Denton explores public private partnerships for future energy generation facilities

The Denton Public Utilities Board convened on July 14, 2025, to discuss several key topics regarding future energy generation and potential partnerships. The meeting focused on exploring options for enhancing the city's energy portfolio, particularly in light of evolving technologies and regulatory considerations.

The first significant discussion centered on the potential for converting existing energy generation facilities to dual fuel capabilities. Board members highlighted the possibility of transitioning from natural gas to hydrogen, which could be implemented with minimal downtime. This shift is contingent on the viability of hydrogen as a fuel source in the future.

The board also examined various partnership models for energy generation, including public-private collaborations. Members expressed interest in exploring opportunities for acquiring existing facilities or forming joint ventures with private entities. The conversation acknowledged that while no formal engagements had been initiated, the landscape for potential partnerships is broad, particularly with data centers and other private investors seeking additional generation capacity.

A critical point raised during the meeting was the impact of emissions regulations in the Dallas-Fort Worth area. The board noted that current limitations on emissions could hinder the operational capacity of new facilities within the region. As such, the board is considering options outside the city limits where fewer restrictions may apply, allowing for greater operational flexibility and economic benefit.

The discussion also touched on the Texas Energy Fund projects, which are seen as potential targets for acquisition. Board members recognized that these projects, primarily backed by private investors, could offer opportunities for rate stability for Denton’s ratepayers. However, acquiring existing facilities may come at a premium compared to developing new ones.

Throughout the meeting, the importance of maintaining transparency while navigating the complexities of private partnerships was emphasized. Board members acknowledged that confidentiality agreements may be necessary when engaging with private entities, which could pose challenges for public transparency.

In conclusion, the Denton Public Utilities Board is actively exploring innovative energy solutions and partnerships to enhance the city's energy generation capabilities. The discussions reflect a proactive approach to adapting to regulatory changes and technological advancements, with the aim of ensuring reliable and stable energy for the community. Further evaluations and potential actions will be necessary as the board continues to assess its options moving forward.