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Posts Tagged ‘pec scandal’

Texas State Rep. Patrick Rose rails against PEC Board decisions, lack of transparency

Posted in Co-op Reform, Energy, Good Government, tagged , , , , , , , , , , , on August 25, 2010 |

Logo for PEC

Rep. Patrick Rose this morning had an opinion piece printed regarding transparency reforms at the  Pedernales Electric Cooperative (PEC) , echoing similar criticism from the Austin American Statesman last week.  I’m not saying I agree with every word Rep. Rose wrote here in this morning’s San Marcos Local News, but this shows that this will likely be an issue in the upcoming Legislative Session.  As a bit of history, Rep. Rose (D-Dripping Springs) and Senator Troy Fraser (R-Horseshoe Bay), both of whom are members of the co-op, tried to pass a bill to increase transparency at PEC last session, but that ultimately failed when, as with so many other issues, it got killed by Voter ID.

As an aside and for full transparency’s (ha!) sake, Rep. Rose is also my State Representative and I have to give him a big hat tip for the work he has done in working to reform the PEC, as that work directly affects the electric bills my family and neighbors pay every month.

Commentary
By PATRICK ROSE
District 45 State Representative

Rep. Patrick Rose by the river

Our three-county district is served entirely by electric co-ops and municipally owned systems. I believe that public power has served our area well and kept costs lower than other energy providers across the state. As we continue our efforts to protect and grow jobs in our region, energy affordability is key. This is one of the many reasons why I am committed to a strong and transparent Pedernales Electric Cooperative (PEC).

On Monday, Senator Troy Fraser (R-Marble Falls) and I spoke at the August meeting of the PEC board of directors. I appreciate every opportunity to meet with the board and co-op members about our reform efforts.

My remarks were focused on my strong disapproval of the board’s latest mistake that cost co-op members $1 million, firing its general manager days before the election of two new board members. In June, PEC seated its first ever 100 percent democratically elected board. This decision could have and should have waited until the new board members, duly elected by the members, were sworn in.

The two outgoing directors were part of the legacy board that allowed for and participated in the mismanagement and corruption at PEC that was brought to light over the last few years. They should not have been part of any decision that impacts the future of PEC. At the meeting, I repeatedly asked Larry Landaker, PEC’s board president, to explain why he and two other board members joined forces with the last two legacy members. He could not answer the question, and furthermore, he admitted that the board did not have cause for the firing, thus costing co-op members $1 million.

These actions are unacceptable and show the irresponsibility and lack of transparency that justify legislation. What co-op members can count on, regardless of the makeup of the PEC board or who is general manager, is that Sen. Fraser and I are committed to transparency and openness at our cooperative. The legislature will reconvene in January and we will proceed with our effort to statutorily protect members’ rights. (more…)

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Public Citizen Applauds Leadership, Vision of New PEC Board

Posted in Energy, Good Government, Renewables, tagged , , , , , , , , , , , , , , , , , , on June 30, 2009 |

Board Promises Transparency, Whistleblower Protections, Open Meetings

AUSTIN, Texas – The first meeting of the new board of the Pedernales Electric Cooperative (PEC) on Monday marked an unprecedented change in leadership and vision for the nation’s largest electric cooperative. Not only is the majority of the board progressive reformers, but it is led by an entirely new executive body that has promised to prioritize transparency, accountability, whistleblower protection, renewable energy and energy efficiency new priorities.

“The PEC has an opportunity to be a national leader among co-ops. Board members see that the future of electric power in America lies with energy efficiency and renewable energy,” said Tom “Smitty” Smith, director of Public Citizen’s Texas Office. “Public Citizen Texas applauds the board’s openness and commitment to member rights and looks forward to working with directors in the future as they further investigate how to make their visions reality.”

Considering that just last year the co-op was deep in the midst of a scandal involving accusations of misappropriated funds, theft, money laundering, closed meetings and tainted elections, Monday’s meeting marked an incredible turnaround.

PEC held a special meeting Monday to seat newly elected board directors Christi Clement, Patrick Cox and Larry Landacker. During this meeting, the full board held the elections for the positions of president, vice president and secretary for the coming year.

Landacker was nominated for president and elected with six votes in favor and one abstention;  Clements secured the vice presidency with four votes in favor and three abstentions, and Kathy Scanlon was unanimously elected to the position of board secretary.

During his acceptance speech, Landacker announced that the board would begin working immediately on several projects to reform the co-op and move toward becoming a more environmentally friendly, sustainable business. Landacker plans to adopt a co-op members’ Bill of Rights, guarantee open access to meetings, implement a new whistleblower protection policy and create a new and open governance system for the co-op. These laudable measures will ensure that members have the opportunity to participate fully in their co-op and in decisions, and that workers are encouraged to act in the best interests of member-owners.

Landacker also pledged to move forward aggressively with the co-op’s goal, set last November, to purchase or generate 30 percent of its electricity from renewable sources by 2020. As a part of this effort, the co-op plans to create new programs to encourage energy efficiency and renewable energy projects among individual members.

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Net Metering and Resurrected Solar Bill Passes Texas Senate

Posted in Energy, Renewables, tagged , , , , , , , , , , , , , , , , , , , , on May 28, 2009 |

wewonLast night at 11:58 pm (wink, wink), just as we suspected would happen, the Texas Senate unanimously passed through the net metering bill, HB 1243, with solar SB 545 amended on as a bonus.  This is great news for Texas consumers, the environment, and solar power.

As you may recall, HB 1243 will ensure that owners of solar installations, small wind turbines, or biogas generators get paid a fair price for the excess power they produce.  SB 545 — which after the Voter ID slowdown, we thought was dead — increases incentives for distributed solar power generation by creating a pool of $500 million in solar rebates over the next 5 years.  It also calls for a pilot program with a minimum funding of $4 million to put solar on schools (nudge: the State Energy Conservation Office could potentially spend considerably more of their pending stimulus funds to further these projects) and will create thousands of green, local jobs across the state of Texas.

Another amendment to the bill added on SB 2349.  This provision would allow oil wells that create natural gas, but not enough to justify paying for collection, to build a generator to run the gas through, make electricity, and sell it back into the grid.  The bill would limit production to 2 MW so that they can provide distributed generation.  As of right now, they’re just flaring that gas off, so this is definitely a good thing.

According to our friends at Environment Texas (via the Houston Chronicle’s NewsWatch: Energy blog), the amended HB 1243 also

• Requires home builders to offer solar as a standard option in developments with 50 homes or more.

• Prevents homeowners associations from blocking solar panel installations

• Allows up to 70% of incentive funds to be used for utility-scale solar projects

• Allows the Public Utility Commission to extend the program for an additional five years and another $500 million if it determined that a “substantial” amount of manufacturing of solar generation products located in Texas after the initial five-year program

• Requires electric co-ops to allow consumers to interconnect solar to the grid

• Clarifies that consumers will not have to register as a utility and that third party ownership of solar is allowed

• For the next two years, requires retail electric providers to pay at least five cents per kilowatt hour for surplus solar and four cents for other renewable technologies and directs the PUC to determine a fair market price that will become a new “floor” following the two years

• Creates a “Made in Texas” program to certify and encourage Texans to buy locally manufactured solar panels and other energy products.  As a result, locally produced products qualify for a 20% larger rebate than imports.

Now that HB 1243 has successfully passed through both chambers of the legislature, we’ve just got to wait and see what comes out of conference committee, where bill authors from both sides will smooth out the differences between their bills.  Many thanks to all of you that wrote e-mails and made phone calls in support of these bills.  This is a tremendous victory for Texas solar.  Keep your fingers crossed that we can send this bill to Governor Perry’s desk!

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