Riverway Power Decides they won't Declare Bankruptcy

When Riverway Power cancelled their customers energy agreements in order to raise their electric rates higher they must have not realized what this type of thing would stir into action. Many customers of Riverway Power who signed a 12 month fixed electric agreement to be locked in for an entire 12 month term at a fixed Texas electric rate that would not change were given notice that their rate would be changed in the middle of the contract. This embroiled most of their customers, who quickly filed complaints with the Public Utility Commission of Texas.

After enough complaints had hit the desk at the PUCT, Riverway had to decide if they were going to recind their original contract cancellation offers at the higher rate or file for bankruptcy. If Riverway files for bankruptcy they get to keep their customers at the broken contract rate they offered their customers and reorganize. If they don't declare bankruptcy they have to let the Texas government distribute their customers to the Provider of Last Resort. The POLR rate is a backup plan so an out of business electric company does not just cancel the electric service of their customers when they go out of business. The problem with the POLR electric rate is that it is 20 - 30 cents kWh. Many customers of Riverway Power are now paying triple what they had been paying.

The important thing for Riverway Power customers is to get off the POLR electric rate as quickly as they can. The POLR energy rate is a backup plan and that is it. The rate is in no way a competitive electric rate. Customers of Riverway should start shopping for a competitive electric rate and request service as "new service" or as a "new move in" in order to get switched within 3 - 5 business days instead of 30 - 45 business days. You do not want to have to pay 30 cents kWh more then a few days or you will want to turn off your AC Unit until you have switched providers. With one of the hottest summers in Texas coming it really couldn't be worse timing for this fiasco to have occurred.

The Public Utility Commission of Texas, commissioner has supposedly resigned because of this issue as 5 different electric companies have gone out of business recently and many are expected to follow. A good place for Riverway customers to begin shopping is a company by the name of Electricity Bid. They have discount residential electric rates in Texas with reputable providers. You can pick your city or county and find the rate that is good for you. Right now the 12 month fixed rate term is the most popular option. The longer terms are sometimes cheaper but rates are expected to come down again within the next 36 months so a 12 month Texas electric rate still makes the most since.