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Texas regulators should consider a combination of metrics to establish reliability standard, stakeholders urge

The C3 Take
  • Stakeholders in the Lone Star State are suggesting that Texas adopt different methods to boost grid reliability.
  • Several organizations have suggested that Texas begin utilizing virtual power plants and increased energy efficiency measures in homes and buildings.
  • Regulators should also look for ways to upgrade aging grid infrastructure to ensure energy reliability.
  • Lawmakers in Texas have suggested implementing a performance credit mechanism that favor fossil fuels, limit electricity market competition, cost consumers billions of dollars, and fail to meaningfully address reliability concerns.

“Utilities, system operators and regulators often rely on a 1-in-10 reliability standard that requires planning margins sufficient to ensure load shedding occurs only once in a decade. But power experts say this standard may no longer recognize the reality of today’s constrained electric grids, and requiring greater reliability means higher prices.”

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The views and opinions expressed are those of the author’s and do not necessarily reflect the official policy or position of C3.

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