Texas Utility Shuffling Location of Temporary Emergency Generation Units to Address Regional Power Shortfall

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We’re just a few days removed from the official start of summer, and it’s already shaping up to be a scorcher in many parts of the United States. While the eastern half of the country sweats out a stretch of dangerous heat and humidity, a major Texas utility is preparing for what’s to come.

Anticipating a generation shortfall near San Antonio, Texas, this summer, CenterPoint Energy has dispatched the first five of 15 large temporary emergency generation units from the Greater Houston area to the San Antonio region to help meet short-term power needs. The remaining units, which range in capacity from 27 to 32 megawatts (MW), will be deployed in three successive waves over the next two months. Each can power roughly 30,000 homes.

The temporary emergency generation units will be in the field for up to two years as part of a solution devised in collaboration with the Electric Reliability Council of Texas (ERCOT), elected leaders, regulators, and industry partners over the past six months. CenterPoint purchased the generators after Winter Storm Uri, which claimed the lives of at least 246 Texans in 2021, initially sticking ratepayers with part of the tab until settling a rate case in February that let them off the hook as of May 1, 2025. The Public Utilities Commission had permitted CenterPoint to charge its customers to help cover the cost of the $800 million generators and generate a profit. CenterPoint estimates the average subscriber will see their bill dip by about $2 by 2027.

“This creative, collaborative solution is moving forward to help meet our great state’s significant energy needs and improve reliability across Texas. This unprecedented contribution of value from CenterPoint to the state will help reduce the risk of energy shortfalls in San Antonio and will immediately lower monthly bills for our Houston-area customers,” said Jason Ryan, CenterPoint Energy’s executive vice president of regulatory services and government affairs. The investor-owned utility estimates the contribution to the state to be around $200 million.

During its response to Hurricane Beryl last summer, CenterPoint was knocked for not utilizing the massive generators, which were designed precisely to prevent prolonged outages. In the February rate case settlement, the utility proposed moving the emergency generators to the San Antonio area for two years to help ERCOT manage generation shortfalls. CenterPoint will receive no revenue or profit from the 15 large units deployed to San Antonio, based on an agreement with ERCOT.

CenterPoint is an electric transmission and distribution company in the 12-county Greater Houston area of Texas, meaning the company does not own any power plants in the state. Except for the leased temporary generation units, CenterPoint does not generate any electricity in the state and does not purchase electricity on behalf of its customers in Texas.

Summertime and the livin’ is easy

CenterPoint Energy is encouraging its customers to prepare for the warmer temperatures ahead by using company-offered tools, tips, and resources to unlock savings with easy-to-implement energy efficiency actions and programs.

Customers can do the following to stay comfortable while saving energy and money:

• Turn up the thermostat when leaving home: Raise the temperature a few degrees when away from home for energy savings. With a smart or programmable thermostat, a cooling system can operate according to a customer’s schedule.
• Change or clean filters in HVAC systems: Air conditioning accounts for approximately 50% of a home’s energy use when it’s warm. Regular maintenance can extend the life of a home’s system, so change or clean filters to keep the system running efficiently.
• Slay energy vampires: Energy drainers – also known as “energy vampires”- are electronic devices and appliances that suck up electricity by hovering in standby or ready mode without fully powering off. Save energy by turning off non-essential electric appliances, equipment, and lights when not in use. 
• Use ceiling fans to circulate cool air: Setting ceiling fans to rotate counterclockwise helps circulate cool air and maintain a comfortable room temperature.
• Keep warm air out: Use weatherstripping or caulk areas in and around a home where cooled air may escape, such as around windows and doors or anywhere else warm air might enter.
• Block the sun’s rays: When temperatures increase outside, keep window coverings closed when the sun is shining brightest to maintain a more comfortable indoor temperature.
• Upgrade appliances and equipment: When replacing appliances and equipment, choose models with increased energy efficiency ratings for long-term cost savings. Rebates may be available for qualifying appliances.