City of El Paso may intervene in El Paso Electric rate increase proposal

Skyline of the city of El Paso.

Photo by Raul Martinez/KTSM 9 News.

EL PASO, Texas (KTSM) — The El Paso City Council may choose to suspend a proposed rate increase by El Paso Electric during a meeting on Tuesday.

The agenda item is a resolution the council will consider showing its stance in this year’s rate proposal. The council has an ability to intervene in the Texas Public Utility Commission’s consideration for a rate proposal.

A city presentation says the council is considering a suspension of the rate for 90 days. Without a suspension, the rates will begin on July 6, 2021.

Last month, the electric company said it was intending to initiate a rate increase proposal to pay for growing infrastructure and meters. And, this month, the company filed its application.

El Paso Electric provided KTSM 9 News with a statement.

“The suspension of rates is the first step in a rate case. This action allows for rates to be suspended for 90 days and that allows for municipalities to review the filing. If action is not taken, rates would go into effect as proposed July 6, 2021 (no later than 35 days after the filing). All Texas municipalities in our service area will be taking similar actions.  

On June 1, 2021, El Paso Electric filed a Texas base rate application asking the PUC to consider almost $1 billion of investments the EPE has made into its generation, transmission, and distribution system. The regulatory process can take anywhere from six months to a year to reach a final approved decision; next step will be for the PUC to assign an Administrative Law Judge and establish a procedural schedule.”

The public can view the meeting on Tuesday on the City Council’s YouTube page at 9 a.m.

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