Dimension News, Texas Governor Greg Abbott announced that the Texas Energy Fund (TxEF) will allocate $113 million to Southwestern Public Service Company (SPS), a subsidiary of Xcel Energy, to strengthen power reliability in the Texas Panhandle and South Plains regions.
The funding will support a series of infrastructure upgrade projects, including repairing or replacing utility poles, enhancing distribution system protection in high-risk areas, and improving system monitoring technology. Texas Public Utility Commission Chairman Thomas Gleeson stated that these reliability projects will build a multi-layered protection system for users.
SPS will launch a drone-based utility pole inspection program to assess over 273,000 poles within its service area, enabling timely detection and resolution of hazards. Additionally, SPS will install pole-mounted sensors along distribution lines for real-time monitoring of line conditions, improving fault location accuracy and response speed.
Texas Governor Abbott said: “Texas leads the nation in energy because we continue to invest in reliable power infrastructure across the state. This funding will improve infrastructure that Texas families and businesses can rely on for the long term.” Xcel Energy Texas Interim President Brad Baldridge noted that the funding will help the company reduce costs for users while advancing grid reinforcement and public safety improvements.
The funding is managed by the Texas Public Utility Commission through the TxEF External ERCOT Grant Program, which provides financial support for grid reliability enhancement projects serving electricity users outside the ERCOT region.