Texas Regulators Order ERCOT to Revise AI Power Forecast

The Public Utility Commission of Texas ordered the Electric Reliability Council of Texas to revise its six-year power demand forecast after initial projections predicted peak demand could quadruple to over 367,000 MW by 2032. This projected surge is driven by the expansion of non-crypto AI data centers, with more than 400 facilities currently operating, under construction, or planned across the state.

ERCOT CEO Pablo Vegas acknowledged that the initial figures were likely an overestimate. He stated that the state's exceptional growth and development are reshaping how large load demand is identified and incorporated into long-term planning. ERCOT is now working with the commission to refine the forecasting process.

To shield taxpayers from infrastructure costs, President Donald Trump signed the voluntary Ratepayer Protection Pledge in March 2026, requesting that AI companies and hyperscalers provide their own energy for operations. While the commission maintains that grid reliability has improved since the 2021 winter storm, a separate report graded Texas' grid planning as a D-.