Texas PUC Directs TDUs To Take Actions Concerning Demand Reading, Charges To REPs & Customers From Weather Event Cold Load Pickup (Cancels/Rebills)

In response to a petition from the ERCOT TDUs, the Texas PUC issued an order directing TDUs to take certain actions to mitigate demand charges and related issues that customers would otherwise incur due to cold load pickup at the time of service restoration from the winter weather event

A written order was not immediately available, but the PUC generally granted the relief sought by the TDUs, as the PUC directed, for the period Feb. 15-19, the following:

a. The ERCOT TDUs may adjust downward, if timely and reasonably possible, the billing demand for the Extreme Cold Weather Period included in their demand billings to Retail Electric Providers (REPs).

b. For rate classes that may be subject to a demand ratchet, the ERCOT TDUs may eliminate the demand readings during the Extreme Cold Weather Period from future demand ratchet calculations for customers in such classes.

c. To the extent the rate class a customer takes service under is determined in whole or in part by its peak demand, the ERCOT TDUs may remove the demand readings during the Extreme Cold Weather Period from rate re-classification analyses.

d. To the extent that an ERCOT TDU has processed invoices, applied a demand ratchet, or re-classified a customer to a different rate class based upon demand recorded during the Extreme Cold Weather Period, the ERCOT TDU may reverse such actions. Although the PUC's written was not immediately available, it is expected such granted authority to reverse such actions will include authority to cancel and re-bill invoices to REPs.