AUSTIN, Texas — A new law is allowing the agency that manages the Texas power grid to change how it plans for the future as the state continues to see more and more economic growth.
Previously, ERCOT did not factor large new loads in its planning process until they provided financial security. That meant in the long run, ERCOT could not account for things like cryptocurrency mining facilities, hydrogen-related manufacturing and data centers – all of which can demand a lot of power.
Last year, Gov. Greg Abbott signed House Bill 5066 to change this, so those industries and others can be included in ERCOT's long-term planning.
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At a board meeting on Tuesday, ERCOT President and CEO Pablo Vegas said this is an opportunity to further energy investments in Texas.
"This new era of planning is going to focus on how the industry can work together to adapt our current processes to better serve the needs of a rapidly changing load picture and a significantly larger load picture than prior forecasts," Vegas said.
ERCOT is expecting to see "tremendous electric demand growth" in the next five to seven years.
Vegas said it will take a few years to fully implement this planning change, but he expects it to have a positive impact on the Texas power grid.