HomeMy WebLinkAboutRes 2013-01-01 Enhance Competitive Electric Market.pdfCITY OF ANNA, TEXAS
RESOLUTION NO. 2013-01-01
A RESOLUTION OF THE CITY OF ANNA, TEXAS, ENDORSING
CERTAIN LEGISLATIVE ACTION IN THE REGULAR SESSION OF
THE 83RD TEXAS LEGISLATURE TO ENHANCE THE COMPETITIVE
ELECTRIC MARKET AND SYSTEM RELIABILITY AND TO PROTECT
THE TRADITIONAL ROLE OF CITIES IN THE REGULATORY
WHEREAS, the City of Anna, Texas is a member of Texas Coalition for Affordable
Power ("TCAP"), a non-profit political subdivision created by cities throughout Texas to secure
affordable electric energy for its members in the deregulated electric market; and
WHEREAS, TCAP pools the energy needs of its more than 160 political subdivision
members to negotiate favorable prices and contract terms for the purchase of approximately 1.3
billion kilowatt hours annually; and
WHEREAS, affordable and reliable power means economic development for the City
and a better standard of living for our citizens; and
WHEREAS, the City supports legislative initiatives that promote a healthy electric
market where competition can flourish and electric customers can save money; and
WHEREAS, the City endorses the legislative agenda of TCAP and opposes legislative
initiatives that would fundamentally alter the ERCOT energy market or the traditional role of
cities in the regulatory process.
THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ANNA,
TEXAS, THAT:
1. The Regular Session of the 83rd Texas Legislature be encouraged to preserve the
traditional role of cities in the regulatory process, including original jurisdiction and
reimbursement of reasonable rate case expenses.
2. The Legislature make no statutory changes that would lead to a reduction in
revenues paid by public utilities as franchise fees for rental of public rights-of-way.
3. The Legislature facilitate and encourage public/private partnerships between cities
and electric generation developers in creating small-scale (not to exceed 50 MV) power plants
capable of rapidly meeting peak power needs.
4. The Legislature recognize that "smart meters" are under-utilized with regard to
encouraging and incentivizing reductions in energy consumption during peak periods and that
the regulated transmission and distribution utilities which own the "smart meters" be allowed to
Res. 2013-01-01 Enhance Competitive Electric Market 1 01-08-13
re-enter the retail electric market to the extent they offer regulated rate plans designed to incent
reductions in peak energy consumption.
5. The Legislature preclude foreign ownership of electric distribution assets and
make it clear that, notwithstanding any other provision in law, home rule cities, individually or
collectively, shall be permitted to own and operate electric distribution assets so long as said
cities are not involved in retail sales of electricity.
6. The Legislature resist any efforts to transform the energy -only ERCOT market
into a capacity market which would increase the price of electricity by artificially inflating
generator profits.
7. The Legislature enhance protections against anti-competitive activities in the
wholesale market and require the Public Utility Commission ("PUC") to reform its rules related
to Voluntary Mitigation Plans and allow cities and other interested parties to participate in
review of such plans.
8. The Legislature mandate that the PUC and market participants provide consumer
education regarding the relationship between time of use, cost of energy production and
transmission, and the price paid by consumers.
9. The Legislature require the PUC to establish certain uniform products that must
be offered by all retail electric providers ("REPs") and to establish new rules governing the
powertochoose.org and powertosavetexas.org websites that will better inform retail customers of
complaints against REPS and better educate customers regarding the economic and market
benefits of reducing demand during peak periods.
10. This resolution shall take effect immediately upon its passage.
11. A copy of this resolution shall be sent to the elected lawmakers representing the
City's interests in the Texas House and Senate and to Randolph C. Moravec, Executive Director
of TCAP, 15455 Dallas Parkway, Addison, Texas 75001.
PRESENTED AND PASSED on this 8`h day of January 2013 by a vote of 7 ayes and
0 nays at a regular meeting of the City Council of Anna,
ATTEST:
b�s
dtj Secretary, Natha ilkison
Res. 2013-01-01 Enhance Competitive Electric Market
Mike Crist
01-08-13