The Electric Reliability Council of Texas (ERCOT) has approved a $54 million plan to relocate CenterPoint Energy’s mobile generators from Houston to San Antonio. The decision comes amid rising concerns over grid stability following wildfires in Southern California and widespread power outages across Texas.

The relocation is intended to replace two aging gas-powered units at CPS Energy’s Braunig Power Station, which ERCOT deemed a high-risk factor for power reliability in the region. The 15 diesel-fueled generators, each providing approximately 30 megawatts of power, will help mitigate transmission bottlenecks and reduce the likelihood of rolling outages. Texans connected to the state grid will collectively bear the cost of the move.

“This is a solution to bridge that gap, to lower the chance of load shed,” said Bill Flores, Chair of the ERCOT Board of Directors.

ERCOT had previously allocated $50 million to extend the operation of Braunig’s third unit, while allowing the retirement of the other two units. The grid operator cited the generator move as a more cost-effective solution than maintaining the old plants, which would require $59 million in additional spending.

The decision has sparked criticism from industry experts who argue that investments in battery storage could provide greater long-term benefits. Others have raised concerns over potential air quality violations due to the diesel generators. ERCOT is working with the Texas Commission on Environmental Quality (TCEQ) to secure necessary permits.

Meanwhile, power outages in Texas continue to impact over 400,000 homes and businesses, driven by public safety power shutoffs (PSPS) and extreme weather conditions. The move is part of a broader effort to strengthen Texas’ grid resilience and prevent future crises.

Source: texastribune.org