Texas Power Demand Soars As Solar, Wind, And Batteries Lead ERCOT’s Growth – EIA

Electricity demand in Texas has been rising steadily in recent years, with the Electric Reliability Council of Texas (ERCOT) reporting record highs in 2025. ERCOT, which manages about 90% of the state’s electricity load, saw the fastest electricity demand growth among all U.S. grids between 2024 and 2025. From January to September 2025, electricity demand increased by 5% compared to the same period in 2024, reaching 372 terawatthours. This was also 23% higher than the demand recorded during the same months in 2021, reflecting the rapid pace at which Texas’s electricity needs are growing.

Meeting this increasing demand has largely been supported by renewable energy sources, especially wind and solar power. Since 2023, these two sources have been the fastest-growing contributors to ERCOT’s generation mix. Utility-scale solar, in particular, has expanded rapidly. In the first nine months of 2025, solar power plants generated 45 terawatthours of electricity, marking a 50% jump from 2024 levels and nearly four times the generation achieved in 2021, when utility-scale solar produced only 11 terawatthours. Wind generation also saw steady growth, reaching 87 terawatthours during the first nine months of 2025, up 4% from the same period in 2024 and 36% higher than in 2021. Together, wind and solar energy met about 36% of ERCOT’s total electricity demand in the first three quarters of 2025.

Natural gas remains the largest source of electricity in Texas, but its share has started to level off. Between January and September 2023, natural gas-fired power plants generated 161 terawatt-hours, which was 24% higher than in 2021. However, output has since remained largely unchanged, totaling 158 terawatthours for the same period in 2025. Even though natural gas continues to provide the largest share of electricity in the grid, its contribution has declined to 43% in 2025, compared with 47% in both 2023 and 2024.

The pattern of generation in Texas also changes throughout the day, particularly during the summer months when demand peaks. Solar generation is highest around midday, and the growing presence of solar power has significantly reduced the need for natural gas-fired electricity during these hours. In the summer of 2025, solar plants in ERCOT generated an average of 24 gigawatts between noon and 1:00 p.m., up from just 12 gigawatts during the same hour in the summer of 2023. As a result, natural gas generation at midday dropped from 50% in 2023 to 37% in 2025.

Battery storage is also beginning to play an important role in balancing supply and demand. Since October 2024, ERCOT has been reporting battery output separately in its grid data. During the summer months of 2025, batteries provided valuable support during the evening hours when solar generation declined, supplying an average of 4 gigawatts of electricity at around 8:00 p.m.

Looking ahead, ERCOT expects electricity demand in Texas to continue its rapid growth. According to forecasts, the state’s electricity use will increase by another 14% in the first nine months of 2026 compared to the same period in 2025, reaching 425 terawatthours. This trend highlights how Texas is relying increasingly on solar, wind, and battery storage to meet its rising power needs while maintaining grid reliability.