But the power capacity of cryptocurrency mines doesn’t tell the whole story. “The main difference between our facilities and other data center facilities is that we are flexible loads, and they are firm loads,” says Brian Morgenstern, head of public policy for Riot Platforms, the largest bitcoin mining company in Texas. “And at peak demand, we can work with whatever the grid needs. So, when people are turning on their AC, we’re turning off our mining rigs.” Morgenstern emphasizes that “grid reliability is extremely important to us. We don’t have a business without grid reliability.” Crypto miners like Riot are leveraging a long-standing practice in Texas’ energy market, typically used by large industrial electricity consumers, by adjusting their operations to sell unused power at premium prices during peak demand. This strategy is baked into ERCOT’s energy-only wholesale electricity market, potentially increasing revenue and contributing to grid stability. While the integration of cryptocurrency mining into Texas’ power management strategy has been effective, it has also sparked debate. Challenges and Changes in the Texas Energy Sector The Texas energy sector is undergoing a seismic shift, grappling with burgeoning demand and the intricacies of a rapidly evolving energy landscape. With the passage of House Bill 5066 by the 88th Texas Legislature, ERCOT gained the ability to add prospective load growth by including potential users without a signed agreement in their resource planning — a change that contributed to the June increase in its demand forecast. During an April 2024 ERCOT board of directors meeting, Vegas highlighted the collective efforts of all Texans, stating, “Because of the work of state leaders over the last couple of years, ERCOT now has the tools and the resources to be able to plan and meet these challenges ahead.”This legislation marks a significant step forward in addressing the state’s evolving energy demands. Load forecasting lies at the heart of ERCOT’s planning strategy. Utilizing a blend of historical usage data, weather patterns and economic indicators, ERCOT’s models provide a detailed roadmap of future energy needs. Accurate forecasts enable ERCOT to minimize and prepare for fluctuations in electricity consumption, a lesson underscored when Winter Storm Uri exposed vulnerabilities in the grid. The complex interplay of growing demand and renewable energy integration highlights the importance of proactive measures and continuous improvement in grid management practices. Through a combination of legislative action, strategic planning and technological innovation, Texas is poised to build a more reliable, efficient and sustainable energy system — ready to meet the needs of its dynamic population and thriving economy. This article has been edited for length and clarity and was originally published in Fiscal Notes, a publication by the Texas Comptroller of Public Accounts. Scan the QR code to access the original publication. https://comptroller.texas.gov/economy/fiscal-notes/ industry/2024/energy-demand/ Congratulations to 2025 Philanthropic Leader of the Year Nyle Maxwell has worn many hats — businessman, philanthropist, conservationist and former Mayor of Round Rock (2002-2008). Now based in Georgetown, he continues to serve his community. As CEO of the Nyle Maxwell Family of Dealerships, he’s been a leader in the auto industry for over 40 years. He was named a TADA Legend at the Annual Meeting in 2024. Nyle founded the Central Texas Community Foundation, which has granted $25M+ to local nonprofits. He also helped launch the Dell Children’s Medical Center Foundation and now serves on the board of the Ascension Seton Williamson Foundation. His impact has earned him numerous honors, including Round Rock Chamber’s Citizen of the Year, the Local Legend Award and twice being named Philanthropist of the Year. Nyle Maxwell DEALERS’ CHOICE 22
RkJQdWJsaXNoZXIy MTg3NDExNQ==