CEHE) for interim Distribution Cost Recovery Factor rates in CEHE's DCRF proceeding in Docket 55993

The request for interim rates had been opposed by retail electric providers and several other parties

The ALJ considered arguments raised by parties and CEHE, but did not specifically discuss, in the ruling denying the request for interim rates, the REPs' arguments

Rather, the ALJ said, "The administrative law judge (ALJ) has read CenterPoint’s and the intervenors’ filings on the issue and is persuaded by the arguments made by the intervenors. Among other things, the ALJ notes that the need for interim rates is much more attenuated in proceedings of this kind (which must be decided within a maximum of 75 days) than it is in a standard rate case (which can take a year or more). Having considered the factors listed in 16 TAC § 22.125(c), the ALJ concludes that CenterPoint has failed to show good cause for the adoption of interim rates. The company’s request for interim rates is, therefore, denied."

As previously reported, several TDUs have sought interim rates in recent DCRF proceedings, arguing that, under changes in PURA accelerating the consideration of DCRF cases by the PUC, interim rates are required in order to provide the required notice to REPs of new rates while maintaining the accelerated case schedule

However, REPs have argued that the accelerated timeline for disposition of DCRF proceedings does not require use of interim rates, and that the required notice period to REPs is a separate clock which only starts after a DCRF rate is approved, not when an application is filed

See our prior story here for more discussion of the REPs' arguments

REPs have stated, "REPs must devote significant time and resources to implement a TDU rate change. Finally, if interim relief is granted, and the Commission approves a rate adjustment different than the interim rates, then the public will see two rate changes within a short period of time. That impact cannot be minimized."

ADVERTISEMENT

ADVERTISEMENT
NEW Jobs on RetailEnergyJobs.com:
• NEW! -- Customer Care Specialist I & II- remote/hybrid -- Retail Supplier
• NEW! -- Pricing Analyst - Retail Power
• NEW! -- Electricity Pricing Analyst -- Retail Supplier
• Business Development Manager -- Retail Supplier
• Call Center Manager -- Retail Supplier

HOME

Copyright 2010-23 Energy Choice Matters.  If you wish to share this story, please email or post the website link; unauthorized copying, retransmission, or republication prohibited.