Gov. Greg Abbott has announced that a 455 megawatt natural gas power plant being built in Harris County by NRG Energy will be given a school property tax break from Galena Park Independent School District.
The Texas Energy Fund has already awarded NRG Energy Inc. about $1.15 billion in low-interest loans for NRG’s three projects. In November, the fund approved a nearly $370 million low-interest loan for the 455-megawatt (MW) natural gas power plant.
The Texas Energy Fund operates under the Public Utility Commission of Texas to provide grants and loans to finance the construction, maintenance, modernization, and operation of electric facilities in Texas.
Once completed, the 455 MW power plant will “enhance grid stability, create job opportunities, and help make power more affordable for homes and businesses in Texas,” explained NRG President Robert Gaudette.
According to the tax break agreement with the comptroller for this power plant signed last Wednesday, the company estimated the facility would add roughly 14 permanent full-time jobs upon completion.
Texas’ Jobs, Energy, Technology, and Innovation (JETI) corporate handout program provides a school district property tax break for companies that provide a qualifying number of required jobs.
However, this requirement is waived for electric-generation facility projects due to a statutory exemption.
The JETI program provides an additional property tax break to projects located in federally designated Qualified Opportunity Zones.
All three of the NRG projects that received the Texas Energy Fund loans are currently enrolled in the JETI program.
These power plants, along with similar projects, are springing up across the state to accommodate overwhelming demand, while energy prices continue to rise.
