Title
Resolution of the City of Pflugerville, Texas, denying the rate increase proposed by SiEnergy Gas, LLC in its Statement of Intent to Change Rates Filed on or about May 4, 2026; Directing SiEnergy to Reimburse the City its Reasonable Rate Case Expenses; Making other Findings and Provisions Related to the Subject; and Determining that this Resolution was Passed in Accordance with the Requirements of the Texas Open Meetings Act.
Summary
On or about May 4, 2026, SiEnergy Gas, LLC (“SiEnergy” or the “Company”) filed a Statement of Intent with the City to increase its annual revenue within the incorporated and unincorporated areas in which the provide gas-utility services. SiEnergy proposed an effective date of June 8, 2026, for its requested change in rates.
In addition, SiEnergy is requesting consolidation of its rates into a single set of rates for all the areas in which it provides service to form a consolidated, single service area.
The City received an application from a relatively new entrant into the gas-utility market: SiEnergy. SiEnergy is a bit different from, e.g., CenterPoint Energy or Atmos Energy in that SiEnergy is a relative new player in Texas, and its service areas are quite spread apart. SiEnergy’s application filed with the Railroad Commission to increase rates includes Pflugerville in the cities it serves.
The proposed increase affects all residential, small commercial, and large volume customers, within the incorporated cities and unincorporated areas served by SiEnergy. If approved, the requested rates will increase SiEnergy’s revenues by about $12.0 million, which is an increase of 16.1% (including gas costs), or 24.0% (excluding gas costs).
The City must take immediate action to deny SiEnergy’s proposed increase, should Council find it reasonable to do so. If the City takes no action, then SiEnergy’s proposed increase in revenue and changes in rates will be deemed reasonable by operation of law and SiEnergy may implement its proposed rates within the City.
It is recommended that the City deny SiEnergy’s proposed increase in revenue and change in rates. If adopted, the accompanying resolution denies SiEnergy’s proposed increase in revenue and change in rates.
Further, if adopted, the accompanying resolution authorizes Herrera Law & Associates, PLLC, as the City’s Special Counsel, to advise the City on matters related to SiEnergy’s application to increase rates and to intervene in the proceeding at the Railroad Commission of Texas on behalf of the City and related proceedings.
Additionally, if adopted, the accompanying resolution authorizes the City to join a coalition of cities served by SiEnergy to be known as the Alliance of SiEnergy Municipalities (ASM).
Finally, the accompanying resolution, if adopted, directs SiEnergy to reimburse the City its reasonable rate case expenses.
Deadline for City Council Action
July 14, 2026
Supporting documents attached:
Resolution
Agenda Sheet
Recommended Action
It is recommended that the City deny SiEnergy’s proposed increase in revenue and change in rates. If adopted, the accompanying resolution denies SiEnergy’s proposed increase in revenue and change in rates.