According to the Electric Reliability Council of Texas (ERCOT) the average price of electricity in Texas is expected to rise this summer. The main reason for the increase is higher natural gas prices which make up about half of the cost of producing electricity in the state.
ERCOT is a non-profit organization that manages the state’s electric grid and is responsible for ensuring that Texas has enough power to meet demand. The organization releases monthly reports on the status of the state’s power supply and demand.
In the most recent report released in May ERCOT forecasted that the average price of electricity in Texas would be about 10 cents per kilowatt-hour (kWh) in June July and August. This is higher than the average price of 9.3 cents/kWh in May but still lower than the average price of 11.5 cents/kWh in June July and August of last year.
The increase in prices is due to a number of factors including higher natural gas prices which make up the largest share of the cost of producing electricity in Texas. According to the U.S. Energy Information Administration (EIA) the price of natural gas in Texas has risen from an average of $2.50 per million British thermal units (MMBtu) in 2016 to an average of $3.50 per MMBtu so far in 2018.
Other factors contributing to the higher electricity prices this summer include increased demand from customers and higher costs for some types of fuel such as coal.
According to ERCOT demand for electricity in Texas is expected to peak at 68379 megawatts (MW) in August which is about 3% higher than the record peak demand of 66118 MW set in August 2016.
To meet this higher demand power plants will need to generate more electricity which will result in higher costs for fuel and other expenses. For example the cost of coal has risen significantly in recent years. According to the EIA the price of coal delivered to power plants in Texas has more than doubled from $1.45 per short ton in 2012 to $3.10 per short ton in 2017.
To help offset these higher costs electricity providers may need to raise rates for customers. In deregulated markets like Texas electricity providers are allowed to set their own rates so the actual increase in prices will vary depending on the provider.
customers can take some simple steps to reduce their electricity use this summer and help offset the expected price increases. Some of these steps include:
-Using fans instead of air conditioners to cool your home
-Setting your air conditioner to a higher temperature than you normally would
-Turning off lights and appliances when you’re not using them
-Running your dishwasher and washing machine only when they’re full
You can also shop around for a new electricity provider to see if you can find a better deal. Remember to look for a provider that offers a competitive rate and good customer service.
Answer: No electricity rates are not going up in Texas.
Answer: The average residential electricity rate in Texas is 10.
09 cents per kilowatt-hour (kWh).
Answer: The average commercial electricity rate in Texas is 9.
79 cents per kilowatt-hour (kWh).
Answer: The average industrial electricity rate in Texas is 8.
92 cents per kilowatt-hour (kWh).
Answer: The average Texas household uses about 1176 kWh of electricity per month.
Answer: The average U.
S.
household uses about 901 kWh of electricity per month.
Answer: Texas ranks 15th in the nation for electricity consumption.
Answer: The Lone Star State has the most wind power of any state in the country.
Answer: In Texas about 10% of the electricity comes from renewable sources.
Answer: The majority of Texas’ electricity comes from natural gas (44%) followed by coal (27%) nuclear (11%) and wind (10%).
Answer: ERCOT is the electric grid operator for most of Texas.
Answer: Pecan Street Inc.
is a nonprofit research and development organization based in Austin Texas that is working to accelerate the transition to a clean modern and more resilient electricity system.
Answer: Yes Pecan Street Inc.
is working to make the electricity grid more resilient to extreme weather events.
Answer: Pecan Street Inc.
is also working on new technologies and business models to make the electricity system more clean and modern.
Answer: Some of the projects Pecan Street Inc.
is working on include electric vehicle charging solar photovoltaics and energy storage.
