Extreme volatility in the Electric Reliability Council of Texas (ERCOT) market will result in an 8.4% increase in September electric bills for New Braunfels Utilities (NBU) customers.
In a statement Thursday, NBU said Texas’ decision to prioritize electric reliability over affordability is the reason for the price hike.
An average customer that uses 1,200 kilowatt-hours (kWh) in September 2023 will see a $12 increase in their electric bill.
Starting Friday, the utility will shift to monthly power-cost forecasting instead of quarter forecasting and will post future updates about rates here.
“The ERCOT market has experienced increased load growth (electricity use) and all-time high demand driven by extreme record-setting heat conditions throughout Texas since June,” NBU said. “Compounded with the market redesign and more conservative grid operations results in more expensive power.”