economy &

creating
resiliency by
harnessing
the energy of
the sun; our
oil.
FACTS NOT ADS
Understanding the
Basics of the electric
service system.
Helps our community
make informed
decisions on policies
that impact our future.
Introduce steps
towards goal of
building a resilient
community.
Knowledge is power!
Establishing Steps Towards
Communicate
Goal: with your Public
Utility Commission (PUC).
First Step:
When writing to PUC or OPUC
include rate case (docket
#46831).
Public Utility Commission of Texas (PUC):
www.puc.texas.gov
1701 N. Congress Ave.:
Austin, TX 78711-3326
Office of Public Utility Counsel (OPUC):
www.opuc.texas.gov
P.O. Box 12397:
Austin, Texas 78711-2397
Phone Numbers: Austin: (512)-936-7500:
Toll-free: 1-877-839-0363: Fax: (512)-936-7525
(See example letter under rate case#46831 item
number 15)
 UtilityComplaints

How to look up the El Paso Electric

current rate case #46831;
http://puc.texas.gov
Utilities Not Regulat
Top menu, Go to Filings; Go to Filings ed
Know Your Rights
Search; Go to Filings Search (yes, again); in File a Complaint
utility name box type in El Paso Electric and
click search; filings will come up, the new
rate case is under 46831, click the number
as new filings are uploaded. Pages 3470-
3486 address the actual service rate.
Also, on the PUC home page, under Featured
Topics, you can find the PUC regulatory Act
that outline the purpose and regulations of
the PUC regarding utilities. In same
Featured Topics, further down, you can also Sourc http://puc.texas.gov
find the PUC water statues/regulations . e:
What the Texas constitution says
about monopolies in our state.
 Texas Constitution
Sec. 26. PERPETUITIES AND MONOPOLIES; PRIMOGENITURE OR ENTAILMENTS. Perpetuities and monopolies are
contrary to the genius of a free government, and shall never be allowed, nor shall the law of

Sec. 26. PERPETUITIES AND

MONOPOLIES; PRIMOGENITURE OR
ENTAILMENTS. Perpetuities and
monopolies are contrary to the
genius of a free government, and
shall never be allowed, nor shall the
law of primogeniture or entailments
ever be in force in this State.
The legislative act allowing monopolies to
exist in Texas is the Public Utility
Regulatory Act. The Public Utility
Commission was established to regulate
monopolies as a substitute to competition
until competition can be introduced. The
PUC has the authority (responsibility) to
protect customers.
http://www.puc.texas.gov/
Public Utility Regulatory Act 2015

CHAPTER 17. CUSTOMER PROTECTION SUBCHAPTER A. GENERAL

PROVISIONS
Sec. 17.001. CUSTOMER PROTECTION POLICY. (a) The legislature finds that
new developments in telecommunications services and the production and
delivery of electricity, as well as changes in market structure, marketing
techniques, and technology, make it essential that customers have
safeguards against fraudulent, unfair, misleading, deceptive, or
anticompetitive business practices and against businesses that do not have
the technical and financial resources to provide adequate service. (b) The
purpose of this chapter is to establish retail customer protection
standards and confer on the commission authority to adopt and
enforce rules to protect retail customers from fraudulent, unfair,
misleading, deceptive, or anticompetitive practices.
Second Step:
Understanding the Basics:
All electric utilities are
regulated by both federal
and state laws.
Electric energy is readily
available through multiple
means of production and
trade.
(Hunt Institute for Global Competitiveness; Paso del Norte Energy Sector Review
Fall 2016 The University of Texas at El Paso: Bakke, Gretchen, PhD; The Grid: The
Fraying Wires Between Americans and Our Energy Future )
Electricity on the grid follows path of
least resistance.
Once produced, all electricity is equal,
regardless of the source of production.
Electric energy is traded on the open
market even when it originates from a
monopoly.
In the region served by El Paso Electric
all infrastructure i.e. grid,
transmission, power plants, etc. paid
for by rate payers, but owned by
investors.

(Hunt Institute for Global Competitiveness; Paso del Norte Energy

Sector Review Fall 2016 The University of Texas at El Paso; Bakke,
Gretchen, PhD; The Grid: The Fraying Wires Between Americans and
Our Energy Future )
Third Step: Create the framework for possible policies by defining
terms that support and promote an economy based on
environmental resiliency and respect of our region.

Stakeholder: a person with an interest or concern in something,

especially a business; denoting a type of organization or system
in which all the members or participants are seen as having an
interest in its success; a stakeholder economy

Investor: a person or organization that puts money into financial

schemes, property, etc. with the expectation of achieving a
profit

Recommend developing language in policies that include these

definitions with focus on finding stakeholders rather than just
investors. This can establish the framework that promotes the
goal of an economy based on environmental resiliency. These
definitions can be applied in how we award contracts and the
We are the true
stakeholders in our El Paso
community. We are the people
that make El Paso our home; that
work here, raise our children here,
invest our lives in this community,
we need companies that are willing
to be partner stakeholders investing
to keep our wealth in our community.
reason to withhold an open
market in our region.
Customer owned solar is the
logical entry point to that
choice market. An electric
market of choice will help our
community reach its economic
potential.
We are the true stakeholders
with the potential to fulfill the
goal of being a resilient region
with high paying jobs that
benefit our region!
To get perspective, lets compare the average individual and family
incomes in El Paso to the average in Texas and then to the annual
income of the CEO of El Paso Electric, a investor owned monopoly.
Average Annual Income in El Paso and Texas CEO of El Paso Electric Annual Income

Average El Paso Individual Income $18,880 compared to the

average income in Texas of $26,999 2015 dollars

$ 625,000.00 (This equals
https://www.census.gov/quickfacts/table/PST045215 the annual income of 15 El Paso
/48,48141 families and 33 individuals, not
Average El Paso Family Income $41,637compared to the counting the millions below.)
Texas median family income of $53,207 2015 dollars

https://www.census.gov/quickfacts/table/PST045215/48,
48141 PLUS BONUSES (millions)
No Millions of Dollars in Bonuses
No Millions of Dollars in Stock Options PLUS STOCK OPTIONS (millions) (Robert Grey; EL PASO INC.
Feb.19,2017)
We Do Get Highest Electric Rate in TX Without Choice
www.puc ; www.powertochoose.org (using zip 77380)
Fourth Step: Understanding how other electric utilities systems operate:

We will start with a comparison between an electric bill from a regulated monopoly,
El Paso Electric and Cirro, a regulated electric company in a market of choice.

Compare El Paso Electric Company to Cirro Energy in the Houston

area.

El Paso Electric (EPE) is a regulated monopoly owned by investors

(mainly mutual funds & most of the profit leaves our community).

Cirro is also owned by investors, also a regulated electric company

but operates in an open market. Cirro provides the electricity and
Oncor Electric, also owned by investors, provides the grid service.
Regulated monopoly VS Open market
of choice.
Power to choose (http://www.powertochoose.org/)
Bill from Cirro Energy & Oncor Electric delivery open/choice market (note this
bill is for 1,198kWh and it is still at average price of $0.0837 per kWh all fees
included; i.e. grid fee, customer fee, energy fee, etc. in the $0.0837).
Bill from EL PASO ELECTRIC a regulated monopoly (for 212 kWh or
$0.14952 a kWh compared to the $0.0837 per kWh of Cirro)
Comparing El Paso Electric, a monopoly; to Cirro Electric in Houston area where they have choice of
about 189 electric companies & Oncor provides the grid service. At the kWh EPE cites as the average
homeowners use.
Current El Paso Electric Bill of Current Bill from Cirro Energy
637 kWh transported by Oncor (same
Customer Charge $06.90 637 kWh use)
Winter Energy Charge @ $0.08455 x $53.86
637kWh= Customer Fee $07.30
Fuel charge @ $0.026487 x $16.87 Energy Charge @ $0.040000/kWh $25.48
637kWh= x 637kWh:
Energy Efficiency Charge $00.80 Grid Service Charge: $22.41
Four Corners Increment Rate Rider $00.80 Gross Receipts Tax Reimbursement $01.95
@ $0.00125 x 637= Tax $00.55
Relate Back Revenue Surcharge @ $01.96 Total of bill in open market $57.
$0.00307 x 637=
69
Military Base Discount Recovery $00.28
Factor Aver. $0.09 per kWh
Rate Case Expense Surcharge @ $00.21 DIFFERENCE OF $23.
$0.00033 x 637=
99
Total of bill from El Paso Electric $81.6
(monopoly owned by mutual funds):
(aver. $0.128kWh) 8
Fourth Step: Understanding how other
electric utilities systems operate:

Become aware of the choices other communities

in Texas enjoy (for this comparison zip code 77380 was used).
See Public Utility Commission www.puc.texas.gov
home page under Power to choose
(http://www.powertochoose.org/)
Have a voice in local and state policies that
promote a choice market.
Market, the utilities keep
their expenses in check
because they have to
compete for the market.
If a companys prices
are too high, customers
will choose a less
expensive company.
NO CHOICE IN EL PASO VERSUS LOTS OF CHOICES IN TEXAS.
Shown are just a few examples of the actual choices! Andin
these areas NO electric utility rate cases.
One Choice

V
S
Our El Paso
community
deserves the
same rights and
privileges
awarded to the
Current El Paso Electric Bill at Approximate of Proposed Tariffs El
637 kWh, the kWh EPE cites as Paso Electric Bill at 637 kWh, the EPE
average use cited average use
Customer Charge $06.90 Customer Charge $10.85
Summer Energy Charge $60.41 Summer Energy Charge @ $0.10133x $64.73
@$0.09455x600kWh 600kWh
@
$0.10633x37kWh=
@$0.09956x37kWh=
Fuel charge @ $0.026487 x 637kWh= $16.87
Fuel charge @ $0.026487 x $16.87
Energy Efficiency Charge $00.80
637kWh=
Four Corners Increment Rate Rider @ $00.80
Energy Efficiency Charge $00.80 $0.00125 x 637=
Four Corners Increment Rate Rider $00.80 Relate Back Revenue Surcharge @ $01.96
@ $0.00125 x 637= $0.00307 x 637=
Relate Back Revenue Surcharge @ $01.96 Military Base Discount Recovery Factor $00.35
$0.00307 x 637= (approx.: factor not shown)
Military Base Discount Recovery $00.31 Rate Case Expense Surcharge @ $0.00033 $00.21
Factor x 637=

Rate Case Expense Surcharge @ $00.21

Low Estimate of Total proposed bill from El
Paso Electric (monopoly owned by mutual $96.5
$0.00033 x 637= funds): 7
Total of bill from El Paso Electric $88.2 (average
(monopoly owned by mutual funds): $0.15/kWh)
6
How the EPE rate case may
impact homeowner and
small business solar,
community stakeholders.

In the Sun CityEl

Paso..There are about
2,500 homeowner and
small business owned
solar.and growing
Help Us...PUCOPUC
.City of El Paso
(we need to laugh, otherwise we will cry.!
When we see what EPE wants to do to
solar owners.)
DEMAND CHARGES: EPE is wanting to implement 60
minute demand charge on homeowners and small businesses with solar.
https://www.youtube.com/watch?v=NEleKVFTokU
Here is an rough estimate of the charges EPE is proposing
for average homeowners with solar panels.
Approximate of Proposed Tariffs El Paso Electric for solar rooftop homeowners Bill
(based on 4 kW average system)
Customer Charge $18.15
Demand Charge per 5 kWh @$06.20 $31.00
On-peak time of use (TOU; EPE not transparent)@$0.31152 ($5.56)
overproduction 210kWh x $0.026487
Off-peak TOU (EPE not transparent) @$0.03040 x 502kWh $15.26

Fuel charge @ $0.026487 x 502kWh= $13.30

Energy Efficiency Charge (approx. since they dont show the factor) $00.60
Four Corners Increment Rate Rider @ $0.00125 x 637= $00.80
Relate Back Revenue Surcharge @ $0.00307 x 637= $01.96
Military Basse Discount Recovery Factor (approx.: factor not shown) $00.30
Rate Case Expense Surcharge @ $0.00033 x 637= $00.21
Total of bill from El Paso Electric (monopoly owned by mutual funds): $76.02
(average of
$0.26/kWh)
Fifth Step: Recognizing the negative economical
impact to our community if El Paso Electric is allowed
to create these inflated, unjustified fees on solar.

The following slides are the data produced by the City of El Paso,
Permitting Department. Thank you so much to everyone that
helped put together this data!
Facts on actual number of solar panels in El Paso.
Consider the actual impact that El Paso Electric will have
on the investment of these homeowner stakeholders. (City
of El Paso, Permitting Dept. 2017)
Consider the negative impact the El Paso Electric rate
case will have on all the individuals relying on these
jobs! (City of EL Paso, Permitting Dept. 2017)
Consider the negative impact the El Paso Electric rate
case will have on our El Paso economy now in process
of growing a new resilient industry! (City of EL Paso, Permitting Dept.
2017)
El Paso Electric
represents
Money that
leaves our
El Paso Electric has created a subscription solar
community.
program that protects their solar investment from
rate cases. Meanwhile, EPE created unfair fees for
solar homeowners and solar small businesses that
allows EPE to absorb the investments of these
citizen stakeholders. (rate case #46831)

How is that fairor ethical? These actions define

EPE as investors, not community stakeholders!
 exploration of options that can allow an open market to
grow, starting
Communicate with
with solar
your companies.
government!
Call your City representative, write to the PUC and OPUC (Docket#46831). Tell them;
Tell City to create policies that allow for the growth of an
open electric market in the region.
Request that the City of El Paso does not renew the
franchise with El Paso Electric. Or renew EPE franchise but
only with several conditions; for example; moratorium of 15
years, no demand charges for city and county buildings,
cease and desist from inhibiting the growth of our
renewable energy sector.
Tell PUC to not leave our community stranded with the
unjust, costly, and unnecessary EPE expenses.
Tell PUC to stop EPE from discriminating against customer
owned solar, to stop trying to absorb their investments.
Tel PUC to stop EPE rate cases that cost our community
millions of dollars or force EPE pay for the rate cases instead
of passing cost to customers (like in New Mexico).
Tell PUC to continue enforcing law allowing net metering in
our region.
Tell PUC/OPUC, that EPE cant protect their subscription
solar from rate cases, while increasing the rates for
customer owned solar. This by definition is anti-competitive
 We have.
We are the true stakeholders in our El Paso community.
the potential to fulfill the goal of being a resilient
region with high paying jobs that benefit our people!
BE INFORMED: THEN INFORM YOUR GOVERNMENT (www.elpasotexas.gov)
District 1: Mr. Peter Svarzbein; office (915)212-0001 District 6: Ms. Claudia Ordaz; office (915)212-0006
District 2: Mr. Jim Tolbert; office (915)212-0002 District 8: Ms. Cortney Niland; office (915)212-0008
District 3: Ms. Emma Acosta; office (915)212-0003 District 7: Ms. Lily Limon; office (915)212-0007
District 4: Mr. Carl Robinson; office (915)212-0004 Mayor: Mr. Oscar Leeser; office (915)212-0021
District 5: Dr. Michiel Noe; office (915)212-0005
File a Formal Protest with PUC and OPUC (can only be in letter form, the PUC & OPUC will not accept
email as formal protest so please write letters: Please make sure you write on letter the Reference
Docket #46831).
Public Utility Commission of Texas (PUC): www.puc.texas.gov
1701 N. Congress Ave.
Austin, TX 78711-3326
Office of Public Utility Counsel (OPUC): www.opuc.texas.gov
P.O. Box 12397:
Austin, Texas 78711-2397
Phone Numbers: Austin: (512)-936-7500:Toll-free: 1-877-839-0363: Fax: (512)-936-7525

Contact: Texas Senator Jose Rodriquez:

100 N. Ochoa St.,
El Paso, TX 79901
Phone #915-351-3500
Eco El Paso is a local intervener on
behalf of solar homeowners and solar
small businesses.
You can support local and national groups that promote sustainability.

Locally; you can help Eco El Paso with the legal expenses by donating:
http://www.ecoelpaso.org/
Please also support national organizations that support resiliency;
Environmental Defense Fund
https://www.edf.org/
Sierra Club:
http://sierraclub.org/
INJUSTICE IN THE END
PRODUCES
INDEPENDENCE -
VOLTAIRE
THIS PRESENTATION IS FOR EDUCATIONAL PURPOSES ONLY.
It is not to be used as a substitute for El Paso Electrics requirement
to inform public of rate changes or for any other purpose. (BGM; updated 3/18/17)
RESOURCES
Images: Bing Image Search
Images of mother and child: personal file
Rate cases #44941 & 46831;
Hunt Institute for Global Competitiveness; Paso del Norte Energy Sector Review Fall 2016 The University of Texas at El Paso)
Bakke, Gretchen, PhD; The Grid: The Fraying Wires Between Americans and Our Energy Future
Slides of solar panel installs; City of El Paso, Permitting Department 2017 (Thankyou all so much!)
Census statistic: https://www.census.gov/quickfacts/table/PST045215/48,48141
El Paso Inc., EPE CEO stats: Robert Grey; EL PASO INC. Feb.19,2017
Definition of stakeholder and investor: https://en.oxforddictionaries.com
What are Demand Charges?: https://www.youtube.com/watch?v=NEleKVFTokU
Texas Constitution: http://www.constitution.legis.state.tx.us/Index.aspx http://www.statutes.legis.state.tx.us/Docs/CN/htm/CN.1.htm#1.26
Public Utility Regulatory Act 2015 : http://www.puc.texas.gov/