Laserfiche WebLink
<br />Electric Providers at their variable cost plus ten percent. Texas municipalities <br />and customers currently pay generators prices for "baseload" electric energy <br />needs that are inflated well beyond their actual costs because the power is <br />priced as if it were produced by high-priced natural gas-fueled plants even <br />though it is actually produced at a much lower cost by lignite, coal and nuclear <br />plants (HB 3348). <br /> <br />· To declare the current "uniform pncmg system" in the balancing energy <br />market unreasonable and direct the Public Utility Commission to adopt rules <br />that will provide for a pricing system that does not produce windfall profits for <br />generators and needlessly inflate energy cost to Texas businesses and <br />consumers (HB 3349). <br /> <br />· To remove unnecessary administrative obstacles in the Local Government Code <br />that prevent cities from taking full advantage of electric competition. CAPP <br />recognizes the importance of diversifying its energy portfolio and is <br />investigating opportunities to add long term power contracts to ensure more <br />price stability, but current provisions of the Local Government Code may make <br />the contracting process unnecessarily cumbersome (SB 787 and HB 1749). <br /> <br />RECOMMENDED ACTION: The staff of the City of Paris recommends that the City <br />Council adopt the attached resolution. <br /> <br />STAFF CONTACT: City Manager Ernie Clark and Financial Director Gene Anderson. <br /> <br />COUNCIL DATE: To be presented to City Council on Monday, March 26,2007. <br /> <br />ADDITIONAL MATERIAL: Copies of CAPP Policy Issues for 80th Legislative Session. <br /> <br />T- -- <br />