Tesla files to become energy provider in Texas
By Robert Davis
17:24, 27 August 2021
Energy and automobile manufacturer Tesla filed the initial paperwork on Thursday, 26 August, to become a retail energy provider in Texas.
The move comes at a time when the Public Utilities Commission of Texas (PUC) –which would oversee Tesla’s operations – is under increased scrutiny. Earlier this year, the state’s lawmakers passed several bills requiring energy providers to weatherise their critical infrastructure but left the implementation to PUC.
At the same time, the failures of the Energy Reliability Council of Texas (ERCOT) to provide affordable power to Texans during an ice storm in February is still fresh in the minds of many state residents. ERCOT is responsible for maintaining the state’s power grid.
According to a report by Houston Public Media, 210 people across Texas died during the storm. The Texas Department of State Health Services said most of the deaths were from hypothermia.
Shares of Tesla were trading 1.42% higher on Friday, hitting $711.09 per share by midday.
Customer support
According to the paperwork, Tesla plans to use its Customer Support organisation to “be the primary point of contact for retail electric customers.”
Two of the reasons Tesla gives for including this organization is to “support inquiries” and “escalate emergencies” as quickly as possible. Tesla’s Customer Support staff are available 24 hours per-day and seven days per week, the filing says.
Theoretically, this would resolve another issue many Texans faced during the winter storm. Several reports found customers had tried to contact their energy providers about the higher-than-normal energy bills that resulted from the storm but were met with silence.
However, Tesla’s responsiveness has come under fire before, too. According to a report by CNBC, the company’s customer service agents were accused of regularly stonewalling customers who inquired about being double-charged for new vehicle purchases in March 2021.
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Testing pending
Before Tesla can push out its first commercial megawatt, the company must go through what is called a “retail market flight test.”
This test is used by ERCOT to determine whether a company’s end-to-end infrastructure can work with the regulator’s grid.
Tesla is currently signed up to go through flight testing in October, according to its filing.