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Electrical Deregulation - Planning for Success in Texas Schools
Abstract
Beginning January 1, 2002, Texas' electric
industry is opening to customer choice, giving
consumers the power to choose the company that
provides their electricity. Under electrical
deregulation in Texas, there are three separate
players. The Retail Electric Provider (REP) markets
power to the consumer (public) and serves as the
customer point of contact. The Power Generation
Company generates the electricity and is already
deregulated. The transmission and distribution
utilities (wires) remain regulated by the Public Utility
Commission of Texas (PUCT).
As of the writing of this abstract in October 2001,
REP's indicate that only about 15% of Texas ISD's
have taken any action.
Ready or not pricing and purchasing methods of
electricity in Texas will change. This paper discusses
major deregulation issues in Texas Schools (e.g.
procurement process, contracts, workloads,
uncertainty. etc.). The before and after scenarios of
deregulation are compared. Texas Schools, to be
prepared for success, need to understand their energy
usage and patterns, district characteristics,
deregulation options and pricing, and
terms/conditions. This paper provides Texas Schools
with specific homework, electrical deregulation
options, procurement process, and RFP guidelines.
Owning the fine print is as essential as terms and
conditions and may be as important as the price.
Examples will be included. The decision making
process for all size school districts will be discussed.
The experience of the authors in assisting Texas
school districts in this process will be shared. After
deregulation, homework will also be addressed.
Citation
McClure, J. D.; Schreppler, S.; Bristow, G. (2002). Electrical Deregulation - Planning for Success in Texas Schools. Energy Systems Laboratory (http://esl.tamu.edu); Texas A&M University (http://www.tamu.edu). Available electronically from https : / /hdl .handle .net /1969 .1 /4583.