The Public Utility Commission of Texas (PUC) has greenlit a major upgrade to the state’s electrical infrastructure, approving the use of 765-kilovolt (kV) transmission lines for the buildout of the Permian Basin Reliability Plan. The move is being hailed as a critical investment in energy security and economic growth across West Texas.
The approval marks a step in addressing long-standing concerns about inadequate transmission capacity in one of the nation’s most energy-productive regions. The Permian Basin Reliability Plan, conditionally approved in September 2024, is designed to support growing electricity demand tied to oil and gas production and industrial expansion.
“This decision is critical to ensuring that reliable power is available for oil and natural gas production and industrial development across West Texas,” said Texas Oil & Gas Association (TXOGA) President Todd Staples in a statement. “It enables the energy sector to continue delivering affordable, secure energy to Texas, the nation, and the world.”
The PUC’s endorsement of the 765-kV standard, the highest-voltage transmission line to be used in Texas, signals both the urgency of the region’s growth and confidence in the state’s ability to implement complex infrastructure projects. It will be the largest high-voltage transmission investment in Texas in more than a decade.
Staples extended thanks to PUC Chairman Thomas Gleeson, Commissioners Kathleen Jackson and Courtney Hjaltman, and PUC staff, crediting their “diligent and thoughtful work” in advancing the project. He also acknowledged former Commissioner Lori Cobos for her role in shaping the plan.
The PUC concluded that the 765-kV approach offers the most effective long-term path to expanding the Electric Reliability Council of Texas (ERCOT) grid’s capacity and meet future power needs. Despite economic challenges, the commission expressed confidence in Texas transmission providers’ ability to deliver the project on time and within budget.
“Today’s decision by the PUC to approve transmission lines in the buildout of the Permian Basin Reliability Plan further reinforces Texas’ ongoing commitment to fostering economic growth, creating jobs and strengthening our energy independence,” Staples added.
As electricity demand continues to rise alongside oil and gas development, the transmission expansion is seen as a vital step in solidifying Texas’ role as a global energy leader.
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