TXU Fine Deal Struck Down By Court

This is indeed interesting news:

State regulators and energy giant TXU this summer agreed to a plan that would have protected TXU from any more fines like the one for $171 million it now faces after being accused of manipulating the power market.

It would do so by implementing controls intended to protect consumers when demand for electricity spikes.

But in drafting the plan, the three public-utility commissioners ignored the recommendation of their own staff that a group of hundreds of Texas cities and an advocate for Texas ratepayers be allowed to participate. Reliant Energy, one of the state’s biggest electricity retailers, also asked — and was denied — a seat at the table.

And because of that, an Austin judge threw the deal out, saying it was against the law to keep outside parties from scrutinizing the deal.

According to the story, TXU won’t be appealing the judge’s ruling.

It’s unsurprising that the PUC commissioners approved the plan in the first place with little outside participation, given that they are all appointed by Governor Perry who, incidentally, has been a recipient of significant contributions from TXU executives and PACs, not to mention that he helped fast-track their coal plants.

Technorati Tags Rick Perry, TXU

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