NRG Energy, Inc. announced a plan to build a natural gas facility at the existing NRG Cedar Bayou power production complex in Baytown, 30 miles east of Houston.
The new 721 megawatt (MW) natural gas power plant represents an estimated $936 million in capital investment in Texas.
“Texas energy and innovation fuels record-setting job growth across diverse industries in our great state,” said Governor Abbott. “This Texas-sized $936 million investment in Chambers County and a 721-megawatt investment in our state grid will increase dispatchable electricity generation and further reinforce grid reliability. The JETI program, offered in partnership with our local communities and school districts, is a critical tool to attract the significant business investments needed to ensure every Texas home and business has the power to thrive for decades to come.”
In September, a Texas Energy Fund loan agreement between NRG and the Public Utility Commission of Texas (PUC) was announced for the new natural gas power plant, which is estimated to begin generating power by mid-2028 and will serve the Electric Reliability Council of Texas (ERCOT) power region.
“A big thank you to Governor Abbott, the Texas Legislature, the PUC, and the Goose Creek Consolidated Independent School District (Goose Creek CISD) for being excellent partners in helping power Texas forward,” said NRG Executive Vice President and NRG Business and Wholesale Operations President Robert J. Gaudette. “This development of a new, highly efficient unit at our Cedar Bayou power plant will generate significant construction jobs and once online in 2028 will provide additional permanent jobs, new electricity for Texas, and regional economic growth. With power demand surging across Texas, it takes public-private partnerships to meet that demand, and NRG is grateful that the Cedar Bayou project is part of Governor Abbott’s innovative JETI program.”
“Chambers County continues to show why our region is one of the best places in Texas for industry to grow and thrive,” said Representative Terri Leo Wilson. “This investment by NRG strengthens our local economy, creates new jobs for our families, and supports the reliable energy infrastructure that our state depends on. I am proud to welcome this project to our district, and I look forward to working with NRG and our community partners as we build a stronger future for Southeast Texas.”
“The addition of NRG’s 721 MW power plant not only strengthens grid stability and reliability, it also enhances the county’s ability to retain and attract a broad cross section of industries,” said Chambers County Judge Jimmy Sylvia. “The Commissioners Court was pleased to join with local governmental partners in incentivizing the project.”
“Goose Creek CISD’s collaboration with NRG on the innovative Cedar Bayou project supports a more sustainable energy future,” said Goose Creek CISD Superintendent Dr. Randal O'Brien. “This initiative will strengthen grid resilience, drive hundreds of millions of dollars in economic growth across the greater Baytown area and help meet the evolving energy needs of our community and state.”
“Undergirding any vibrant economy and effective economic development efforts requires the continuous improvement and development of infrastructure,” said Baytown West Chambers County Economic Development Foundation CEO B. J. Simon. “The NRG Cedar Bayou 5 power plant is an exemplar in that regard.”
