Texas power firm Brazos Electric hit with $2.1 billion bill after freeze, files for bankruptcy
Jeremy Hill, Eduard Gismatullin and Rachel Morison, Bloomberg
March 1, 2021
FacebookTwitterEmail
FILE - This Tuesday, Feb. 16, 2021, file photo shows power lines in Houston.David J. Phillip/Associated Press
The largest power generation and transmission cooperative in Texas filed for bankruptcy in the wake of power outages that caused an energy crisis during the winter freeze last month.
Brazos Electric Power Cooperative filed for Chapter 11 in the Texas after racking up an estimated $2.1 billion in charges over seven days of the freeze. Last year, it cost cooperative members $774 million for power for all of 2020.
The oldest and largest electricity transmission cooperative in Texas hit Chapter 11 on Monday, two weeks after a rare winter storm event in the state smacked the company with $2.1 billion in generation costs as suppliers scrambled to meet demand in the aftermath of the storm.
Texas Crisis Drives First Public Power Bankruptcy, With More Fallout Expected greentechmedia.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from greentechmedia.com Daily Mail and Mail on Sunday newspapers.
The financial damage from the deadly Texas blackouts is quickly spreading
FacebookTwitterEmail
Brazos Electric Power Cooperative, the largest generation and transmission cooperative in Texas, filed for Chapter 11 bankruptcy protection early MondayYi-Chin Lee, Houston Chronicle / Staff photographer
The financial damage of the recent power crisis is quickly spreading, rolling across retail power companies, electric cooperatives and the state’s grid manager itself.
The Electric Reliability Council of Texas, or ERCOT, which runs the state’s wholesale power markets, acknowledged Monday that it is short some $1.6 billion needed to pay generators as electricity buyers default after brutal winter weather sent prices skyrocketing.
Brazos Electric Power Cooperative Inc. is one of dozens of electricity providers facing blackout-related charges stemming from last month s severe cold s.