Alejandro de la Garza of Time reports on Texas’ grid overhaul.
- Texas’ Performance Credit Mechanism (PCM), which was approved by the state’s grid regulators, would pay power producers to generate additional power during times of high demand.
- The plan would shift the market to discourage renewable energy projects which have been an economic boon for rural communities in Texas.
- Importantly, the PCM would be costly to taxpayers while doing little to improve grid reliability.
- By investing in infrastructure and allowing the market to pick energy winners and losers, Texas can improve reliability and deliver affordable energy to consumers.
Read the full article here.