SUGAR LAND--July 14, 2023--Researched by Industrial Info Resources (Sugar Land, Texas)--Texas's combined wind and solar generating capacity is expected to double by 2035, according to the U.S. Energy Information Administration (EIA), but there's a catch: The Lone Star State's transmission and distribution (T&D) system is sorely in need of upgrades to accommodate these resources when they are at peak production. Otherwise, the state is forced to curtail wind and solar production to maintain a balance between electricity supply and demand.

Industrial Info is tracking nearly $10 billion worth of active and planned T&D projects across Texas, although more than half of that total is attributed to projects with a low probability (69% or less) of kicking off as planned. In 2022, ERCOT curtailed 5% of its total available wind generation and 9% of total available utility-scale solar generation. The EIA projects ERCOT could be forced to curtail as much as 13% of wind generation and 19% of solar by 2035, if no significant upgrades are made to the Texas grid.

Companies featured: Wind Energy Transmission Texas LLC, American Electric Power Company Incorporated (NASDAQ:AEP), Broad Reach Power LLC and CenterPoint Energy Incorporated (NYSE:CNP).