Abbott backs new reliability design for ERCOT

AUSTIN (KXAN). Gov. Greg Abbott said he sent a letter Tuesday to the Public Utilities Commission in support of the adoption of a reliability standard and a new reliability design for the Texas Electric Reliability Board market.

“Following an extensive 18-month stakeholder engagement process and review of market patterns analyzed in last year’s PUC-commissioned reliability study, the Performance Review Mechanism (PCM) needs to be given serious consideration,” Abbott said in the letter.

Abbott said PCM was based on a reliability standard, stimulates a new driveable generation, and supports the energy-only Texas market.

“The fact that generators have already publicly committed to building thousands of new megawatts of manageable generation resources if PCM is adopted and implemented by the PUC reinforces that point,” Abbott said.

Abbott’s letter says the Public Utilities Commission should implement an interim solution during the transition to a new robust market structure to ensure sufficient power supply for the state’s growing demand.