Texas Scorecard by Robert Montoya 6/1/2026
Texas Public Policy Foundation calls for a pause on a nearly $100 billion proposed transmission buildout.This article has been updated since publication with statements from State Rep. Brad Buckley, Oncor, and Texans for Responsible Infrastructure Investment.
A new study published by the Texas Public Policy Foundation calls for a pause on a proposed buildout of three extra-high-voltage transmission lines. The reasons given include bureaucrats defying state lawmakers and that the lines help industrial companies meet “net zero” goals while driving up costs for ratepayers.
At issue are three proposed 765-kV transmission lines that are supposed to bring power from East Texas to the energy-rich Permian Basin, which critics have equated to “hauling water to the ocean.” These extra‑high‑voltage lines form part of ERCOT’s 765‑kV Strategic Transmission Expansion Plan (STEP), which is part of the Permian Basin Reliability Plan (PBRP).
In the study, TPPF’s Brent Bennett estimates the capital cost for the 765‑kV STEP projects approved through December 2025 at about $33 billion, with lifetime costs approaching $100 billion.
According to Bennett, the Public Utility Commission of Texas (PUCT) and the Energy Reliability Council of Texas (ERCOT) transformed a regional reliability directive into a de facto statewide 765‑kV grid plan without state lawmakers’ authorization.
He noted that neither ERCOT’s studies nor PUCT’s actions truly met a state law requirement to “increase available capacity to meet forecasted load,” because both relied on assumed new generation elsewhere rather than adding substantial reliable generation in West Texas.
ERCOT’s criteria for adding generation in the model restricted both the amount and location of new capacity, especially in West Texas. That, he wrote, forced “ERCOT to rely more on transmission to balance the system.”
More:
https://texasscorecard.com/state/study-raises-alarm-over-bureaucratic-overreach-in-765-kv-transmission-lines/
