By Miguel Suazo and Raj Lahoti
Last week, the Public Utility Commission of Texas (PUCT) convened a full-day stakeholder workshop in Project No. 58481 to gather input on implementing new large-load interconnection standards under PURA §37.0561. The workshop included extensive participation from electric utilities, ERCOT, large-load customers (including data center and industrial developers), and trade associations.
While no final decisions were made, the discussion provides a clear preview of the regulatory direction Texas is heading—and highlights several issues that large-load developers, utilities, and energy-intensive customers should be preparing to address.
Key themes from the workshop:
- Standardized and more predictable interconnection processes
- Early screening studies to assess site feasibility, timelines, and upgrade risks
- Phased—but meaningful—security and financial commitment requirements
- Greater coordination between utilities and ERCOT
- Clarification of how expansions at existing sites will be treated
- Preservation of municipal and cooperative jurisdictional authority
Unresolved issues:
Several major issues remain unresolved, including security amounts and timing, refund timelines, interest on cash security, queue management, and treatment of co-located generation. But, Commission staff indicated a formal rule proposal is likely in early 2026, with written comments and further refinement to follow.
The Beatty & Wozniak team is closely tracking these developments and advising clients on how emerging PUCT and ERCOT standards may affect project siting, interconnection strategy, capital planning, and compliance obligations, and assisting clients in how best to participate in the rulemaking process.
If you have questions about how these developments may affect your projects, interconnection strategy, or compliance planning, please contact Miguel Suazo and Raj Lahoti.
