Texas is rapidly emerging as an epicenter of artificial intelligence-driven energy demand, with an unprecedented surge in large-load power requests. This wave of demand is now dominated by AI data centers, a significant shift from the previous dominance of Bitcoin miners.
These figures, highlighted in The Miner Mag’s latest newsletter and drawn from ERCOT’s new System Planning and Weatherization Update, indicate that the state's power grid is facing a fundamentally different kind of growth.
ERCOT, the Electric Reliability Council of Texas, which operates the state’s independent power grid and oversees reliable electric service for approximately 90% of Texans, reported that its large-load interconnection queue has ballooned to 226 gigawatts of new requests. Of these, roughly 73% are tied to AI facilities.
Developers have already filed 225 large-load requests this year. On the supply side, ERCOT is reviewing 1,999 generation proposals totaling 432 GW, according to The Miner Mag.
However, the load is growing faster than the supply. While the generation queue is massive, it remains dominated by solar and battery projects. These types of projects do not provide the around-the-clock power that AI data centers require. This mismatch is setting up future reliability and investment challenges for the grid.
State regulators are racing to adapt to this evolving landscape. New rules are being developed to classify any customer requesting 75 MW or more as a “special handling” case. ERCOT has also more than doubled the number of transmission projects under review.
The Role of Bitcoin Miners
The Miner Mag report draws a clear contrast between the current surge in AI-driven power demand and the earlier boom from Bitcoin (BTC) miners. The report notes that Texas’ emerging grid crunch is now being fueled by AI, rather than cryptocurrency mining.
Bitcoin miners were once among the largest new power users in the state. Their impact was arguably positive, as miners frequently curtailed operations during peak demand. According to a January study by the Digital Asset Research Institute, they helped bolster grid stability and saved the state an estimated $18 billion.
However, the landscape is shifting. Many miners and digital asset operators are reallocating their infrastructure toward AI computing. This strategic move is intended to capitalize on the soaring demand for GPU capacity.
A recent example of this shift is Mike Novogratz’s Galaxy. The company secured $460 million to convert its former Texas Bitcoin mining site into a large-scale AI data center.