Austin Energy, the electric utility company of Austin, Texas, is partnering with Exceed Energy Inc. for a 5-MW first-of-its-kind geothermal pilot project near the Nacogdoches biomass facility. According to the company’s release, the pilot is expected to start producing electricity by 2025.
With new technology and exciting opportunities to scale up energy production, the geothermal effort has the potential to change the energy landscape in Texas and create a more reliable pathway to a cleaner, greener grid. While Austin Energy is already the most environmentally sustainable utility in Texas, far exceeding statewide and national averages for carbon-free energy, it always seeks new ways to provide clean, reliable energy to the grid.
As part of its Resource, Generation and Climate Protection Plan to 2035, Austin Energy worked with stakeholders to understand how to reflect the community’s priorities of reliability, affordability and environmental sustainability. Geothermal energy production is a valuable tool in the utility’s efforts to strengthen the grid and keep costs down while continuing toward a greener future.
“Geothermal technology for energy generation holds great promise and we are excited to advance innovation in this space,” said Mike Enger, Austin Energy’s Vice President for Energy Markets and Resource Planning. “This pilot will allow us to learn about any unforeseen challenges and better understand if those challenges can be overcome safely and economically. Based on what we learn, in the future, we may be able to scale up geothermal to further diversify our clean, renewable supply portfolio.”
“Geothermal energy has been an interest of mine since I began as a Council Member and engaged in Austin Energy’s carbon-free energy generation planning and the reliability of the electric grid. I am also enthusiastic about the types of geothermal technology used for heating and cooling in the District 1 community at Whisper Valley,” said Austin City Council Member Natasha Harper-Madison (District 1). “Our electric utility focuses on innovative solutions to our pressing energy needs and it’s exciting to consider the possibilities geothermal energy will have for Austin and the state.”
“Austin Energy’s commitment to innovation is truly commendable,” said Tim Tarver, Founder and CEO of Exceed Energy. “By moving forward with this groundbreaking technology, they’re not only embracing a cleaner future but also paving the way for transformative energy solutions. Their support has been instrumental in bringing this disruptive technology to market, and we’re excited to see the impact it will have on the community and the energy sector as a whole.”
Austin, Texas is also the site of the inaugural geothermal heating and cooling project Bedrock Energy, which was just completed earlier this year at the Penn Field mixed-use office and retail campus.
