Texas TDU Alleges Retail Provider In Default Under Tariff

CenterPoint Energy Houston Electric, LLC alleged in a filing with the Public Utility Commission of Texas that Enertrade Electric, LLC (Applicant), "is in default to CenterPoint Energy for the payment of delivery services provided under the [delivery] Tariff."

CenterPoint Energy Houston Electric petitioned the PUCT for disbursement of proceeds from Enertrade's letter of credit pursuant to 16 TAC § 25.107(f)(6)(A)(v)

As first reported by EnergyChoiceMatters.com, Enertrade sought to relinquish its REP certificate as it unwound its business and disposed of its customers to another REP (see our story here for details)

CenterPoint Energy Houston Electric alleged in its filing that, "As of February 4, 2019, the total outstanding balance owed by Applicant [Enertrade] to CenterPoint Energy for delivery service under the Tariff is $41,472.04."

CenterPoint Energy Houston Electric alleged in its filing that, "The Outstanding Balance includes a total delinquent balance of $41,472.04 (the 'Delinquent Balance'), and the Delinquent Balance includes a total default balance of $40,555.26 (the 'Default Balance'), as of that date."

"While CenterPoint Energy holds security in the form of a letter of credit from Applicant for purposes of securing Applicant's REP obligation to bill and collect transition charges pursuant to CenterPoint Energy's transition charge rate schedules, CenterPoint Energy holds no cash deposits or any other security from Applicant related to non-transition delivery service charges owed by Applicant," CenterPoint Energy Houston Electric stated in the filing

CenterPoint Energy Houston Electric moved for disbursement of Enertrade's stand-by letter of credit proceeds in the order set out in 16 TAC § 25.107(f)(6)(A). In the alternative, CenterPoint Energy Houston Electric moved for an order from the Commission requiring all future remittances from Applicant's retail customers be paid directly into a dedicated account controlled by CenterPoint Energy Houston Electric, pursuant to Section 4.6.2.1(5)(A) of the delivery Tariff, up to the Outstanding Balance.