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Large consumers of power like data centers and manufacturers are driving up local energy demand quickly, CPS Energy officials said during a special board meeting Monday. 

These types of customers have requested sizeable blocks of energy over the next 10 years, CPS Energy Director of Business and Economic Development Benjamin Jordan told trustees. 

By the end of 2028, CPS Energy estimates it will require roughly 2,700 additional megawatts to address these customers’ demands, he said.

By the end of 2033, that estimate jumps to an additional 3,400 megawatts, Jordan added.

A megawatt can power 200 homes on a hot Texas day. CPS Energy’s entire portfolio can generate about 7,246 megawatts at a given time.

“This type of customer is going to put a tremendous amount of strain on the generation plan, the portfolio, and in all portions of our business — from legal to engineering, transmission planning, construction, building substations,” Jordan said.

“This is large infrastructure that we’re going to be building for these customers.”  These types of customers currently use about 324 megawatts of power at any given moment, roughly equal to the electricity required to power 65,000 residential homes at once, he said.

These customers are also asking for low-cost energy that has a zero-carbon impact on the community, Jordan said, adding CPS Energy will have to come up with “some creative solutions” to meet these requests. 

President and CEO Rudy Garza assured trustees Monday this growing need is not unique to San Antonio, adding that all major metropolitan areas are experiencing this type of growth in demand driven largely by new data centers and manufacturers.  “CEOs across the sector are talking about how to implement best practices to ensure we’re responsive [to this type of growth],” Garza said.

He added that CPS Energy is currently adding about 150 megawatts of new power generation every year. 

Another concern utilities have to take into account however is where these large customers want to build, Garza said. 

Jordan said it can pose unique challenges to a utility when these types of customers want to build within the same area — forcing the utility to consider how it will get large blocks of power to specific spots on its grid system.

That’s the case in San Antonio, where data centers are proliferating on the city’s far West Side, he said.