Justia Utilities Law Opinion Summaries

Articles Posted in Supreme Court of Texas
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The Supreme Court dismissed these two petitions - one for writ of mandamus and the other for review - arising from a lawsuit that thirteen Panda Power companies (collectively, Panda) filed against the Electric Reliability Council of Texas, Inc. (ERCOT), holding that this Court lacked jurisdiction to hear the petitions.Panda sued ERCOT and three of its officers for fraud, negligent misrepresentation, and breach of fiduciary duty. ERCOT filed a plea to the jurisdiction, arguing that the Public Utility Commission had exclusive jurisdiction over Panda's claims. The trial court denied the motion. ERCOT appealed and, as an alternative, filed a petition for a writ of mandamus, arguing that sovereign immunity barred Panda's claims. The court of appeals (1) dismissed ERCOT's interlocutory appeal for want of jurisdiction, holding that ERCOT was not a governmental unit under the Tort Claims Act; but (2) granted ERCOT's mandamus petition, holding that sovereign immunity applied and barred Panda's claims. The Supreme Court dismissed both the mandamus petition and the petition for review, holding that the trial court's entry of a final judgment rendered this causes arising from the interlocutory order moot. View "In re Panda Power Infrastructure Fund, LLC" on Justia Law

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The Supreme Court reversed in part the judgment of the court of appeals reversing the judgment of the district court affirming the conclusions of the Public Utilities Commission (PUC) that CPS Energy violated both Tex. Util. Code 54.204(c)'s uniform-charge requirement and section 54.204(b)'s prohibition of discrimination, holding that the PUC could reasonably have concluded, as it did, that CPS Energy violated the plain terms of section 54.204(b).The PUC concluded that a utility that invoices different telecommunications providers a uniform rate nevertheless violates section 54.204(b) if it fails to take timely action to ensure that all pole attachers actually pay the uniform rate it invoices. The court of appeals reversed, holding that if a telecommunications provider does not pay the rate the utility uniformly charges, any discriminatory effect is the telecommunication provider's fault, not the utility's. The Supreme Court reversed, holding that the PUC's finding that CPS Energy failed to make any serious or meaningful effort to collect from AT&T Texas was supported by substantial evidence, and the effect on Time Warner Cable was clearly discriminatory. View "Time Warner Cable Texas LLC v. CPS Energy" on Justia Law

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The pro-forma provision in the tariff in this case, which set the rates and terms for a utility’s relationship with its retail customers, did not conflict with a prior franchise agreement, which reflected the common law rule requiring utilities to pay public right-of-way relocation costs, or the common law, and the franchise agreement controlled as to the relocation costs at issue.At issue was whether the City of Richardson or Oncor Electric Delivery Company must pay relocation costs to accommodate changes to public rights-of-way. The City negotiated a franchise agreement with Oncor requiring Oncor to bear the costs of relocating its equipment and facilities to accommodate changes to public rights-of-way, but Oncor refused to pay such costs. While the relocation dispute was pending, Oncor filed a case with the Public Utility Commission (PUC) seeking to alter its rates. The case was settled, and the resulting rate change was filed as a tariff with the PUC. The City enacted an ordinance consistent with the tariff, which included the pro-forma provision at issue. The Supreme Court held that the provision in the tariff did not conflict with the franchise contract’s requirement that Oncor pay the right-of-way relocation costs at issue. View "City of Richardson v. Oncor Electric Delivery Co." on Justia Law

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In 2002, the Public Utilities Regulatory Act (PURA) implemented a competitive retail market for electricity in the Electric Reliability Council of Texas. Each incumbent, vertically integrated electric utility within the market was required to unbundle its business activities into separate units, including a transmission and distribution utility (TDU). Of the units, only TDUs continued to be regulated by the Public Utilities Commission (PUC). Here, several parties to a TDU ratemaking proceeding sought judicial review of the PUC’s order. The Supreme Court affirmed in part and reversed in part the judgment of the court of appeals, holding (1) PURA section 36.351, which requires electric electric utilities to discount charges for service provided to state college and university facilities, does not apply to TDUs; (2) former PURA section 36.060(a), which required an electric utility’s income taxes to be computed as though it had filed a consolidated return with a group of its affiliates eligible to do so under federal tax law, did not require a utility to adopt a corporate structure so as to be part of the group; and (3) the evidence in this matter established that franchise charges negotiated by the TDU with various municipalities were reasonable and necessary operating expenses under PURA section 33.008. View "Oncor Electric Delivery Co. v. Public Utility Commission of Texas" on Justia Law