Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Texas power retailer Griddy heading for bankruptcy: Wall Street Journal

Stock MarketsMar 14, 2021 07:55PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters.

(Reuters) - Texas power retailer Griddy Energy LLC is planning to file for bankruptcy after the state grid operator cut off the company's access to customers for unpaid bills following the Texas freeze, sources familiar with the matter told the Wall Street Journal.

Officials at the company were not immediately available for comment.

Griddy sold power to customers at market rates. When power prices spiked to $9,000 per megawatt hour (MWh) and remained at that lofty level for days during the extreme cold in February, some customers received monthly bills of over $10,000.

That compares with an average price for power of $22 per MWh in 2020 in the Electric Reliability Council of Texas (ERCOT), which operates the state's power grid.

"ERCOT took our members and have effectively shut down Griddy," the company told customers on its website after ERCOT transferred Griddy's roughly 10,000 customers to others.

In addition to losing its customers, the Texas attorney general is suing Griddy, saying it engaged in deceptive trade practices by issuing excessive bills.

Griddy has said that it urged customers to switch to other providers with a fixed rate before the worst of the storm hit in February.

High gas and power bills from the Texas freeze have already forced two other firms to seek bankruptcy protection - Just Energy Group (NYSE:JE) Inc and Brazos Electric Power Cooperative Inc.

Texas power retailer Griddy heading for bankruptcy: Wall Street Journal
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (3)
Jason Zou
Jason Zou Mar 14, 2021 9:10PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
All the messes were/are created by ERCOT.
Ramogi Ochola
Ramogi Ochola Mar 14, 2021 9:10PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
no it was created by lack of winterization of power plants and lack of connection to a national grid from which to borrow power.
Kelly Mayer
Kelly Mayer Mar 14, 2021 8:23PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Greedy?
Junior De la rosa
Junior De la rosa Mar 14, 2021 8:02PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
hola
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email