On Sunday, May 30, Lubbock Power & Light (LP&L) successfully connected 70% of its system (approximately 83,000 customers) to the Electric Reliability Council of Texas (ERCOT). The interconnection of LP&L’s system to ERCOT was the first for a municipally-owned electric utility in Lubbock’s history and the largest in the state in the past 25 years.
Connecting to ERCOT
LP&L has been working to make infrastructure updates to connect with the ERCOT system since March 2018.
Following this first phase of connecting to ERCOT, the City can now seek approval from the Public Utility Commission of Texas for the second phase, connecting the remaining 30 percent of LP&L’s system (about 24,000 customers). Scheduled for May 2023.
LP&L customers can expect to see savings in power costs with the removal of expensive fixed capacity charges that aren’t required in ERCOT. Joining ERCOT also eliminates the need to build a new power plant at an estimated cost ranging from $350 million to $700 million.
Benefits of Joining ERCOT
Since the March 2018 approval of LP&L’s application to join the Electric Reliability Council of Texas (ERCOT), LP&L has been hard at work making infrastructure updates to connect with the ERCOT system. This type of interconnection is the first in Lubbock’s history and the first in the state in 25 years.
Joining the ERCOT system accomplishes the long-term goal LP&L set forth when we began this process over six years ago. It provides our customers a flexible and diverse portfolio of Texas power, meaning affordable and reliable electricity for many years to come.
Electric Competition in Lubbock
Following Electric Utility Board and City Council votes to opt in to retail electric competition, LP&L hopes to transition to competitive retail electric service in late 2023 pending state regulatory approval to move all remaining customers into the ERCOT market.