"Approval To Energize" – Texas's Power Grid Operator Issues New Guidance

On March 25, 2022, the Electric Reliability Council of Texas (ERCOT), Texas's power grid operator, issued a new directive in response to the marked increase of cryptocurrency miners setting up operations in the state. The directive applies to entities that have not completed an ERCOT planning assessment and involves any of the following:

• New loads not co-located with a Resource with total demand within the next two years of 75 MW or greater;
• Existing loads not co-located with a Resource increasing total demand by 75 MW or greater within the next two years;
• New loads co-located with a Resource with total demand within the next two years of 20 MW or greater; or
• Existing loads co-located with a Resource increasing total demand by 20 MW or greater within the next two years.