For one scorching week in August, Texas broke electricity-use records on three different days. And the main grid operator met that exceptional demand every time.

That’s because the grid operator’s top priority is right there in its name: the Electric Reliability Council of Texas (ERCOT). ERCOT deploys many tools to ensure the lights stay on, including Reliability Must-Run (RMR) agreements, which keep open a power plant – like a coal or natural gas plant – that otherwise planned to stop or suspend operations. Recently, there has been concern that the use of RMRs may increase due to market conditions, specifically low electricity prices that are forcing uneconomic plants to retire.

RMRs serve a critical purpose. But as technology transforms the way we power our lives, we need smart policies that recognize the unprecedented array of new energy options. ERCOT currently is in the process of revising its rules, and Environmental Defense Fund has a few recommendations on how the grid operator can improve its approach to reliability agreements, so Texans can enjoy a healthier, cleaner, and more affordable energy future. Read More »