Thread by @TexasTribune

1/ Justin Aguilar’s bingo halls lost thousands of dollars during February’s deadly winter storm. Then, the bingo halls got a $120k electricity bill.

Texas is discussing whether to include businesses like his in a massive winter storm bailout. #TXlege bit.ly/2TftkI4

2/ The bingo halls had an electricity plan that offers cheaper power when Texas' electricity supply is sufficient — but higher rates when it’s not.

Exorbitant power bills now loom over thousands of Texas businesses that are waiting for the state to help them seek low-cost loans.

3/ During the storm, electricity regulators set power prices at the maximum rate — $9,000 per megawatt-hour — for several days.

Because the freeze knocked out many of the state’s power generators, electricity companies had to buy what little power was available at that rate.

4/ A package of bills in the #TXlege could provide at least $7 billion in bonds and loans to the state’s electricity and gas market. If approved, it could prevent customers from having to pay huge bills in a short time.

But customers would pay an extra charge for years to come.

5/ And, $800 million could be loaned to ERCOT, the state’s main power grid operator, from the state’s rainy day fund to pay for electricity companies’ debts to the grid operator under House Bill 4492. bit.ly/3c1Nw70

6/ The bills, which are nearing passage, would allow gas utility companies, electric cooperatives and other electric companies to issue bonds backed by the state’s assurance that there will be an extra charge on customers’ utility bills to pay back the bonds.

7/ Using bonds approved by the state allows debt-strapped companies to attract cash from investors at a lower interest rate than if they tried to borrow money from investors on their own. That way, customers won’t have to pay as much to cover storm debts. bit.ly/2TftkI4

8/ CenterPoint Energy will seek at least $1 billion to cover the cost of gas it purchased during the storm. If it tried to finance the cost itself, the average customer would pay around $40 more per month for gas.

With Texas' aid, customers will pay $2 to $5 more for 10 years.

9/ Several cities that operate natural gas utilities are also distressed. But not all will need the state's help — some are opting to go directly to the bond market.

Corpus Christi said it will issue a $35 million bond to take care of natural gas costs. bit.ly/3hZBzCC

10/ Meanwhile, experts say that as climate change makes severe weather events more common, policymakers will have to make difficult decisions about who is left with the bill and where the assistance should stop. bit.ly/2TftkI4

11/11 With days left in the legislative session, the House and Senate must hammer out differences between their winter storm proposals — and quickly move the legislation along. We're providing updates here: bit.ly/3fsdZg5