Category Archives: Admin

CSSB 735 by Hancock: Support Revisions to PUC Ratemaking Oversight of Electric Utilities

 

Overview of CSSB 735 by Hancock

  • Requires the Public Utility Commission of Texas (PUC) to establish a schedule requiring periodic rate cases for electric utilities. Provides the PUC the ability to extend the date for good cause.
  • Eliminates the sunset date on the distribution cost recovery factor (DCRF) as recommended by the PUC, which has been used by electric utilities to more efficiently recover its investment in infrastructure.
  • Removes the four-time limit on an ERCOT utility’s use of the DCRF between rate cases. ERCOT utilities would be allowed to utilize the DCRF only once per year.
  • Extends the time available to the PUC to evaluate a sale, transfer or merger of a utility under its purview by 60 days beyond current statute limitations.

AECT Supports Ratemaking Approaches that Promote a Reliable, Cost-Effective Electric System

  • Efficient ratemaking allows for the timely recovery of the costs of critical investments made to meet the demands of a growing economy and to replace aging infrastructure.
  • The DCRF mechanism has been used several times by electric utilities to more efficiently recover costs over the six years since it was enacted by SB 1693 in 2011, and the PUC recommended its continued use in its 2017 Scope of Competition Report.

Click here to download a PDF of this issue paper

The AECT App

In order to better communicate with legislators, staffers and electric industry professionals in Texas, we’ve launched an app. Simply named after our organization, the AECT App provides easy access to our most recent issue papers, as well as occasional high-priority updates on key legislation.

Download it using a link below, or visit the Apple or Android store and search AECT!

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Staffers Ask: What does [______] mean?

 

“Staffers Ask” is an occasional feature where we attempt to answer burning questions from the Capitol on electricity issues. Got a question? Email info@aect.net

The business of producing, delivering and selling electricity is extraordinarily complex, with constant engineering and economic considerations that inform decisions by market participants.

As with any technical industry, ours is prone to an alphabet soup of acronyms and abbreviations. AECT has developed a glossary to help when learning about the issues that face electric businesses.

Download the glossary here, or scroll below to view it online.

For even more detail, visit ERCOT’s glossary here.

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AECT Adds Policy Expertise With New Hires

 

AUSTIN, Texas – The Association of Electric Companies of Texas announced today the addition of two new policy directors to strengthen the trade association’s leadership on issues facing the electric industry. Erika Akpan and Scott Hutchinson will join AECT this spring.

“After talking with many outstanding candidates, I believe Erika and Scott bring exceptional knowledge of the Capitol, as well as strong histories of legislative leadership,” said Julia Rathgeber, President and CEO of AECT. “This association has a strong reputation with Texas’ regulators and elected officials, and I look forward to furthering that tradition with our new team.”

Since September 2014, Akpan has served as Regulatory and Business Affairs Advisor to House Speaker Joe Straus. She previously worked as Legislative Director for State Senator John Carona, and as Policy Analyst for the Senate Committee on Business & Commerce. She also has significant experience with the Senate Committee on Transportation & Homeland Security.

Hutchinson has been Chief of Staff for State Senator Charles Perry since 2012, advising on a wide array of policy issues and leading Senator Perry’s Texas office, as well as his House office prior to being elected to the Senate. He previously worked in the office of Governor Rick Perry, and for State Senator Brian Birdwell.

“AECT is committed to educating leaders and stakeholders about each aspect of the electric industry in Texas,” said Rathgeber. “We’re adding significant experience through these hires, and I believe we’re strongly positioned to represent our member companies in Austin effectively, with integrity.”

HB 31 and HB 32: AECT Supports the House Tax Plan

TaxReliefTexas.com

HB 31 and HB 32 provide $4.9 billion in savings that benefit Texans throughout the state over the next two years.

  • HB 31 cuts the sales tax rate by 5 percent; it’s the first sales tax reduction in Texas history.
  • HB 32 cuts the business franchise tax rates by 25 percent for all who pay the tax.
  • For many small businesses, the franchise tax rates are cut by 42 percent.

For more detail, download this PDF, and be sure to visit www.taxrelieftexas.com.

Explore the AECT Library

Looking for the latest fact sheets and white papers from AECT?

In the AECT Library, you’ll find information on a wide array of topics related to the electric industry in Texas, including the latest views of AECT on key legislation and regularly updated data on the competitive electric market in the state.