CenterPoint Energy has announced that the costs of restoring power after the recent derecho storm in Houston will be passed on to customers. The storm, which hit on May 16, 2024, caused extensive damage, necessitating the replacement of over 800 miles of electrical wires, more than 700 transformers, and approximately 2,000 poles.
CenterPoint estimates that the total cost for these repairs will be at least $100 million. To cover these expenses, the company plans to seek approval from the Public Utility Commission of Texas for securitization bonds. This process, expected to be approved by late 2024, will allow CenterPoint to spread the costs over time, minimizing immediate impacts on customers’ monthly bills. If approved, these costs will start to appear on customer bills in mid-2025.
The decision has sparked concern among consumers, who already face high energy costs. CenterPoint argues that this approach is necessary to ensure the reliability of the power grid and to handle the extensive damage caused by the storm.
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