Texas lawmakers question agency’s ability to oversee $5B energy loan program after initial glitch

Kayla Guo | Source: San Antonio Express News | Posted 09/17/2024

Related controls:

55826

Keyword Tags: Texas Energy Fund Public Utility Commission (PUC) low-interest loans gas-fueled power plants Aegle Power

Lawmakers tasked the Public Utility Commission with overseeing the Texas Energy Fund, though the agency has no experience running a loan program. The Texas agency overseeing a $5 billion low-interest loan program to help build new power plants, and the firm it’s paying millions to manage it, missed red flags on an application and chose the project as a finalist for a loan.

AI generated summary

The Texas Public Utility Commission recently rejected an application for a $5 billion low-interest loan program intended to aid in constructing new power plants after apparent oversight issues. The project put forth by Aegle Power, whose CEO had a past conviction in an embezzlement scheme, was initially advanced before discrepancies were found. This incident has raised concerns about the agency's capacity to oversee the Texas Energy Fund, created to strengthen the state's power grid post the February 2021 winter storm.

Lawmakers have expressed dissatisfaction with the missteps and expect more from the Public Utility Commission, noting its expanded responsibilities following the winter storm. Despite the setbacks, some industry experts believe the program has the potential to achieve the Legislature's goal of adding more dispatchable generation to the grid. However, there is skepticism over whether the loans will substantially contribute to the grid's power supply and concerns that new gas plants might face challenges competing in the current energy market dominated by cheaper renewable sources like wind and solar power.

Link to Original Article

Please find the link to the full article below. (Please note that content provider might require a paid subscription)

Source Link: https://www.expressnews.com/business/article/public-utility-commission-texas-energy-fund-19768758.php

Create a free trial account: Sign Up

Grid monitor is free to try. No credit card required

Texas lawmakers question agency’s ability to oversee $5B energy loan program after initial glitch

AI generated summary

Link to Original Article

Create a free trial account: Sign Up

Already have an account? Login