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LCRA TSC approves $73 million in transmission and substation projects, sets $9 million for annual small projects
Summary
The board approved four capital projects including battery bank upgrades at 14 substations and two long line overhauls as part of its FY2026 capital plan. Estimated costs total about $73.7 million for the listed projects; an additional $9 million was authorized for annual general additions.
The LCRA Transmission Service Corporation board on May 21 approved four capital projects that staff said will improve substation reliability and replace aging transmission infrastructure.
Josh Cole (staff member) told the board the projects brought forward after the FY2026 capital budget included a battery systems upgrade at 14 substations (estimated cost $4.3 million, recommended completion May 15, 2026), a Bluffton-to-Buchanan transmission line overhaul (6.9 miles; estimated $28.3 million; recommended completion June 30, 2026), a Fredonia-to-Mason transmission line overhaul (11 miles; estimated $41.1 million; recommended completion June 30, 2026), and an annual general additions authorization providing up to $9 million for smaller, unanticipated system improvements through June 30, 2026.
Cole said the battery work replaces batteries, chargers and related controls used for substation operations; he emphasized these are operational support batteries, not the large wholesale battery storage projects often in the news. For the two line overhauls, staff said the work will replace structures and conductors and add optical ground wire (OPGW) along the full length; some of the conductor dates back to the 1960s and 1970s. The Bluffton-to-Buchanan conductor was originally installed in 1965; the Fredonia-to-Mason conductor dates to 1976. Staff said the line work will be performed in an "energized" fashion so service continues on the old conductor while crews string the new wire and transfer load in phases.
The board moved and approved the set of projects by voice vote. No individualized vote tallies are recorded in the public transcript; staff said the projects will be funded through the capital plan and that, where required, costs will be recovered through regulated rates subject to PUC processes.
Directors asked about asset life and durability; staff said new conductor and materials should extend expected service life, though future upgrades could be required if system load growth demands higher capacity.
The board also approved the annual general additions authority for up to $9 million to address minor system improvements, equipment failures, easement enhancements and small load accomodations through June 30, 2026.
