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Abbott Announces $113M in Texas Energy Fund Grants to Boost Panhandle, South Plains Grid Reliability

Gov. Greg Abbott announced $113 million in Texas Energy Fund grants for Southwestern Public Service Company to strengthen electric reliability across the Texas Panhandle and South Plains.

Gov. Greg Abbott announced $113 million in Texas Energy Fund grants to strengthen electric reliability for Southwestern Public Service Company customers in the Texas Panhandle and South Plains, according to a June 30 news release from the governor’s office. SPS, a subsidiary of Xcel Energy, will use the funds to repair or replace power poles, add protections in higher-risk areas of the electric distribution system and improve system monitoring.

The grants are awarded through the Texas Energy Fund Outside ERCOT Grant Program, which the Public Utility Commission of Texas administers to improve reliability and resiliency for Texans served by utilities outside the ERCOT grid region, the release said.

“Texas leads the nation in energy because we invest in dependable power in every corner of our state,” Abbott said in the release. “This grant will improve infrastructure that families and businesses across Texas can reliably use for generations.”

PUCT Chairman Thomas Gleeson said in the release that “each reliability project complements the next, creating multiple layers of protection for consumers and businesses,” from substations and poles to the wires that deliver power to homes and businesses. Xcel Energy–Texas Interim President Brad Baldridge said the grant “allows us to expand important system improvements while helping to reduce costs for our customers across the Texas Panhandle and South Plains.”

According to the release, the projects include a drone-based pole inspection program that will assess more than 273,000 poles in the SPS system to identify and correct issues. SPS will also deploy pole-mounted sensors to continuously monitor distribution lines, detecting hazards in real time to improve location accuracy and response times, along with additional equipment upgrades intended to reduce outage risks and improve safety.

The projects will benefit customers across the SPS Texas service territory, including the Panhandle and South Plains regions, the release said. More information on the Texas Energy Fund programs is available on the PUCT’s website.