Texas Power Providers Seek Fees to Boost Generation Reserves

Electricity providers in Texas say they should be paid by households and businesses to be sure there’s enough generation capacity held in reserve to keep the lights on for days when demand is highest.

The Texas Public Utility Commission is considering rules that would overhaul how the main state power market managed by the Electricity Reliability Council of Texas Inc. operates. Instead of relying solely on electricity prices for profits, providers would also receive fixed payments from consumers to build and maintain supply. These so-called capacity payments would largely go to plant owners.