Governor Declares April 'Texas

AUSTIN - March 28, 2001 - Governor Rick Perry signed a proclamation in Austin Wednesday declaring April "Texas Electric Choice Month." At the proclamation signing were Public Utility Commission of Texas (PUC) Chairman Pat Wood, Commissioner Brett Perlman, and former Commissioner Judy Walsh, as well as State Senator David Sibley and Representative Steve Wolens, principal authors of legislation that gives Texans the right to choose a Retail Electric Provider (REP) - the company that supplies their electricity.

Wood and Perlman were on hand to discuss the PUC's public education campaign, Texas Electric Choice, and to explain the strengths of Texas' restructuring plan.

Under a Pilot Program this summer, 5 percent of the state's investor-owned utility customers can choose a REP. During the month of April, more than 20 cities across the state will conduct a series of flag-raising ceremonies and other events to promote the Pilot Program, beginning with an event on April 2 in Senator Sibley's hometown of Waco, Texas.

Business customers have responded overwhelmingly to the Pilot Program. In fact, each of the state's investor-owned electric utilities have conducted lotteries to determine which of their business customers will be able to switch REPs on June 1, when the Pilot Program actually begins.

To date, more than 29,070 residential customers have signed-up for the Pilot Program. There is still room for residential and small- to mid-sized businesses to participate in the test run for Electric Choice. Customers interested in learning more about Texas Electric Choice or the Pilot Program can call toll-free 1-866-PWR-4-TEX (1-866-797-4839) or log on to www.powertochoose.org for more information.

"The Pilot Program is designed to give Texans the opportunity to find out how competition for electric service can work for them," said PUC Chairman Pat Wood. "It also allows the State, the utility companies, and REPs to make sure their computer and billing systems work well before Electric Choice is fully implemented on January 1, 2002."

PUC Commissioner Brett Perlman added that, "Competition for electric service should result in prices lower than they would have been under regulation. Additionally, competition should lead to the development of a host of new products and services for customers."

Only customers of investor-owned utilities can participate in the Pilot Program. Investor-owned utilities in Texas include: American Electric Power (Central Power & Light, Southwestern Electric Power Company, West Texas Utilities), Entergy, Reliant Energy, Texas-New Mexico Power, TXU Electric, TXU SESCO and Southwestern Public Service Company. Most customers of these utilities will be able to participate in the Texas Electric Choice Pilot Program. Customers of El Paso Electric will not receive customer choice until January 1, 2005. State lawmakers gave cities that run their own electric systems, along with electric cooperatives, the option of entering the competitive market, or keeping things the way they are today. For a complete breakdown of participation in the Texas Electric Choice Pilot Program by electric utility, visit the PUC's website at: www.puc.state.tx.us/electric/projects/22834/22834goals.cfm

Whether customers participate in the Pilot Program or not, the PUC will continue to protect customers and ensure the safety and reliability of their electric service.

State lawmakers and the PUC have taken measures to ensure Texas has an ample supply of power to meet the demands of Texas homes and businesses. The Texas restructuring plan is unique in many ways. First, Texas has encouraged the construction of new power plants - more than 50 power plants have been built or are being built since 1995. Texas has also expedited the time it takes to build a power plant to about two years. Texas has diversity in its generation of power, using natural gas, coal, nuclear, water, wind, solar energy and other fuel sources. Additionally, Texas law allows REPs to enter long-term contracts with power generators, which will help shield customers from price spikes.

For more information about Texas Electric Choice, visit www.powertochoose.org, or call our answer center toll-free at 1-866-PWR-4-TEX (866-797-4839). Educational materials will be available in English and Spanish, and alternative materials will be provided on the website for customers with visual impairments. Customers also can call our toll-free TDD number (877-864-5678).