The Public Utility Commission of Texas has received 125 notices of intent to apply for a loan through the Texas Energy Fund’s In-ERCOT Generation Loan Program, it said on June 1.
In total, the notices request $38.9 billion in financing for 55,908 megawatts of proposed dispatchable power generation projects for the Electric Reliability Council of Texas region.
The In-ERCOT Generation Loan Program will provide low-interest loans to finance new construction or upgrades to existing dispatchable electric generating facilities within the ERCOT power region.
To be considered for a loan, eligible entities were required to submit a NOI to the PUCT by May 31, 2024 and now must submit a completed loan application through the TEF Portal between June 1–July 27, 2024.
To be eligible for a loan, the project must add a minimum of 100 MW new generation to the ERCOT grid.
The loan may finance up to 60 percent of the cost of the project. Initial disbursements for approved loans will be issued by December 31, 2025.
The In-ERCOT Generation Loan Program is one of four TEF programs established under the Powering Texas Forward Act. Texans voted to create the TEF through a constitutional election on November 7, 2023.
The TEF provides grants and loans to finance the construction, maintenance, modernization, and operation of electric facilities in Texas both inside and outside of the ERCOT power region.
