Texas PUC's Anderson: By Shopping, Paying Less Than Last Regulated Rate

During a discussion on the Power to Choose website at yesterday's open meeting (see related story today), Texas PUC Commissioner Kenneth Anderson noted that, since he has been shopping, he has used the site to obtain an electric rate for his home located in the Oncor service area that is well-below the last regulated rate at Oncor

"Notwithstanding the so-called reports that are put out by certain groups about the average cost [in the choice areas]," Anderson noted that, "As long as I've been shopping, more than a decade now, I've been paying less than the last regulated rate [at Oncor] by a considerable margin."

The last regulated Oncor rate, from 2001, was 9.7¢/kWh

"I haven't paid that since I started shopping," Anderson said

"Anybody who's paying an average of the high and low prices isn't shopping," Anderson said

PUC Chair Donna Nelson, who lives in an area without choice [in prior open meetings Nelson has referenced residing in the Pedernales Electric Cooperative service area, but she did not cite a provider by name yesterday], said that she pays about 11¢, and quipped that Commissioner Brandy Marty Marquez, "doesn't know what she pays [at Austin Energy] because it's so hard to figure out."

"I pay whatever the City of Austin budgets for their annual budget," Marquez cracked

Anderson, who also maintains a residence in Austin, noted that 40% of his Austin bill has nothing to do with electricity, at least in the winter

Though not cited by name, Anderson's remark about recent pricing reports references the Texas Coalition for Affordable Power's recent report (click here for coverage on RetailEnergyX.com)

Direct Energy released a statement countering TCAP's conclusions, stating:

"The TCAP report is based on EIA data that is nearly two years old and not reflective of the innovative product and services available to consumers today in the competitive market. Statewide EIA data is not indicative of pricing in areas open to competition. As a result, TCAP's comparison of the regulated market to the competitive market is flawed. Furthermore, any report or conversation focused solely on price is missing the point of competition all together. For example, the TCAP report doesn't look at the emergence of bundled products that have come to market since 2014, or other tools that allow customers to monitor their usage. For example, in 2015 alone, 46% of customers who enrolled for service with Direct Energy chose a bundled product with a smart thermostat or a piece of mind protection plan for home HVAC, electrical and plumbing services.

"Whether you want a lower price, more insight into your usage, or bundled products that deliver tools to manage your energy, the competitive market is giving customers what they need."