LP&L provides statement on transition to ERCOT

LUBBOCK, Texas (NEWS RELEASE) - Lubbock Power & Light (LP&L) began the process to join the Electric Reliability Council of Texas (ERCOT) in September of 2015. The decision to pursue integration in ERCOT was made due to benefits the ERCOT market could provide to our customers that could not be achieved if we were to remain in the Southwest Power Pool. Beyond the ability to provide an affordable and diverse energy portfolio, joining ERCOT would allow us to pursue bringing competitive retail electricity back to Lubbock.

LP&L is on track to transfer approximately 70% of the electrical grid to the ERCOT market by June of this year. Like many across the state, we have serious concerns over the severe operational issues seen across the ERCOT market this week. The Southwest Power Pool was not without operational issues of its own and our citizens felt this when LP&L was required to perform controlled rotating outages two days this week. However, it is clear that moving forward, serious decisions must be made to fix the problems in the ERCOT market.

We appreciate Governor Abbott, and the leaders in the Legislature making ERCOT an emergency item this Legislative session. The root causes of ERCOT’s operational issues need to be fully investigated and solutions must be found. Legislative hearings on this issue begin next week and will continue over the coming weeks and months. LP&L will track this process very carefully.

We understand the concerns of the citizens of Lubbock after the events of this week. We share these concerns. The health and well-being of our customers is always at the forefront of all decision making.