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Further Update On Enron Energy Texas REP Application
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While EnergyChoiceMatters.com typically does not cover routine or administrative developments in retail supplier licensing proceedings, because of intense reader interest in the Texas REP application of Enron Energy Texas LLC ("Enron"), ECM provides the following update for those counting the days since the initial application.
PUC Staff have filed a recommendation concerning whether Enron has filed sufficient materials to conduct a review of the application. Staff recommends that an ALJ find that Enron's REP application is not sufficient for further review. Staff's recommendation on sufficiency is based on the alleged failure of Enron to file materials responsive to certain established requirements, and not novel or unique requests stemming from the already filed materials. In other words, Staff alleges certain information required under the existing rules and forms has not yet been provided by Enron. Staff is not alleging that Enron's filing is insufficient for some other reason, such as needing more information in support of the customary filed materials.
An ALJ will ultimately decide whether Enron's REP application is sufficient for further review
Staff's recommendation on sufficiency addresses only whether all necessary materials have been filed and does NOT address the merits of Enron's application. Staff has not made any recommendation regarding whether the Enron REP application should be granted or denied
An insufficiency finding is common in REP application proceedings, with applicants producing supplemental material as directed
As previously reported, Enron has stated that additional time is needed to obtain a letter of credit in the form prescribed by the Commission, as Enron said that several financial institutions have been stated to not issue such in the Commission’s prescribed form. This issue appears to remain outstanding
In addition to this issue, Staff's sufficiency recommendation cited other areas of the application which were insufficient
Among other things, Staff states that Enron did not include the required D-6 or D-7 attachments.
The D-6 attachment is a statement and affidavit indicating whether the applicant or applicant’s principals
have been convicted or found liable for fraud, theft, larceny, deceit, or
violations of any securities laws, customer protection laws, or deceptive
trade laws in any state.
The D-7 attachment is a statement and affidavit listing any third parties relied upon to meet certain of the certification requirements
EnergyChoiceMatters stresses that EnergyChoiceMatters has no knowledge of why such sections of the Enron REP application, per Staff's deficiency filing, lacked these materials. However, as a long-time observer of the REP application process, it is not uncommon for applicants for which a section is not applicable, and/or there is nothing to report, to omit a required statement or affidavit to such effect, believing that a specific response is only required if the REP has something applicable which must be reported concerning a section
As noted previously, once Enron's application is deemed sufficient for review, the Texas REP certification rules require the PUC to issue an order approving, rejecting, or approving with modifications a REP application within 90 days of the finding that the application is sufficient for review, except where good cause is shown to extend consideration
Docket 57544
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March 27, 2025
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Copyright 2025 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com
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