Texas infrastructure a power pinch point: PUC

Market: Electricity, Natural gas
20/03/24

Texas' infrastructure is a "pinch point" for the state's ability to serve growing demand on its electrical grid, an issue that state regulators need to help address according to Texas Pubic Utility Commission (PUC) commissioner Jimmy Glotfelty.

"We have not kept up our rules, the timelines that are needed for industry to succeed," Glotfelty said today at the CERAWeek by S&P Global conference in Houston, Texas.

Glotfelty said he believed the Texas PUC was making efforts to help the timeline for new infrastructure projects, but said more work needs to be done.

"We're going to have to do a better job at ERCOT (Electric Reliability Council of Texas), at the commission, at the legislature to address issues sooner … before they become reliability problems," he said.

Aside from increased power demand in the oil and gas industry, Glotfelty noted a proliferation of data centers in Texas, both for information technology (IT) and for artificial intelligence (AI), has raised electricity demand in the state.

"An AI data center is a massive tool for energy, and that's why it's going to take so much energy," he said.

Glotfelty, who leads the Texas Advanced Nuclear Reactor Working Group for the Texas PUC, noted that small modular reactors (SMR) were one of the several potential resources the commission was looking at to help meet growing power demand in the state. The group, which was formed in August, is set to report its findings to the governor's office by the end of 2024.

Glotfelty described the idea behind SMRs was to take the focus away from building a large nuclear plant and shift it into building smaller, flexible and potentially mobile projects.

"We have this attitude in Texas that we can build big projects," Glotfelty said, pointing to the Houston Ship Channel and other Texas Gulf coast industrial projects.

By David Haydon

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05/05/25

Australia re-elects renewable-focused Labor party

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Mexico bets on new contract model to lift gas output

02/05/25

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02/05/25

Mexico bets on new contract model to lift gas output

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Shell says can deliver solid returns below $50/bl

02/05/25

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02/05/25

Shell says can deliver solid returns below $50/bl

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02/05/25

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02/05/25

Shell’s 1Q European gas production up

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