Introducing competition into Texas’ retail and wholesale electricity markets has made Texas the greatest success story in the United States-if not the world. That success is largely due to policymakers’ willingness to let markets work and not manipulate prices or other policies for political reasons.
The Explosion of Transmission Costs in ERCOT: Causes, Forecasts, and Policy Solutions
KEY POINTS • Transmission costs in ERCOT rose from $1.5 billion in 2010 to over $5 billion in 2024 and could increase to over $12 billion per year by 2033. • After adjusting for inflation and overall rising electricity demand, the average ratepayer in the ERCOT region paid 57% more in transmission charges in 2024...