Powering Texas: New NRG Peaker Units Bring Needed Power to Texans
Powering Texas: New NRG Peaker Units Bring Needed Power to Texans
Today we’re thrilled to share that NRG has completed construction and commenced commercial operations of new natural gas-fueled simple cycle generating units at our TH Wharton Generating Station in Houston. The combined 456 megawatts (MW) nameplate capacity units can add enough electricity to the Texas grid to power more than 100,000 homes during peak times.
The project is the result of a unique public-private collaboration: Texas Governor Greg Abbott’s innovative Texas Energy Fund (TxEF) Loan Program, which provides loans to power generators to incentivize the construction of power plants across the state to meet rising demand.
“Texas is on pace to build the reliable power generation needed to support our high-growth economy and ensure Texans have the electricity they need every day,” said Governor Abbott. "These new power generation units are a great addition to our energy network that powers Texans' daily lives. I congratulate NRG Energy for their new natural gas power generation units that will help keep Texas' future bright for generations to come."
The new units at TH Wharton help deliver local economic benefits, supporting more than 500 highly-skilled construction jobs, permanent jobs, and long‑term investment in Houston‑area infrastructure. Overall, this project adds lasting benefits to the surrounding community with the addition of enhanced grid stability and economic growth.
“I want to thank every single construction worker, technician, electrician, and all others at NRG and our partner companies who helped bring these units online in time for the hot Texas summer,” said Matt Pistner, President of NRG Wholesale. “I’m proud that our team delivered these units safely, on budget, and on schedule.”
FAQs:
When did the new units at the TH Wharton facility reach “commercial operations?”
NRG's new units at TH Wharton reached commercial operations on Tuesday, May 26 – meeting requirements from the ERCOT grid system in Texas. On June 5, NRG closed out the “Construction Period” under the TxEF loan and commenced the repayment period.
What is the TxEF program and how is it benefitting Texans?
The Texas Energy Fund (TxEF) is a great example of a public-private partnership. The fund provides low-cost loans to power generators, which pay back the loans at a 3% interest rate. The rising demand for power has put Texas in a position of needing megawatts, so Gov. Abbott made a smart decision to work with those in the industry for “speed to power” and partner together to get natural gas-powered megawatts on the grid in a safe, quick, reliable manner.
Why are new units at TH Wharton needed now? Hasn’t there always been power demand?
Demand has been rising due to electrification of homes and cars, plus the onshoring of manufacturing, and the rise of AI. TH Wharton is coming online at a critical time: summer in Texas when the state needs megawatts. As a “peaking” facility, TH Wharton provides electricity to Houston when it needs it most — primarily on the hottest days when the grid is stressed.
Why was NRG the right fit to add megawatts to the grid?
NRG is a long-established entity in Texas and is the ideal partner to add new megawatts to the power grid at a time when the state and the Houston area needs it most. NRG is also building new units at two of our other sites (Greens Bayou and Cedar Bayou, both in Texas) as part of the TxEF program. Our in-house Development, Engineering & Construction team has the core competencies and a long successful track record of building large power plants safely, on time and on budget.
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