Amidst the aftermath of Hurricane Beryl, Texas' attorney general has initiated an investigation into Houston's electric utility, CenterPoint Energy, over allegations of fraud and waste. The scrutiny comes in the wake of widespread power outages that left millions without electricity for days.
The investigation was prompted by concerns raised by state regulators, including Governor Greg Abbott, regarding the utility's storm preparations and response to Beryl, a Category 1 hurricane that caused power outages for nearly 3 million people in Houston.
At least three dozen deaths have been attributed to the storm, with some residents perishing in homes without air conditioning in the sweltering heat following the hurricane's passage.
CenterPoint Energy has pledged its cooperation with the investigation, expressing its commitment to upholding company values. The Texas Attorney General, Ken Paxton, emphasized that any unlawful activity uncovered during the investigation will face legal consequences.
While specific allegations of waste or fraud were not cited in the announcement, Governor Abbott has criticized CenterPoint for slow restoration efforts and poor communication with customers before the storm. The state's Public Utility Commission has also launched its own investigation, and lawmakers have questioned the company's top executive over its failures.
CenterPoint has defended its storm preparedness, highlighting the deployment of additional workers to aid in power restoration. The utility provider has initiated a plan to replace wooden utility poles and enhance tree-trimming efforts following the governor's call for swift action.
Hurricane Beryl, which hit Texas on July 8, caused significant damage to power lines and trees. This disaster follows a powerful storm in May that left nearly 1 million people without power, raising concerns among residents about the reliability of Houston's power grid.
CenterPoint has faced previous scrutiny over the grid's reliability, particularly after Hurricane Ike in 2008, which resulted in prolonged power outages. Despite receiving federal funding to upgrade technology, the company's progress in automating parts of the grid has been slow, according to company executives.
Utility experts and critics have expressed concerns that CenterPoint's technology may not be adapting quickly enough to address the extreme weather conditions that Texas is likely to face in the future.
