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Abbott Awards $22M Texas Energy Fund Grants For Panhandle Electric Reliability

Dallas Express | Jun 25, 2026
Electric power lines at sunset | Image by Canva

Texas Gov. Greg Abbott announced on Wednesday that more than $22 million in grants have been awarded through the Texas Energy Fund to strengthen electric reliability in northeast Texas and the Panhandle.

The funding will support infrastructure upgrades for North Plains Electric Cooperative (NPEC), including improvements to substations, transmission lines, and power restoration capabilities serving customers across several rural counties.

“Reliable power is essential to grow and maintain strong Texas communities,” Abbott said in a news release. “These grants will update and reinforce energy infrastructure in Northwest Texas and ensure residents and local businesses have the dependable electricity they need to thrive.”

Projects Target Rural Electric Infrastructure

According to state officials, the grants will fund two resiliency projects designed to improve reliability for customers in portions of Hansford, Hutchinson, Lipscomb, Ochiltree, and Roberts counties.

The largest project includes approximately 14 miles of new and upgraded transmission line segments along existing corridors. The work will also include installing switching equipment and modernizing aging infrastructure to improve operational flexibility and strengthen the area’s electric system.

A second project will expand the Ochiltree Interchange by bringing a spare transformer into service. Officials said the upgrade will improve overall system operations while helping meet future electricity demands.

State Officials Highlight Grid Modernization

Public Utility Commission of Texas Chairman Thomas Gleeson said the projects represent an important step in modernizing the state’s electric infrastructure.

“Grid modernization is critical to meeting the growing power needs in every corner of Texas,” Gleeson said. “Reliability projects like these strengthen more than poles, wires, and substations – they strengthen Texans’ confidence that the power they need will be there when they need it.”

NPEC officials welcomed the funding, saying it will improve service reliability and support future growth across the cooperative’s service territory.

“This grant represents a major step forward for our cooperative and the communities we serve,” NPEC Executive Vice President and General Manager Mike Wolfe said. “By expanding our infrastructure and creating additional transmission connections, we are improving reliability and ensuring our members have access to dependable, affordable power for years to come.”

Texas Energy Fund Supports Reliability Projects

The grants are being awarded through the Texas Energy Fund’s Outside ERCOT Grant Program, which the Public Utility Commission of Texas administers.

The program provides funding for projects aimed at improving electric reliability and resiliency for Texans served by utilities operating outside the state’s primary ERCOT power grid.

State officials said the latest investments are intended to strengthen rural energy infrastructure and help ensure reliable electric service for homes, businesses, and communities across the Texas Panhandle.

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