SAN ANTONIO – Governor Greg Abbott is set to announce a plan to change the energy landscape in San Antonio in hopes of bringing prices down for consumers.
The governor’s office offered KSAT access to the plan ahead of a 2 p.m. news conference Tuesday.
The plan is to ban so-called energy monopolies between cities like San Antonio and municipally-owned utility districts like CPS Energy.
Abbott’s office said more than five million Texans live in areas with just one municipal power provider with no option to shop around for cheaper electricity rates.
Of those five million, the office said more than 60 percent are served by Austin’s and San Antonio’s electric utilities.
Abbott’s plan would allow Texans to choose their electricity provider by opening city monopolies to retail electric competition.
“Governor Abbott’s plan will give Texans the ability to choose their electricity provider and prohibit utility charges from being used as a slush fund, helping Texans save more of their hard-earned money,” Gov. Abbott Press Secretary Eduardo Leal.
According to the proposed plan, residential ratepayers in Austin and San Antonio would save — on average — 10% and 13%, respectively, on their electric bills.
Affected commercial ratepayers, including small businesses, could save 20% on average on their electricity bills. Savings could add up to $3,000 per year.
Abbott’s plan would also ban city utilities from imposing charges on ratepayers unrelated to electric delivery and prohibit using utility profits as a city slush fund.
KSAT will attend Tuesday’s news conference and ask how Abbott plans to implement the proposal.
Abbott is currently running for re-election against Democrat Gina Hinojosa. KSAT is also reaching out for Hinojosa’ office for comment on how to tackle energy prices in Texas.