Insights · 04 — Process
ERCOT interconnection, step by step.
Two paths connect a load to the Texas grid. They differ by an order of magnitude in time. Here is each one, stage by stage.
Distribution path
Sub-75MW1Service application. Load details filed with the distribution utility — not with ERCOT.
2Distribution load study. The utility checks the load against existing feeder and substation capacity.
3Facilities agreement. Scope and cost of any line extension or substation work, committed in writing.
4Construction & metering. Utility builds its side; customer substation is commissioned against it.
5Energization. Meter set, service live. Typically months end to end.
Transmission path
75MW+ large load1Interconnection request. Filed with the transmission service provider; enters the large-load study process.
2Screening & full studies. Load-flow, stability and facilities studies — sequential, each with its own clock.
3Network upgrades. New lines, breakers or autotransformers the studies require — often years of construction.
4SB6 compliance. Large-load disclosure, last-resort curtailment provisions and cost allocation, layered onto the schedule.
5Energization. Published timelines run 36–60 months for new large loads.
The strategic read
Neither path is wrong — they serve different scales. Gigawatt campuses have no choice but the transmission queue. But for the large middle of the market — AI inference, regional cloud, enterprise compute at 10–70MW — the distribution path delivers the same electrons years sooner. TPDS builds for that segment of the market: sites deliberately sized under the threshold, studied, agreed and energized before a tenant ever signs. Why timing decides deals →
Process summaries are simplified for orientation and vary by utility and load. Not legal or engineering advice; specifics are confirmed in diligence.