30 Jan 2002 – TXU Energy, the Texas-based power group announced today its next series of electricity auctions running from May through to August. The Public Utility Commission of Texas (PUCT) requires each power generating company (“PGC”) affiliated with an electric utility with at least 400 MW of Texas-jurisdictional installed generation capacity to sell at auction entitlements to at least 15 per cent of that capacity.
The ERCOT capacity auctions will consist of monthly capacity blocks of 600 MW
Bidders may choose among four types of electric generation, to be auctioned in 25 MW blocks, Base-load fossil and nuclear options, Intermediate natural gas options, Cyclic natural gas options and Peaking natural gas options.
Eligible traders have until 11 February to register to participate in the auctions.
The Capacity Auctions are intended to promote competitiveness in the wholesale market through increased availability of generation. Also, it is expected to increase liquidity in the energy market.