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The Electric Reliability Council of Texas: Storm Uri, A Non-Profit Company and Statewide Outages

Abstract

In February 2021, Storm Uri devastated an unprepared Texas which resulted in mass power outages across the state. Texans faced low temperatures, food shortages, water shortages, and power outages during the storm and high electricity bills after. When electricity demand exceeded supply, electricity prices per kilowatt-hour soared, leaving many Texans with monthly electricity bills in the thousands. ERCOT is responsible for ensuring the reliability of electric service for 90 percent of the state, despite not owning the Texas grid or setting prices, and has been highly criticized for its decision making during the event by Texas politicians, residents, and the media. 1

This case study is provided in this Sage Business collection primarily as a basis for classroom discussion or self-study and is not meant to illustrate either effective or ineffective management styles. Nothing herein shall be deemed to be an endorsement of any kind. This case study is for scholarly, educational, or personal use only within your university, and cannot be forwarded outside the university or used for other commercial purposes.

© 2026 Sage Publications, Inc. All Rights Reserved.

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This case study is provided in this Sage Business collection primarily as a basis for classroom discussion or self-study and is not meant to illustrate either effective or ineffective management styles. Nothing herein shall be deemed to be an endorsement of any kind. This case study is for scholarly, educational, or personal use only within your university, and cannot be forwarded outside the university or used for other commercial purposes.

© 2026 Sage Publications, Inc. All Rights Reserved.

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