Texas Cold Blast Is Set to Send Power Demand to January Record

(Bloomberg) -- Texas is warning residents to brace for a deep freeze early next week that’s likely to send electricity demand soaring, raising the specter of a deadly cold blast that struck the state three years ago and caused blackouts. 

The Electric Reliability Council of Texas, the state grid operator, issued a weather watch from January 15 to 17 due to a forecast of extreme cold weather that will descend on the second-largest US state. Temperatures in the Dallas-Fort Worth metropolitan area could plunge to 10 degrees F (-12 C) or lower Monday and Tuesday, the National Weather Service said. 

Power usage is projected to climb to more than 79 gigawatts on Jan. 16, which would topple the January record of 65.6 gigawatts set last year, according to Ercot. Still, the operator said grid conditions are expected to be normal. 

Texas has ushered in a series of power market reforms in an attempt to avoid repeating the deadly blackout that hit in February 2021 and left millions without power for days. The episode sent energy prices soaring, and more than 200 people died amid a lack of heat during the extreme cold. The state now requires power plant operators to weatherize their equipment to make sure generators can produce electricity during freezing temperatures. 

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