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ARTICLE · 20 JUNE 2025

Update—Senate Bill 6: A Texas Bill Impacting Large Load Development In Ercot

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As previously reported, Senator Phil King and Senator Charles Schwertner introduced Texas Senate Bill 6 (SB6) in February 2025. After various amendments and updates...

United StatesEnergy and Natural Resources
Maria Faconti
Maria Faconti
Austin D. McCarty
Austin D. McCarty

As previously reported, Senator Phil King and Senator Charles Schwertner introduced Texas Senate Bill 6 (SB6) in February 2025. After various amendments and updates, the bill has passed the Texas House and Senate and is now before Governor Greg Abbott for his approval. If not vetoed, this bill will directly impact large load customers (specifically, electricity consumers of more than 75 megawatts (MW), unless the Texas Public Utility Commission (the PUCT) determines that a lower threshold is necessary) and entities currently in or contemplating a co-location arrangement in the Electric Reliability Council of Texas (ERCOT) region.

The legislative purpose of SB6 is to ensure large load customers contribute to the recovery of interconnection costs, establish grid reliability protection measures, bring transparency and credibility to load forecasting, and protect customers from outages by requiring large loads to share the load shed obligation during times of shortage.

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