The Lone Star state embraces solar and battery
Texas is proving to be one of the nation’s success stories for solar and battery development. It’s estimated that Texas has installed nearly 80% more of combined solar, wind and battery capacity than the next largest state. And while California still led in total installed capacity, 10 gigawatts, Texas wasn’t far behind with an addition of 8.9 GW of solar in 2024. Texas is also the fastest-growing market for grid storage, adding nearly 9,700 megawatts to the grid in 2024.
Solar electricity generation and utility-scale batteries within the Electric Reliability Council of Texas (ERCOT) power grid set records this summer. The use of solar and battery is helping to stabilize the power grid, and on some days, solar nearly met 50 percent of the state’s peak power demand. For a state with a history of a strained grid, clean energy can help offset the burden and lead to less power disruptions. Texas is the only state with its own grid, meaning it can set its own rules and regulations, which can be a plus for the solar industry and homeowners looking to benefit from solar systems.
The clean energy projects are also providing a massive boost to the Texas economy, an expected $20 billion in total tax revenue — and Texas boasts the most clean energy jobs in the United States with 261,934 clean energy jobs recorded in 2023.
What lies ahead for the Texas market?
The independent grid system of Texas, flat geography and abundance of sunny days, primes Texas for a thriving solar market. The growth of development in 2024 is undeniable, but there are still obstacles to growth. Grid conversion issues and tariffs on steel have the potential to slow industry progress.
However, with the increased energy demand from population growth and heavy load from technological advancements, renewable energy is vital in unburdening the grid and reducing energy interruptions. According to the EIA, electricity demand in Texas is forecasted to reach 54 billion kilowatt-hours by 2025. With higher usage needs, renewables will be essential to meet electricity demand.
The trends signal that possible legislation changes, the industries and residents of Texas will continue to choose cleaner energy sources. In fact, one Texas coal plant received $1.4b to become a solar and battery facility. Many experts and locals have been vocal with their support for solar energy expansion. Solar helps to offset their energy bills, and helps households keep the power on throughout extreme weather and storm events. It will certainly be exciting to see how the front-runner continues to develop its clean energy infrastructure.
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