Chron: SCOTX Will Review ERCOT’s Immunity from Lawsuits

The Texas Supreme Court has agreed to review a lower court’s ruling that the state power grid manager is entitled to sovereign immunity, a well-established legal principle that protects governments and their agencies from lawsuits.

The review, announced last week, is a win for electricity generator Panda Power. The Dallas company sued the Electric Reliability Council of Texas four years ago, alleging that the grid manager manipulated the state’s power needs to encourage new power plant construction to relieve political pressure building in Texas. Panda Power built three power plants and invested billions of dollars based on ERCOT projections that Texas desperately needed more generation to meet growing power demands.