A major transmission line project linking the Texas Panhandle with southeastern New Mexico is advancing, and Xcel Energy says the cost could show up in customers' utility bills.
Here's what to know
According to KFDA NewsChannel 10, Xcel Energy subsidiary SPS is pursuing the largest transmission project in its history. The Texas leg, called "Tecovas to State Line," would cover about 180 miles and feature a major high-voltage substation near Bushland.
The project's target in-service date is May 2031, following roughly two years of construction. Xcel Energy estimates the full multi-stage effort at $3.6 billion, with as much as $1 billion tied to the Texas segment.
Jared Cooley, regional vice president of Integrated System Planning, said the buildout is aimed at easing reliability pressure on a regional grid where electricity use is climbing alongside industrial growth and broader economic development.
With SPS still in the siting and permitting phase, important details remain unsettled, including the final route and what the project could mean for customer bills.
For residents in the Bushland and Amarillo area, concerns involve property impacts and possible future rate increases. KFDA NewsChannel 10 reported that SPS is working on a route, seeking easements from landowners, and trying to minimize disruption as best they can. Cooley said cooperation with landowners will be a key part of building the line.
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What's being done?
Xcel Energy says the project's cost would be incorporated into electric bills only after the line is energized and only if regulators in Texas and New Mexico sign off on how those charges are applied. Because of this, any estimate of bill changes is still premature.
"This is the largest transmission project SPS has undertaken. In order to successfully build this project, we will need to collaborate with landowners in our communities. We'll have to find appropriate laydown locations in partnership and identify those strategically to minimize the amount of impacts," Cooley said.
Where can I learn more?
Explore these stories on Texas grid upgrades, federal energy financing, utility cost debates, Xcel rate pressures, and separate border infrastructure work.
• Texas awarded Panhandle and South Plains grid upgrades plus drone inspections for 273,000 poles.
• Texas secured a federal grid loan worth $3.26 billion for 100 projects.
• Texas is moving to make giant power users pay more and ease homeowners' burden.
• In Colorado, Xcel says households could pay $6.15 more monthly as shutoffs climb.
• At the Rio Grande, a U.S.-Mexico rail crossing cleared a final report before construction.
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