Texas Grid Expansion Advances with Proposed $1.9B Transmission Project
Oncor Electric Delivery and LCRA Transmission Services have jointly proposed a new high-voltage transmission project in Texas, aiming to strengthen grid reliability and meet rapidly rising electricity demand in the Permian Basin.
The proposal, filed with the Public Utility Commission of Texas, outlines the construction of a 765-kV transmission line spanning approximately 214 to 244 miles, depending on the final approved route. The line would connect Schleicher County to Bell County and is expected to cost between $1.6 billion and $1.9 billion, excluding an additional estimated $400 million for related substation infrastructure.
The project forms part of a broader initiative to expand high-capacity transmission across the Electric Reliability Council of Texas grid, following regulatory approval in 2025 to introduce 765-kV infrastructure in the region for the first time.
According to the application, electricity demand in the Permian Basin is projected to more than double by 2030, driven by growth in industrial activity, electrification, and large commercial loads such as data centers. The proposed transmission line is intended to improve system reliability, increase power transfer capability, and support bi-directional energy flows.
Oncor Electric Delivery expects a final route decision by September 2026, with the line targeted for completion by 2030. The project would be jointly owned by Oncor Electric Delivery and LCRA Transmission Services, each holding a 50% stake.
Source: utilitydive.com