San Antonio’s CPS Energy experimenting to solve the ERCOT grid’s problems — only in miniature

Chris Tomlinson | Source: Houston Chronicle | Posted 05/04/2024

CPS Energy CEO Rudy Garza closed a deal on three natural gas power plantsWednesday, is scrambling to build new transmission lines from South Texas and needs to hit San Antonio’s climate targets by 2030, all while providing affordable energy to America’s lowest-income major city. In other words, the boss at one of the nation’s largest city-owned utilities must solve all the problems facing the Texas grid, only on a smaller scale. “My job is to move us into the future in as quickly a manner as possible, but also affordably,” Garza told me at CPS’ headquarters.

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CPS Energy CEO Rudy Garza recently closed a deal on three natural gas power plants and faces the challenge of building new transmission lines in South Texas while meeting San Antonio's climate targets by 2030. Garza aims to provide affordable energy to the city's low-income residents amidst these demands, emphasizing the need to move forward rapidly and economically into the future.

As one of the few remaining city-owned utilities in Texas, CPS Energy operates the entire electricity supply chain for its customers, despite being part of the ERCOT grid. Garza acknowledges the need for innovation to balance reliability and affordability, especially in the face of increasing electricity demand from various sectors. Garza's strategic decisions in managing CPS Energy serve as a case study for other communities to observe and learn from, given Texas' rapid growth and energy challenges.

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San Antonio’s CPS Energy experimenting to solve the ERCOT grid’s problems — only in miniature

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