Texas faces power grid strain as population surge and record heat push energy demand to new heights
Writer: Mirella Franzese
August 2024 — As Texas’ population booms and triple-digit heat intensifies, the state power grid is facing formidable challenges, say energy officials.
Hot summer temperatures could threaten to overpower municipal energy infrastructure due to higher demand for water and cooling, according to Dr. Le Xie, an Associate Professor in the Electric Power and Power Electronics Institute at Texas A&M University.
“On a peak summer day in Texas, the residential sector consumes about half of (all available) electricity”, explained Xie during ERCOT’s Innovation Summit back in May. “The entire residential consumption is devoted to one device: air conditioning.”
Among the top 10 counties with positive net domestic migration in 2023, half were in Texas — including Montgomery, Collin, Denton, Williamson, and Fort Bend. And as new residents move in, cooling demand is expected to increase. According to a 2023 report by the UN Environment Programme-led Cool Coalition, cooling equipment, which represents 20% of global electricity consumption today, is expected to more than double by 2050.
In Texas, households have already been struck by a series of electrical failures in recent months as a result of high temperatures, humidity, and low wind speeds.
In May, the state experienced a new peak in demand for the month’s power supply, recorded at 72,261 megawatts (MW). In response, the Electric Reliability Council of Texas (ERCOT), which controls 90% of the state’s power load, issued a state-wide Weather Watch, warning residents of possible lower reserves.
In July, a thunderstorm left 3,500 homes without power, according to CPS Energy. The municipal electric utility provides energy for 1.3 million Bexar County residents. This event was followed by a power line malfunction earlier this month in Vista del Norte, which triggered a blackout for 1,300 people.
ERCOT President & CEO Pablo Vegas met with the House Committee on State Affairs in June to address the need for strategic planning in response to the area’s growing population size and the ensuing threat to the state power grid.
“We have been talking for years about the incredible growth that Texas has been experiencing, just from its successful business economy, from the migration of population into the state of Texas and the associated businesses that are coming as well,” said Vegas before state legislators. “All of that is putting together a picture of a very significant, different demand growth that is forcing us to really rethink how we’re looking at planning to make sure that we can meet those needs and continue to deliver on the expectations of all Texans.”
Energy demand peaked in August 2023 at 85,508 MW — enough to power around 21,377,000 homes. By 2030, the grid will require twice as much energy (150,000 MW) to sustain the needs of an estimated 37,500,000 homes.
“New load is being added to the ERCOT system faster and in greater amounts than ever before” as a result of Texas’ fast-growing economy, added Vegas in a press release earlier this year.
“Our skilled and growing workforce is a magnet for innovative businesses and entrepreneurs seeking to expand and succeed,” said Texas Gov. Greg Abbott as Texas outpaces the nation in annual job growth. “As a result, Texas employers added jobs at a faster rate than the nation over the last 12 months and more Texans are working than ever before.”
San Antonio’s labor force grew by 4.5% in the past year, according to the Federal Reserve Bank of Dallas. It was the fastest labor force growth rate for the area since Dec. 2022.
To alleviate the added stress on the regional grid load, which edges on maximum forecasted capacity, ERCOT plans to invest in technology and innovation to reinforce energy reliability and resiliency.
In June, the company’s board voted to approve a $1.12 billion infrastructure project, which will bolster the reliability of their transmission lines and account for both load growth and thermal overloads.
Additionally, a cutting-edge power facility, which aims to turn food waste into natural gas, is set to break ground in San Antonio later this year — reflecting the state’s renewed commitment to invest in sustainable energy sources and meet the needs of a growing population.
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