Powering Texas, the long view
This is the how now story of electricity in the great state of Texas. Knowledge is power -- understand where the next opportunities are.
Jack Browne, March 2, 2025
I hosted a session on the Texas Grid this past Tuesday, February 25 2025, as one of the spring sessions offered by the Lifelong Learning Center at Midwestern State University.
Everyone wants to know about Artificial Intelligence, Hyperscale Data Centers, BitCoin, and Electric Vehicles, asking “Will there be power for my AC, TV, and fridge? What about my PC, phone, and 2 dozen other gadgets on my network?”
I enjoyed the 90-minute session as 50 of my peers engaged, with many asking to better understand the Texas grid. Key questions concerned fears of another winter storm without heat or summer without air conditioning.
Included with this article is an ebook of those slides with my notes for your review. Paying subscribers have access to a full-size PDF of the slides as well as the e-book.
This is the story of electricity – how then and how now. Knowledge is power, understand where the opportunities are going next.
Session brief from the course catalog:
By the 1880s, small, localized power systems were emerging, primarily serving urban areas in Texas. During the 20th century, the industry consolidated, leading to the formation of large utility companies. These utilities were vertically integrated, and controlled generation, transmission, and distribution.
Deregulation of the Texas electricity market occurred during the 1990’s. This reform aimed to introduce competition and lower consumer costs. The Electric Reliability Council of Texas (ERCOT) was established to manage the state's power grid, ensuring reliability and balancing supply and demand. Today, ERCOT oversees a complex system fueled primarily by natural gas, followed by wind and coal.
Texas faces substantial growth in electricity demand over the next decade:
5 million new residents.
Hyperscale data centers and cryptocurrency mining operations increase the tax base and require substantial power. Given the scale of the investment, the workforce is quite small, less than a hundred — perhaps only a few dozen. Bitcoin can be run with zero on-site staff. The system calls for maintenance as required.
Electrification of oil and gas operations is ongoing as a way to increase the reliability of supply from the oil fields. While decreasing the risk of fire and blackouts, demand grows with this added load.
The increasing popularity of EVs adds significant load, especially during peak periods.
To meet future challenges and capitalize on emerging opportunities, Texas should pursue all energy solutions:
Texas leadership in small modular reactor (SMR) technology could provide a clean, reliable, and scalable energy source.
Maximizing the monetization of Texas's abundant energy resources, including natural gas, wind, solar, and hydrogen drives economic growth and strengthens the state's position as an energy powerhouse.
By embracing innovation, diversifying its energy mix, and optimizing grid operations, Texas can ensure a reliable and sustainable energy future.
Here are the slides and brief notes as an eBook.
Thank you for your interest in reading this far. Paying subscribers have access to full-size PDF slides below. Till next time, take care. Thank you for the honor of your time.
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