In the segment, titled “Behind the Lines: The Houston Lawyer Podcast,” Haynes and Boone Associate Natasha Breaux, a member of THL’s editorial board, interviews Liebmann about ERCOT, the Public Utility Commission of Texas, and energy capacity, generation and reserves in Texas.
Liebmann explains how the ERCOT market differs from other markets: “All other domestic organized markets have reserves. ERCOT doesn’t have a lot of reserve capacity. And let me just explain what I mean by capacity – that is, energy is what gets used in real time. When you flip on your light switch and energy goes to serve your immediate demand, that is energy. In other organized markets, there is also a second payment that gets made to generators called a ‘capacity payment’ that is paid to make sure there is excess capacity for generation that is available to come online as needed in the event that there is an increase in demand over and above what was anticipated.”
Listen to Liebmann’s 2-minute segment here.
Liebmann leads the firm’s Power and Renewables practice, is a partner in the Capital Markets and Securities practice, and manages the San Antonio office. Her legal advocacy and regulatory experience have helped clients through multiple restructurings of the electric power markets.