Texas Grid Operator Prevails in Appeal Over Winter Storm Rates

A bankruptcy court must defer to Texas state courts to answer questions tied to the 2021 winter storm that strained the state’s electric grid, an appeals court said.

The US Court of Appeals for the Fifth Circuit’s Monday ruling sided with The Electric Reliability Council of Texas in its dispute over a $296 million claim in the bankruptcy of electric utility Entrust Energy. ERCOT, which operates Texas’ electric grid, sent Entrust a $296 million bill in the aftermath of Winter Storm Uri, saying the utility didn’t pay for higher electricity costs during the storm. The bill forced Entrust into bankruptcy. ...