Group urges San Antonio to hire consumer advocate ahead of CPS Energy rate hike

With CPS Energy poised to seek another rate increase, consumer group Public Citizen is urging San Antonio City Council to hire a ratepayer advocate to protect residents from potential gouging.

Officials with the city-owned utility are working to finalize a proposed rate increase to cover pricy but needed upgrades to plants and equipment. Those expenses could run as high as $120 million annually, prompting the utility to seek a 5.5% increase on customer bills by early 2024, the Express-News reports.

However, Public Citizen warned that the city should hire an impartial ratepayer advocate before approving a hike for CPS.

“Any rate increase should include the full consideration of the rights and views of residential ratepayers, who are entitled to fairness throughout the rate-setting process,” Public Citizen clean energy advocate DeeDee Belmares said in an emailed statement.

“An experienced consumer advocate can advise the council on appropriate rates that won’t place an added financial burden on low-income residents and will encourage conservation," she added. "If residents are asked to pay more to power their homes, they deserve an advocate with professional experience to sit at the negotiating table on their behalf.”

Public Citizen officials argue that it's common practice for states and municipalities to retain consumer advocates ahead of utility rate increases. Austin, for example, includes a consumer advocate in Austin Energy rate proceedings.

Council approved CPS Energy's prior rate increase of 3.85% in March 2022, its first such request in eight years. In addition to the 2024 rate increase, the utility has signaled that it will likely request another rate hike that's expected to go into effect in 2026.

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