Coal-Fired Plant's $83M Rate Hike Axed By Texas Panel

Law360 (July 10, 2018, 5:15 PM EDT) -- A Texas appellate court on Tuesday held that the Public Utility Commission of Texas was wrong to find that the Southwestern Electric Power Co. acted “prudently” when it continued to construct a coal-fired power plant in Arkansas even after the price of natural gas fell precipitously in 2010, and is not entitled to an $83 million rate increase.

The Third Court of Appeals in Austin sided with three groups — Texas Industrial Energy Consumers, Cities Advocating Responsible Deregulation and the Office of Public Utility Counsel — in holding that Southwestern Electric had not met the “high burden” of proving it was a prudent decision to press...

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