Dive Summary:

• Ambit Energy has added a “Power Cost Recovery Factor” to its customers’ bills, claiming it needs to do so to recoup money it spent buying power for its customers.
• At the time of the purchases, Texas’ Public Utilities Commission (PUC) had raised the ceiling for the price of wholesaler power and has recently raised the cap two additional times.
• The PUC is not sure it will accept Ambit’s argument that the agency’s actions constitute enough of a change for the costs to be passed onto consumers; as far as the PUC is aware, Ambit is the only electric provider adding costs to its fixed-rate customers.

From the article:

When Henry Roberts of Fort Worth was shopping for electricity last year, he was happy to switch to Ambit Energy, which offered him a two-year fixed rate of 9.7 cents.

Roberts wasn't as happy when he opened this month's bill and found an extra $44.92 added, which the company called a "Power Cost Recovery Factor." The charge in effect raised his average price to 11.6 cents per kilowatt-hour. ...