Texas Supreme Court will decide whether ERCOT should be immune from lawsuits sparked by deadly winter storm

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Texas Supreme Court will decide whether ERCOT should be immune from lawsuits sparked by deadly winter storm
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Many people and insurers sued Texas’ power grid operator after the deadly 2021 freeze. The nonprofit says it shouldn’t be liable. The Texas Supreme Court will decide in the coming weeks or months.

Individuals and insurance companies have filed lawsuits against the Electric Reliability Council of Texas and power generators since the storm, which left millions of Texans without power in bitterly cold temperatures and hundreds of people dead after electricity was cut in large portions of the state.will depend on what the Supreme Court decides in the coming weeks or months.

ERCOT “has no function other than what the state assigned,” attorney Wallace Jefferson said. “It has no autonomy from the state. … It has no private interest. Its interest is in furthering the public’s interest in a reliable grid. The state controls its bylaws. And the state sets the fee that funds the organization.”

CPS Energy attorney Harriet O’Neill said the state Legislature has the power to make ERCOT explicitly part of the government, “but despite many opportunities, including after the winter storm, the Legislature has never conferred government status on ERCOT, which it knows how to do.”offered an analogy to explain the lawyers’ arguments: Imagine the state Legislature decided that all the yellow stripes on highways needed to be repainted red.

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