The Texas Supreme Court ruled Friday that ERCOT is immune to lawsuits from the 2021 deadly winter storm. The storm brought the state’s electric grid to the...
Because of this, ERCOT should be immune to suit because “it prevents the disruption of key governmental services, protects public funds, and respects separation of powers principles,” Chief Justice Nathan L. Hecht wrote for the majority.
The justices also dismissed a lawsuit from a Dallas-based private energy developer Panda Power Funds that alleged it lost billions after making investments based on flawed energy demand projections ERCOT issued. “[T]he Court declares that a purely private corporation, Electric Reliability Council of Texas, Inc. , may shield itself under the Sovereign’s cloak of immunity as a legislatively authorized entity,”. “Yet unlike any other entity previously granted immunity by this Court, no statute designates ERCOT as a part of the government.”
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