Power Hungry Texas Energy Industries Seek More

Will Power Hungry Texas Have Enough Juice?





New power hungry industries coming to Texas will need more energy. What is the state doing to make more electricity for everyone?
As more power hungry industries move to Texas, we look at what electricity customers may face in the near term.




In Texas, energy use is rising fast as two big industries — oil and gas production and data centers — fight for electricity. And both make their homes in the Permian Basin which has long been a focal point for Texas energy. As the state’s power grid handles record use, the future of electricity prices seems unclear. Thankfully, some big projects should get funding soon to add dispatchable power to the power hungry Texas grid. 





Power Hungry Texas: Oil and Gas Needs More





The Texas oil industry is using more electricity than ever. As oil and gas firms move their drilling rigs and other equipment from fuel to electric power, the need for electricity in the Permian Basin is growing quickly. To meet this need, the Texas Energy Fund (TEF) could help build up to four new gas-powered plants in the area. This fund offers grants and low interest loans to build power plants that can turn on at a moment’s notice. These projects would bring in over 1,700 MW of power, keeping the oil industry going strong. But the irony here is clear: oil and gas production, which pollutes the air, will also rely more on green energy like wind and solar. 





Data Centers Crave Power





As if the oil industry’s need wasn’t enough, Texas’ fast-growing data centers and cryptocurrency mines are also fighting for power. These places run non-stop, putting even more strain on the power grid. Data centers are set to use a big part of future electricity. By 2030, they might use up to 16% of the state’s total power, adding to what many call a power hungry Texas.





What This Means for Electricity Prices





As both the oil and data industries use more energy, the stress on ERCOT's grid will keep growing. Solar and wind power have grown a lot, and Texas is now number one in solar capacity. But renewable energy alone might not be enough to handle all the extra use. The rising need for power could drive electric prices up, especially during the busiest times when power costs more. More gas plants or big battery systems will need to come online to keep the grid stable and Texas power prices down.





The Future of Texas Power





With both industries showing no signs of slowing down, Texas must get ready for an even more power hungry future. Adding renewable energy sources can help keep prices steady and cut down on pollution. But balancing the needs of the oil and tech industries will stay a big task for ERCOT. So residential and even small business electricity users should prepare for possible price increases in the years ahead. To keep your power bills in check, be sure shop for plans at https://www.texaselectricityratings.com/electricity-rates.  

Comments

Post a Comment

Popular posts from this blog

Are Texas Bitcoin Mines Really Raising Electric Rates?

Image
Will Texas Bitcoin Mines Hurt Power Customers? Stripped down cheap computers packed onto racks in warehouses are what powers Texas Bitcoin mines. The problem is that's a lot of electric demand and it might drive up your Texas electricity bills. Texas is known as one of the most business-friendly states in the US. So, when China kicked out cryptocurrency miners in May 2021, they all flocked to Texas. Crypto miners use thousands of stripped down home computers running 24/7 usually in one room. So, they use massive amounts of energy. So many crypto miners operate in Texas that within a few years they will use almost as much power as Houston. Bitcoin is the best known of all cryptocurrencies. Texas Bitcoin mines that draw massive power amounts daily is concerning since ERCOT had trouble meeting demand this summer. However, ERCOT is working with crypto miners to better meet peak demand in the future.  Sweet Deal For Texas Bitcoin Mines Crypto mines run 24 hours per day using rooms of
Read more

CenterPoint Says Sorry, Offers to Forego $110 Million

Image
Will You Forgive After CenterPoint Says Sorry? CenterPoint says sorry but will their customers forgive the utility? Learn what the utility plans to improve. Could affect your Houston power bills? CenterPoint Energy is in damage control mode after its poor response to Hurricane Beryl. The company’s fleet of mobile generators went mostly unused, leaving 2.3 million Houston customers without power. Clearly, Texas power users are upset and rightly so. In response, CenterPoint says it's sorry and promises to make things right. What Happened During Beryl? Hurricane damage is nothing new to this part of the state. But, in July 2024, Hurricane Beryl caused major damage to Houston’s power grid. The outages lasted days for some customers. Most thought the grid was prepared for Beryl. But it wasn’t. And everyday people suffered.  Despite leasing $800 million worth of mobile generators , CenterPoint failed to deploy them during the storm. This left many without power. Afterwards, people wo
Read more

State Senators Investigate Texas Energy Fund After Applicant Fraud

Image
Will the Texas Energy Fund Work? Seriously? The Texas Energy Fund was set up to boost power to the electric grid. But then a company lied on its application to cash in. Now, angry lawmakers are taking a closer look into the PUCT's vetting processes. The Texas Energy Fund (TEF) was supposed to be a safe bet for boosting the state's power grid. But recent events have raised serious doubts about how secure it really is. Some now worry the fund might be as risky as handing over the keys to a 16-year-old for a long, costly joyride. Propping up new Texas power projects must be in good hands. But the TEF is off to a rocky start.  The Texas Energy Fund Comes Under Fire The TEF offers grants and low-interest loans to add dispatchable power to the Texas grid. The logic is that Texas will have more power making capacity in the future. Plus, these power plants can get the juice flowing in a jiffy. But not all projects can receive a loan or grant. Solar, wind, and battery projects don’t qu
Read more