CoinDesk Podcast Network The Blockspace Pod: Understanding ERCOT’s Massive Overhaul w/ Tom Kleckner
Jan 27, 2026
Tom Kleckner, RTO Insider correspondent specializing in ERCOT and wholesale electricity markets. He explains the 233GW interconnection surge, SB6’s shift of transmission costs to big loads, the proposed batch process for large connections, and new reliability tools like DRRS and battery roles. The conversation also touches on timelines, voltage rules, and who will pay for vast transmission upgrades.
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Massive Queue Breaks Old Processes
- ERCOT's large-load interconnection queue ballooned to 233 GW, far exceeding its 85 GW peak and original processes designed for 40–50 projects.
- Senate Bill 6 forces large loads (≥75 MW) to shoulder transmission costs, provide upfront guarantees, and participate in new demand programs to protect reliability.
Require Curtailment And Financial Milestones
- Prepare to require large loads to install shutoff equipment and accept mandatory curtailment for grid emergencies under SB6.
- Design interconnection agreements with clear financial milestones so ERCOT can reclaim unused capacity if projects stall.
Batch Process To Triage Requests
- ERCOT proposes a multi-year batch process to group and clear existing interconnection requests, starting with a foundational "batch zero."
- Projects will face milestones to hold capacity, and unmet milestones will free capacity for later batches.