Texas Faces Power Shortages Possibly 10 Years Out

A new study suggests Texas may have to deal with with power shortages for the next 10 years or so (source:  The Statesman) . These power shortages would happen during peak demand periods each year. So for instance, on a very hot summer or very cold winter you can expect that would be the time when everybody’s power goes out.

This worse case scenario occurs because too many people are demanding electricity at the same time. Combine this increase in demand from an expanding population and economy in Texas with EPA actions preventing coal fired power plants from being built. It isn’t that Texas wants to pollute the environment, kill the elderly and poison small children.

The fact of the matter is that new coal technology allows for clean burning cheap coal to meet demand for electricity and still let everyone have affordable electricity.

It will always sound great to protect the elderly and the children and like you I want to do this as well but when the elderly and children are used in propaganda by green activists to the eventual hardship of every Texas power consumer someone needs to say something.

The Electric Reliability Council of Texas has hired an outside consultant that will be delivering a report on June 1 on how Texas can encourage the construction of new power plants.

Right now wholesale electricity prices are too low to attract investors in new electricity generation plants and you have the EPA to contend with if you mention the word, coal.

Remember at one time TXU was planning to create at least 11 new state of the art coal fired power plants and now look at the situation?

For now Texas must work to get more commercial and industrial customers to agree to interrupt their electricity usage during peak demand times in exchange for payment.

A noteworthy aspect to getting businesses to automate electricity curtailment is that in the process they sometimes create complete backup generation systems that can produce onsite electricity through natural gas and remain completely off the grid long term.

Hopefully we will see more off the grid electricity systems that are built for these individual facilities alleviating Texas electricity demand troubles.

You can learn more about commercial distributed generation systems and implementation in Texas by watching the video below.

Amarillo, Texas Benefits from the New Nodal Market Structure

amarillo texas electric rates

Xcel Energy Services Inc. on behalf of Southwestern Public Service Company is headquartered in Amarillo Texas and is a fully integrated investor-owned electric utility that generates, transmits, distributes, and sells electric energy to approximately 386,000 energy consumers in the Panhandle and south plains of Texas and eastern New Mexico. Amarillo is not within the Texas Electric Reliability Council of Texas footprint. Amarillo Texas is outside the main electric grid that is used by the rest of the state of Texas.

Because Amarillo Texas is a part of the Southwest Power Pool and not ERCOT they are not subject to participate in the advanced meter program ERCOT is doing or the nodal market system that is revamping the ERCOT electric grid.

A new wholesale market structure will bring positive changes for consumers outside of Amarillo, Texas. The Electric Reliability Council of Texas (ERCOT) is set to change the current zonal market to a more efficient nodal market. You may be wondering exactly what this is and what it means to you.

In essence, the transmission grid in a zonal market is divided into different zones. The electricity in all of the units within one zone is dispatched at one price. A nodal market is laid out to match the transmission grid instead of breaking it up into zones. The value of electricity for every location, outside of Amarillo, Texas, is determined by various factors.

As confusing as this sounds, the benefits of a nodal market include more efficient dispatch, better price signals and the ability to “lock in” prices for electricity the day before it is actually delivered. The nodal market is much more precise and advanced than the zonal market.

If you have not compared electricity rates for Amarillo, Texas lately, now would be a good time although because Amarillo does not participate in the competitive Texas electric market you will not be able to change providers. The new market is sure to bring changes in the rates of area providers surrounding Amarillo. If you have a few minutes to spare, you can compare rates with our comparison chart but keep in mind if you are in Amarillo you can compare but you cannot switch to a new electric provider because Amarillo Texas has not opted into electric choice at this time.

Our unique comparison chart lists area electricity providers and their current rates outside of Amarillo Texas. You can see at a glance who has the lower rates and we even connect you to each provider’s website for further investigation.

If you prefer you may also call us at 1-800-971-4020

Take advantage of the new nodal market being implemented in Texas by using our comparison chart to find the provider that fits your electricity needs and budget outside of Amarillo Texas.

Electricity Bid helps you find an electric rate and provider to save you money and keep life simple.

Get in touch with us!