Texas Energy Company At Center Of Price-Hike Controversy To Declare Bankruptcy - Media

Texas Energy Company at Center of Price-Hike Controversy to Declare Bankruptcy - Media

US electric energy company, Griddy Energy LLC, is set to declare bankruptcy following the February energy crisis in Texas caused by anomalous cold weather, media reported

MOSCOW (Pakistan Point News / Sputnik - 15th March, 2021) US electric energy company, Griddy Energy LLC, is set to declare bankruptcy following the February energy crisis in Texas caused by anomalous cold weather, media reported.

According to The Wall Street Journal, citing sources, the company lost its clientele and faces court cases over hiking energy prices to consumers amid mass blackouts during the snowstorm.

Griddy is going to close down the business by declaring its bankruptcy in several days.

The media reported that Texas administrative bodies already blocked Griddy's access to the energy market. Most consumers buy energy from local utility companies at fixed prices, while Griddy offered variable prices at a variable rate, meaning prices soared when blackouts struck.

In mid-February Texas experienced unprecedented snowstorms and cold weather extreme for the state. This caused massive blackouts, home flooding, problems with water supply and resulted in dozens of deaths.