Filed Lawsuit Says 2021 Texas Blackouts Were Caused By Utility Companies

We all remember that week in February of 2021 where all of us in Texas were snowed in. There was about 3 to 5 inches of snow and ice on the ground making travel impossible. Temperatures hovered around the 0 degree mark and even dropped below 0 degrees at night. Many people lost electricity and water for some or most of that week. Many died because of that lack of utilities. Many believed that those blackouts were actually caused by the utility companies for the sole purpose of hiking prices to make a bigger profit. The first lawsuit is now being heard in Houston alleging the major utility companies did just that.

Proof for These Lawsuits

Many homes in Texas use gas to heat their homes and to use certain appliances. There is now a lawsuit being heard in Houston that alleges the major utility companies purposely did not properly insulate gas lines ahead of Winter Storm Uri causing those lines to fail resulting in a price hike for those utilities. Attorney Andrew Gould argued in court last Monday (September 23) that the utility companies “diverted natural gas before winter, to create artificial scarcity — thus driving up the price.”

The companies named in the lawsuit are CenterPoint Energy, BP, Energy Transfer Partners and Morgan Stanley. The lawyers for those companies argued that state lawmakers ruled those price hikes were legal and that the plaintiffs filed the lawsuit in the wrong jurisdiction and the statute of limitations had already run out. The plaintiffs argued the alleged scheme started before that legislative process began. Courts in Oklahoma and Arkansas have already ruled utility companies had something to do with market manipulation during that winter storm.

Broader Accusations

CirclesX, the group going against the utility companies, says this type of market manipulation has been going on for decades and is very similar to what Enron did in 2001 that brought that company down. CirclesX ultimate goal is get those profits from the alleged price hikes returned to the people of Texas.

kxan.com has a great writeup on this lawsuit and what it could mean. Read it to get a more in-depth look at the case. We'll keep an eye on it, too, as it continues in the courts. There could be a lot of devastating revelations coming from this case.

READ MORE: We Could See a WD-40 Shortage This Halloween in Texas

READ MORE: Is it Legal to Pee in Public in Texas?