Texas wants to use Bitcoin miners for grid stability as power demand surges.
The Electricity Reliability Council of Texas (ERCOT) is considering integrating Bitcoin miners as controllable load resources (CLRs) to improve grid stability.
During a Texas Senate Business and Commerce Committee hearing, ERCOT CEO Pablo Vegas emphasized that classifying more Bitcoin miners as CLR would improve the reliability of the state’s power grid.
CLRs are key power consumers that can lower energy costs by avoiding high price periods while providing essential grid stability services.
Vegas said cryptocurrency operations in Texas consume about 2,600 megawatts of energy, but only 500 megawatts are registered with the CLR and only 130 megawatts are actively participating. He said:
“I would like to see all cryptocurrencies become Controllable Load Resources (CLR). That would be really advantageous from a liability standpoint.”
The cryptocurrency community reacted positively to the news, with Brian Morgenstern, head of public policy at Riot Platforms, saying: He said this was the most important aspect of the hearing.
Bitcoin mining enthusiast Jacobo Pascual added:
“Intermittent additions of renewable capacity reduce grid reliability, increasing the value of Bitcoin mining as a balancing tool (adding electricity demand when there is more renewable capacity and cutting it immediately when generation is lacking).”
Texas Energy Demand
Meanwhile, Lieutenant Governor Dan Patrick expressed strong concerns about the expected increase in Texas power grid capacity due to Bitcoin miners and artificial intelligence data centers. The grid is expected to expand from 85,000 megawatts to 150,000 megawatts within the next 10 years, far exceeding the 110,000 megawatts previously projected.
Patrick said:
“Cryptocurrency miners and data centers will account for over 50% of further growth. We need to take a closer look at these two industries. “They produce very few jobs compared to the enormous demands they place on our power grid.”
He also pointed out that miners can make more profit by selling power back to the grid than by mining operations. Patrick prioritized supporting retail users and existing businesses over niche industries that put a huge strain on the grid. He said:
“I’m more interested in building a grid to serve customers in homes, apartments, and businesses, and to keep costs as low as possible, rather than a niche industry with huge demand for electricity and few jobs. “We want data centers, but we can’t be the Wild West where data centers and cryptocurrency miners take down our grid and put out fires.”
