Texas’ attorney general has initiated an investigation into CenterPoint Energy, Houston’s electric utility, amidst allegations of fraud and mismanagement following Hurricane Beryl. The scrutiny intensified after the hurricane caused widespread power outages, leaving millions without electricity for an extended period.
Governor Greg Abbott and state regulators have also raised concerns about the utility’s storm preparations and response to the Category 1 hurricane. The aftermath of the storm resulted in at least three dozen deaths, with some individuals perishing in homes without air conditioning during the sweltering weather after the hurricane.
Attorney General Ken Paxton stated his office is looking into troubling allegations regarding CenterPoint’s conduct during Hurricane Beryl, emphasizing that any unlawful activities will face legal consequences. CenterPoint Energy has expressed its willingness to cooperate with the investigation and uphold its company values.
Despite the lack of specific allegations mentioned in Paxton’s announcement, Governor Abbott criticized CenterPoint for slow power restoration efforts and inadequate communication with customers before the storm. The Public Utility Commission of Texas has initiated its investigation, while lawmakers questioned the company’s top executive about its failures at a recent hearing.
CenterPoint defended its storm preparedness efforts, highlighting the deployment of additional workers to assist in power restoration. The company has also embarked on a plan to replace wooden utility poles and enhance tree-trimming efforts following pressure from the governor for swift action.
Hurricane Beryl damaged power lines and uprooted trees upon its landfall in Texas on July 8, marking the latest natural disaster to affect Houston following a powerful storm in May that left nearly 1 million individuals without power. Concerns have been raised by residents regarding persistent outages, especially after the state’s power grid failure during a deadly winter storm in 2021.
CenterPoint has previously faced scrutiny over the reliability of Houston’s power grid, particularly during Hurricane Ike in 2008, which left over 2 million people without power for 19 days. The city established a task force to examine the company’s response, recommending the automation of parts of its grid to minimize outages. Despite receiving federal funding for this technology, the company’s progress remains ongoing, as stated by executive vice president Jason Ryan.
Critics and utility experts argue that CenterPoint has been slow to adapt its technology to address the extreme weather conditions Texas continues to confront. The investigation into CenterPoint Energy’s conduct during Hurricane Beryl comes amid growing concerns about the utility’s response to natural disasters and power outages in Houston.