CenterPoint Energy receives trueup appeal decision from Texas Supreme Court
2011-03-18T05:00:00Z

HOUSTON – March 18, 2011 – The Texas Supreme Court today issued its ruling on the appeal filed by a subsidiary of CenterPoint Energy, Inc. (CenterPoint Energy) and certain other parties from the stranded cost true-up order issued in 2004 by the Public Utility Commission of Texas (PUC).  The Court affirmed in part and reversed in part the PUC’s 2004 decision and remanded the case to the PUC for further action.  Based on the Court’s decision and an earlier decision by the court of appeals, CenterPoint Energy estimates that, in the remand to the PUC, it will be entitled to seek recovery of approximately $922 million, plus interest.

“Today’s ruling by the Texas Supreme Court clears up much of the remaining uncertainty associated with the 1999 electric restructuring law,” said David M. McClanahan, president and CEO of CenterPoint Energy.  “Following the PUC’s true-up decision in 2004, we were required to write off $950 million after taxes.  The Court’s opinion reverses a number of the PUC decisions that caused that write-off.  We look forward to working with the PUC and the other interested parties to implement the Court’s final decision.”

The impact of the Texas Supreme Court’s decision regarding the matters on appeal is summarized as follows:

  • The method used by the PUC to calculate the market value of the company’s former generating assets was overturned.  The Supreme Court ruled that the PUC should have valued the generating assets at the amount CenterPoint Energy received when it later sold its generation subsidiary.  Employing the sales price methodology reduces the amount eligible for recovery by approximately $252 million plus interest. 
  • The PUC’s order denying recovery of approximately $440 million in capacity auction true-up amounts was reversed.  This amount plus interest is eligible for recovery in the remand proceeding.
  • The PUC’s decision to reduce stranded costs by $378 million related to depreciation was reversed.  This amount plus interest is eligible for recovery in the remand proceeding.
  • The PUC’s order allowing recovery of approximately $358 million in excess mitigation credits (EMCs) that CenterPoint Energy had been erroneously ordered to pay its former affiliate was upheld.  This amount has already been recovered and will not be addressed in the remand proceeding. 
  • The PUC’s decisions allowing recovery of construction work in progress balances and interest on the capacity auction true-up amounts were upheld.  These amounts have already been recovered and will not be addressed in the remand proceeding. 

In its decision, the Court did not address the tax normalization issue that was the subject of an appeal by CenterPoint Energy in the lower courts.  The court of appeals had previously remanded this issue to the PUC for further proceedings.  That decision, which was favorable to CenterPoint Energy in the amount of approximately $146 million, had not been appealed to the Texas Supreme Court.  This amount plus interest is eligible for recovery in the remand proceeding.

The Court also did not address the court of appeals’ decision allowing CenterPoint Energy to recover approximately $210 million representing the interest component of the EMCs. This decision, which was favorable to CenterPoint Energy, was not appealed to the Texas Supreme Court.  This amount plus interest is eligible for recovery in the remand proceeding.

Parties may seek rehearing from the Texas Supreme Court.  Once the rehearing process is completed, there is no prescribed timetable for decision by the PUC on the matters remanded to it.

CenterPoint Energy, Inc., headquartered in Houston, Texas, is a domestic energy delivery company that includes electric transmission & distribution, natural gas distribution, competitive natural gas sales and services, interstate pipelines and field services operations. The company serves more than five million metered customers primarily in Arkansas, Louisiana, Minnesota, Mississippi, Oklahoma, and Texas. Assets total more than $20 billion. With about 8,800 employees, CenterPoint Energy and its predecessor companies have been in business for more than 135 years. For more information, visit the Web site at www.CenterPointEnergy.com.

This news release includes forward-looking statements. Actual events and results may differ materially from those projected. The statements in this news release regarding the anticipated future recovery as a result of the Texas Supreme Court’s decision, the estimated interest on such amounts and any other statements that are not historical facts are forward-looking statements. Factors that could affect actual results include the timing and outcome of any requests to the Texas Supreme Court for rehearing, future actions by the PUC in response to the Texas Supreme Court’s ruling and any future appeals thereof, the timing and impact of future regulatory, legislative, and IRS decisions, financial market conditions, and other factors discussed in CenterPoint Energy's and its subsidiaries' Form 10-K for the fiscal year ended December 31, 2010, and other filings with the Securities and Exchange Commission.

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CenterPoint Energy urges customers to stay safe during clean-up

HOUSTON - September 1, 2017 – The safety of our employees and our customers is our top priority. We urge customers to follow the below safety tips as clean-up efforts continue following Hurricane Harvey.

ELECTRIC SAFETY TIPS

Stay away from downed power lines. Be especially mindful of downed lines that could be hidden in flood waters and debris, and treat all downed lines as if they are energized or “live.” Boats being used in high water can expose you to danger from power lines at their normal height. Be aware and stay away. DO NOT attempt to remove a tree limb or other debris from a power line. Once away from the area, call 713-207-2222 and we will respond as soon as it is safe.

Power restoration

• If you find that water has risen above your electrical outlets, you must call a licensed electrician before you turn on the main circuit breaker or turn on the power for any connected appliances, such as televisions, computers and more.

• Your electrician will assess the damage and will then need to ensure that your home’s electrical system is safe to receive power.

• Your electrician may need to either call CenterPoint Energy or direct you to call us at 713-207-2222 to ensure that it is safe to perform electrical work. CenterPoint Energy may temporarily disconnect service to your home to allow work to be performed.

• Even if you or your electrician calls and asks us to remotely disconnect service, there still could be voltage present. Therefore, we will ask the electrician and you to confirm you want us to proceed before going forward, and will remind you to take precautions around your breakers.

• CenterPoint Energy is responsible for and will make repairs to the electric delivery system up to where it connects to your home or business. However, you are responsible for repairs if there is damage to the meter box or weatherhead (where the line enters your home through a pipe).

• If the meter box or weatherhead is damaged, our crews will not be able to re-establish service. If in doubt, contact a licensed electrician now to make an inspection and any necessary repairs.

Appliance and equipment safety

• All electrical appliances and electronic equipment that have been submerged in water must be dried thoroughly for at least one week. Then, you should have them checked by a qualified repair professional before turning them on.

• Do not try to repair a flood-damaged appliance as it could result in electrical shock or death. Attempting to restart it could result in further damage and costly repairs. Page 2 of 2 For more information contact Olivia Ross 713.207.3288 24-hour media access 713.619.5143 For Immediate Release

• If the outside unit of your air conditioning system has been under water, the controls may have mud and water accumulated in them. Have the unit inspected by a qualified air conditioning technician before using it.

• Never connect a portable electric generator or a motor home/RV generator directly to your home’s electrical system during a power outage. Electricity could back feed into the power lines and endanger repair workers.

Call 811 before any digging is started – it’s the law. Striking buried utility lines can cause serious injury or death. Alert participating utility companies, such as electric, gas, cable and phone about planned digging so they can mark the appropriate location of their underground lines. Please be prepared for a longer than usual wait time during the next few weeks, and do not dig until the lines have been marked.

NATURAL GAS SAFETY TIPS

• Do not turn off your natural gas service at the meter; doing so could allow water to enter the natural gas lines.

• Be alert for the smell of natural gas - It smells like rotten eggs. If you do smell natural gas, leave the area immediately on foot and tell others to leave, too.

• Do NOT turn on your lights, smoke, strike a match, use a cell phone or operate anything that might cause a spark, including a flashlight or a generator.

• Do not attempt to turn natural gas valves on or off. Once you are safely away from the area, call 911 and 888-876-5786. Once it is safe, CenterPoint Energy will send a trained service technician.

• If your home was flooded, call a licensed plumber or gas appliance technician to inspect your appliances and gas piping to make sure they are in good operating condition before calling CenterPoint Energy to reconnect service. This includes outdoor gas appliances including pool heaters, gas grills and gas lights.

Call 811 before any digging is started – it’s the law. Striking buried utility lines can cause serious injury or death. Alert participating utility companies, such as electric, gas, cable and phone about planned digging so they can mark the appropriate location of their underground lines. Please be prepared for a longer than usual wait time during the next few weeks, and do not dig until the lines have been marked.

• Be aware of where your natural gas meter is located. As debris is put out for heavy trash pickup, make sure it is placed away from the meter. In many areas the meter may be located near the curb. If debris is near a gas meter, the mechanized equipment used by trash collectors could pull up the meter, damaging it and causing a potentially hazardous situation. If this happens, leave the area immediately and call CenterPoint Energy at 888- 876-5786.

• Visit CenterPointEnergy.com/StormCenter for natural gas safety tips and other resources.

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CenterPoint Energy donates $1.25 million to assist Hurricane Harvey recovery and relief efforts

Houston – Sept. 1, 2017 – CenterPoint Energy today announced that it is committing $1.25 million to Hurricane Harvey recovery and relief efforts. CenterPoint Energy’s contributions include a $250,000 donation each to the American Red Cross for Hurricane Harvey relief efforts, the City of Houston Mayor’s Hurricane Harvey Relief Fund and the United Way of Greater Houston disaster relief efforts.

“Our thoughts are with everyone impacted by this unprecedented catastrophe,” said Scott Prochazka, president and chief executive officer of CenterPoint Energy. “CenterPoint Energy has been a part of these communities for more than 150 years. The safety and well-being of our communities and employees impacted by Hurricane Harvey remain our top priorities.”

CenterPoint Energy is also donating $300,000 to support employees across its service territory significantly impacted by the storm. The company has also established an employee assistance fund, CenterPoint Energy Employees 1st Fund, to collect employee donations and match them up to a total of $200,000. “We take pride in lending a helping hand to those in need, which is a core part of our culture,” added Prochazka.

In addition to the charitable contributions, employee volunteerism is an important part of CenterPoint Energy’s role in communities throughout its service territory. Employee volunteers provide their time and energy to assist with altruistic initiatives. In 2016, employees, retirees and their families and friends contributed 237,500 hours to their communities, and the company donated more than 2,000 grants to qualified nonprofit organizations.

CenterPoint Energy, Inc., headquartered in Houston, Texas, is a domestic energy delivery company that includes electric transmission & distribution, natural gas distribution and energy services operations. The company serves more than five million metered customers primarily in Arkansas, Louisiana, Minnesota, Mississippi, Oklahoma, and Texas. The company also owns 54.1 percent of the common and subordinated units representing limited partner interests in Enable Midstream Partners, a publicly traded master limited partnership it jointly controls with OGE Energy Corp., which owns, operates and develops natural gas and crude oil infrastructure assets. With more than 7,700 employees, CenterPoint Energy and its predecessor companies have been in business for more than 150 years. For more information, please visit www.CenterPointEnergy.com.

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CenterPoint Energy awards grants to communities for safety initiatives
Minneapolis - Aug. 28, 2017 - CenterPoint Energy’s Community Partnership Grant Program awards grants to local communities to fund safety-related equipment and projects.  The company recently awarded several communities grants that will be used to serve the communities. They are listed below:

 

Date Given ​City ​Grant Amount GivenSafety Related Equipment/Project
​8/28/17 ​ ​ ​ ​ ​​Luverne​$495​Emergency communication equipment
​Mankato​$2,500​Firefighter protective hoods
​Mounds View​$495​First aid training equipment
​Paynesville​$2,500​Squad car portable radios

 

“Safety is one of CenterPoint Energy’s core values. Through the Community Partnership Grant program CenterPoint Energy has partnered with communities supporting our shared commitment to safety while delivering a safe, reliable natural gas service for over 150 years. Over the past 14 years, CenterPoint Energy has contributed $1.5 million toward safety initiatives in our communities,” said Jean Krause, Community Relations Director for CenterPoint Energy. “These grants help us stay connected with our emergency officials and aid them in keeping our neighbors and communities safe. “

To see what CenterPoint Energy is doing in the community, please visit our 2016 Corporate Responsibility Report.

CenterPoint Energy, Inc., headquartered in Houston, Texas, is a domestic energy delivery company that includes electric transmission & distribution, natural gas distribution and energy services operations. The company serves more than five million metered customers primarily in Arkansas, Louisiana, Minnesota, Mississippi, Oklahoma, and Texas. The company also owns a 55.4 percent limited partner interest in Enable Midstream Partners, a publicly traded master limited partnership it jointly controls with OGE Energy Corp., which owns, operates and develops natural gas and crude oil infrastructure assets. With more than 7,400 employees, CenterPoint Energy and its predecessor companies have been in business for more than 150 years. The utility also operates a non-regulated business in Minnesota called Home Service Plus®. For more information, visit the website at CenterPointEnergy.com.

CenterPoint Energy assessing damage, restoring power following Hurricane Harvey

​Crews have restored power to more than 175,000 customers in the last 24 hours; Keep phone lines open for electric and gas emergency calls only; Estimated electric restoration times will be provided once assessments are completed; Natural gas system in Houston area is functioning normally; Not yet safe for crews to assess natural gas system in Victoria, Texas area

Houston – Aug. 26, 2017 – CenterPoint Energy has restored power to more than 175,000 customers throughout its service territory over the last 24 hours. Of the 2.4 million CenterPoint Energy customers, more than 98 percent currently have power, and approximately 22,000 are without power as of 12 p.m.

“While our electric system is performing well, patience will be key as some areas will be difficult for our crews to safely access due to flooding, tornado warnings and other safety-related issues,” said Kenny Mercado, senior vice president of Electric Operations for CenterPoint Energy. “We’ve also called in additional external contract resources to support our restoration efforts and have established a staging site in Fort Bend County. Additional sites are being evaluated at this time.”

“Customers do not need to call us to report outages,” he added. “Our smart meters tell us which customers are out. We ask that everyone please keep phone lines open for electric or gas emergency calls only.”

Scott Doyle, senior vice president of Natural Gas Distribution, said, “Our natural gas distribution system in the greater Houston area is functioning normally; however, crews are responding to gas leak calls in Sinton, Texas, near Corpus Christi, primarily due to toppled trees which have uprooted gas lines.

“Customers need to call us if they smell natural gas or see a damaged line,” he added. “It is not yet safe for crews to assess our gas system in Victoria, Texas; we will begin our assessments as soon as it is safe to do so.”

For latest information on power outages*:

*Please note that some outage notifications may be delayed. Due to the unpredictable nature of Hurricane Harvey, estimated restoration times on Outage Tracker and Power Alert Service are not being provided at this time.

The company urges the public to follow these important electric and natural gas safety tips:

Electric

  • Stay away from downed power lines. Be especially mindful of downed lines that could be hidden in flood waters and treat all downed lines as if they are energized.
  • If you experience flooding and water has risen above the electrical outlets in your home, contact a licensed electrician before turning on the main circuit breaker or trying to restore power.
  • All electrical appliances and electronic equipment that have been submerged in water need to dry thoroughly for at least one week. Then, have them checked by a qualified repair person before turning them on. Attempting to repair a flood-damaged appliance could result in electrical shock or death. Attempting to restart it could result in further damage and costly repairs.
  • If the outside unit of an air conditioning system has been under water, mud and water may have accumulated in the controls. Have the unit checked by a qualified air conditioning technician.

Natural Gas

  • Do not turn off your natural gas service at the meter; doing so could allow water to enter the natural gas lines.
  • Be alert for the smell of natural gas. If you smell gas, leave the area immediately on foot and tell others to leave, too.
  • If you smell gas, do not turn the lights on or off, smoke, strike a match, use a cell phone or operate anything that might cause a spark, including a flashlight or a generator.
  • Do not attempt to turn natural gas valves on or off. Once safely away from the area, call 888-876-5786 and CenterPoint Energy will send a trained service technician.
  • If your home was flooded, call a licensed plumber or gas appliance technician to inspect your appliances and gas piping to make sure they are in good operating condition before calling CenterPoint Energy to reconnect service. This includes outdoor gas appliances including pool heaters, gas grills and gas lights.
  • Before cleaning debris, digging on your property or to locate underground natural gas lines and other underground utility lines, call 811, the nationwide Call Before You Dig number.
  • Be aware of where your natural gas meter is located. As debris is put out for heavy trash pickup, make sure it is placed away from the meter. In many areas the meter may be located near the curb. If debris is near a gas meter, the mechanized equipment used by trash collectors could pull up the meter, damaging it and causing a potentially hazardous situation. If this happens, leave the area immediately and call CenterPoint Energy at 888-876-5786.
CenterPoint Energy awards grants to communities for safety initiatives

Minneapolis – Aug. 23, 2017 – CenterPoint Energy’s Community Partnership Grant Program awards grants to local communities to fund safety-related equipment and projects. The company recently awarded the City of Jordan a $2,300 grant for a pole mounted solar powered electric speed sign that will be used to serve the community.

“Safety is one of CenterPoint Energy’s core values. Through the Community Partnership Grant program CenterPoint Energy has partnered with communities supporting our shared commitment to safety while delivering a safe, reliable natural gas service for over 150 years. Over the past 14 years, CenterPoint Energy has contributed $1.5 million toward safety initiatives in our communities,” said Jean Krause, Community Relations Director for CenterPoint Energy. “These grants help us stay connected with our emergency officials and aid them in keeping our neighbors and communities safe. “

To see what CenterPoint Energy is doing in the community, please visit our 2016 Corporate Responsibility Report.

CenterPoint Energy, Inc., headquartered in Houston, Texas, is a domestic energy delivery company that includes electric transmission & distribution, natural gas distribution and energy services operations. The company serves more than five million metered customers primarily in Arkansas, Louisiana, Minnesota, Mississippi, Oklahoma, and Texas. The company also owns a 55.4 percent limited partner interest in Enable Midstream Partners, a publicly traded master limited partnership it jointly controls with OGE Energy Corp., which owns, operates and develops natural gas and crude oil infrastructure assets. With more than 7,400 employees, CenterPoint Energy and its predecessor companies have been in business for more than 150 years. The utility also operates a non-regulated business in Minnesota called Home Service Plus®. For more information, visit the website at CenterPointEnergy.com.