News Stories
Sponsored by Earth Etch. Regulatory insight and compliance solutions for today’s energy markets.
TDUs Seek Revocation Of OnPoint’s Certificate For Alleged Default Payments
Texas TDUs filed petitions with the Public Utility Commission of Texas that the TPUC should revoke OnPoint Energy Texas, LLC, retail electric provider (REP) certificate for OnPoint’s alleged default on payment to the TDUs.
As previously reported OnPoint Energy filed to relinquish its Texas REP certificate noting that it had earlier transferred all customers to Good Charlie, LLC.
However, several TDUs are seeking revocation of OnPoint’s REP certificate, rather the PUC approving a voluntary relinquishment, to draw upon OnPoint’s letter of credit posted with the PUC, to partially satisfy OnPoint’s alleged outstanding obligations with the TDUs.
Excerpts from TDU’s Statements:
Oncor – “Having defaulted on its obligation to pay Oncor for those [retail delivery] services, OnPoint now owes Oncor over $1.3 million.”
“OnPoint should not be permitted to relinquish its REP certificate. Ordinarily, applications to voluntarily relinquish REP certificates are approved for REPs that have not served customers for some time or REPs that have no outstanding obligations to any market participants. Such uncontroversial circumstances do not exist in OnPoint’s case, making a voluntary relinquishment of OnPoint’s REP certificate inappropriate.”
“A revocation of OnPoint’s REP certificate is more appropriate under the rules and Commission precedent due to OnPoint’s defaults to Oncor under the Tariff and to the other TDUs.”
“Oncor plans to file a petition to revoke OnPoint’s REP certificate and a motion to consolidate as soon as reasonably practical (or to support such a filing by Commission Staff) and will coordinate with Commission Staff and the intervenors in that effort.”
AEP Texas – “As of April 15, 2024, OnPoint Energy has an outstanding balance with AEP Texas of $69,333.27, a portion of which is in default.”
“In accordance with its Tariff, AEP Texas therefore further requests that if OnPoint Energy does not meet its financial obligations to AEP Texas, that the Commission issue an order revoking OnPoint Energy’s retail electric provider certificate.”
“It is also AEP Texas’ position that OnPoint Energy should not be permitted to acquire new customers or to re-enter the market after relinquishment or revocation of its certificate if it is unable to meet its financial obligations.”
Texas-New Mexico Power Company (TNMP) – “TNMP believes that it is reasonable and appropriate for the Commission to a) revoke the Retail Electric Provider (‘REP’) certificate of OnPoint; and b) make a determination that OnPoint’s letter of credit be distributed pro rata among the transmission distribution utilities (‘TDUs’) after ERCOT’s obligations are satisfied.”
In TNMP’ filing alleges OnPoint currently owes TNMP $58,612.33.
CenterPoint Energy Houston Electric, LLC – “OnPoint has an outstanding balance of $331,755.63 with CenterPoint Energy for delivery services provided to OnPoint under the [delivery] Tariff.”
AEP’s Statement of Position (04/16/2024)
CenterPoint’s Statement Of Position (04/16/2024)
Oncor’s Statement Of Position On Relief Sought (04/16/2024)
56201_24_1383681 (04/16/2024)
TNMP Statement of Position (04/16/2024)
56201 (02/09/2024)
