Data centers are coming to Texas. Can renewable energy help?

By Benjamin Storrow | 12/11/2025 06:19 AM EST

Large power consumers will need 225 gigawatts of electricity over the next five years, testing the state’s abililty to quickly add generation.

The sun reflects off of a solar panel on a solar farm.

The sun reflects off a solar panel on a solar farm in Buckholts, Texas, on Dec. 17, 2024. A solar and storage boom has enabled Texas to keep up with increasing energy demand, which is set to rise even more as data centers come online. Ashley Landis/AP

Everything really is bigger in Texas.

The state’s primary grid operator reported this month that large power consumers will need 225 gigawatts of electricity over the next five years. Almost three-quarters of that new demand would come from data centers.

Two things stand out about that number.

Advertisement

First, it is almost absurdly large. The nation’s largest wholesale power market, serving 67 million people from Washington, D.C., to Chicago, has a peak demand of about 160 gigawatts. The Electric Reliability Council of Texas, which serves about 90 percent of the state, now tops out around 85 gigawatts.

GET FULL ACCESS