NRG to Build $617 Million Natural Gas Plant at Greens Bayou Site

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NRG Energy plans to build a $617 million natural gas-fired power plant at its existing Greens Bayou facility in northeast Houston, a project state leaders say will strengthen grid reliability as electricity demand grows across Texas.

The 455-megawatt plant will be constructed in Harris County and is expected to begin supplying power to the Electric Reliability Council of Texas grid by 2028.

The project recently received designation under the state’s Texas Jobs, Energy, Technology and Innovation program, known as JETI, which provides tax incentives for major capital investments. The designation clears a key step for development and signals state support for the project.

Texas officials have emphasized the need for additional dispatchable generation, power sources that can be turned on when demand spikes, as population growth, business expansion and extreme weather continue to strain the grid. Gov. Greg Abbott has said expanding energy infrastructure is critical to maintaining the state’s economic momentum and grid stability.

NRG executives said the plant will help meet rising electricity demand while creating jobs during the construction phase and a smaller number of permanent positions once the facility becomes operational.

The Greens Bayou site already houses power generation infrastructure, and the new plant will expand its capacity. Company officials have not released a detailed construction timeline but said the goal is to have the facility online by 2028.

The announcement comes as Texas continues to encourage new energy projects following years of heightened focus on grid reliability after major outages during severe winter storms.

State leaders say projects like the Greens Bayou expansion are part of a broader effort to ensure the ERCOT grid can meet future demand while supporting economic growth.