> Texas actually has roughly average electric grid reliability compared to other states [...] having substantially below average electricity costs
The Texas grid is better compared to a third world country. It works great except when there is an emergency or any sort of edge case. Reliability numbers miss the context of a transmission line failing when it is 68 degrees and sunny vs a natural gas line freezing up when its -7 and everyone needs electricity to not die.
Pricing is handled exactly the same way: its $0.12/kWh when things are normal, but jumps to $7.00/kWh as soon as there is an emergency. Normal states split the difference and charge something like $0.14/kWh all the time so that when you're forced to run your heater 24/7 to stay alive you don't have to sell your car to pay your power bill.
I'm afraid you've been reading too many sensationalist headlines. You are completely able to get a stable rate for power in Texas. No one is forced to choose a rate that can spike to $7/kWh.
In fact power in Texas is cheaper on average than many other places in the US (including NYC, where I live). This is partially because Texas is the energy center of the US, with abundant wind, solar, and oil/gas.
The Texas grid is the opposite of a third-world country. The engineering and operations groups at ERCOT are extremely competent, even if the PUCT sometimes forces them to make stupid decisions.
> You are completely able to get a stable rate for power in Texas. No one is forced to choose a rate that can spike to $7/kWh.
Yes, everything is fine if you have money and can choose. Other states explicitly ban these types of pricing models because they are predatory and can result in the people who are most price sensitive ending up in financial ruin.
I have no doubt that ERCOT has some good people working there. At the macro level however Texas makes isolationist decisions like not engaging in interstate energy sales agreements because they would subject the energy industry in the state to more federal regulation.
You might be interested in reading the final report of the 2011 incident, where ERCOT agreed that having appropriate capacity to the Eastern and Western interconnects would have mitigated most of the problems. https://www.ferc.gov/sites/default/files/2020-05/Reportonthe...
Griddy was the company that hit the headlines who sold at live wholesale prices as you used electricity had 29k customers and is not how the typical electric company in Texas works https://en.wikipedia.org/wiki/Griddy_(company)
We can tell with your third world country comment that you have bias but at least get your information correct.
The pricing scheme you describe was true for a company that no longer exists, for a type of pricing that is no longer allowed. The number of customers were in the minority.
The Texas grid is better compared to a third world country. It works great except when there is an emergency or any sort of edge case. Reliability numbers miss the context of a transmission line failing when it is 68 degrees and sunny vs a natural gas line freezing up when its -7 and everyone needs electricity to not die.
Pricing is handled exactly the same way: its $0.12/kWh when things are normal, but jumps to $7.00/kWh as soon as there is an emergency. Normal states split the difference and charge something like $0.14/kWh all the time so that when you're forced to run your heater 24/7 to stay alive you don't have to sell your car to pay your power bill.