Transmission & distribution rates in Texas are more transparent now.
Thanks to Senate Bill 1664, transmission & distribution utility rates are finally posted in a clear, easy-to-read format on the PUCT website. Most utilities in ERCOT are at about 6¢/kWh, which is historically high.
Unlike some retail electric providers which offer time-varying rates, these TDU charges do not vary at all. Consumers pay the same six cents when there's a ton of extra power as they do during emergency conditions.
That’s a big missed opportunity: time-varying T&D pricing could send the right price signals to increase efficiency and grid reliability.
I’ve been talking about this regularly on the Energy Capital Podcast: aligning pricing with grid conditions is one of the fastest ways to get more out of the system we already have.
Read about it In this weeks Reading & Podcast picks.
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